Senate Engrossed House Bill
behavioral health examiners board; continuation
(now: health boards; state agencies; continuations)
State of Arizona
House of Representatives
Fifty-seventh Legislature
First Regular Session
2025
CHAPTER 249
HOUSE BILL 2313
AN ACT
amending sections 9-500.18, 32-3253, 32-3255, 32-4204, 41-1051, 41-1052 and 41-2404, Arizona Revised Statutes; repealing section 41-2408, Arizona Revised Statutes; amending section 41-2953, Arizona Revised Statutes; REpealing sections 41-3025.01, 41-3025.02, 41-3025.03, 41-3025.04, 41-3025.05, 41-3025.07, 41-3025.08, 41-3025.09, 41-3025.10, 41-3025.11, 41-3025.13 and 41-3025.14, Arizona Revised Statutes; amending title 41, chapter 27, article 2, Arizona Revised Statutes, by adding sections 41-3029.15, 41-3029.16, 41-3030.17, 41-3030.18, 41-3031.01, 41-3031.03, 41-3031.05, 41-3031.07, 41-3031.09, 41-3033.01, 41-3033.02 and 41-3033.03; amending section 41-5702, Arizona Revised Statutes; relating to state boards and agencies.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 9-500.18, Arizona Revised Statutes, is amended to read:
START_STATUTE9-500.18. School district construction fees; prohibition; exception
Notwithstanding any other law, a city or town shall not assess or collect any fees or costs from a school district or charter school for fees pursuant to section 9-463.05. This prohibition does not include fees assessed or collected, except that A city or town may assess or collect fees for streets and water and sewer utility functions only if the development as defined in section 9-463.05 is not funded in whole or in part with monies distributed from the new school facilities fund pursuant to section 41-5741.END_STATUTE
Sec. 2. Section 32-3253, Arizona Revised Statutes, is amended to read:
START_STATUTE32-3253. Powers and duties; committee on executive director selection and retention
A. The board shall:
1. Adopt rules consistent with and necessary or proper to carry out the purposes of this chapter.
2. Administer and enforce this chapter, rules adopted pursuant to this chapter and orders of the board.
3. Issue a license by examination, endorsement or temporary recognition to, and renew the license of, each person who is qualified to be licensed pursuant to this chapter. The board must issue or deny a license within one hundred eighty days after the applicant submits a completed application.
4. Establish fees by rule, except that the board is exempt from the rulemaking requirements of title 41, chapter 6 for the purposes of reducing or eliminating fees.
5. Collect fees and spend monies.
6. Keep a record of all persons who are licensed pursuant to this chapter, actions taken on all applications for licensure, actions involving renewal, suspension, revocation or denial of a license or probation of licensees and the receipt and disbursal of monies.
7. Adopt an official seal for attestation of licensure and other official papers and documents.
8. Conduct investigations and determine on its own motion whether a licensee or an applicant has engaged in unprofessional conduct, is incompetent or is mentally or physically unable to engage in the practice of behavioral health.
9. Conduct disciplinary actions pursuant to this chapter and board rules.
10. Establish and enforce standards or criteria of programs or other mechanisms to ensure the continuing competence of licensees.
11. Establish and enforce compliance with professional standards and rules of conduct for licensees.
12. Engage in a full exchange of information with the licensing and disciplinary boards and professional associations for behavioral health professionals in this state and other jurisdictions.
13. Subject to section 35-149, accept, expend and account for gifts, grants, devises and other contributions, money or property from any public or private source, including the federal government. Monies received under this paragraph shall be deposited, pursuant to sections 35-146 and 35-147, in special funds for the purpose specified, which are exempt from the provisions of section 35-190 relating to lapsing of appropriations.
14. Adopt rules regarding the application for and approval of educational curricula of regionally accredited colleges or universities with a program not otherwise accredited by an organization or entity recognized by the board that are consistent with the requirements of this chapter and maintain a list of those programs. Approvals are valid for a period of five years if no changes of curricula are made that are inconsistent with the requirements of this chapter or board rule.
15. Maintain a registry of licensees who have met the educational requirements to provide supervision as required pursuant to this chapter to applicants in the same profession.
16. Adopt rules to allow approval of persons who wish to provide supervision pursuant to this chapter and who are not licensed by the board and who are licensed in a profession other than the profession in which the applicant is seeking licensure.
17. Recognize not more than four hundred hours of psychoeducation for work experience required pursuant to sections 32-3293, 32-3301, 32-3311 and 32-3321.
18. Adopt rules regarding the use of telepracticetelehealth.
19. If an applicant is required to pass an examination for licensure, allow the applicant to take the examination three times during a twelve-month period.
B. The board may join professional organizations and associations organized exclusively to promote the improvement of the standards of the practice of behavioral health, protect the health and welfare of the public or assist and facilitate the work of the board.
C. The board may enter into stipulated agreements with a licensee for the confidential treatment, rehabilitation and monitoring of chemical dependency or psychiatric, psychological or behavioral health disorders in a program provided pursuant to subsection D of this section. A licensee who materially fails to comply with a program shall be terminated from the confidential program. Any records of the licensee who is terminated from a confidential program are no longer confidential or exempt from the public records law, notwithstanding any law to the contrary. Stipulated agreements are not public records if the following conditions are met:
1. The licensee voluntarily agrees to participate in the confidential program.
2. The licensee complies with all treatment requirements or recommendations, including participation in approved programs.
3. The licensee refrains from professional practice until the return to practice has been approved by the treatment program and the board.
4. The licensee complies with all monitoring requirements of the stipulated agreement, including random bodily fluid testing.
5. The licensee's professional employer is notified of the licensee's chemical dependency or medical, psychiatric, psychological or behavioral health disorders and participation in the confidential program and is provided a copy of the stipulated agreement.
D. The board shall establish a confidential program for the monitoring of licensees who are chemically dependent or who have psychiatric, psychological or behavioral health disorders that may impact their ability to safely practice and who enroll in a rehabilitation program that meets the criteria prescribed by the board. The licensee is responsible for the costs associated with rehabilitative services and monitoring. The board may take further action if a licensee refuses to enter into a stipulated agreement or fails to comply with the terms of a stipulated agreement. In order to protect the public health and safety, the confidentiality requirements of this subsection do not apply if a licensee does not comply with the stipulated agreement.
