Arizona 2024 2024 Regular Session

Arizona House Bill HB2518 Comm Sub / Analysis

Filed 02/03/2024

                      	HB 2518 
Initials PB 	Page 1 	Commerce 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-sixth Legislature 
Second Regular Session 
 
 
HB 2518: municipalities; housing needs assessment; zoning 
Sponsor: Representative Gress, LD 4 
Committee on Commerce 
Overview 
Establishes requirements relating to zoning ordinances and an assessment and annual 
report regarding housing. 
History 
Statute authorizes municipalities to adopt zoning ordinances and codes to conserve and 
promote the public health, safety and general welfare and outlines zoning guidelines and 
requirements. Municipalities must adopt, by ordinance, a citizen review process that applies 
to all rezoning and specific plan applications that require a public hearing. If a municipality 
has a planning commission or a hearing officer, the commission or officer must hold a public 
hearing on any zoning ordinance. At least 15 days before the hearing, a notice of the hearing 
must be published at least once in a newspaper of general circulation in the municipality or 
posted on the affected property in a manner as to be legible from the public right-of-way and 
printed so that the word "zoning" is visible from a distance of 100 feet. 
Municipalities, by ordinance, must establish a zoning administrator office which is 
responsible for zoning ordinance enforcement. Appeals on decisions of the zoning 
administrator are heard and decided on by a municipal board of adjustment. Notices of 
hearings of the adjustment board must be published in a newspaper of general circulation in 
the municipality and posted in conspicuous places close to the affected property (Title 9, Ch.4, 
Art. 6.1, A.R.S.). 
Municipalities are statutory required to have in place an overall time frame for issuing 
licenses during which the municipality will either grant or deny each type of license that it 
issues.  The overall time frame for each license type must separately state the administrative 
completeness review and the substantive review time frame. The municipality must issue a 
notice of administrative completeness or deficiencies to a license applicant within the 
administrative completeness review time frame. If the municipality does not issue a notice of 
administrative completeness or deficiencies within the time frame, the application for the 
license is deemed administratively complete.  If the municipality issues a timely notice of 
deficiencies, an application is not complete until all required information has been received 
by the municipality (A.R.S. § 9-835). 
Provisions 
Zoning Ordinance Amendment 
1. Instructs a municipality, by January 1, 2025, to adopt an amendment to the zoning 
ordinance that requires the determination of whether a zoning application is 
administratively complete within 30 after receiving the application. (Sec. 3) 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note    	HB 2518 
Initials PB 	Page 2 	Commerce 
2. Stipulates the municipality that determines the application is not administratively 
complete must follow the statutory procedures relating to administrative completeness 
for licensure until the application is administratively complete. (Sec. 3) 
3. Instructs a municipality to determine whether a resubmitted application is 
administratively complete within 15 days after receiving the resubmitted application. 
(Sec. 3) 
4. Requires the municipality to approve or deny the application within 180 days after 
determining that the application is administratively complete. (Sec. 3) 
5. Provides reasons for which a municipality may extend the time frame to approve or deny 
the request beyond 180 days. (Sec. 3) 
6. Specifies the requirements for a zoning ordinance amendment do not apply to: 
a) land that is designated as a district of historical significance: 
b) an area that is designated as historic on the national register of historic places; or 
c) planned area developments. (Sec. 3) 
Housing Needs Assessment; Annual Report 
7. Instructs a municipality, beginning January 1, 2025, and every five years thereafter, to 
publish a housing needs assessment. (Sec. 4) 
8. Outlines information that the housing needs assessment must include. (Sec. 4) 
9. Instructs a municipality, beginning January 1, 2025, to submit an annual report to the 
Arizona Department of Housing which accounts for the total number of: 
a) proposed residential housing units submitted to the municipality; 
b) net new residential housing units submitted to the municipality; and 
c) new residential housing units that are entitled, platted, permitted and have received 
a certificate of occupancy. (Sec. 4) 
10. Outlines information that must be included in the annual report. (Sec. 4) 
11. Requires a municipality that has previously conducted a housing needs assessment report 
to amend the report to include the required information as outlined. (Sec. 4) 
12. Exempts a municipality from the requirement to fulfill certain required projections in the 
housing needs assessment. (Sec. 4) 
13. Exempts a municipality from the housing needs assessment and annual reporting 
requirements that is located on tribal land or has a population of less than 30,000 persons. 
(Sec. 4) 
Miscellaneous 
14. Removes the requirement for a public hearing notice to be published at least once in a 
newspaper of general circulation in the municipality. (Sec. 1) 
15. Removes the requirement for a municipality's board of adjustment to give notice of the 
hearing by publication in a newspaper of general circulation in the municipality. (Sec. 2)