Arizona State Land Department—Assessment of Department’s agricultural leasing process, groundwater reporting mechanisms, and Fondomonte’s leases

Department’s agricultural leasing process does not fully align with recommended practices; its agricultural leases including with Fondomonte are below market rates and do not require reporting of or payment for groundwater use; and it failed to adjust rental rates for 17 years resulting in more than $3 million less in potential revenue in calendar year 2023.