One of the largest farming businesses in Arizona has agreed to use less water and pay $11 million in a deal that state officials say will help preserve disappearing groundwater and provide financial help for residents whose wells have run dry.
Arizona Atty. Gen. Kris Mayes announced the binding legal agreement with Minnesota-based dairy company Riverview LLP on Thursday, calling it the first of its kind in the nation.
“This settlement sets a new precedent in Arizona — one where businesses commit to being good neighbors to the communities they operate in and make meaningful efforts to reduce pumping of our most precious resource,” Mayes said. “Today’s announcement is an immediate and concrete action to address the increasingly dangerous depletion of groundwater in rural parts of our state.”
Groundwater levels have been dropping rapidly over the last decade in the Willcox area in southeastern Arizona, where Riverview runs a giant dairy and farming operation.
The company started buying land in the area in 2014 and owns more than 37,000 acres. In 2019, an Arizona Republic investigation revealed the company had 420 wells, some drilled nearly half a mile deep. Riverview has supplied its expanding dairy operation with cattle feed by growing wheat, alfalfa and corn.
As the water table has declined, some residents’ wells have run dry, forcing them to install tanks and pay for trucked-in water until they can drill new wells.
Under the agreement, Riverview will stop irrigating 2,000 acres of crops in phases within 12 years.
The company will contribute $11 million to two funds to defray costs for residents, schools and local water systems to drill replacement wells or install tanks.
Riverview said in a written statement it “values stewardship of the land and water,” recognizes the area’s water challenges and wants “to be part of the solution.”
