Arizona 2022 2022 Regular Session

Arizona House Bill HB2067 Comm Sub / Analysis

Filed 02/11/2022

                      	HB 2067 
Initials SJ 	Page 1 	Caucus & COW 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-fifth Legislature 
Second Regular Session 
House: GE DPA 12-0-0-1 
 
HB 2067: county improvement districts; recreation; governance 
Sponsor: Representative Blackman, LD 6 
Caucus & COW 
Overview 
Allows, as session law, the Board of Supervisors (BOS) of a county with a county improvement 
district providing recreational improvements to provide governance by a separately elected board 
of directors. 
History 
An improvement district is authorized to be established in an unincorporated area by the county 
BOS for the purpose of constructing and operating a wastewater treatment facility and making 
other local improvements or acquisitions in the district as permitted by statute (A.R.S. § 48-902). 
Current law allows a petition to be addressed to the county BOS that requests the establishment 
of an improvement district to be filed with the clerk of the BOS if it is signed by a majority of the 
people owning real property or by the owners of 51% or more of the real property within the 
proposed district.  The petition must set forth the following regarding the proposed district: 
1) The name; 
2) The necessity for the proposed district; 
3) That the public convenience will be promoted by the establishment of the district; 
4) The boundaries; and 
5) A general outline of the proposed improvement (A.R.S. § 48-903). 
Provisions 
1. Authorizes the BOS of a county with a county improvement district that provides recreational 
improvements to provide for the district to be governed by a separately elected three-member 
or five-member board of directors (board). (Sec. 1) 
2. Directs the BOS, after public notice and a hearing on the matter, to adopt a resolution that 
specifies the public benefit, powers and duties of the separately governed district and 
describes the boundaries of the district. (Sec. 1) 
3. Specifies that the governance change is effective on adoption of the resolution and 
appointment by the BOS of the initial members of the board. (Sec. 1) 
4. Requires the subsequent directors, after the initial members appointed by the BOS, to be 
elected by the qualified electors of the district. (Sec. 1) 
5. Outlines the terms of office for the initial directors of the board and their successors and 
requires an annual election by the board of a chairperson from among its members. (Sec. 1) 
6. Prescribes the procedures for filling a vacancy on the district board that occurs due to disability 
or any other cause other than resignation. (Sec. 1) 
7. Describes the process for the BOS if only one person or no person files a nominating petition 
for election to fill a position on the board of the district. (Sec. 1)    	HB 2067 
Initials SJ 	Page 2 	Caucus & COW 
8. States that the newly created board has the powers granted to a district pursuant to statute 
relating to county improvement districts. (Sec. 1) 
9. Outlines the notification requirements and cost allocations for additions to and alterations of 
the boundaries of the district. (Sec. 1) 
10. Requires the board to appoint a clerk and make known an office and mailing address for the 
clerk. (Sec. 1) 
11. Lists the records that the district must keep and have open to public inspection. (Sec. 1) 
12. Stipulates that the board must comply with statutes relating to public meetings and 
proceedings and that the board members are considered public officers for the purposes of 
statute relating to conflict of interest. (Sec. 1) 
13. Specifies that the district board must submit the district's budget annually to the BOS, who 
has veto authority, for approval if the board includes any initial members who were appointed 
by the BOS. (Sec. 1) 
14. Provides that if the board is elected, the BOS may review and comment on financial 
transactions but does not have veto authority. (Sec. 1) 
15. Prescribes the procedures and ability of a county BOS to revoke the authority of an elected 
board and specifies that the services provided by a county to a district are subject to 
reimbursement pursuant to statute. (Sec. 1) 
16. Maintains that the authority for a county BOS to provide for the separate governance of a 
district expires unless the county BOS adopts a resolution and appoints an initial board of a 
district on or before December 31, 2025. (Sec. 1) 
17. Defines board, clerk and district or county improvement district providing recreational 
improvements. (Sec. 1) 
18. Contains a repeal date of January 1, 2026. (Sec. 1) 
Amendments 
Committee on Government & Elections 
1. Specifies that the authority for a separately elected board of directors applies to a county with 
a population of less than 125,000 people. 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note