Court Allows Attorney General’s Groundwater Lawsuit Against Fondomonte to Move Forward
On May 15, 2026, the Arizona Attorney General’s Office announced that a Maricopa County Superior Court judge denied a request from Fondomonte Arizona LLC to pause the State’s ongoing public nuisance lawsuit concerning groundwater pumping in the Ranegras Plain Basin.
The ruling means the lawsuit will continue while the Arizona Department of Water Resources (ADWR) separately carries out its multi-year Active Management Area (AMA) process for the basin.
Background
The State of Arizona filed the lawsuit in 2024, alleging that Fondomonte’s groundwater extraction activities in the Ranegras Plain Basin contributed to declining groundwater levels, impacts to nearby wells, land subsidence, and other community concerns. The lawsuit was brought under Arizona’s public nuisance statute. Fondomonte has disputed the State’s claims.
Since the lawsuit was filed, ADWR designated the Ranegras Plain Basin as an Active Management Area (AMA), beginning a separate regulatory and scientific process focused on long-term groundwater management in the basin.
Fondomonte asked the court to stay, or temporarily pause, the lawsuit while ADWR completes its studies and develops a management plan for the basin.
What the Court Decided
Judge Scott Minder denied the request for a complete stay.
In the ruling, the court acknowledged that ADWR has specialized expertise in groundwater science and management and that its ongoing work will likely provide important technical information relevant to the case.
However, the court also found that the lawsuit involves issues that may go beyond what the AMA process can address. These include questions related to alleged past impacts and the State’s request for an abatement fund.
Rather than stopping the case entirely, the court directed the parties to work together on a litigation schedule that takes the AMA process into account. The parties must submit a joint scheduling order by June 15, 2026.
The Role of the AMA Process
The court’s order highlights the growing importance of the Ranegras AMA process.
Under Arizona law, the AMA designation begins a long-term planning effort led by ADWR to study groundwater conditions and develop management goals for the basin. According to the court order, ADWR is expected to produce a management plan within two years of the AMA designation.
The court noted that ADWR’s scientific studies and groundwater analyses may help inform the lawsuit as it moves forward.
What This Means Going Forward
At this stage, the ruling does not determine whether Fondomonte violated the law or caused the impacts alleged by the State. Instead, the decision simply allows the lawsuit to continue while the AMA process also moves forward.
The case and the AMA process are now expected to proceed in parallel.
For residents of La Paz County and surrounding groundwater-dependent communities, the ruling underscores that both legal and regulatory discussions about groundwater management in the Ranegras Plain Basin are ongoing and likely to continue evolving over the coming years.
As additional updates become available through the courts and ADWR, the Water Alliance of La Paz County will continue working to share factual, accessible information to help residents better understand the processes shaping groundwater management in the region.