Arizona 2024 Regular Session

Arizona Senate Bill SB1338 Compare Versions

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1-Senate Engrossed Pacific conflict; committee; audits State of Arizona Senate Fifty-sixth Legislature Second Regular Session 2024 SENATE BILL 1338 An Act amending section 41-101, Arizona Revised Statutes; relating to public safety. (TEXT OF BILL BEGINS ON NEXT PAGE)
1+REFERENCE TITLE: Pacific conflict; committee; audits State of Arizona Senate Fifty-sixth Legislature Second Regular Session 2024 SB 1338 Introduced by Senators Carroll: Borrelli, Gowan, Kerr, Shamp; Representatives Bliss, Payne, Pea An Act amending section 41-101, Arizona Revised Statutes; relating to public safety. (TEXT OF BILL BEGINS ON NEXT PAGE)
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63- Be it enacted by the Legislature of the State of Arizona: Section 1. Section 41-101, Arizona Revised Statutes, is amended to read: START_STATUTE41-101. Powers and duties; attestation of acts of governor; salary A. The governor has the powers and shall perform the duties as prescribed in this article. The governor: 1. Shall supervise the official conduct of all executive and ministerial officers. 2. Shall see that all offices are filled and the duties performed or, in default, invoke such remedy as the law allows. 3. Shall appoint a private secretary to the governor and shall appoint all officers of this state not made elective, unless otherwise provided. 4. Notwithstanding section 38-211, shall appoint the lieutenant governor to serve as the governor's chief of staff or the director of the Arizona department of administration or to fill any position for which the governor is otherwise authorized by law to make an appointment. 5. Shall be the sole official means of communication between this state and the government of any other state or the United States. 6. Shall produce and publish a state risk assessment not later than the day before the governor's annual address made to the state Legislature. The state risk assessment shall: (a) Include: (i) All substantial risks to state or national security, state or national economic security, state or national public health or any combination of those matters, occurring within and threatening this state. (ii) An analysis of the probability and severity of the consequences associated with each risk scenario. (b) identify all threats and hazards that could negatively impact the citizens and assets of this state. 6. 7. May direct the attorney general to appear on behalf of this state when any action or legal proceeding is pending that affects the title of this state to any property or that may result in a claim against this state. 7. 8. May require the attorney general, or any county attorney, to inquire into the affairs or management of any corporation doing business in this state. 8. 9. May require the attorney general to aid a county attorney in the discharge of his duties. 9. 10. May offer rewards for escaped insane persons, not exceeding five hundred dollars $500. 10. 11. May require any officer or board to make special reports to him on demand in writing. 11. 12. May convene the legislature at some other place when the seat of government becomes dangerous from disease or a common enemy. 12. 13. May enter into intergovernmental agreements with officers, agencies or departments of the United States to provide funding or other resources available from any related state agency, board or commission for the purpose of operating federal parks located in this state during any period when such parks would otherwise be subject to shutdown due to a lack of federal appropriation and as deemed necessary to promote tourism, this state's economic well-being, or the health, safety or welfare of the state's citizens. The governor shall not provide general fund appropriations from any related state agency, board or commission to operate a federal park pursuant to this paragraph for more than twenty-one days without the approval of the legislature. The joint legislative budget committee shall review any expenditure of funds monies or other resources pursuant to this paragraph. 13. 14. Has such powers and shall perform such other duties as devolve on him by law. B. All official acts of the governor, except approval of the laws, shall be attested by the secretary of state. C. The governor is eligible to receive an annual salary pursuant to section 41-1904. D. Before an individual is hired as an employee of the office of the governor, that individual shall submit a full set of fingerprints to the governor for the purpose of obtaining a state and federal criminal records check pursuant to section 41-1750 and Public Law 92-544. The department of public safety may exchange this fingerprint data with the federal bureau of investigation. END_STATUTE Sec. 2. Bipartisan select committee on Pacific conflict; powers and duties; annual report; confidentiality; delayed repeal; definitions A. It is the policy of this state to: 1. Support the civilian and military command of the United States of America and its efforts to promote and maintain prosperity, peace and security for the United States and the United States of America's allies. 2. Enhance the defensive posture of this state to protect the citizens and assets of this state and to contribute to the defensive posture of the United States of America by reducing security vulnerabilities within this state. 3. Exercise foresight and make reasonable preparations for a potential regional or global conflict centered in the Pacific that could involve attacks on the United States of America and the United States of America's allies in the Pacific, could involve asymmetrical attacks on the United States of America and could cause the disruption or complete severing of supply chains between this state, its vendors and other countries in the Pacific. B. The bipartisan select committee on Pacific conflict is established consisting of the following members: 1. The director of the department of public safety or the director's designee. 