E. The board shall audio record all meetings and maintain all audio and video recordings or stenographic records of interviews and meetings for a period of three years from when the record was created.
F. The committee on executive director selection and retention is established consisting of the members of the board of behavioral health examiners and the chairperson and vice chairperson of the board of massage therapy. The committee is a public body and is subject to the requirements of title 38, chapter 3, article 3.1. The committee is responsible for appointing the executive director pursuant to section 32-3255. All members of the committee are voting members. The committee shall elect a chairperson and a vice chairperson. The chairperson shall call meetings of the committee as necessary and, if the chairperson is not available, the vice chairperson may call meetings of the committee as necessary. The committee meetings may be held using communications equipment that allows all members who are participating in the meeting to hear each other. If any discussions occur in an executive session of the committee, notwithstanding the requirement that discussions made at an executive session be kept confidential as specified in section 38-431.03, the chairperson and vice chairperson of the board of massage therapy may discuss this information with the members of the board of massage therapy in executive session. This disclosure of executive session information to the members of the board of massage therapy does not constitute a waiver of confidentiality or any privilege, including the attorney-client privilege.END_STATUTE
Sec. 3. Section 32-3255, Arizona Revised Statutes, is amended to read:
START_STATUTE32-3255. Executive director; compensation; duties
A. On or after January 31, 2014 and Subject to title 41, chapter 4, article 4, the board committee on executive director selection and retention established by section 32-3253 shall appoint an executive director who shall serveserves at the pleasure of the boardcommittee. The executive director is eligible to receive compensation set by the board within the range determined under section 38-611.
B. The executive director shall:
1. Perform the administrative duties of the board.
2. Subject to title 41, chapter 4, article 4, employ personnel as the executive director deems necessary, including professional consultants and agents necessary to conduct investigations. An investigator must complete a nationally recognized investigator training program within one year after the date of hire. Until the investigator completes this training program, the investigator must work under the supervision of an investigator who has completed a training program. END_STATUTE
Sec. 4. Section 32-4204, Arizona Revised Statutes, is amended to read:
START_STATUTE32-4204. Executive director; personnel; duties; compensation; immunity
A. Subject to title 41, chapter 4, article 4, the board shall appoint an executive director of the board who serves at the pleasure of the boardand section 32-3253, the executive director of the board of behavioral health examiners shall serve as the executive director of the board of massage therapy. The executive director may not be a board member of the board of massage therapyand may not have any financial interests in the practice of massage therapy or the training of massage therapists. The board of massage therapymay authorize the executive director to represent the board of massage therapyand to vote on behalf of the board of massage therapyat meetings of national organizations of which the board of massage therapyis a dues payingdues-paying member.
B. The executive director and other board staff are eligible to receive compensation as determined pursuant to section 38-611.
C. The executive director or the executive director's designee shall:
1. Keep a record of the proceedings of the board.
2. Collect all monies due and payable to the board.
3. Deposit monies received by the board as prescribed by section 32-4205.
4. Prepare bills for authorized expenditures of the board and obtain warrants from the director of the department of administration for payment of bills.
5. Administer oaths.
6. Act as custodian of the seal, books, minutes, records and proceedings of the board.
7. At the request of the board, do and perform any other duty not prescribed for the executive director elsewhere in this chapter.
D. The executive director shall attend all committee hearings of the house of representatives and senate health and human services committees, or their successor committees, relating to the auditor general's follow-up reports regarding the board's implementation status of the auditor general's performance audit and sunset review recommendations.
D.E. Subject to title 41, chapter 4, article 4, the board may employ other personnel as it deems necessary to carry out the purposes of this chapter.
E.F. The executive director and a any person acting pursuant to the executive director's direction are personally immune from civil liability for all actions taken in good faith pursuant to this chapter.END_STATUTE
Sec. 5. Section 41-1051, Arizona Revised Statutes, is amended to read:
START_STATUTE41-1051. Governor's regulatory review council; membership; terms; compensation; powers; council staff
A. The governor's regulatory review council is established consisting of six four members who are appointed by the governor pursuant to section 38-211 and who are subject to sections 38-291 and 38-295, one member who is not a legislator and who is appointed by the president of the senate, one member who is not a legislator and who is appointed by the speaker of the house of representatives and the director of the department of administration or the assistant director of the department of administration who is responsible for administering the council. The director or assistant director is an ex officio member and chairperson of the council. The council shall elect a vice-chairperson vice chairperson to serve as chairperson in the chairperson's absence. The governor shall appoint at least one member who represents the public interest, at least one member who represents the business community, at least one member who is a small business owner, one member from a list of three persons who are not legislators submitted by the president of the senate and one member from a list of three persons who are not legislators submitted by the speaker of the house of representatives. At least one member of the council shall be an attorney licensed to practice law in this state. The governor shall appoint the
B. Members of the council shall be appointed for staggered terms of three years and may be reappointed. A vacancy occurring during the term of office of any member shall be filled by appointment by the governor for the unexpired portion of the term in the same manner as provided in this section.
B. C. The council shall meet at least once a month at a time and place set by the chairperson and at other times and places as the chairperson deems necessary.
C. D. Members of the council are eligible to receive compensation in an amount of two hundred dollars $200 for each day on which the council meets and reimbursement of expenses pursuant to title 38, chapter 4, article 2.
D. E. The chairperson, subject to chapter 4, article 4 and, as applicable, articles 5 and 6 of this title, shall employ, determine the conditions of employment of and specify the duties of administrative, secretarial and clerical employees as the chairperson deems necessary.
E. F. The council may make rules pursuant to this chapter to carry out the purposes of this chapter.
F. G. The council shall make a list of agency rules approved or returned pursuant to sections 41-1027 and 41-1052 and section 41-1056, subsection C for the previous twelve-month period available to the public on request and on the council's website.
H. Council staff shall do both of the following:
1. At the request of a council member, review the constitution of this state and any relevant statutes and advise the council on the constitutionality of a rule independent of an agency's statutory justification for the rule. Notwithstanding any other law, for the purposes of this paragraph, council staff is exempt from section 41-192 and the council may employ legal counsel and make an expenditure or incur an indebtedness for legal services to implement, advise or defend this paragraph.
