general information packet thursday, march 26, 2020 phoenix council...2020/03/26 · general...

General Information Packet

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1 2020 State Legislative Update Page 3

General Information Packet

City Council Report

Agenda Date: 3/26/2020, Item No. 1

2020 State Legislative Update

This report provides information regarding the status of current state legislative issues.

SummaryMarch 25, 2020 is the 73rd day of the Second Regular Session of the 54th Legislature.Attachment A provides current status of legislation as of March 24, 2020. Todate,1,605 bills and 126 memorials/resolutions have been introduced and staffcontinues to review these measures to identify potential impacts.

Responsible DepartmentThis item is submitted by Assistant City Manager Deanna Jonovich and the Office ofGovernment Relations.

Attachment A City Council Information

March 25, 2020

The Office of Government Relations is guided by the principles endorsed by the Mayor and Council. Our highest priorities are maintaining and preserving shared revenues, opposing unfunded mandates, protecting local authority, and involvement in water resource matters. This Legislative Report provides information about bills that could impact the City. March 25, 2020 is the 73rd day of the Second Regular Session of the 54th Legislature. The information provided in this report regarding status of legislation is current as of March 24, 2020. To date, 1,605 bills and 126 memorials/resolutions have been introduced and staff continues to review these measures to identify potential impacts. Please note the highlighted sections represent bills newly added to this report. The Arizona State Legislature passed a budget on Monday, March 24th. Both the Arizona House of Representatives and the Arizona State Senate adjourned until Monday, April 13th or until otherwise decided by the Speaker and the President. The legislative updates will resume when the legislature resumes, as there will not be any changes made during the break. Bills that staff has identified as negatively impacting the City’s core principles:

• HB 2028: Candidate Signs; Prohibition; Primary (Rep. Fillmore; Apache Junction) As amended in committee, the bill increases the period of time that political signs may be placed in a public right-of-way to 188 days before the general election until seven days after the general election. Currently, signs are allowed 45 days before the primary election until seven days after the general election. Staff is expressing opposition because the bill has unintended consequences. Reed v. Town of Gilbert (2015) determined that municipalities cannot restrict signs based on its content. That means that this bill would not be limited to campaign signs, but it would be applicable to all signs. These signs are already sources of complaints from residents.

HB 2028 was referred to the Senate Judiciary on March 12, 2020.

• HB 2032: Civil Forfeiture; Criminal Conviction (Rep. Fillmore; Apache Junction) The bill makes various changes to statute relating to forfeiture. At a judicial forfeiture proceeding it is presumed that the claimant's interest in the property is exempt from forfeiture and the burden of establishing that the claimant's property should be forfeited is on the state, instead of on the claimant. The bill repeals statute governing uncontested civil forfeitures. In addition, the bill adds that if property is seized through forfeiture, the defendant or any other person who has an ownership interest in the property may request a pretrial hearing to determine the validity of the seizure, the validity of the claimant's alleged interest in the seized property and whether the court should grant a writ of replevin or another remedy. The court will also be required to grant the claimant's motion for replevin if the court finds that any of a list of specified circumstances applies. Following a person's conviction for a criminal offense that provides for forfeiture, the court is permitted to order the person to forfeit property that was acquired through the commission of the offense, property that is directly traceable to property acquired through the commission of the offense, and any instrumentality the person used in the commission of the offense. If a conviction is not possible due to the person's death, incompetence or not being within the jurisdiction of the court, the property or interest in the property may be forfeited without a conviction. The bill does not prevent the property from being forfeited by plea agreement. The bill also modifies the definition of "racketeering" to mean only criminal acts that result in a conviction and that meet other aspects of the definition, instead of any act that is chargeable or indictable.

Staff is expressing concerns to the bill because it negatively alters the purpose of allowing civil forfeiture of crime-related property.

HB 2032 was referred to the House Judiciary Committee on Jan. 13, 2020.

• HB 2089: Schools; Safety; Threat Assessment Teams (Rep. Kavanagh; Fountain Hills) The bill requires the superintendent of each school district to establish a threat assessment team and adopt associated policies and procedures. The policies must include procedures for assessing individuals whose behavior may pose a threat to the safety of school staff and/or students. The policies must also include interventions and referral processes. The bill requires the threat assessment team include persons with expertise in counseling, instruction, school administration and law enforcement. Threat assessment teams are required to provide guidance to students and school staff on recognizing behavior that may threaten the community, the school or self. After a threat assessment team determines that an individual poses a threat of violence to self or others or exhibits significantly disruptive behavior or a need for assistance, the law enforcement officer on the team is permitted to request any case information relating to an individual and to conduct a check of the individual's criminal history. Each threat assessment team is required to collect and semiannually report to the Superintendent of Public Instruction and the Arizona Counter Terrorism Information Center in the Department of Public Safety on its activities using a form provided by the Center.

Staff is expressing concerns to the bill as it is an unfunded mandate. The bill requires that a police officer staff the threat assessment team which could impact the availability of an officer.

HB 2089 was referred to the Senate Education Committee on March 2, 2020.

• HB 2114: Law Enforcement Officers; Database; Rules (Rep. Allen; Scottsdale) As amended, the bill prohibits a prosecuting agency from placing a law enforcement officer's name in a "rule 15.1 database" unless the officer is given at least 10 days prior written notice. The bill states that the written notice must include information on the right to appeal the allegations and placement. The bill also requires prosecuting agencies that maintain rule 15.1 databases to adopt a policy that includes specified provisions. The bill states that a law enforcement agency is not restricted in using the underlying facts that were the basis for placing the officer's name in the database for taking a disciplinary action against the officer in accordance with the agency's adopted procedures and governing laws. The amendment deleted the following employment actions that a law enforcement agency cannot use the placement of an officer's name in a database as the sole reason for taking or denying that employment action against the officer: 1) Promotion; 2) Transfers denied or restricted; and 3) Forced transfers. With the amendment staff is still expressing concerns with the bill as it continues to impinge on the City’s authority to manage its workplace.

HB 2114 was referred to the Senate Transportation and Public Safety Committee on March 9, 2020.

• HB 2149: Forfeiture; Criminal Conviction; Property Rights (Rep. Thorpe; Flagstaff) The bill makes numerous changes to statutes related to forfeiture. The bill changes the definition of "racketeering" to limit the offenses to criminal acts that result in a conviction, instead of acts that are chargeable or indictable. Following a person's conviction for a criminal offense that provides for forfeiture, the court is authorized to order the person to forfeit property acquired through the commission of the offense, property that is directly traceable to property acquired through the commission of the offense, and any instrumentality the person used in the commission of the offense. The bill exempts some property from forfeiture including homesteaded real property, vehicles with a value of less than $2,500, and U.S. currency totaling $500 or less. The bill does not prevent property from being forfeited by plea agreement. It adds forfeiture proceedings to the list of circumstances under which a public defender is required to defend any person who is entitled to counsel and who is not financially able to employ counsel. The bill limits law enforcement from requesting or requiring a person to execute a document waiving rights to contest forfeiture. The bill repeals statute governing uncontested forfeiture and if property is seized, the defendant or any other person with an ownership interest in the property is authorized to request a pretrial hearing to determine the validity of the seizure. The bill allows a claimant to petition the court to determine whether a forfeiture is excessive, and whether the forfeiture is disproportional to the seriousness of the offense are listed.

Like HB 2032, staff is expressing concerns to the bill because it negatively alters the purpose of allowing civil forfeiture of crime-related property.

