At Harvard Investments, our commitment to sustainable development goes beyond building communities. It means shaping policies that protect Arizona’s most precious resources and support responsible growth.
That’s why we are proud to have played a pivotal role in the passage of SB 1611; landmark legislation recently signed into law by Gov. Katie Hobbs. This bipartisan “ag-to-urban” bill represents the most significant overhaul of Arizona’s groundwater policy in decades and offers a practical pathway to convert irrigated farmland into attainable housing while conserving water for future generations.
Alongside our colleagues at Cowley Companies, we collaborated with lawmakers, the governor’s office, the Arizona Department of Water Resources (ADWR), the Home Builders Association of Central Arizona (HBACA), and the Gammage & Burnham Water Group.
Over two legislative sessions, our goal was clear: to build consensus among stakeholders and offer a solution that addressed the governor’s moratorium in 2024 on new housing developments while advancing meaningful water conservation.
“After the governor issued her moratorium on new housing developments, Harvard and the Cowley Companies felt strongly that we needed to offer a solution that would both address the moratorium and conserve our precious water resources,” our CEO Craig Krumwiede said. “We worked closely with HBACA on crafting the legislation and shepherding it through the Legislature and governor’s office.”
The passage of SB 1611 enables the voluntary retirement of agricultural land – which uses significantly more water than residential development – while providing long-term water credits for projects in designated Active Management Areas (AMA). This approach aligns with our vision for thoughtful growth across Arizona.
“We take our stewardship of the properties we develop seriously and this is simply another effort on our part to encourage responsible development,” Craig said. “We believe this bill will have a very positive impact on the affordability and supply of housing and save a substantial amount of our water resources.”
With the legislation set to take effect on September 26, we’re already evaluating how the “ag-to-urban” framework can support our current and future developments.
“Harvard has several projects that are currently farmed. With this bill in place, we anticipate retiring the properties’ agricultural water rights and developing the properties to provide more broadly available and attainable housing,” Craig added.
The program also helps resolve a major challenge in our state’s housing landscape: the moratorium on new assured water supply determinations. This restriction has delayed the development of tens of thousands of homes across Metro Phoenix and Pinal County, areas where families need more housing options.
History tells us that when farmland is converted to homes, overall water use declines. SB 1611 builds on this trend and establishes clear conservation standards, eligibility requirements, and replenishment rules that ensure groundwater use is offset by alternative sources.
As Gammage & Burnham attorney Alexandra Arboleda aptly said: “SB 1611 enables much-needed housing development while conserving water and encouraging smart land use. It’s a model for growth and stewardship working hand in hand.”
At Harvard Investments, we’re proud to be part of this milestone achievement. It reflects our core belief that community development must go beyond housing. It should also honor the land, safeguard natural resources, and strengthen the future of Arizona.