2. Electronically distribute all nonprivileged council meeting materials to the governor, the president of the senate and the speaker of the house of representatives at the same time the materials are distributed to the members of the council. END_STATUTE
Sec. 6. Section 41-1052, Arizona Revised Statutes, is amended to read:
START_STATUTE41-1052. Council review and approval; rule expiration
A. Before filing a final rule subject to this section with the secretary of state, an agency shall prepare, transmit to the council and the committee and obtain the council's approval of the rule and its preamble and economic, small business and consumer impact statement that meets the requirements of section 41-1055. The office of economic opportunity shall prepare the economic, small business and consumer impact statement.
B. The council shall accept an early review petition of a proposed rule, in whole or in part, if the proposed rule is alleged to violate any of the criteria prescribed in subsection D of this section and if the early petition is filed by a person who would be adversely impacted by the proposed rule. The council may determine whether the proposed rule, in whole or in part, violates any of the criteria prescribed in subsection D of this section.
C. Within one hundred twenty days after receipt of the rule, preamble and economic, small business and consumer impact statement, the council shall review and approve or return, in whole or in part, the rule, preamble or economic, small business and consumer impact statement. An agency may resubmit a rule, preamble or economic, small business and consumer impact statement if the council returns the rule, preamble or economic, small business and consumer impact statement or preamble, in whole or in part, to the agency.
D. The council shall not approve the rule unless:
1. The economic, small business and consumer impact statement contains information from the state, data and analysis prescribed by this article.
2. The economic, small business and consumer impact statement is generally accurate.
3. The probable benefits of the rule outweigh within this state the probable costs of the rule and the agency has demonstrated that it has selected the alternative that imposes the least burden and costs to persons regulated by the rule, including paperwork and other compliance costs, necessary to achieve the underlying regulatory objective.
4. The rule is written in a manner that is clear, concise and understandable to the general public.
5. The rule is not illegal, inconsistent with legislative intent or beyond the agency's statutory authority and meets the requirements prescribed in section 41-1030.
6. The agency adequately addressed, in writing, the comments on the proposed rule and any supplemental proposals.
7. The rule is not a substantial change, considered as a whole, from the proposed rule and any supplemental notices.
8. The preamble discloses a reference to any study relevant to the rule that the agency reviewed and either did or did not rely on in the agency's evaluation of or justification for the rule.
9. The rule is not more stringent than a corresponding federal law unless there is statutory authority to exceed the requirements of that federal law.
10. If a rule requires a permit, the permitting requirement complies with section 41-1037.
E. The council shall verify that a rule with new fees does not violate section 41-1008. The council shall not approve a rule that contains a fee increase unless two-thirds of the voting quorum present votes to approve the rule.
F. The council shall verify that a rule with an immediate effective date complies with section 41-1032. The council shall not approve a rule with an immediate effective date unless two-thirds of the voting quorum present votes to approve the rule. The council may only vote at a council meeting.
G. If the rule relies on scientific principles or methods, including a study disclosed pursuant to subsection D, paragraph 8 of this section, and a person submits an analysis to the council questioning whether the rule is based on valid scientific or reliable principles or methods, the council shall not approve the rule unless the council determines that the rule is based on valid scientific or reliable principles or methods that are specific and not of a general nature. In making a determination of reliability or validity, the council shall consider the following factors as applicable to the rule:
1. The authors of the study, principle or method have subject matter knowledge, skill, experience, training and expertise.
2. The study, principle or method is based on sufficient facts or data.
3. The study is the product of reliable principles and methods.
4. The study and its conclusions, principles or methods have been tested or subjected to peer reviewed publications.
5. The known or potential error rate of the study, principle or method has been identified along with its basis.
6. The methodology and approach of the study, principle or method are generally accepted in the scientific community.
H. The council may require a representative of an agency whose rule is under examination to attend a council meeting and answer questions. The council may also communicate to the agency its comments on any rule, preamble or economic, small business and consumer impact statement and require the agency to respond to its comments in writing.
I. For all council meetings that are open to the public for comment, the council shall allot an equal amount of time to the individuals who support or oppose a rule.
I. J. At any time during the thirty days immediately following receipt of the rule, a person may submit written comments to the council that are within the scope of subsection D, E, F or G of this section. The council may allow testimony at a council meeting within the scope of subsection D, E, F or G of this section.
J. K. If the agency makes a good faith effort to comply with the requirements prescribed in this article and has explained in writing the methodology used to produce the economic, small business and consumer impact statement, the rule may not be invalidated after it is finalized on the ground that the contents of the economic, small business and consumer impact statement are insufficient or inaccurate or on the ground that the council erroneously approved the rule, except as provided by section 41-1056.01.
K. L. The absence of comments pursuant to subsection D, E, F or G of this section or article 4.1 of this chapter does not prevent the council from acting pursuant to this section.
L. M. The council shall review and approve or reject a notice of proposed expedited rulemaking pursuant to section 41-1027.
M. N. An agency that seeks to expire a rule or rules may file a notice of intent to expire with the council. The notice shall describe the rule or rules to be expired and the reasons for expiration. The council shall place the notice on the agenda for the next scheduled council meeting for consideration. If a quorum of the council approves the notice, the council shall cause a notice of rule expiration to be prepared and provide the notice of rule expiration to the agency for filing with the secretary of state.END_STATUTE
Sec. 7. Section 41-2404, Arizona Revised Statutes, is amended to read:
START_STATUTE41-2404. Arizona criminal justice commission; members; compensation; terms; meetings
A. The Arizona criminal justice commission is established consisting of the following members:
1. The attorney general or the attorney general's designee.
2. The director of the department of public safety or the director's designee.
3. The director of the state department of corrections or the director's designee.
4. Sixteen seventeen members who are appointed by the governor or their designees. Not more than eight nineof these members may be from the same political party.
5. The administrative director of the courts or the director's designee.
6. The chairperson of the board of executive clemency or the chairperson's designee.
B. The members who are appointed pursuant to subsection A, paragraph 4 of this section shall include at least one police chief, one county attorney and one county sheriff from a county with a population of one million five hundred thousand or more persons, one police chief, one county attorney and one county sheriff from a county with a population equal to or greater than eight hundred four hundred fifty thousandpersons but fewer than one million five hundred thousand persons and one police chief, one county attorney and one county sheriff from counties with a population of fewer than eight hundred four hundred fifty thousand persons. The remaining members shall include one law enforcement leader, one former judge, one mayor, one member of a county board of supervisors, one public defender, onetwo victim advocateadvocates and one chief probation officer.