HB 2149 was referred to the House Judiciary Committee on Jan. 21, 2020.

• HB 2313: Fire Sprinklers; Existing Buildings; Prohibition (Rep. Grantham; Gilbert) The bill prohibits a municipality from adopting a code or ordinance that requires a person or entity to install fire sprinklers in an existing building that was not required to have fire sprinklers when the building was originally constructed. The bill also prohibits the municipality from imposing any fine, penalty or other requirement on a person or entity for choosing not to install or equip fire sprinklers in such a building. The bill would allow municipalities to require the installation of fire sprinklers in an existing building if the owner undertakes a "major renovation or remodel" (defined).

Staff is expressing opposition to this bill as it is written very broad, and it would have negative implications on Phoenix’s ability to manage fire life safety in the City.

HB 2313 was referred to the Senate Government Committee on March 2, 2020.

• HB 2343: Early Voting; Identification Required (Rep. Fillmore; Apache Junction) The bill makes an officer in charge of an election require any voter or voter's agent who submits an early ballot in an affidavit envelope at any polling place, early voting location or voting center, to sign an early ballot delivery log and print the name of the person delivering the early ballot and require identification that matches the name provided. Identification requirements are specified. Staff is expressing concerns as the bill would be burdensome to the City’s election process.

HB 2343 was retained on the House Committee of the Whole Calendar on Feb. 26, 2020.

• HB 2348: Municipal TPT; Residential Rentals (Rep. Chavez; Phoenix) The bill prohibits municipalities from imposing or increasing transaction privilege taxes on renting residential property unless the new or increased rate of tax is approved by the voters at a regular, municipal election and is not more than five percent. Staff is expressing opposition to this bill as it prohibits the city from increasing the residential rental tax above five percent. The concern is the precedent it creates of setting taxation caps in statute as opposed to leaving that authority at the local level.

HB 2348 passed the House Ways and Means Committee on Jan. 29, 2020.

• HB 2389: Public Nuisance; Noise; Evidence (Rep. Townsend; Mesa) The bill requires a peace officer, when issuing a noise related nuisance violation, to include an accurate recording and measurement of the noise. Measurement standards are specified. Applies to all cases in which the defendant did not plead guilty or no contest and that, as of the effective date of this legislation, have not been submitted to the fact finder to render a verdict. This bill contains an emergency clause. Staff is expressing concerns as the bill would put an undue burden on the Police Department and require the purchase of noise measuring devices.

HB 2389 passed the Senate Judiciary Committee on March 12, 2020.

• HB 2404: TPT; Prime Contracting; Exemptions; Certificates (Rep. Cobb; Kingman) The bill makes various changes to statutes relating to transaction privilege taxes (TPT) for prime contracting. Modifies the definitions of "modification" and "alteration" for the purpose of computing the tax base for the prime contracting classification of TPT. A certificate that a contractor provides to a person stating that the contractor is liable for any amount of transaction privilege taxes due is valid for a period of up to one year. After the certificate expires, the contractor is allowed to execute and provide to the person a new certificate. The Department of Revenue is required to prescribe a form for a certificate to be used by a prime contractor that is subject to TPT for purchasing tangible personal property, the purchase price of which was excluded from the tax base under the retail classification of TPT. The prime contractor is required to obtain the certificate from the Department, and the certificate is valid for up to one year. After the certificate expires, the contractor is allowed to obtain a new certificate. Staff is expressing opposition to this bill due to the potential fiscal impact. Under current law, Maintenance, Repair and/or Replacement (MRR) are not taxable in the contracting classification. Alteration can either fall as exempt service or contracting if it meets certain standards. The proposal removes this requirement, instead “alteration” becomes contracting only when it increases existing square footage of the property. This change will ultimately result in a negative fiscal impact.

HB 2404 passed the House Rules Committee on Feb. 17, 2020.

• HB 2469: Law Enforcement Officers; Additional Benefits (Rep. Payne; Peoria) The bill extends the workers' compensation death benefits received by a spouse of a law enforcement officer killed in the line of duty. It will allow the surviving spouse to receive the benefit until the surviving spouse's death regardless of whether the surviving spouse remarries. If the surviving spouse remarries they will still be entitled to health insurance premium payments and family coverage is required to include coverage for the additional new family members. In addition to any other death benefits, a surviving spouse, or a dependent if there is not a surviving spouse, of a deceased member of the Public Safety Personnel Retirement System (PSPRS) or Corrections Officer Retirement Plan (CORP) must receive payment for all of the deceased member's unused sick leave. If a PSPRS or CORP member is receiving an accidental or catastrophic or total and permanent disability pension, the retired

member's employer is required to continue to pay the employer portion of the health care benefits that was being paid by the employer on the date that the member's disability pension commenced until the retired member is eligible for Medicare. Staff is expressing opposition to the bill as it could have a negative fiscal impact on the City.


• HB 2499: Eminent Domain; Existing Contracts (Rep. Weninger; Chandler) The bill makes municipalities assume all existing assets and contractual liabilities associated with a property if acquired through eminent domain. As amended in Committee of the Whole, language clarifies if a municipality exercises the right of eminent domain to acquire a public utility business or enterprise, the municipality assumes all existing assets and contractual obligations, rather than the liabilities, associated with providing current and future utility service in the certificate of convenience or necessity that is being condemned unless all parties to the contractual obligations agree otherwise. Additionally, the amendment added that if the utility being condemned enters into a contract in bad faith and for the purpose of impeding condemnation, within 60 days of receiving the offer to purchase the property, the contract is void. Staff continues to have concerns to the bill as it could force the City to take on unnecessary assets.

HB 2499 passed the Senate Commerce Committee on March 5, 2020.

• HB 2686/SB 1222: Building Permits; Utilities; Restrictions; Prohibitions (Rep. Bowers; Mesa and Sen. Fann; Prescott) The bill prohibits a county or municipality from denying a permit application based on the utility provider proposed to serve the project. It also requires a county or municipality issuing a building permit to ensure that all applicable permits and fees contain requirements and amounts that do not exceed the requirements and amounts for use of other utility providers and do not restrict a permit applicant's ability to use the services of a utility provider that is authorized to provide service. Furthermore, any code, ordinance, land use regulation or general or specific plan provision adopted by a county or municipality is required to preserve a person's or entity's ability to use the services of a utility provider that is authorized to provide service. Finally, the bill prohibits counties and municipalities from imposing a fine, penalty or other requirement that has the effect of restricting a utility provider's authority to operate or serve customers.

Staff is opposing the bill as it is a preemption and it would preclude the City from denying a building permit application based on the utility provider who is proposed to serve the project and requires all permit fees to be uniform. Furthermore, the bill does not define “utility provider” and the broad language could inadvertently impact water and/or wastewater permitting.

HB 2686 passed the Senate and was signed by the Governor on Feb. 21, 2020. SB 1222 passed the Senate Committee of the Whole on Feb. 13, 2020.

• HB 2817: Airport Fees Prohibited; Ride Sharing (Rep. Grantham; Gilbert) The bill prohibits public airports operators and public bodies operating a public airport from imposing a tax, fee or assessment of any kind on transportation network companies for operating at the public airport. The bill would be retroactive to Jan. 1, 2018.

Staff is expressing opposition to this bill as it would prohibit the City from imposing any fees on transportation network companies operating at the airport.


