- Arizona ended five State Trust Land leases tied to AgTech LLC in Yuma County.
- AgTech applied more than 68,000 dry metric tons of treated sewage sludge in 2025.
- More than 97 percent of that material came from California utilities.
- State officials cited lease compliance issues and concerns raised by residents, farmers and businesses.
- The Arizona Attorney General’s Office said its investigation into the Yuma operations will continue.
Friday, September 12, 2026 — Arizona has ended five agricultural leases connected to a large-scale biosolids operation in Yuma County after years of complaints about flies, odors, dust and other effects on nearby farms, businesses and homes.
Governor Katie Hobbs
announced the action on September 10, 2026. The Arizona State Land Department terminated or declined to renew five State Trust Land leases held by AgTech LLC and related entities.
AgTech has leased state land in Yuma County since 2002. Its operations include spreading, injecting and otherwise applying treated sewage sludge, commonly called biosolids, as well as domestic septage.
Domestic septage is the material pumped from septic tanks and similar wastewater systems.
The Arizona Attorney General’s Office has also been investigating the operation following complaints from Yuma-area residents, growers and business owners.
More Than 68,000 Tons Applied in 2025.
According to the Governor’s Office, AgTech applied more than 68,000 dry metric tons of treated sewage sludge on the site during 2025. More than 97 percent came from California utilities.
The Governor’s Office said the average amount applied across the AgTech site was approximately 140 dry metric tons per acre. By comparison, other Arizona biosolids applicators average approximately 7 dry metric tons per acre.
An estimated 47 trucks deliver material to the site each day.
AgTech is also the only registered biosolids land applicator in Arizona that applies domestic septage to agricultural land, according to the Governor’s Office.
County Had Asked State to End Lease.
The September decision followed a December 1, 2025 letter from all five members of the Yuma County Board of Supervisors asking the State Land Department to terminate AgTech’s month-to-month lease and find another use for the property.
The supervisors wrote that residents, agricultural producers and others had experienced “overwhelming odors, severe fly infestations, and the spread of dust and debris” associated with the operation. They said county staff continued to receive a high volume of complaints.
The county also reported that local date growers attributed crop losses totaling millions of dollars each year to conditions they said were made worse by biosolids application.
The supervisors expressed particular concern that most of the biosolids came from California and questioned whether the operation was an appropriate use of Arizona State Trust Land.
The letter also noted that Yuma County was the only Arizona county where domestic septage continued to be applied to land. The supervisors said that practice was “increasingly out of step with statewide norms.”
State Finds Lease Problems.
The Arizona State Land Department later inspected the operation and found that AgTech was not complying with its leases, according to the Governor’s Office.
The State Land Commissioner determined that continuing to lease the property to AgTech and related entities was not in the State Land Trust’s best interest.
Of the five leases, one was found to be in default. The State Land Department decided not to renew the other four.
State Trust Land is managed for designated beneficiaries, with Arizona’s public education system among the major beneficiaries.
Hobbs said the AgTech operation was harming nearby businesses, farmers and families while working against the interests of the trust.
“Arizona is not a disposal site for California’s treated sewage sludge,” Hobbs said.
Attorney General Investigation Continues.
Attorney General Kris Mayes said her office’s investigation helped lead to the leases’ cancellation.
The investigation began after the Attorney General’s Office received complaints from Yuma-area residents, growers and business owners concerning fly infestations, odors and possible contamination associated with applying treated sewage sludge to state-leased land.
More than 250 residents attended a town hall hosted by Mayes at the Yuma Civic Center in July 2026.
“For too long, the people of Yuma were told to live with the flies, the smell, and the uncertainty about what was going into their soil and water,” Mayes said in the September 10 announcement.
She said her office would continue investigating the issues facing Yuma residents.
Action Does Not Apply to Other Arizona Farms.
The lease decision is specific to AgTech and related entities.
According to the Governor’s Office, the action does not affect other State Trust Land agricultural leases or the responsible application of biosolids by other Arizona farmers.
The December 2025 letter from the Yuma County supervisors also asked state officials to work with the county and local stakeholders to identify other uses for the property that would provide economic benefits without placing what the supervisors described as a burden on the surrounding community.
Image for illustrative purposes and is not the AgTech operation on ASLD leases in Yuma County.