C. Members who are appointed pursuant to subsection A, paragraph 4 of this section shall serve for terms of two years terminating on the convening of the first regular session of the legislatureand may not use a designee for their attendance. Any appointive member who ceases to be a member of the body the member represents on the commission is deemed to have resigned. Appointments to fill a vacancy shall be made in the same manner as the original appointment.
D. The commission shall meet and organize by electing from among its membership officers as are deemed necessary or advisable. The commission shall meet at least once during each calendar quarter and additionally as the chairperson deems necessary, and a majority of the members constitutes a quorum for the transaction of businesshold four meetings during each calendar year, and each member shall attend at least three meetings. Additional meetings may be held as determined by the chairperson. If a member Fails to attend at least three meetings each calendar year, the member's position is deemed vacant by operation of law. Appointments to fill a VACANCY shall be made in the same manner as the original appointment. A majority of the members constitutes a quorum for the transaction of business.
E. Members of the commission are not eligible to receive compensation but are eligible for reimbursement of expenses pursuant to title 38, chapter 4, article 2.END_STATUTE
Sec. 8. Repeal
Section 41-2408, Arizona Revised Statutes, is repealed.
Sec. 9. Section 41-2953, Arizona Revised Statutes, is amended to read:
START_STATUTE41-2953. Joint legislative audit committee; sunset powers and duties; report by auditor general and committees of reference; sunset review reports; performance audits
A. The joint legislative audit committee shall designate the chairman chairperson of each committee of reference and shall assign agencies to the respective committees of reference according to subject matter for performance review.
B. The auditor general shall provide to the joint legislative auditcommittee a list of agencies scheduled for termination in the next sunset termination schedule, plus an estimate of the audit hours necessary to conduct a sunset review of each agency, not less than at leasttwenty months prior to before the termination date for such agencies. Not less than At leastnineteen months prior to such before the termination date, the joint legislative auditcommittee shall meet to review the information submitted by the auditor general, shall select which agencies are subject to sunset review by the auditor general and which agencies are subject to sunset review by the committees of reference and shall determine the priority of review by the auditor general or the committees of reference, except that the arizona criminal justice COMMISSION established by section 41-2404 is subject to sunset review by the auditor general. If the auditor general or the committees of reference are unable to complete the sunset review of a selected agency, the joint legislative auditcommittee shall oversee the preparation of proposed legislation to place such the agency in the following sunset termination schedule and is responsible for the introduction of such the legislation. Those agencies not selected for sunset review by the joint legislative auditcommittee shall terminate pursuant to article 2 of this chapter unless otherwise continued by the legislature.
C. The joint legislative auditcommittee shall initiate the sunset review not less than At leastseventeen months prior to before the termination date for each agency which that is selected pursuant to subsection B of this section and scheduled for termination pursuant to article 2 of this chapter. The draft sunset review report shall be completed not less than At leasteleven months prior to before the date established by article 2 of this chapter for termination. Before suchthe report is submitted, the state agency affected shall be given an opportunity to review the draft report and submit written comments or rebuttal, which shall be included in the preliminary sunset review report. The agency shall have not more than forty calendar days to review the draft report for comment or rebuttal. The preliminary sunset review report shall be submitted to the governor, to each member of the joint legislative auditcommittee, to the committee of reference and to the affected agency by October 1 of the year prior to before the scheduled termination date of the agency.
D. The joint legislative auditcommittee may direct the auditor general or the committees of reference to conduct a performance audit, as defined in chapter 7, article 10.1 of this title,] section 41-1278or a special performance audit of any agency as defined in section 41-2952.
E. If an agency is continued, the joint legislative audit committee may direct the auditor general or the committees of reference to conduct a follow-up review of the agency to determine how the agency has performed its statutory functions or corrected deficiencies of prior sunset review, or both. END_STATUTE
Sec. 10. Repeal
Sections 41-3025.01, 41-3025.02, 41-3025.03, 41-3025.04, 41-3025.05, 41-3025.07, 41-3025.08, 41-3025.09, 41-3025.10, 41-3025.11, 41-3025.13 and 41-3025.14, Arizona Revised Statutes, are repealed.
Sec. 11. Title 41, chapter 27, article 2, Arizona Revised Statutes, is amended by adding sections 41-3029.15, 41-3029.16, 41-3030.17, 41-3030.18, 41-3031.01, 41-3031.03, 41-3031.05, 41-3031.07, 41-3031.09, 41-3033.01, 41-3033.02 and 41-3033.03, to read:
START_STATUTE41-3029.15. Governor's regulatory review council; termination July 1, 2029
A. The governor's regulatory review council terminates on July 1, 2029.
B. Title 41, chapter 6, article 5 and this section are repealed on January 1, 2030.END_STATUTE
START_STATUTE41-3029.16. Arizona criminal justice commission; termination July 1, 2029
A. The Arizona criminal justice commission terminates on July 1, 2029.
B. Sections 41-2404 and 41-2405 and this section are repealed on January 1, 2030.END_STATUTE
START_STATUTE41-3030.17. School facilities oversight board; termination July 1, 2030
A. The school facilities oversight board terminates on July 1, 2030.
B. Title 41, chapter 56, articles 1, 2, 3, 4, 5, 6, 7, 8 and 9 and this section are repealed on January 1, 2031 only if either:
1. The board has no outstanding state school facilities revenue bonds issued pursuant to title 41, chapter 56, article 6, no outstanding state school improvement revenue bonds issued pursuant to title 41, chapter 56, article 7 and no outstanding lease-to-own transactions pursuant to sections 41-5703, 41-5704 and 41-5705.
2. The legislature has otherwise provided for paying or retiring any outstanding state school facilities revenue bonds, any outstanding state school improvement revenue bonds and any outstanding lease-to-own transactions.