• HB 2818: Adjudication; Subflow Wells; Claim; Priority (Rep. Griffin; Hereford) The bill allows someone to apply for a right to withdraw appropriable surface water for beneficial use from a well within a watershed's subflow zone if certain criteria are met and that person files a new or amended statement of claim. Staff is expressing concerns to HB 2818. As introduced, the bill appears to create a new surface water right for well users that are currently pumping subflow (surface water) without a right to do so. The legislation would direct that the priority date for these new rights would be the date of first use (not of application). Because this change impacts the priority of existing water rights it constitutes a taking without due process. This would have a significant impact on a diverse group of older surface water diverters (mining, industrial, municipal and agriculture) and impact foundational water rights which have been relied upon for over 100 years.

HB 2818 failed to pass the House with a vote of 29-31 on Feb. 27, 2020.

• HB 2827: Elections; Tabulation Review; Referral; Logs (Rep. Finchem; Oro Valley) The bill instructs the county recorder or other officer in charge of elections to conduct a hand count if certain conditions apply. Specifically, if the number of ballots cast in any precinct exceed the number of registered voters in the precinct on the 29th day preceding the election. Staff is expressing concerns as the bill is vague and would be burdensome to the City’s election process.

HB 2827 was scheduled to be heard Senate Judiciary Committee on March 19, 2020.

• HB 2830: Traffic Stops; Police Cars; Uniforms (Rep. Grantham; Gilbert) The bill states that for the routine enforcement of traffic laws in Arizona, a law enforcement agency is required to use a vehicle that is appropriately marked to show that it is an official law enforcement vehicle, with the exception that a law enforcement agency may use a specially marked law enforcement vehicle if its use

will contribute to the safety of the traveling public. The number of specially marked law enforcement vehicles that an agency uses to enforce traffic laws cannot exceed ten percent of the total number of law enforcement vehicles used to enforce traffic laws. A law enforcement officer who operates a law enforcement vehicle for the purpose of making traffic stops and enforcing traffic laws is required to be dressed in an official law enforcement uniform. Staff is expressing opposition to the bill as it seeks to circumvent local control of law enforcement.

HB 2830 passed the House Committee of the Whole on March 2, 2020.

• HB 2841: Municipal Zoning; Housing Overlay (Rep. Kern; Glendale) As amended, the bill requires municipalities, by July 1, 2021 to adopt an ordinance to create a housing affordability zoning overlay district zoning or at least 30 percent of all vacant land to be zoned for single family housing. The housing affordability zoning overlay district may allow a subdivider to construct a qualifying development of up to 15 dwelling units per acre for sale. Within the housing affordability zoning overlay district, a municipality is prohibited from denying a building permit or approval that is required as a condition of development or construction for failure to comply with and may not enforce any code, ordinance, or any other legal requirement relating to "dwelling design elements" (defined) or the location and size of open space with some exceptions. The amendment increases the amount of time for approving or denying a building permit from 90 days to 120 days. Furthermore, the bill allows a municipality to withhold a certificate of occupancy or final approval for failure to comply with any object health or safety requirement. Lastly, the amendment specifies District requirements do not create any new statutory authority to regulate residential subdivision development or the design or construction of residential dwellings. Staff is opposing the bill as it would preempt the City from making its own decisions related to planning and development.


• HB 2843: Sober Living Homes; Fees; Penalties (Rep. Kern; Glendale) The bill increases the period of time for sober living homes licensure from one to three years. The bill caps the fee for initial licensure and license renewal at $500. The bill prohibits the Department of Health Services from charging a fee on a per bed basis. The bill also removes various penalties for violations of sober living home licensure requirement. Staff is expressing opposition as it jeopardizes the viability of the sober living licensing program which was the result of four years of legislative and stakeholder efforts.

HB 2843 was retained on the House Committee of the Whole Calendar on March 2, 2020.

• SB 1019: Prohibition; Regulation; Industrial Hemp Sites (Sen. Borrelli; Lake Havasu) The bill prohibits counties and municipalities from imposing any regulation or restriction on an industrial hemp site. Staff is opposing the bill as it would preempt the City from regulating industrial hemp sites. The bill would preempt the City’s ability to establish licensing for these sites.

SB 1019 passed the Senate with a vote of 20-10 on March 9, 2020.

• SB 1124: Commerce Authority; Data Center Equipment (Sen. Mesnard; Chandler) The bill, for the purpose of tax relief for the owner or operator of a computer data center that is certified by the Arizona Commerce Authority, changes the definition of "computer data center equipment" to include all "software" instead of all "enabling software." There is a legislative intent section and it states that this is intended as clarifying legislation. The bill would be retroactive to Sept. 13, 2013. The bill states that any claim for a refund of transaction privilege or use taxes based on the retroactive application of this legislation must be submitted to the Department of Revenue by Dec. 31, 2020. The aggregated amount of refunds cannot exceed $10,000, and interest is not allowed or compounded on any refundable number of claims if paid before July 1, 2020. A refund claim that is filed before Jan. 1, 2020 or that is not connected to this legislation is not subject to the $10,000 aggregate refund amount. This bill has a severability clause. Staff is expressing opposition to the bill as the new definition of software and the retroactivity would have a negative fiscal impact to the City.

SB 1124 was referred to the Senate Finance Committee on Jan. 14, 2020.

• SB 1305: Personal Delivery Devices (Sen. Livingston; Peoria) The bill establishes a new article in Title 28 (Transportation) regulating and defining "personal delivery devices.” The bill states a person may operate a personal delivery device only if the person is a business entity and a human who is an agent is capable of monitoring or exercising physical control over the navigation and operation of the device. When a personal delivery device operated by a business entity is engaged, the business entity is the operator of the personal delivery device solely for the purpose of assessing compliance with applicable traffic laws. The bill also establishes requirements for personal delivery devices, including operating in a manner that complies with traffic laws that apply to pedestrians and yielding to or not obstructing the right-of-way of all other traffic, including pedestrians. Also, a personal delivery device may be operated at speeds up to 12 miles per hour in a pedestrian area, and up to speeds of 20 miles per hour on the side or shoulder of a highway in an area that is not a pedestrian area. Local authorities are authorized to establish a lower maximum speed in a pedestrian area in specified circumstances, but the maximum speed cannot be less than 7 miles per hour. The bill establishes personal delivery device equipment requirements, including a braking system and lights for nighttime operation. Also, a business entity that operates a personal delivery device is required to maintain an insurance policy that includes general liability coverage of at least $100,000 for damages arising from the operation of the device. The bill

prohibits local authorities from regulating the operation of a personal delivery device in a manner inconsistent with this legislation. The bill would be effective as of Sept. 1, 2020. Staff is opposing the bill as it would limit the City’s ability to set adequate insurance levels. The bill sets the minimum insurance coverage at $100,000, but City practice is $1 million per occurrence, $2 million aggregate.

SB 1305 was scheduled to be heard in the House Technology Committee on March 18, 2020.

• SB 1333: Peace Officer Rights; Due Process (Sen. Livingston; Peoria) The bill makes various changes to statutes relating to disciplinary action for law enforcement officers. The bill also expands protections for law enforcement officers in administrative investigative interviews and fitness for duty examinations. Staff is expressing opposition as it could have negative impacts on internal investigations.

SB 1333 failed to pass the Senate with a vote of 12-17 on March 4, 2020.

