IRRIGATION WATER DELIVERY DISTRICT (IWDD) FAQs
or call SRP: 602-236-3333
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These FAQs are provided as guidance only. Each IWDD should consult with its legal counsel for advice.
1. If irrigation water is not used by a property owner do they have to be taxed?
Answer: If there are irrigation delivery lines running across or to the property, the property owner will be taxed if the IWDD is formed.
2. How is a tax levy determined at the beginning of the formation?
Answer: Proponents make an estimate of the operation and maintenance expenses for the first year of operation. This estimated budget is often based on how much money will be needed to make initial repairs to the delivery system. This amount is included on the impact statement submitted by proponents and is mailed to each property owner with the Notice of Impact Statement Hearing.
3. Will there be a tax levy forever and will it remain the same amount year to year?
Answer: The tax levy is determined annually. The levy is determined by the budget submitted by the district each year. The Board of Trustees MUST hold an open meeting on the proposed budget so district members have an opportunity to review and comment. The Trustees MUST notify the property owners within the district 24 hours in advance when and where the meeting will be held.
Answer: The tax levy may increase or decrease from year to year depending on the submitted budget. If the Board of Trustees determines the delivery system is in good repair, and if it is determined that the balance in the account could handle small repairs, there is a possibility there could be no tax levy in a given year.
4. What can the tax monies collected be used for?
Answer: The tax monies can only be used for the operation and maintenance of the water delivery system.
5. How long does the original Board of Trustees serve?
Answer: The original Board of Trustees serves for approximately 2 years. An election MUST be held every 2 years on the 3rd Wednesday in November. If only three candidates are running for an election, the election may be cancelled in order to save election costs.
6. What are the fees charged by the County?
Answer: By statute, the County collects a bond to cover the formation costs which the County incurs for publications, postings and postage. The typical cost of the bond for a small district is $250. This bond is submitted by the proponents at the start of the process. At the end of the formation effort (either successful or unsuccessful), any monies left in the account are returned to the proponents. There are no other fees charged by any County office.
*Exception: The exception to any additional charges is a possible charge related to a request to change the district boundaries after the Assessor has provided the initial map, list of property owners and assessed valuations. If the proponents request a new boundary map the charge from the Assessor’s Office is $100/hour to redraw the map and produce a new list of property owners/assessed valuations. This charge is paid by the proponents.
7. Does the Arizona Corporation Commission (ACC) have any input, statutorily or otherwise, toward the formation or operation of an IWDD?
Answer: The ACC has no association with IWDDs formation or management, nor do they hold or distribute any of the tax monies collected.
8. Can an IWDD eventually turn into a HOA?
Answer: No. Unlike an HOA, an IWDD is a political subdivision of the state.
What is an Irrigation Water Delivery District?
An IWDD is a special taxing district provides an easy way to collect funds for maintenance and repairs of our neighborhood flood irrigation system. Our system is nearly 100 years old and repairs can be costly. Taxes are calculated from the size of your property (not value) and included as a line on your property tax.
Medlock Place Neighborhood has formed an Organizing Committee to create a district. You can keep informed be checking on our website at MedlockPlaceNeighborhood.com.
Benefits of an IWDD
*Retains the beauty/legacy of your neighborhood *Protects your investment
*Maintains reliable flood irrigation
*Eliminates the task of collecting funds from neighbors
*Provides swift repair times
*Offers consistent communication between the IWDD and SRP
*Provides transparent and fair management
SRP’s role in establishing an IWDD
SRP’s Assisted Irrigation Delivery District (AIDD) program helps homeowners establish an IWDD and aims to ensure the longevity of the neighborhood private irrigation system. SRP will oversee the entire IWDD formation process with you and provide continued support.
When challenges arise, your IWDD is there to support the delivery of flood irrigation. Your IWDD not only collects and manages funds, it also coordinates maintenance and repairs in a timely manner. With the support of SRP and your IWDD, new homeowners will have the irrigation system knowledge they need to be successful.
IWDDs provide fair cost distribution, and funds are 100% dedicated to your IWDD. Costs are determined by your IWDD annual budget, which is divided by the number of acres within your IWDD. Costs are conveniently funded through Maricopa County property assessments.
In 2016 the annual average cost for an IWDD homeowner with a 0.25-acre property was $62.50.