Arizona Governor Takes Action to Terminate Controversial Saudi Farm's Groundwater Deals

The administration of Arizona Governor Katie Hobbs has taken steps to end controversial groundwater deals with a Saudi Arabian company, Fondomonte Arizona, which has been using state land to grow and export alfalfa. The Arizona State Land Department has canceled one lease and will not renew three others, citing default on lease terms and excessive water usage. Fondomonte has been pumping groundwater unchecked and unpaid for, drawing from a supply earmarked for future water needs in Phoenix and other areas. The move comes as policymakers grapple with a megadrought and increasing water demand.