• SB 1459: Private Attorney Retention; Municipalities; Counties (Sen. Leach; Tucson) The bill prohibits counties and municipalities from entering into a contingency fee contract with a private attorney unless the county or municipal attorney makes a written determination before entering into the contract that contingency fee representation is both cost effective and in the public interest. The bill also establishes additional requirements for county or municipal contracts for contingency fee attorney services. The requirements do not apply to any contingency fee contract in which a county or municipality hires a private attorney to pursue debt collection cases. Staff is opposing the bill as it negatively impacts Phoenix’s local control and could limit the City Council’s ability to make decisions related to legal representation.

SB 1459 was retained on the Senate Committee of the Whole Calendar on March 16, 2020.

• SB 1664: Civil Liability; Gun-Free Zones (Sen. Gowan; Sierra Vista) The bill makes a government entity that establishes a "gun-free zone" (defined) liable for any damages claimed by a person who was harmed by criminal conduct in the gun-free zone if a reasonable person would believe that possession of a firearm could have helped the person defend against the criminal conduct. The court is authorized to award treble damages to the person who was harmed if the criminal conduct is found to be a terrorist attack or the person harmed is disabled, a member of a minority group, or over 65 years of age at the time of the criminal conduct. Staff is opposing the bill as it would impede police enforcement in gun free zones and also result in greater liability on behalf of the City.

SB 1664 failed to pass the Senate with a vote of 13-16 on March 5, 2020.

• SB 1667: Fireworks; Aerial Devices (Sen. Gowan; Sierra Vista) The bill expands the definition of "permissible consumer fireworks" in a county with a population of more than 500,000 persons to include "multiple-tube aerial devices" (defined as specified mine and shell devices and multiple tube fireworks devices and pyrotechnic articles that are defined in an American Pyrotechnics Association rule, with some exclusions). Staff is opposing the bill as it negatively impacts air quality and increases the likelihood of moving the region into EPA non-attainment for PM2.5 (Particulate Matter smaller than 2.5 microns).

SB 1667 failed to pass the Senate with a vote of 14-15 on Feb. 26, 2020.

Bills that staff has identified as beneficial to the City:

• HB 2053: Executive Sessions; Security Plans (Rep. Espinoza; Tolleson) The bill expands the purposes for which a public body is authorized to hold an executive session to include discussion or consultation with designated representatives of the public body in order to discuss security plans, procedures, assessments, measures or systems relating to, or having an impact on, the security or safety of buildings or facilities and information technology maintained by the public body. The bill would make records, documentation, notes, or other materials made by or provided to the representatives for these purposes confidential and exempt from public disclosure.

HB 2053 passed the House Technology Committee on Jan. 22, 2020. The bill passed the House Government Committee on Jan. 30, 2020.

• HB 2073: Appropriation; Arizona Trail Fund (Rep. Gabaldon; Green Valley) This bill appropriates $25 million from the general fund in FY2020-21 to the Arizona Trail Fund.

HB 2073 passed the Senate Appropriations Committee on March 10, 2020.

• HB 2083: Electronic Smoking Devices; Restrictions; Use (Rep. Kavanagh; Fountain Hills) The bill makes various changes to statute that prohibit smoking in all public places and places of employment in Arizona. The bill expands the definition of "smoking" to include the use of an "electronic smoking device.” The bill also modifies the list of places exempt from the prohibition on smoking in public places to include retail stores that sell electronic smoking devices exclusively that have an independent ventilation system. Due to voter protection, this legislation would require an affirmative vote of at least 3/4 of the members of each house of the Legislature.

HB 2083 has not been assigned to a committee.

• HB 2101: Appropriation; Arizona Water Protection Fund (Rep. Griffin; Hereford) This bill appropriates $1 million from the general fund in FY2020-21 to the Arizona Water Protection Fund.


• HB 2123: Appropriation; Heritage Fund (Rep. Osborne; Goodyear) This bill appropriates $10 million from the general fund in FY2020-21 to the Arizona Game and Fish Commission Heritage Fund.


• HB 2144: State Liquor Board; Membership (Rep. Kern; Glendale) The bill stipulates that one of the five members of the State Liquor Board be appointed after an association representing cities and towns forward nominations to the Governor consisting of at least three nominees for the position who are current or former elected municipal officials. Session law would allow current Board members to continue to serve until the expiration of their normal terms.

HB 2144 was scheduled on the Senate Consent Calendar on March 11, 2020.

• HB 2173: Smoking Regulation; Electronic Smoking Devices (Rep. Kavanagh; Fountain Hills) The bill expands the statute prohibiting smoking in all public places and places of employment in Arizona. The bill expands the definition of "smoking" to include marijuana and the use of an "electronic smoking device.” The bill also modifies the list of places exempt from the prohibition on smoking in public places and removes veterans and fraternal clubs when they are not open to the public and smoking as part of a theatrical performance on a stage or during a film or television production. Due to voter protection, this legislation would require an affirmative vote of at least 3/4 of the members of each house of the Legislature.

HB 2173 was referred to the House Health and Human Services Committee on Jan. 16, 2020.

• HB 2200: Appropriation; State Aviation Fund (Rep. Teller; Chinle) The bill appropriates $10 million from the general fund in FY2020-21 to the State Aviation Fund.

HB 2200 was referred to the House Appropriations Committee and the House Technology Committee on Jan. 28, 2020. The bill passed the House Technology Committee on Feb. 5, 2020.

• HB 2243: Appropriation; Gila River Bridge (Rep. Shope; Coolidge) The bill appropriates $50 million from the general fund in FY2020-21 to the Arizona Department of Transportation to widen Interstate 10 between Chandler and Casa Grande.


• HB 2394: State Aviation Fund; Purpose (Rep. Teller; Chinle) The bill requires the State Transportation Board to distribute monies from the State Aviation Fund solely for the purposes of planning, design, development, acquisition of interests in land, construction and improvement of publicly owned and operated airport facilities in counties, municipalities and Indian reservations.

HB 2394 was referred to the House Transportation Committee and the House Appropriations Committee on Jan. 28, 2020. The bill passed the House Transportation Committee on Feb. 5, 2020.

• HB 2418: Strike Everything: Technical Correction; Mental Illness; Evaluation Orders for Evaluation; Process Servers (Rep. Barto; Phoenix) A strike everything amendment will be adopted in committee that creates a new subsection which clarifies that peace officers are not required to be utilized for the service of process when no individual is to be taken into custody.

HB 2418 was referred to the Senate Government Committee on March 10, 2020.

• HB 2457: Historic Preservation Officer; State Museum (Rep. Griffin; Hereford) The bill requires the Arizona Board of Regents to consult with the State Historic Preservation Officer regarding the management of the State Museum.

HB 2457 was referred to the Senate Higher Education and Workforce Development Committee on March 2, 2020.

• HB 2485: Parked Vehicles Blocking Sidewalk; Prohibition (Rep. Carroll; Sun City West) The bill prohibits a person from stopping, standing or parking a vehicle on a sidewalk. This includes stopping, standing, or parking a vehicle in any way that blocks an area of a sidewalk and impedes continuous pedestrian use of the sidewalk in a manner that is not consistent with the Americans with Disabilities Act. A person who stops, stands or parks a vehicle on a sidewalk is subject to a civil penalty of at least $500.

HB 2485 was referred to the Senate Transportation and Public Safety Committee on March 9, 2020.

