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ITEM #: 3.
DATE: 06/15/2026

AI #:3289

 
CITY COUNCIL ACTION REPORT
 
SUBJECT: WATER RESOURCE ALLOCATION POLICY - PROPOSED AMENDMENTS TO THE GOODYEAR CITY CODE OF ORDINANCES; CHAPTERS 1, 14, AND 18 UPDATE
 
STAFF PRESENTER(S): Barbara Chappell, Water Services Director

OTHER PRESENTER(S):

Michele Van Quathem, Water Counsel  

SUMMARY

Council will receive an update on proposed amendments to provisions in the Goodyear City Code (Attachment A) related to the provision of water service implementing the Water Resource Allocation Policy (Attachment B) adopted by the City Council on May 19, 2025. 

STRATEGIC PLAN ALIGNMENT

   

RECOMMENDATION

Council to receive an update on the amendments to the Goodyear City Code of Ordinances; Chapters 1, 14, and 18 and provide direction to staff. No action will be taken. Council adoption of the City Code changes will be requested at a future meeting. (Barbara Chappell, Water Services Director)

FISCAL IMPACT

The future adoption of amendments to the City Code has no direct fiscal impact.

BACKGROUND AND PREVIOUS ACTIONS

Similar to many Arizona water providers, the City of Goodyear recognized the need to further manage available water resources and water demand growth to promote sustainability and reliability in the city’s provision of water services to both existing and new customers. Several water providers in the Phoenix and Tucson metropolitan areas have in the past few years adopted variations of water services ordinances that provide processes and standards applicable to new large water demand, although the definition of “large” varies widely among the water providers depending on available resources and growth area. The ASU Kyle Center for Water Policy at the Morrison Institute summarized some (but not all) of these provisions in a paper published in September 2025 (Attachment C). In recognition of the need to manage its available water resources, on May 19, 2025, Council adopted the Water Resource Allocation Policy (Attachment B) establishing a strategic framework for managing growth and ensuring long-term sustainability for both current and future customers. The proposed ordinance (Attachment A) implements the Water Resource Allocation Policy through the amendment of various provisions in the Goodyear City Code related to water services.  

STAFF ANALYSIS

Prior to bringing these proposed ordinance changes to Council, city staff engaged in substantial public outreach.  This outreach included the following, along with a number of one-on-one communications with key stakeholders

Timeline of Public Outreach:
  • April 7, 2025 - Council Work Session on the proposed Water Resources Allocation Policy
  • May 19, 2025 - Council adoption of the Water Resource Allocation Policy
  • August 20, 2025 - Development Advisory Forum.  Staff presentation on the Water Resources Allocation Policy followed by a question-and-answer session 
  • November 19, 2025 - Development Advisory Forum. Staff presentation on the Water Resources Allocation Policy followed by a question-and-answer session
  • December 4, 2025 - City staff meeting with Valley Partnership to address questions and comments
  • March 16, 2026 - City staff meeting with Valley Partnership, Home Builders of Central Arizona, National Association of Industry and Office Park (NAIOP) to address questions and comments
  • March 20, 2026 - April 3, 2026 – City initiated a 2-week public comment period on the proposed ordinance changes to solicit feedback from the development community
  • April 28, 2026 - City posted responses to input received during the public comment period 
Following the two-week public comment period, the city gathered all feedback submitted by the development community. In collaboration with the City's water attorney, city staff carefully reviewed these responses to identify and establish general categories of concern. Staff have now addressed each of these themes in a comprehensive response document (Attachment D), which was publicly posted by the city on May 1, 2026.

The goals of the proposed changes to the City Code are both to continue to provide reasonable water service to existing city water customers at their current average usage and to continue to support the development of a planned level of new services within properties in City Water Planning Areas 2 and 3. The revisions to the City Code provisions are written to accommodate future overall increases and decreases in the quantity of uncommitted city water resources.  

Proponents of new large water uses that exceed the city’s planning allocation for a property may apply to the city for additional or increased water services commitment, and the City Council may grant or deny the request based upon a cost/benefit/resource availability review as provided in the proposed ordinance. If the city, upon review, agrees that the city should provide water service to a large water user, the city will require a service agreement to specifically manage the large water use.  The city may require that a large water user dedicate user-provided imported new water resources to support the city’s water service to that large water use.

The proposed changes represent a balanced approach to resource management that safeguards our current residents while providing a clear, predictable pathway for high-value future development. Staff will request, at a future council meeting, that the City Council move to adopt the proposed ordinance amendments as presented to secure Goodyear’s long-term water independence and economic resilience.

Attachments