KEY POINTS
  • Arizona will not allow new housing construction in the Phoenix area that depends on groundwater, a decision that comes as the state grapples with a multi-decade drought and diminishing water supplies.
  • The decision by the Arizona Department of Water Resources applies only to groundwater supplies and would not affect current homeowners who already have an assured water source.
  • Earlier this year, Arizona projected that developers planning to build homes in the desert west of Phoenix don't have enough groundwater supplies to execute those plans.
Aerial views of new homes under construction in the Pinal County, AZ town of Florence Wednesday, Jan. 26, 2022.

Arizona will not allow new housing construction in the Phoenix area that depends on groundwater, a decision that comes as the state grapples with a multi-decade drought and diminishing water supplies.

Arizona Gov. Katie Hobbs, during a news briefing Thursday, announced the restrictions that could impact the quickly expanding suburbs around Phoenix. The decision by the Arizona Department of Water Resources applies only to groundwater supplies and would not affect current homeowners who already have an assured water source.