• HB 2493: Community Facilities Districts (Rep. Toma; Peoria) The bill makes various changes to statute relating to community facilities districts. If a district sells general obligation bonds above par, the amount of "net premium" (defined) associated with a general obligation bond issue may only be used to pay costs incurred in issuing the bonds or as a deposit in a debt service fund and used only to pay interest on the issue of general obligation bonds. If the bond is used for any other purpose, and if the district has general obligation bond voter authorization and available capacity under its debt limitations, both the available aggregate

indebtedness capacity of the district and the principal amount authorized at the general obligation bond election for the district must be reduced by the amount of net premium used for that purpose. For districts that are formed after Aug. 9, 2017 and before the effective date of this legislation and for which the district board consists of the governing body of the municipality or county with two additional district board members who were initially designated by an owner who owned the largest amount of privately-owned acreage in the district at formation, at any time after receipt of a petition signed by the owners of a majority of the privately-owned real property within the boundaries of the district as measured by square footage or acreage, the district board is authorized to adopt a resolution to permanently remove the two additional appointed district board members and their positions on the board. The bill was amended in Committee of the Whole to allow a district board to adopt two additional non-voting advisory board member positions who are initially designated by the owner who owns the largest amount of privately-owned acreage following adoption of the resolution. The bill states that the annual levy of tax by a district shall not exceed the net amount necessary to meet annual payments of principal and interest on new debt planned for the ensuing year, a reasonable delinquency factor, including an amount necessary to correct prior year errors or shortages in the levy. Furthermore, the amendment states that the levy shall be the net of all cash in excess of 10 percent of the annual payments of principal, premium, if any, and interest in the current fiscal year from the previous year remaining in the fund or funds.

HB 2493 was scheduled to be heard in the Senate Finance Committee on March 18, 2020.

• HB 2497: Lawn Equipment Emissions Reduction Program (Rep. Dunn; Yuma) The bill expands the county run voluntary lawn and garden equipment emissions reduction program. Currently, both commercial and residential mowers can be turned into the county for a voucher. The voucher may only be used toward a purchase of an electric mower. This bill increases the voucher amount for commercial lawn mowers to $200 and allows for all vouchers be used for manual reel lawn mowers.

HB 2497 passed the Senate Natural Resources and Energy Committee on March 11, 2020.

• HB 2551: Appropriation; State Parks; Heritage Fund (Rep. Osborne; Goodyear) The bill appropriates $10 million from the general fund in FY2020-21 to the Arizona State Parks Heritage Fund.

HB 2551 was referred to the Senate Appropriations Committee on March 2, 2020.

• HB 2595/HB 2770: Strike Everything: G&F; Nighttime Outdoor Shooting Ranges Water Rights; General Adjudications; Funding (Rep. Griffin; Hereford and Rep. Campbell; Prescott)

This bill creates the General Adjudication Personnel and Support Fund (Fund) and appropriates monies to this fund for the Arizona Supreme Court (Court) and the Arizona Department of Water Resources (ADWR) to use in the general stream adjudications.

HB 2595 was retained on the House Committee of the Whole Calendar on Feb. 26, 2020. HB 2770 was referred to the House Appropriations Committee and House Natural Resources, Energy, and Water Committee on Feb. 6, 2020.

• HB 2732: Tax Credit; Affordable Housing (Rep. Wenninger; Chandler) The bill establishes a credit against individual and corporate income taxes and insurance premium taxes for projects that qualify for the federal low-income housing tax credit and that are placed in service from and after June 30, 2021. The credit is equal to the amount of the federal low-income housing credit for the qualified project. To claim the credit, a taxpayer is required to apply to the Arizona Department of Housing and receive an eligibility statement. If the amount of the credit exceeds taxes due, the taxpayer may carry the unused amount forward for up to five consecutive taxable years. The Arizona Department of Revenue is required to allocate a total of $8 million of affordable housing tax credits in any calendar year. The bill also establishes a 9-member Affordable Housing Tax Credit Review Committee to review the tax credits on the fifth year after the effective date of the credit and every five years thereafter and submit a report to the Governor and the Legislature. The bill has an effective date of Jan. 1, 2021.


• SB 1042: Executive Sessions; Security Plans (Sen. Borrelli; Lake Havasu) The bill expands the purposes for which a public body is authorized to hold an executive session to include discussion or consultation with designated representatives of the public body in order to discuss security plans, procedures, assessments, measures or systems relating to, or having an impact on, the security or safety of buildings or facilities and information technology maintained by the public body. The bill makes records, documentation, notes, or other materials made by or provided to the representatives for these purposes confidential and exempt from public disclosure.

SB 1042 passed the House Government Committee on March 12, 2020.

• SB 1051: DHS Continuation; Public Health Emergency (Senator Brophy McGee; Phoenix) The bill continues the Arizona Department of Health Services (DHS) for eight years and appropriates up to $55,000,000 in FY 2020 from the Budget Stabilization Fund to the Public Health Emergencies Fund to pay for public health response expenses related to the coronavirus disease of 2019 (COVID-19). The bill specifies that these monies must be used to pay the expenses of public health emergency responses of this state. Before spending these monies, the Director of the Arizona Department of Health Services must notify the Joint Legislative Budget Committee of the intended

use of the monies. The bill contains an emergency measure which make it effective upon the signature of the Governor.

SB 1051 was signed by the Governor on March 12, 2020.

• SB 1089: Public Records Requests; Contact Information (Sen. Leach; Tucson) The bill prohibits custodians of public records from disclosing public records unless the requesting person has furnished the person’s name, telephone number, and email address, if any, to the public body.

SB 1089 passed the House Government Committee on March 12, 2020.

• SB 1153: Appropriation; Gila River Bridge (Sen. Livingston; Peoria) The bill appropriates $28 million from the general fund in FY2020-21 to the Arizona Department of Transportation to replace the Gila River bridge.

SB 1153 passed the House Transportation Committee on March 11, 2020.

• SB 1154: Appropriation; Queen Creek Road Interchange (Sen. Livingston; Peoria) The bill appropriates $15 million from the general fund in FY2020-21 to the Arizona Department of Transportation for the state's share of the cost to alter the Queen Creek Road interchange to a diverging diamond interchange.


• SB 1155: Appropriation; Salt River Bridge (Sen. Livingston; Peoria) The bill appropriates $30 million from the general fund in FY2020-21 to the Arizona Department of Transportation to widen and improve the Interstate 10 Salt River bridge and mainline. The Department is permitted to spend the monies only if the Department determines that the federal government and entities other than the federal government or the state will pay at least 50 percent of the total cost of the project.


• SB 1157: Appropriation; State Route 101 (Sen. Livingston; Peoria) The bill appropriates $40 million from the general fund in FY2020-21 to the Arizona Department of Transportation to widen State Route 101 from 75th Avenue to Interstate 17. The Department is permitted to spend the monies only if the Department determines that the federal government and entities other than the federal government or the state will pay at least 50 percent of the total cost of the project.


• SB 1158: Widening; Interstate 17 (Sen. Livingston; Peoria) The bill appropriates $37.6 million from the general fund in FY2020-21 to the Arizona Department of Transportation to widen Interstate 17 from three lanes to four lanes in each direction from State Route 74 to New River. The Department is permitted to spend the monies only if the Department determines that the federal government will pay at least 50 percent of the total cost of the project and an entity other than the federal government or the state will pay at least 10 percent of the total cost of the project.


• SB 1159: Appropriation; Wild Horse Pass Interchange (Sen. Livingston; Peoria) The bill appropriates $15 million from the general fund in FY2020-21 to the Arizona Department of Transportation for the state's share of the cost to alter the Wild Horse Pass interchange to a diverging diamond interchange.