C. If neither of the conditions in subsection B of this section has occurred on or before January 1, 2031, title 41, chapter 56, articles 1, 2, 3, 4, 5, 6, 7, 8 and 9 and this section are repealed thirty days after the retirement of all revenue bonds issued pursuant to title 41, chapter 56, articles 6 and 7 and all outstanding lease-to-own transactions issued pursuant to sections 41-5703, 41-5704 and 41-5705.END_STATUTE
START_STATUTE41-3030.18. Board of executive clemency; termination July 1, 2030
A. The board of executive clemency terminates on July 1, 2030.
B. Title 31, chapter 3 and this section are repealed on January 1, 2031.END_STATUTE
START_STATUTE41-3031.01. Board of massage therapy; termination July 1, 2031
A. The board of massage therapy terminates on July 1, 2031.
b. Title 32, chapter 42 and this section are repealed on January 1, 2032.END_STATUTE
START_STATUTE41-3031.03. Board of respiratory care examiners; termination July 1, 2031
A. The board of respiratory care examiners terminates July 1, 2031.
B. Title 32, chapter 35 and this section are repealed on January 1, 2032.END_STATUTE
START_STATUTE41-3031.05. Arizona board of osteopathic examiners in medicine and surgery; termination July 1, 2031
A. The Arizona board of osteopathic examiners in medicine and surgery terminates on July 1, 2031.
B. Title 32, chapter 17 and this section are repealed on January 1, 2032. END_STATUTE
START_STATUTE41-3031.07. Board of behavioral health examiners; termination July 1, 2031
A. The board of behavioral health examiners terminates July 1, 2031.
B. Title 32, chapter 33 and this section are repealed on January 1, 2032. END_STATUTE
START_STATUTE41-3031.09. State board of dental examiners; termination July 1, 2031
A. The state board of dental examiners terminates on July 1, 2031.
B. Title 32, chapter 11 and this section are repealed on January 1, 2032.END_STATUTE
START_STATUTE41-3033.01. Department of insurance and financial institutions; termination July 1, 2033
If the voters approve a constitutional amendment repealing the authority for the department of insurance pursuant to article XV, section 5, constitution of Arizona:
1. The department of insurance and financial institutions terminates on July 1, 2033.
2. Title 6, title 20, title 32, chapters 9 and 36, title 41, chapter 31, title 44, chapter 2.1 and this section are repealed on January 1, 2034.END_STATUTE
START_STATUTE41-3033.02. Arizona exposition and state fair board; termination July 1, 2033
A. The Arizona exposition and state fair board terminates on July 1, 2033.
B. Title 3, chapter 8, article 1 and this section are repealed on January 1, 2034.END_STATUTE
START_STATUTE41-3033.03. Property tax oversight commission; termination July 1, 2033
A. The property tax oversight commission terminates on July 1, 2033.
B. Title 42, chapter 17, article 1 and this section are repealed on January 1, 2034.END_STATUTE
Sec. 12. Section 41-5702, Arizona Revised Statutes, is amended to read:
START_STATUTE41-5702. Powers and duties; staffing; reporting requirements
A. The division shall:
1. Assess school facilities and equipment deficiencies and approve the distribution of grants as appropriate.
2. Maintain a database of school facilities to allow for the administration of the new school facilities formula and the building renewal grant fund. The facilities listed in the database must include all buildings that are owned by school districts. The division shall ensure that the database is updated on at least an annual basis. Each school district shall report to the division not later than September 1 of each year information as required by the division to administer the building renewal grant fund and by the school facilities oversight board to compute new school facilities formula distributions, including the nature and cost of major repairs, renovations or physical improvements to or replacement of building systems or equipment that were made in the previous year and that were paid for either with local monies or monies provided from the building renewal grant fund. Each school district shall report any school or school buildings that have been closed, that are vacant or partially used pursuant to section 15-119 and that have been leased to another entity or that operate as a charter school. The division shall develop guidelines and definitions for the reporting prescribed in this paragraph and may review or audit the information, or both, to confirm the information submitted by a school district. Notwithstanding any other provision of this chapter, if a school district converts space that is listed in the database maintained pursuant to this paragraph to space that will be used for administrative purposes, the school district is responsible for any costs associated with converting, maintaining and replacing that space. If a building is significantly upgraded or remodeled, the division shall adjust the age of that school facility in the database as follows:
(a) Determine the building capacity value as follows:
(i) Multiply the student capacity of the building by the per pupil square foot capacity established by section 41-5741.
(ii) Multiply the product determined in item (i) of this subdivision by the cost per square foot established by section 41-5741.
(b) Divide the cost of the renovation by the building capacity value determined in subdivision (a) of this paragraph.
(c) Multiply the quotient determined in subdivision (b) of this paragraph by the currently listed age of the building in the database.
(d) Subtract the product determined in subdivision (c) of this paragraph from the currently listed age of the building in the database, rounded to the nearest whole number. If the result is a negative number, use zero.
3. Inspect, contract with a third party to inspect or certify school district self-inspections of school buildings at least once every five years to ensure compliance with the building adequacy standards prescribed in section 41-5711, the accuracy of the reporting of vacant and partially used buildings pursuant to this subsection and routine preventive maintenance guidelines as prescribed in this section with respect to constructing new buildings and maintaining existing buildings. The division shall randomly select twenty school districts every thirty months and provide for them to be inspected pursuant to this paragraph.
4. Develop prototypical elementary and high school designs. The division shall review the design differences between the schools with the highest academic productivity scores and the schools with the lowest academic productivity scores. The division shall also review the results of a valid and reliable survey of parent quality rating in the highest performing schools and the lowest performing schools in this state. The survey of parent quality rating shall be administered by the department of education. The division shall consider the design elements of the schools with the highest academic productivity scores and parent quality ratings in the development of elementary and high school designs. The division shall develop separate school designs for elementary, middle and high schools with varying pupil capacities.
5. Develop application forms, reporting forms and procedures to carry out the requirements of this article, including developing and implementing policies and procedures to:
(a) Ensure that the division and the school facilities oversight board, as applicable, notify school districts in a uniform manner of the services and funding available for school districts from the board or the division for facility construction, renovation and repair projects. The policies and procedures shall require the division and the board to provide at least one annual communication to school districts in a manner prescribed by the division and shall require each school district to develop and maintain a list of persons who are responsible for facilities management at that school district.
