Arizona 2023 2023 Regular Session

Arizona Senate Bill SB1535 Comm Sub / Analysis

Filed 02/13/2023

                      	SB 1535 
Initials AF 	Page 1 	Transmitted 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-sixth Legislature 
First Regular Session 
Senate: APPROP DP 6-4-0-0 | 3
rd
 Read 16-14-0-0 
House: 3
rd
 Read 31-27-2-0 
 
SB 1535: transportation; 2023-2024. (Substituted for HB 2582) 
Sponsor: Senator Kavanagh, LD 3 
Transmitted to the Governor 
Overview 
Contains provisions relating to transportation needed to implement the FY 2024 budget. 
History 
The Arizona Department of Transportation (ADOT) was established in 1973 to provide for an 
integrated and balanced state transportation system with a director responsible for the 
department's administration (A.R.S. § 28-331). The footnote that ADOT report to the Joint 
Legislative Budget Committee (JLBC) on Motor Vehicle Division (MVD) wait times and vehicle 
registration turnaround times has been included since at least the FY 2007 General 
Appropriations Act (Laws 2006, Ch. 344). Beginning with the FY 2017 General Appropriations Act 
(Laws 2016, Ch. 117), ADOT has been required to submit reports on fees retained by an 
authorized third-party electronic service partner. 
The Highway User Revenue Fund (HURF) receives monies from transportation-related licenses, 
such as driver's license revenue, taxes such as the motor vehicle tax and vehicle license tax, and 
fees (A.R.S. § 28-6533). HURF revenues are then distributed to the State Highway Fund and to 
political subdivisions for highway purposes. 
Provisions 
1. Converts the session law requirement that ADOT submit the following annual reports to the 
JLBC into statutory law: 
a) Progress in improving MVD wait times and vehicle registration renewal by mail turnaround 
times by July 31; 
b) Expenditures for an information technology system using ADOT's dedicated portion of an 
authorized third-party electronic service partner's fee retention by February 1; and 
c) ADOT's share of fees retained in the prior fiscal year by an authorized third-party electronic 
service partner by August 1. (Sec. 1) 
2. Prohibits the use of HURF monies for projects that reduce the capacity for motor vehicle travel.  
(Sec. 2, 3) 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note