SB 1159 was referred to the Senate Transportation and Public Safety Committee and Senate Appropriations Committee on Jan. 21, 2020. The bill passed the Senate Transportation and Public Safety Committee on Jan. 22, 2020.

• SB 1160: Firefighters; Cancers; Presumption; Workers' Compensation (Sen. Carter; Cave Creek) The bill expands the list of diseases or impairment of a firefighter's health that are presumed to be an occupational disease for the purpose of workers' compensation to include ovarian and breast cancer. The bill deletes certain previous requirements for the presumptions to be granted. The presumptions will apply to all firefighters or peace officers who are currently in service. The presumption will also be conclusive and irrebuttable if the statutory requirements are met. Previously, the presumption could be rebutted by a preponderance of evidence that there was a specific cause of the cancer other than an occupational exposure.

SB 1160 passed the Senate with a vote of 25-4 on Feb. 12, 2020.

• SB 1161: Cancers; Presumption; Workers' Compensation (Sen. Boyer; Glendale) The bill expands the list of diseases or impairment of a firefighter's health that are presumed to be an occupational disease for the purpose of workers' compensation to include any cancer. It also deletes certain previous requirements for the presumptions to be granted. The presumptions will apply to all firefighters or peace officers who are currently in service. The presumption will also be conclusive and irrebuttable if the statutory requirements are met. Previously, the presumption could be rebutted by a preponderance of the evidence that there was a specific cause of the cancer other than an occupational exposure.

SB 1161 was referred to the Senate Higher Education and Workforce Development Committee and Senate Appropriations Committee on Jan. 21, 2020.

• SB 1280: Pensions; Unfunded Liability; Expenditure Limits (Sen. Mesnard; Chandler) The bill requires counties and municipalities to consider unfunded accrued liability under the Arizona State Retirement System, Elected Officials' Retirement Plan, Public Safety Personnel Retirement System, and Corrections Officer Retirement Plan as a long-term obligation requiring a contract to define “local revenues.” This definition will be used to calculate the local government expenditure limitation in the State Constitution.

SB 1280 passed the Senate Finance Committee on Jan. 29, 2020.

• SB 1283: Appropriation; Emergency Shelter Beds; Seniors (Sen. Livingston; Peoria) The bill appropriates $5 million from the general fund in FY2020-21 to the Department of Economic Security for emergency shelter beds in western Maricopa County to shelter and serve homeless seniors who are at least 55 years of age. The Department is required to distribute the monies to a single Arizona nonprofit provider that meets a list of specified requirements.

SB 1283 was referred to the House Health and Human Services Committee and the House Appropriations Committee on March 9, 2020.

• SB 1301: Water Banking; Storage Credits; Subcontractors (Sen. Pratt; Casa Grande) The bill allows the Arizona Water Banking Authority to distribute long-term water storage credits to the Central Arizona Water Conservation District's (CAWCD) municipal and industrial subcontractors. Long-term water storage credits that are distributed to a CAWCD municipal and industrial subcontractor cannot be sold, and the subcontractor is responsible for all fees assessed by the Authority or the Department of Water Resources. The assessments include the distribution of the long-term storage credits and all costs associated with the recovery of the long-term storage credits

SB 1301 was scheduled to be heard in the House Natural Resources, Energy, and Water Committee on March 17, 2020.

• SB 1309: Appropriation; 67th Avenue; Widening; Drainage (Sen. Livingston; Peoria) The bill appropriates $8.5 million from the general fund in FY2020-21 to the Arizona Department of Transportation to distribute to the City of Peoria to widen and improve drainage on 67th Avenue between Happy Valley Road and Pinnacle Peak Road.


• SB 1490: Short-Term Rental Properties; Classification (Sen. Mesnard; Chandler) The bill bifurcates the classification of rented residential property based on the length of the rental periods and the total number of days rented in a calendar year.


• SB 1554: Short-Term Rental Enforcement; Penalties (Sen. Brophy McGee; Phoenix) The bill states that if a vacation rental or short-term rental that is not a person's primary or secondary residence or is owned or operated by a corporate entity, and a majority homeowner is not on the premises of the vacation rental or short-term rental for the duration of the rental, the property cannot be rented more than one time in a 30-day period unless a county or municipality adopts an ordinance allowing the owner to rent more frequently in a 30-day period. Also, vacation rentals and short-term rentals cannot advertise to exceed the occupancy limit of the dwelling or for any nonresidential use. An online lodging operator that falsifies information to an online lodging marketplace is guilty of a petty offense. The bill also modifies other violation penalties.


• SB 1659: Racing on Highways; Assessment; Impoundment (Sen. Boyer; Glendale) The bill levies a penalty assessment of $1,000 on every fine, penalty and forfeiture imposed and collected by the courts for a violation of racing on highways. The assessments are deposited in the newly established Drag Racing Prevention Enforcement Fund. The fund is to be used to prevent racing on streets and highways in Arizona. Also, a peace officer is required to cause the removal by immobilization or impoundment of a vehicle if the peace officer determines that a person is driving a vehicle in violation of reckless driving or racing on highways. The bill has an emergency clause.

SB 1659 passed the Senate Transportation and Public Safety Committee on Feb. 12, 2020.

• SCR 1042: Short-Term Rentals; Vacation Rentals (Sen. Brophy McGee; Phoenix) The 2020 general election ballot is to carry the question of whether state statute should be amended to change the regulation of short term/vacation rentals.

SCR 1042 was referred to the Senate Commerce Committee on Feb. 4, 2020.

Bills staff are monitoring:

• HB 2055: Civil Traffic Violations; Community Restitution (Rep. Biasiucci; Lake Havasu) As amended in committee, the bill allows a person who violates traffic and vehicle regulation statutes to perform court-approved community restitution in lieu of paying a civil penalty, surcharge, assessment or fee.

The amendment removed the prohibition on the court from assessing the time payment fee, which is currently set elsewhere in statute and is $20 on civil traffic violations. With the amendment staff is no longer expressing concerns with the bill.

HB 2055 was held in the Senate Judiciary Committee on March 5, 2020.

• HB 2127: Municipal Public Libraries; Annual Report (Rep. Thorpe; Flagstaff) The bill changes when the trustees of a municipal public library make their report to the municipal governing body from the second Monday of July of each year to the first Monday of July of each year.

HB 2127 was held in the House Government Committee on Jan. 23, 2020.

• HB 2137: Polling Places; Law Enforcement Officers (Rep. Lawrence; Scottsdale) The bill requires the county recorder or other officer in charge of elections to provide for a law enforcement officer to be posted at or inside each polling place or other voting location for the primary and general elections.


• HB 2303: Mandatory Vehicle Impoundment; Exception (Rep. Kern; Glendale) The bill expands the list of reasons for which a peace officer is required to cause the removal and immobilization or impoundment of a vehicle including if the peace officer determines that the person's driving privilege is suspended for any reason except for failure to pay a civil penalty or failure to appear as directed for a scheduled court appearance. The bill also specifies that peace officer who needs to be immediately present at an "emergency" (defined) is not required to immobilize or impound a vehicle if the location of the emergency is different than the location of the vehicle.


• HB 2359: License Denial Prohibited; Drug Convictions (Rep. Toma; Peoria) The bill prohibits State agencies from denying a regular or provisional "occupational license" (defined) to an otherwise qualified applicant who has been convicted of a drug offense.

HB 2359 passed the Senate Rules Committee on March 17, 2020.