(b) Establish a project eligibility assessment for all projects submitted for building renewal grant funding or emergency deficiencies correction funding, including establishing standardized criteria for project eligibility. Before the division formally approves a project, the staff of the division may review the costs and scope of the proposed project with persons and entities that have submitted bids on the project.
(c) Ensure that the division and the school facilities oversight board maintain standardized documentation of all projects submitted to the board and the division for consideration to receive services or a financial award from the board or the division. The board and the division shall maintain standardized documentation of any project awarded monies by the board or the division, including records of payments to school districts in a manner prescribed by the division. The standardized documentation shall include the following as part of the eligibility determination criteria:
(i) Whether the problem that the proposed project intends to address caused the building or facility to fall below the minimum school facility adequacy guidelines prescribed in section 41-5711.
(ii) Whether the school district performed the routine preventive maintenance required by section 41-5731 on the building or facility.
(d) Require a school district to submit contact information for each proposed project, including the name, email address and telephone number of persons who are responsible for facilities management at the school district.
(e) Require a school district to provide justification for each proposed project, including all of the following:
(i) The school district's use or planned use of the facility.
(ii) A detailed description of the problem and the school district's recommended solution.
(iii) Any completed professional study regarding the proposed project.
(iv) Any citation or report from government entities.
(v) The estimated cost of the proposed project, with documentation.
(vi) The project category.
(vii) A description of any local funding that will be used for the proposed project.
(viii) Documentation on associated insurance coverage, if applicable.
(f) Require that an initial application not be considered complete until all necessary information is submitted.
(g) Allow a school district to submit an incomplete application and request technical assistance from the staff of the board if the school district is unable to provide sufficient information in the initial application.
(h) If applicable, require that a complete application be received by the board at least fifteen business days before the next regularly scheduled board meeting in order for the application to be considered at that meeting. An incomplete application may be considered at that meeting if both the staff of the board and the superintendent of the school district deem the project critical.
(i) Allow the staff of the board or the division, as applicable, to notify a school district in writing before review by the board or division that the proposed project does not meet eligibility criteria prescribed in this chapter. The written notification shall include documentation to support the determination that the proposed project does not meet the eligibility criteria prescribed in this chapter. The school district may directly appeal the determination of ineligibility to the director of the division. The school district may directly appeal the director's determination of ineligibility to the board.
(j) Prohibit the staff of the board or division from requesting that a school district withdraw a project application from review by the board or division if the initial review determines that the proposed project may be ineligible for monies pursuant to this chapter.
6. Submit Electronically submitan annual report on or before December 15 to the speaker of the house of representatives, the president of the senate, the superintendent of public instruction, the secretary of state and the governor that includes the following information:
(a) A detailed description of the amount of monies distributed by the division under this chapter in the previous fiscal year.
(b) A list of each capital project that received monies from the division under this chapter during the previous fiscal year, a brief description of each project that was funded and a summary of the division's reasons for distributing monies for the project.
(c) A summary of the findings and conclusions of the building maintenance inspections conducted pursuant to this article during the previous fiscal year.
(d) A summary of the findings of common design elements and characteristics of the highest performing schools and the lowest performing schools based on academic productivity, including the results of the parent quality rating survey. For the purposes of this subdivision, "academic productivity" means academic year advancement per calendar year as measured with student-level data using the statewide nationally standardized norm-referenced achievement test.
7. On or before December 1 of each year, report electronically to the joint committee on capital review the amounts necessary to fulfill the requirements of section 41-5721 for the following three fiscal years. In developing the amounts necessary for this report, the division shall use the most recent average daily membership data available. On request from the division, the department of education shall make available the most recent average daily membership data for use in calculating the amounts necessary to fulfill the requirements of section 41-5721 for the following three fiscal years. The division shall provide copies of the report to the president of the senate, the speaker of the house of representatives and the governor.
8. On or before June 15 of each year, submit electronically submitdetailed information regarding demographic assumptions and a proposed construction schedule for individual projects approved in the current fiscal year and expected project approvals for the upcoming fiscal year to the joint committee on capital review for its review. A copy of the report shall also be submitted electronically to the governor's office of strategic planning and budgeting. The joint legislative budget committee staff, the governor's office of strategic planning and budgeting staff and the division staff shall agree on the format of the report.
9. Every two years, provide school districts with information on improving and maintaining the indoor environmental quality in school buildings.
10. Adopt rules regarding the validation of adjacent ways projects pursuant to paragraph 11 of this subsection.
11. Validate proposed adjacent ways projects that are submitted by school districts as prescribed in section 15-995 pursuant to rules adopted by the division under paragraph 10 of this subsection.
12. Submit a monthly report to the school facilities oversight board that details each adjacent ways project validated pursuant to paragraph 11 of this subsection.
13. Brief the joint committee on capital review at least once each year regarding the use of monies from all of the following:
(a) The emergency deficiencies correction fund established by section 41-5721.
(b) The building renewal grant fund established by section 41-5731.
(c) The new school facilities fund established by section 41-5741.
B. The school facilities oversight board or the division may contract for the following services in compliance with the procurement practices prescribed in chapter 23 of this title:
1. Private services.
2. Construction project management services.
3. Assessments for school buildings to determine if the buildings have outlived their useful life pursuant to section 41-5741, subsection G or have been condemned.
4. Services related to land acquisition and development of a school site.
C. The school facilities oversight board shall:
1. Review and approve student population projections submitted by school districts to determine to what extent school districts are entitled to monies to construct new facilities pursuant to section 41-5741. The board shall make a final determination within five months after receiving an application from a school district for monies from the new school facilities fund.
2. Certify that plans for new school facilities meet the building adequacy standards prescribed in section 41-5711.
3. Review and approve or reject requests submitted by school districts to take actions pursuant to section 15-341, subsection G.
4. On or before December 15 of each year, electronically submit a report to the speaker of the house of representatives, the president of the senate, the superintendent of public instruction, the secretary of state and the governor that includes the following information:
(a) A detailed description of the amount of monies the board distributed under this chapter in the previous fiscal year.
(b) A list of each capital project that received monies from the board under this chapter during the previous fiscal year, a brief description of each project that was funded and a summary of the board's reasons for distributing monies for the project.