2. The adjutant general of the department of emergency and military affairs or the adjutant general's designee, who shall serve as the chairperson. 3. Two members of the senate, one of whom is appointed by the president of the senate and one of whom is appointed by the senate minority leader with approval of the president of the senate. 4. Two members of the house of representatives, one of whom is appointed by the speaker of the house of representatives and one of whom is appointed by the house minority leader with approval of the speaker of the house of representatives. 5. Five members who are appointed by the governor in consultation with the chairperson. These members shall provide expertise and collaborative research support to the committee. C. Appointments for the committee shall be made within sixty days after the effective date of this section. D. The committee's first meeting shall occur within ninety days after the effective date of this section. The committee shall meet at least once every three months, with additional regular meetings at the call of the majority of the committee and emergency meetings at the call of the chairperson or the governor. The committee is exempt from title 38, chapter 3, article 3.1, Arizona Revised Statutes. E. Members of the committee are not eligible to receive compensation but are eligible to receive reimbursement for expenses pursuant to title 38, chapter 4, article 2, Arizona Revised Statutes. F. The committee may: 1. Request testimony and evidence from witnesses material to the performance of the committee's duties or the exercise of its powers. 2. Request the production of any books, papers, records or other items material to the performance of the committee's duties or the exercise of its powers. 3. Consult experts. 4. Conduct field investigations. 5. Hold public hearings. 6. Conduct private hearings, but only to the extent necessary. 7. Request the cooperation of agencies in this state and nongovernmental organizations that are critical to the safety and security of this state to carry out the duties of the committee. 8. Coordinate with universities in this state, private firms specializing in infrastructure risk management and federal agencies, including the United States department of defense, the cybersecurity and infrastructure security agency, the national intelligence agency, the national security agency and the United States department of homeland security, to assess any risks in this state. G. The committee shall: 1. Apply for preparedness grants through the federal emergency management agency. 2. Identify all critical infrastructure and other assets within this state that could be targeted by malicious actions by adversarial nations in the event of a Pacific conflict and that would result in a significant negative impact on the public health, safety, economic security or physical security of this state and the nation. 3. On or before December 31 of each year, provide an annual report to the governor, the president of the senate and the speaker of the house of representatives summarizing the committee's findings and recommendations and any threats posed to this state in the event of a Pacific conflict. The report shall: (a) Provide a comprehensive risk assessment, including all identified vulnerabilities and recommendations for emergency response strategies for all of the following areas: (i) Critical infrastructure. (ii) Telecommunications infrastructure. (iii) Military installations located within this state. (iv) State supply chain for critical procurements. (v) State vendor supply chain for critical procurements. (vi) State cybersecurity. (vii) Public health, safety and security in this state. (b) Include both of the following: (i) Mitigation strategies and suggestions to limit or eliminate the risk posed to the critical infrastructure or other assets in the event of a Pacific conflict and mitigation strategies and suggestions that limit or eliminate the risk posed to the safety and security of this state or nation in the event of a Pacific conflict. (ii) A risk-based list of components determined by the degree at which the sourcing of each component is at risk of disruption or restriction, the degree to which the disruption or restriction of sourcing would cause a debilitating effect on the safety and security of this state and the nation and the difficulty in identifying alternative manufacturers for sourcing or supply chain delivery for the component. H. Before receiving the report required by subsection G of this section, each recipient of the report shall develop confidentiality protocols, in consultation with the chairperson of the committee, for the maintenance and use of the report to ensure the confidentiality of the report and all information contained in the report. The confidentiality protocols are binding on the recipient that issues the protocols and anyone to whom the recipient shows a copy of the report. The report and any information contained or used in its preparation are exempt from and shall not be made available pursuant to title 39, chapter 1, article 2, Arizona Revised Statutes. The chairperson shall also develop protocols for the committee related to the maintenance and use of the report to ensure the confidentiality of the report and all information contained in the report. I. This section is repealed from and after December 31, 2028. J. For the purposes of this section: 1. "Critical infrastructure": (a) Means systems and assets, whether physical or virtual, that are so vital to this state and the United States that the incapacity or destruction of those systems and assets would have a debilitating impact on security, economic security, public health or safety. (b) Includes: (i) Gas and oil production, storage or delivery systems. (ii) Water supply refinement, storage or delivery systems. (iii) Electrical power delivery systems. (iv) Telecommunications networks. (v) Transportation systems and services. (vi) Personal data or otherwise classified information storage systems, including cybersecurity. 