• HB 2371: Appropriations; DNA Analysis Instruments (Rep. Finchem; Oro Valley) The bill makes a supplemental appropriation of $1.2 million and three full time employee positions from the general fund in FY2020-21 to the Department of Public Safety to purchase and deploy four DNA analysis instruments throughout Arizona, and to train a county sheriff's personnel on the use of the instruments upon request. The Director of the Department is required to report information on DNA analyses

performed to specified legislative committees on Oct. 15, 2020, Jan. 15, 2021, April 15, 2021 and July 15, 2021.

HB 2371 was scheduled to be heard in the Senate Appropriations Committee on March 17, 2020.

• HB 2399: Unmanned Aircraft Operation; Public Venues (Rep. Finchem; Oro Valley) The bill prohibits the operation or use of an unmanned aircraft or unmanned aircraft system intentionally photographing or loitering over or near a "critical facility" in the furtherance of any criminal offense. This prohibition does not apply to a person who receives prior written permission from the critical facility owner or operator to use or operate an unmanned aircraft or unmanned aircraft system. It is a class 6 (lowest) felony for a person to operate or use an unmanned aircraft or unmanned aircraft system in the commission of any criminal offense.

HB 2399 was referred to the Senate Judiciary Committee on Feb. 27, 2020.

• HB 2472: Workers’ Compensation; Heart-Related Cases; Presumption (Rep. Payne; Peoria) The bill adds heart-related, perivascular or pulmonary injury, illness or death of a firefighter as an occupational disease for the purpose of workers' compensation. It allows the presumption under specified circumstances if there is no evidence that exposure to tobacco products is a substantial contributing cause. Previously, the presumption could be rebutted by a preponderance of the evidence that there was a specific cause of the illness or death other than the employment.


• HB 2598: Sanctuary Jurisdiction; Liability; Civil Action (Rep. Roberts; Maricopa) The bill stipulates that State officials and agencies, counties, municipalities, and other political subdivisions, including law enforcement officers, will be required to comply with a valid immigration detainer of the federal government or an authorized agent of the federal government. The bill lays out civil penalties for an official, an agency, or a law enforcement officer that intentionally or knowingly fails to comply with a valid immigration detainer that is issued for a person who is detained or incarcerated by the official, agency or law enforcement officer is subject to. If the Attorney General or county attorney finds cause to believe that an entity is violating this requirement, the Attorney General or county attorney is required to commence an action in superior court. An individual, or the spouse, parent or child of the individual if the individual is deceased or permanently incapacitated, is authorized to bring an action for damages against a "sanctuary jurisdiction" (defined) if the individual is the victim of a felony, an "alien" (defined) was arrested, convicted and sentenced to a term of imprisonment for at least one year for the felony, and within 10 years before the offense occurred, the jurisdiction intentionally or knowingly failed to either comply with a detainer for, or notify about the release of, the alien or contact the federal government to determine the immigration status of the alien if required by statute. If a sanctuary jurisdiction is found responsible, the clerk of the

court is required to notify the State Treasurer of the judgment, and the State Treasurer is required to prepare an itemized claim against the sanctuary jurisdiction for the alien's incarceration costs.


• HB 2636: Electronic Smoking Devices; Retail Licensing (Rep. Blackman; Snowflake) The bill expands the definition of "tobacco products" to include any product containing, made of or derived from tobacco or nicotine and that is intended for human consumption, and an "electronic smoking device" (defined) and any substance that may be aerosolized or vaporized by the device, whether or not it contains nicotine, and any component, part, or accessory that is used in the consumption of these products. Prior to distributing any tobacco product, a retail tobacco vendor or the vendor's representative or employee is required to verify that the purchaser is at least the minimum age of sale for tobacco products as set by the Federal Food, Drug, and Cosmetic Act. The bill establishes civil penalties for violations and requires the Department of Health Services (DHS) to conduct at least two unannounced compliance checks on a retail tobacco vendor annually. Beginning Jan. 1, 2022, a retail tobacco vendor is prohibited from distributing tobacco products in Arizona without a valid tobacco retail sales license from DHS. DHS will be required to establish fees for licenses. The bill specifies licensing requirements. Licenses will not be transferable and are valid for two years. The bill also establishes civil penalties for selling tobacco products without a license.


• HB 2637: Smoking Devices; Tobacco Products; Definitions (Rep. Blackman; Snowflake) The bill, for the purposes of the statutes prohibiting the furnishing of tobacco products to minors and statutes regulating tobacco sales, expands the definition of "tobacco products" to include any product containing, made of or derived from tobacco or nicotine that is intended for human consumption, and to include an "electronic smoking device" (defined) and any substance that may be aerosolized or vaporized by the device, whether or not it contains nicotine, and any component, part, or accessory that is used in the consumption of these products.


• HB 2672: Water Rights (Rep. Griffin; Hereford) The bill prohibits a person, the state, or its political subdivisions, with a better right to appropriate water from preventing the exercise of a junior water right unless doing so would produce water for beneficial use for the better right holder.

HB 2672 was referred to the Senate Water and Agriculture Committee on March 2, 2020.

• HB 2674: Water; Substitute Acreage (Rep. Griffin; Hereford) The bill allows someone to permanently retire acreage from irrigation and substitute the same amount of acreage if those retired lands were damaged by a flood or have a limiting condition, if the person can meet certain criteria.

HB 2674 passed the Senate Water and Agriculture Committee on March 12, 2020.

• HB 2675: Water Conservation Notice; No Abandonment (Rep. Griffin; Hereford) The bill allows a water rights holder to file a conservation plan notice that describes conservation measures that they have or will implement, and this will exempt their water rights from claims of abandonment or forfeiture for up to 40 years.

HB 2675 passed the Senate Rules Committee on March 10, 2020.

• HB 2771: Tax Credits; Qualified Facilities; Extension (Rep. Toma; Peoria) The bill extends the income tax credits for expanding or locating a "qualified facility" in Arizona by six years to Dec. 31, 2028, and the termination date for the income tax credit for investment in new renewable energy facilities is extended 10 years to Dec. 31, 2035.

HB 2771 was signed by the Governor on March 13, 2020.

• HB 2792: Incorporation; Urbanized Areas (Rep. Shope; Coolidge) The bill modifies requirements for incorporation of communities and urbanized areas. The bill also extends statutory requirements for the reduction in size or incorporation of urbanized areas until Jan. 1, 2027.

HB 2792 passed the Senate Government Committee on March 9, 2020.

• HB 2910: Public School Closures; Coronavirus Disease (Rep. Bowers; Mesa) The bill is an emergency measure relating to the statewide school closure announced on March 15, 2020 by the Governor and the Superintendent of Public Instruction in response to COVID-19. The bill provides specific guidelines for schools if the statewide closure of Arizona public schools is lifted by March 29, 2020 and guidelines if it is not lifted by March 29, 2020.

HB 2910 was transmitted to the Governor on March 23, 2020.

• SB 1116: TPT; Exemption; Public Safety Equipment (Sen. Borrelli; Lake Havasu) The bill lists exemptions from the tax base for the retail classification of transaction privilege taxes and use taxes and modifies them to include sales of public safety equipment purchased by a law enforcement agency, fire district, fire department, volunteer fire department or emergency medical services provider for public safety purposes.

SB 1116 was referred to the Senate Finance Committee and Senate Appropriations Committee on Jan. 13, 2020.