(c) A summary of the findings and conclusions of the building maintenance inspections conducted pursuant to this article during the previous fiscal year.
5. On or before December 1 of each year, electronically report to the joint committee on capital review the amounts necessary to fulfill the requirements of section 41-5741 for the following three fiscal years. In developing the amounts necessary for this report, the board shall use the most recent average daily membership data available. On request from the board, the department of education shall make available the most recent average daily membership data for use in calculating the amounts necessary to fulfill the requirements of section 41-5741 for the following three fiscal years. The board shall provide copies of the report to the president of the senate, the speaker of the house of representatives and the governor.
6. Adopt minimum school facility adequacy guidelines to provide the minimum quality and quantity of school buildings and the facilities and equipment necessary and appropriate to enable pupils to achieve the educational goals of the Arizona state schools for the deaf and the blind. The board shall establish minimum school facility adequacy guidelines applicable to the Arizona state schools for the deaf and the blind.
7. On or before June 15 of each year, electronically submit to the joint committee on capital review for its review detailed information regarding demographic assumptions, a proposed construction schedule and new school construction cost estimates for individual projects approved in the current fiscal year and expected project approvals for the upcoming fiscal year. A copy of the report shall also be submitted electronically to the governor's office of strategic planning and budgeting. The joint legislative budget committee staff, the governor's office of strategic planning and budgeting staff and the board staff shall agree on the format of the report.
8. On or before December 31 of each year, report to the joint legislative budget committee on all class B bond approvals by school districts in that year. Each school district shall report to the board on or before December 1 of each year information required by the board for the report prescribed in this paragraph.
9. Determine whether any interest disclosed pursuant to subsection D, paragraph 13 of this section is a substantial interest as defined in section 38-502 and maintain a record of all substantial interests that are identified pursuant to this paragraph.
D. The director of the division shall serve as the director of the school facilities oversight board. The director may hire and fire necessary staff subject to chapter 4, article 4 of this title and as approved by the legislature in the budget. The staff of the school facilities oversight board is exempt from chapter 4, articles 5 and 6 of this title. The director:
1. Shall analyze applications for monies submitted to the board and to the division by school districts.
2. Shall assist the board and the division in developing forms and procedures for distributing and reviewing applications and distributing monies to school districts.
3. May review or audit, or both, the expenditure of monies by a school district for deficiencies corrections and new school facilities.
4. Shall assist the board and the division in preparing the board's and division's annual reports.
5. Shall research and provide reports on issues of general interest to the board and the division.
6. May aid school districts in developing reasonable and cost-effective school designs in order to avoid statewide duplicated efforts and unwarranted expenditures in the area of school design.
7. May assist school districts in facilitating the development of multijurisdictional facilities.
8. Shall assist the board and the division in any other appropriate matter or method as directed by the division and the members of the board.
9. Shall establish procedures to ensure compliance with the notice and hearing requirements prescribed in section 15-905. The notice and hearing procedures adopted by the board shall include the requirement, with respect to the board's consideration of any application filed after July 1, 2001 or after December 31 of the year in which the property becomes territory in the vicinity of a military airport or ancillary military facility as defined in section 28-8461 for monies to fund the construction of new school facilities proposed to be located in territory in the vicinity of a military airport or ancillary military facility, that the military airport receive notification of the application by first class mail at least thirty days before any hearing concerning the application.
10. May expedite any request for monies in which the local match was not obtained for a project that received preliminary approval by the state board for school capital facilities.
11. 10. Shall expedite any request for monies in which the school district governing board submits an application that shows an immediate need for a new school facility.
12. 11. Shall determine administrative completeness within one month after receiving an application from a school district for monies from the new school facilities fund.
13. 12. Shall provide technical support to school districts as requested by school districts in connection with constructing new school facilities and maintaining existing school facilities and may contract directly with construction project managers pursuant to subsection B of this section. This paragraph does not restrict a school district from contracting with a construction project manager using district or state resources.
13. Shall require each employee of the school facilities oversight board to disclose in writing to the board at least once per year any interest that the employee has in any contract, sale, purchase, service or other transaction of the board or division or of a school district.
E. When appropriate, the board and the division shall review and use the statewide school facilities inventory and needs assessment conducted by the joint committee on capital review and issued in July, 1995.
F. The school facilities oversight board shall contract with one or more private building inspectors to complete an initial assessment of school facilities and equipment and shall inspect each school building in this state at least once every five years to ensure compliance with section 41-5711. A copy of the inspection report, together with any recommendations for building maintenance, shall be provided to the school facilities oversight board and the governing board of the school district.
G. The division or the board, as applicable, may consider appropriate combinations of facilities or uses in assessing and curing deficiencies pursuant to subsection A, paragraph 1 of this section and in certifying plans for new school facilities pursuant to subsection C, paragraph 2 of this section.
H. The board shall not award any monies to fund new facilities that are financed by class A bonds that are issued by the school district.
I. The board or the division shall not distribute monies to a school district for replacing or repairing facilities if the costs associated with the replacement or repair are covered by insurance or a performance or payment bond.
J. The division may contract for construction services and materials that are necessary to correct existing deficiencies in school district facilities. The division may procure the construction services necessary pursuant to this subsection by any method, including construction-manager-at-risk, design-build, design-bid-build or job-order-contracting as provided by chapter 23 of this title. The construction planning and services performed pursuant to this subsection are exempt from section 41-791.01.
K. The division may enter into agreements with school districts to allow division staff and contractors access to school property for the purposes of performing the construction services necessary pursuant to subsection J of this section.
L. Each school district shall develop routine preventive maintenance guidelines for its facilities. The guidelines shall include plumbing systems, electrical systems, heating, ventilation and air conditioning systems, special equipment and other systems and for roofing systems shall recommend visual inspections performed by district staff for signs of structural stress and weakness. The guidelines shall be submitted to the division for review and approval. If on inspection by the division it is determined that a school district facility was inadequately maintained pursuant to the school district's routine preventive maintenance guidelines, the school district shall return the building to compliance with the school district's routine preventive maintenance guidelines.
