PHOENIX — Local government have no inherent right to try to block the transfer water and water rights out of their area, the Arizona Supreme Court ruled today.

In a case with statewide implications, the justices did not address arguments by Mohave County that will lose tax proceeds and already has what the county claims is a "strained" water supply. They said that is legally irrelevant.

Chief Justice Scott Bales, writing for the unanimous court, said Arizona law clearly spells out that the state Department of Water Resources needs to consider only the arguments of "interested" parties.

But he said the law defines — and limits — who qualifies as having an interest in a water transfer. And Bales said the issues raised by the county and its lawyers do not fit that definition.

What makes the ruling significant beyond this dispute is the justices specifically said the state water agency need not consider claims that a transfer is contrary to the "public interest."

They said only the interests of those who have a claim to the water rights can file a protest. And there is no contention by the county that it has a legal interest in the water rights here.

The case stems from a 2010 request by Freeport Minerals Corp. to transfer the water rights from the land within the Planet Ranch in Mohave County, east of Parker, along the Bill Williams River.

Those rights would be transferred to a well field near Wikieup which, in turn, would be used at the the Bagdad Mining Complex in Yavapai County for mining and municipal uses. The plan also involved moving the rights to other areas within Planet Ranch for a conservation program.

No actual water would be moved. Instead, the transfers concern the "right" to use water for certain purposes.

A trial judge ruled the Department of Water Resources had to consider the county's objections. Today's ruling overturns that decision.


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