2. "Critical procurements" means acquisitions made by this state, any agency or political subdivision of this state or any private nongovernmental organization critical to the proper functioning of critical infrastructure or to the health, safety or security of this state or the United States. 3. "Pacific conflict": (a) Means a declared war or armed conflict between the United States or any of the allies of the United States and another nation that occurs on land or sea or in the air in the Pacific Ocean and threatens or could reasonably escalate to threaten the supply chains, critical infrastructure, safety or security of this state or the United States. (b) Includes a serious deterioration of diplomatic ties or economic engagement between the United States or the allies of the United States and another nation that threatens the status quo of Pacific trade, travel and military operations or exercises. 4. "State supply chain" means the end-to-end process for shipping goods, purchased by this state or shipped to this state, beginning at the point of origin through a point or points of distribution to the destination. 5. "State vendor supply chain" means the end-to-end process for shipping goods, purchased by this state from state vendors or shipped to the vendors, beginning at the point of origin through a point or points of distribution to the destination. Sec. 3. Audits; reporting requirements; confidentiality; delayed repeal; definitions A. The auditor general shall conduct an audit of all critical procurements purchased or supplied through a state supply chain or state vendor supply chain. The audit shall: 1. Identify the following: (a) All critical procurements produced in or by any of the following: (i) A foreign adversary. (ii) A state-owned enterprise of a foreign adversary. (iii) A company domiciled in a foreign adversary. (iv) A company owned by a company domiciled in a foreign adversary. (b) All critical procurements manufactured in countries or by companies at risk of disruption in the event of a Pacific conflict. (c) All critical procurements sourced from any country or company that uses a Pacific supply chain process at risk of disruption in the event of a Pacific conflict. 2. Include recommendations for alternative sourcing available, highlight any difficulties in identifying potential alternative sourcing and specify the level of risk to this state associated with such disruption in sourcing for each procurement that is threatened in the event of a Pacific conflict. B. On or before July 31, 2026, the auditor general shall submit its report of the audit conducted pursuant to subsection A of this section to the governor, the president of the senate and the speaker of the house of representatives. C. The auditor general shall conduct an audit of all monies managed by this state and any political subdivision of this state. The audit shall identify all of the following: 1. Investments that are at risk of substantially losing value or being frozen, seized or appropriated by foreign adversaries in the event of a Pacific conflict. 2. Investments in any arms industry of a foreign adversary. 3. Investments in state-owned enterprises of a foreign adversary. 4. Investments in companies domiciled within a foreign adversary or owned by a company domiciled within a foreign adversary. D. The audit shall also recommend strategies for the immediate and complete divestment of the assets identified pursuant to subsection C of this section. E. On or before July 31, 2026, the auditor general shall submit its report of the audit conducted pursuant to subsection C of this section to the governor, the president of the senate and the speaker of the house of representatives. F. Before receiving the reports required by subsections B and E of this section, each recipient of the report shall develop confidentiality protocols, in consultation with the chairperson of the bipartisan select committee on Pacific conflict established pursuant to section 2 of this act, for the maintenance and use of the report to ensure the confidentiality of the report and all information contained in the report. The confidentiality protocols are binding on the recipient that issues the protocols and anyone to whom the recipient shows a copy of the report. The report and any information contained or used in its preparation are exempt from and shall not be made available pursuant to title 39, chapter 1, article 2, Arizona Revised Statutes. G. This section is repealed from and after December 31, 2026. H. For the purposes of this section: 1. "Critical procurements" means acquisitions made by this state, any agency or political subdivision of this state or any private nongovernmental organization critical to the proper functioning of critical infrastructure or to the health, safety or security of this state or the United States. 2. "Pacific conflict": (a) Means a declared war or armed conflict between the United States or any of the allies of the United States and another nation that occurs on land or sea or in the air in the Pacific Ocean and threatens or could reasonably escalate to threaten the supply chains, critical infrastructure, safety or security of this state or the United States. (b) Includes a serious deterioration of diplomatic ties or economic engagement between the United States or the allies of the United States and another nation that threatens the status quo of Pacific trade, travel and military operations or exercises. 3. "State supply chain" means the end-to-end process for shipping goods, purchased by this state or shipped to this state, beginning at the point of origin through a point or points of distribution to the destination. 4. "State vendor supply chain" means the end-to-end process for shipping goods, purchased by this state from state vendors or shipped to the vendors, beginning at the point of origin through a point or points of distribution to the destination. Sec. 4. Effective date This act is effective from and after December 31, 2024. Sec. 5. Short title This act may be cited as the "Pacific Conflict Stress Test Act".
