To strengthen consumer protection and water conservation, the Arizona Department of Real Estate (ADRE) issued a Cease & Desist Order to a developer accused of illegal subdividing in the Rio Verde Foothills. This action, reported by the Office of the Arizona Governor, follows directives from Governor Katie Hobbs, who emphasized that development projects must adhere to state regulations.
According to the Cease & Desist Order, which was also recorded with the Maricopa County Recorder, the developer failed to secure a statutory subdivision public report from ADRE, which in an Active Management Area (AMA) stipulates the need for a certificate of assured water supply or a binding water service agreement. Governor Hobbs expressed her satisfaction with the swift actions of ADRE to "prevent what it believes is a blatant evasion of consumer protection and water security laws," illustrating her administration's stance on the preservation of Arizonan resources and consumer rights, despite legislative gaps remaining that still enable developers to exploit these loopholes for profit, according to a news release from the Office of the Governor. The enforcing of this order precludes the final sale of homes within the development until a proven 100-year water supply is confirmed for the project, aiming to secure future water availability for homeowners.
The enforcement efforts by Governor Hobbs' administration extend beyond prevention; they manifest the state's commitment to holding developers accountable for adhering to Arizona's stringent real estate and water use laws. Attorney General Kris Mayes, in recognition of the collaboration involved, stated in the news release, "Protecting consumers from unscrupulous developers is a top priority for the Attorney General's Office," highlighting the unified effort of the state's executive branch to protect its residents.
ADRE Commissioner Susan Nicolson emphasizes that preventing violations involves both enforcement and educating developers about subdivision Public Report requirements. She notes that when these requirements are ignored, buyers face unacceptable risks. This approach reflects the Hobbs Administration's focus on balancing enforcement with education to enhance consumer protection and prevent future issues.
Last year, Governor Hobbs signed Senate Bill 1432 to seek a water solution for the region after vetoing another ineffective bill. However, the state legislature has not yet provided a comprehensive legislative solution to ongoing issues that developers exploit. For more information on the Governor's Water Policy Council Recommendations addressing this issue, interested parties are encouraged to visit the Governor's official website.
