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| Water Rights and Water Issues in the Western States > Water News - Videos and Feeds > Featured Articles > Arizona State Grazing Lease Dispute
Mr. Williams conducted an extensive study of the property, the Knights’ management practices, their history of stewardship over the subject lands, and Forest Guardians’ qualifications. In his 40-page recommendation, he found that the Knights possessed seven of the possible ten equities, that Forest Guardians posse
Arizona state law provides that a lessee of state lands shall be reimbursed by a succeeding lessee for non-removable improvements. If the Knights lose their case, Forest Guardians claims that they will not pay for the improvements unless they were paid for by personal monies, not grant or program monies. When asked if they were willing to reimburse the owner for any improvements, Forest Guardians replied in its statement of equities that “[w]e believe that there are range improvements on the subject land that may have been obtained through the Arizona Department of Agriculture funding grants or other funding grant opportunities … and we would not be willing to reimburse the owner for improvements made through these grants.” Conclusion - State Grazing Lease Renewals Are No Longer a Sure ThingWhat does this mean for cattle growers in the state of Arizona? It means that state grazing lease renewals are no longer a certain thing. It means that when your state grazing lease comes up for renewal, any person, group, or corporation can file a conflicting application for such lease. You will then be required to file a statement of equities which involves detailed explanations of your management practices, monitoring procedures, value of improvements, financial capabilities and more. Even if you are found to possess more equities than the other applicant, the matter may still be sent to bid. You can try to out bid the environmental group or whoever is applying for your lease. The conflicting applicant may then bid three, four or more times the current rate of the lease and if you do not match that bid (if such is even allowed), you will lose the lease to the non-grazing group. One of the most important things you can do right now is to make sure that you’ve documented all range improvements with the State Land Department and begin compiling range data and management facts. Keep detailed notes about all conversations with conservation consultants, about range improvements and monitoring, and other matters. Whether it is a state or federal lease, it is a good idea to document all interactions with the leasing agency and to periodically review your file to make sure that nothing has been misrepresented and that your file is complete. In terms of riparian areas or water rights, again be sure to document all of your natural resources conservation efforts, water right filings, and other agreements or activities. -- Contributed by Michael Whiting, Attorney
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