Fitch: Arizona water rates rise as Colorado River shortage declared

According to Fitch Ratings, mandatory water cuts from the Colorado River for the 2022 water year were recently announced by the U.S. Bureau of Reclamation (USBR) in its Colorado Basin August 2021 24-month study. Per the study, Lake Mead will operate under a tier 1 shortage for the 2022 water year as required by the 2019 Drought Contingency Plan (DCP), the Congressionally approved water management plan for the Colorado River basin between the Department of Interior, USBR and all seven affected states. The cuts primarily impact Arizona and Nevada, which will experience reduced water allocations from Lake Mead by 18 percent and 7 percent, respectively.

Historic water shortage declared for Colorado River