• SB 1121: Model City Tax Code; Procedures (Sen. Leach; Tucson) This bill modifies procedures for the Municipal Tax Code Commission to adopt amendments to the model city tax code. A taxpayer or the Department of Revenue must submit a proposed amendment to the Commission at least 60 days before the Commission adopts it. The Department is required to post notice of the meeting and the proposed amendment on the Department website at least 30 days prior to an informational meeting and at least 60 days prior to the hearing to adopt the amendment. If the Commission adopts an amendment, the Department is required to update the official copy of the model city tax code, and all municipalities are required to adopt the changes. Changes in rates of tax are not subject to review, but within 10 days after passage of an ordinance imposing a rate change, the municipality imposing a "new or different tax rate" (defined) is required to notify the Commission and the Department.

SB 1121 passed the House Rules Committee on March 9, 2020.

• SB 1133: Public Works; Contracts; Payment (Sen. Gray; Sun City) The bill allows a governmental entity to direct a contractor to perform changes or additional work in accordance with a construction contract. Establishes a process for a contractor or subcontractor to request payment for changed or additional work completed during a preceding calendar month in monthly pay estimates, pending a final determination of the total cost to be paid for the changed or additional work. The person designated in the construction contract to certify and approve the monthly payment estimate will make an interim determination for purposes of approval for payment of those costs. Either party may disagree with an interim determination in accordance with the terms of the contract. In any action or arbitration brought under these circumstances, the successful party must be awarded reasonable attorney fees and costs.

The bill was amended in committee and removed the definition of construction contract for public construction contracts between a government entity and contractor, which was problematic for the City.

SB 1133 was scheduled to be heard in the House Commerce Committee on Mach 17, 2020.

• SB 1329: Defined Contribution; Health Subsidy; Disability (Sen. Livingston; Peoria) The bill states that members of the Public Safety Personnel Retirement System (PSPRS) are no longer required to pay the premium for coverage in the group health and accident coverage. Also, members are no longer excluded from eligibility for benefits under the health insurance premium assistance program for members with disabilities. The accidental disability pension must be at least 50 percent of the member's average monthly benefit compensation to be eligible.

SB 1329 was scheduled to be heard in the House Government Committee on March 19, 2020.

• SB 1458: Strike Everything: Technical Correction Relating to Peer-to-Peer Car Sharing (Sen. Fann; Prescott) The bill establishes safety recall and consumer disclosure requirements for vehicles made available on a Peer-to-Peer Car Sharing Program.

SB 1458 passed the Senate Rules Committee on March 10, 2020.

• SB 1498: Workers' Compensation; Physicians; Expertise; Hearings (Sen. Boyer; Glendale) This bill permits an employee, or if the employee is deceased, the employee's estate, surviving spouse or dependent, to bring any person to any workers' compensation hearing without prior approval of the administrative law judge. The bill also prohibits the Industrial Commission from adopting any rule that in any way restricts this right. Also, a physician who performs a medical examination for workers' compensation and any other physician who testifies at an employee's workers' compensation hearing regarding the employee's condition is required to have expertise in diagnosing and treating the employee's specific injury.

SB 1498 passed the Senate Commerce Committee on Feb. 24, 2020.

• SB 1531: Strike Everything: Tech Correction; Mandatory Vehicle Insurance; Relating to ADOT; Port of Entry; Report (Sen. Livingston; Peoria) This bill restricts regular and specialty peace officers designated by the Arizona Department of Transportation (ADOT) from exercising powers outside of established areas around a port of entry.

SB 1531 passed the Senate Rules Committee on March 10, 2020.

• SB 1687: Human Services; Budget Reconciliation; 2020-2021 (Sen. Fann; Prescott) The bill requires, retroactive to March 11, 2020, that the Department of Economic Security (DES), during the federal declaration of emergency related to COVID-19 provides an exemption from prescribed Temporary Assistance for Needy Families benefits (TANF) time limitations and a general waiver from TANF work requirements. Furthermore, it permits, retroactive to March 11, 2020, the Arizona Health Care Cost Containment System (AHCCCS) to authorize payments to specified service to maintain a capacity allowing for the continuation of services during the federal declaration of public health emergency associated with COVID-19. In addition, the bill allows, retroactive to March 11, 2020, DES and AHCCCS to temporarily adjust specified provider reimbursement rates in order to provide additional funding for increased overtime expenses and staff loss experienced by service providers associated with COVID-19.

SB 1687 was transmitted to the Governor on March 23, 2020.

• SB 1689: Environment; Budget Reconciliation; 2020-2021 (Sen. Fann; Prescott) The bill appropriates $15 million from the General Fund to the Water Quality Assurance Revolving Fund (WQARF) in FY 2021. Authorizes the Arizona Water

Protection Fund Commission to grant up to $336,000 of the unobligated balance in the Arizona Water Protection Fund to the Arizona Department of Water Resources for administrative costs in FY 2021. Authorizes the Arizona Department of Water Resources (ADWR) Director to increase service fees in FY 2021. The bill requires monies received from these fees to be deposited in the Water Resources Fund. Furthermore, it declares that the Legislature intends that the fee monies generated not exceed $100,200.


• SB 1690: Budget Procedures; Budget Reconciliation; 2020-2021 (Sen. Fann;Prescott) The bill establishes the Crisis Contingency and Safety Net Fund (Fund), administered by the Office of the Governor and consisting of appropriated monies and monies received by the Governor from any lawful public or private source. The bill appropriates $50,000,000 in FY 2020 from the State General Fund to the Fund. It allows Fund monies to be spent only following a state of emergency declaration by the Governor for the following forms of economic assistance during the state of emergency:

1. Housing assistance, including payments to prevent eviction or foreclosure.2. Monies for entities to provide services for homeless persons, including

shelter, food, clothing and transportation.3. Economic assistance to small businesses with fewer than 50 employees,

nonprofit organizations and health care providers.4. Monies for food bank operations.

Furthermore, the bill specifies that it is the Legislature's intent for cities, towns and counties to review their eviction policies and procedures during the Governor's Coronavirus Disease 2019 State of Emergency to allow individuals and families to remain in their places of residence.


• SB 1691: Capital Outlay; Appropriations; 2020-2021 (Sen. Fann; Prescott)The bill appropriates the following amounts to the Arizona Department of Transportation (ADOT) in FY 2021 for maintenance and repair of state buildings:

o $13,000,000 from the State Highway Fundo $281,700 from the State Aviation Fund.

Additionally, the bill appropriates $378,733,000 from the State Highway Fund to ADOT to plan and construct state highways, acquire rights-of-way, and provide for the cost of contracted field administration and field engineering on construction projects and debt service payments on bonds issued for highway construction. Appropriates $30,900,000 from the State Aviation Fund to ADOT to plan, construct, develop and improve state, county, city or town airports.


• SB 1692: General Appropriations Act; 2020-2021 (Sen. Fann; Prescott)Among the many appropriations, the bill continues to appropriate $2,522,600 to DES for coordinated homeless services. It also allocates $500,000 to cities, towns and counties for costs associated with prosecuting and imprisoning individual charged

with border related crimes. Furthermore, it appropriates $23,997,900 for the Phoenix Convention Center debt.


• SB 1694: Unemployment Compensation; Coronavirus Disease (Sen. Fann; Prescott) The bill is retroactive to March 11, 2020, an emergency measure that permits the Arizona Department of Economic Security (DES) to establish an alternative unemployment insurance (UI) benefit program for people impacted by the COVID-19.


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