M. The board and the division may temporarily transfer monies, or, if applicable, the board may direct the division to transfer monies, between the emergency deficiencies correction fund established by section 41-5721 and the new school facilities fund established by section 41-5741 if all of the following conditions are met:
1. The transfer is necessary to avoid a temporary shortfall in the fund into which the monies are transferred.
2. The transferred monies are restored to the fund where the monies originated as soon as practicable after the temporary shortfall in the other fund has been addressed.
3. The board and the division report to the joint committee on capital review the amount of and the reason for any monies transferred.
N. After notifying each school district, and if a written objection from the school district is not received by the board or the division within thirty days after the notification, the board or the division may access public utility company records of power, water, natural gas, telephone and broadband usage to assemble consistent and accurate data on utility consumption at school facilities to determine the effectiveness of facility design, operation and maintenance measures intended to reduce energy and water consumption and costs. Any public utility that provides service to a school district in this state shall provide the data requested by the board or the division pursuant to this subsection.
O. The division or the board shall not require a common school district that provides instruction to pupils in grade nine to obtain approval from the division or the board to reconfigure its school facilities. A common school district that provides instruction to pupils in grade nine is not entitled to additional monies from the division or the board for facilities to educate pupils in grade nine.
P. A school district may appeal the denial of a request for monies pursuant to this chapter or any other appealable agency action by the division or the board pursuant to chapter 6, article 10 of this title. For the purposes of this subsection, "appealable agency action" has the same meaning prescribed in section 41-1092.END_STATUTE
Sec. 13. Board of massage therapy; reports; delayed repeal
A. On or before December 31, 2026, the board of massage therapy shall prepare and submit a report to the president of the senate and the speaker of the house of representatives, and submit a copy to the secretary of state, that details all of the following:
1. The state's role in expediting background checks.
2. The board of massage therapy's data on the effectiveness of the information technology project that was implemented in February 2025.
3. Data on whether an establishment license should be required in this state as a tool to eliminate sex trafficking.
B. In fulfilling the board of massage therapy's reporting requirements under subsection A of this section, the board of massage therapy shall collect:
1. Comparable data points between any previous technology and the new technology solution implemented in February 2025.
2. Feedback from stakeholders, licensed massage therapists throughout this state, local law enforcement agencies and victims' services advocates to make any recommended change to the structure of the board of massage therapists or to implement any additional licensure types.
C. On or before March 1, 2026, the board shall provide a report and presentation to the health and human services committees of the senate and the house of representatives, or their successor committees, on the board's progress on the report required by subsection A of this section.
D. This section is repealed from and after June 30, 2027.
Sec. 14. Board of massage therapy; acting director
Until the committee on executive director selection and retention established by section 32-3253, Arizona Revised Statutes, as amended by this act, appoints an executive director of the board of behavioral health examiners pursuant to section 32-3255, Arizona Revised Statutes, as amended by this act, the current executive director of the board of behavioral health examiners serves as the director of the board of massage therapy.
Sec. 15. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the board of massage therapy to promote the safe practice of massage therapy by qualified professionals in this state.
Sec. 16. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the Arizona criminal justice commission to provide a cooperative exchange of information and analysis of issues relating to criminal justice and law enforcement among different public and private agencies.
Sec. 17. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the board of executive clemency to recommend and grant commutations, pardons, reprieves and absolute discharge and to grant or revoke paroles.
Sec. 18. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the Arizona exposition and state fair board to:
1. Maintain the state fairgrounds and Arizona veterans memorial coliseum facilities in good condition and use these facilities for the enjoyment of the people of this state.
2. Direct and conduct state fairs, exhibits, contests and entertainments for the purpose of advancing the interests of this state and the counties of this state.
3. Generate sufficient monies to defray the operating expenses of the state fairgrounds and the Arizona veterans memorial coliseum.
Sec. 19. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the property tax oversight commission to provide oversight of the budgeting and taxation process of counties, municipalities, school districts and community college districts.
Sec. 20. Purpose
Pursuant to section 412955, subsection B, Arizona Revised Statutes, the legislature continues the school facilities oversight board to evaluate the capital needs of school districts and to distribute monies to school districts to cure existing deficiencies and to provide for building renewal and the construction of new facilities.
Sec. 21. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the governor's regulatory review council to review and approve or reject rules, preambles, economic, small business and consumer impact statements and summary rule packages that are submitted by agencies.
Sec. 22. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the board of respiratory care examiners to regulate the practice of respiratory care for the public health, safety and welfare.
Sec. 23. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the Arizona board of osteopathic examiners in medicine and surgery to regulate the practice of osteopathic medicine for the public health, safety and welfare.
Sec. 24. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the board of behavioral health examiners to promote the safe and professional practice of behavioral health services.
Sec. 25. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the state board of dental examiners to promote the safe and professional practice of dentistry in this state.
Sec. 26. Purpose
Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the department of insurance and financial institutions to administer this state's insurance and financial institution laws, protect the citizens of this state who purchase insurance or transact business with state financial institutions, provide a better response to the needs of persons who purchase insurance or transact business with state financial institutions, stimulate the insurance and state financial institutions market by encouraging competition, protect the public from unregulated insurers and financial institutions and represent insurance consumers' and state financial institutions consumers' interests.
Sec. 27. Retention of members
Notwithstanding section 41-2404, Arizona Revised Statutes, as amended by this act, all persons serving as members of the Arizona criminal justice commission on the effective date of this act may continue to serve until the expiration of their normal terms. All subsequent appointments shall be as prescribed by statute.
Sec. 28. Retention of members
Notwithstanding section 41-1051, Arizona Revised Statutes, as amended by this act, all persons serving as members of the governor's regulatory review council on the effective date of this act may continue to serve until the expiration of their normal terms. All subsequent appointments shall be as prescribed by statute.
Sec. 29. Intent
The legislature intends that the school facilities oversight board provide only one estimate of projected enrollment, and the associated costs, to the legislature for the purposes of section 41-5741, Arizona Revised Statutes.
Sec. 30. Retroactivity
Sections 10 and 11 of this act are effective retroactively to from and after July 1, 2025.
Sec. 31. Emergency
This act is an emergency measure that is necessary to preserve the public peace, health or safety and is operative immediately as provided by law.
APPROVED BY THE GOVERNOR JUNE 27, 2025.
FILED IN THE OFFICE OF THE SECRETARY OF STATE JUNE 27, 2025.