74+ Be it enacted by the Legislature of the State of Arizona: Section 1. Section 41-101, Arizona Revised Statutes, is amended to read: START_STATUTE41-101. Powers and duties; attestation of acts of governor; salary A. The governor has the powers and shall perform the duties as prescribed in this article. The governor: 1. Shall supervise the official conduct of all executive and ministerial officers. 2. Shall see that all offices are filled and the duties performed or, in default, invoke such remedy as the law allows. 3. Shall appoint a private secretary to the governor and shall appoint all officers of this state not made elective, unless otherwise provided. 4. Notwithstanding section 38-211, shall appoint the lieutenant governor to serve as the governor's chief of staff or the director of the Arizona department of administration or to fill any position for which the governor is otherwise authorized by law to make an appointment. 5. Shall be the sole official means of communication between this state and the government of any other state or the United States. 6. Shall produce and publish a state risk assessment not later than the day before the governor's annual address made to the state Legislature. The state risk assessment shall: (a) Include: (i) All substantial risks to state or national security, state or national economic security, state or national public health or any combination of those matters, occurring within and threatening this state. (ii) An analysis of the probability and severity of the consequences associated with each risk scenario. (b) identify all threats and hazards that could negatively impact the citizens and assets of this state. 6. 7. May direct the attorney general to appear on behalf of this state when any action or legal proceeding is pending that affects the title of this state to any property or that may result in a claim against this state. 7. 8. May require the attorney general, or any county attorney, to inquire into the affairs or management of any corporation doing business in this state. 8. 9. May require the attorney general to aid a county attorney in the discharge of his duties. 9. 10. May offer rewards for escaped insane persons, not exceeding five hundred dollars $500. 10. 11. May require any officer or board to make special reports to him on demand in writing. 11. 12. May convene the legislature at some other place when the seat of government becomes dangerous from disease or a common enemy. 12. 13. May enter into intergovernmental agreements with officers, agencies or departments of the United States to provide funding or other resources available from any related state agency, board or commission for the purpose of operating federal parks located in this state during any period when such parks would otherwise be subject to shutdown due to a lack of federal appropriation and as deemed necessary to promote tourism, this state's economic well-being, or the health, safety or welfare of the state's citizens. The governor shall not provide general fund appropriations from any related state agency, board or commission to operate a federal park pursuant to this paragraph for more than twenty-one days without the approval of the legislature. The joint legislative budget committee shall review any expenditure of funds monies or other resources pursuant to this paragraph. 13. 14. Has such powers and shall perform such other duties as devolve on him by law. B. All official acts of the governor, except approval of the laws, shall be attested by the secretary of state. C. The governor is eligible to receive an annual salary pursuant to section 41-1904. D. Before an individual is hired as an employee of the office of the governor, that individual shall submit a full set of fingerprints to the governor for the purpose of obtaining a state and federal criminal records check pursuant to section 41-1750 and Public Law 92-544. The department of public safety may exchange this fingerprint data with the federal bureau of investigation. END_STATUTE Sec. 2. Bipartisan select committee on pacific conflict; powers and duties; annual report; delayed repeal; definitions A. It is the policy of this state to: 1. Support the civilian and military command of the United States of America and its efforts to promote and maintain prosperity, peace and security for the United States and the United States of America's allies. 2. To enhance the defensive posture of this state to protect the citizens and assets of this state and to contribute to the defensive posture of the United States of America by reducing security vulnerabilities within this state. 3. To exercise foresight and make reasonable preparations for a potential regional or global conflict centered in the Pacific that could involve attacks on the United States of America and the United States of America's allies in the Pacific, could involve asymmetrical attacks on the United States of America and could cause the disruption or complete severing of supply chains between this state, its vendors and other countries in the Pacific. B. The bipartisan select committee on Pacific conflict is established consisting of the following members: 1. The chief executive officer of the Arizona commerce authority or the chief executive officer's designee. 2. The director of the department of public safety or the director's designee. 3. The adjutant general of the department of emergency and military affairs or the adjutant general's designee. 4. Two members of the senate, one of whom is appointed by the president of the senate and who serves as the cochairperson of the committee and one member who is appointed by the senate minority leader. 5. Two members of the house of representatives, one of whom is appointed by the speaker of the house of representatives and who serves as the cochairperson of the committee and one member who is appointed by the house minority leader. 6. Five nonvoting advisory members who are appointed by the cochairpersons of the committee and who are not counted for the purpose of determining a quorum. These members shall provide expertise and collaborative research support to the committee. C. Appointments for the committee shall be made within sixty days after the effective date of this section. D. The committee's first meeting shall occur within ninety days after the effective date of this section. The committee shall meet at least once every three months, with additional regular meetings at the call of the majority of the committee and emergency meetings at the call of the cochairpersons or the governor. E. Members of the committee are not eligible to receive compensation but are eligible to receive reimbursement for expenses pursuant to title 38, chapter 4, article 2, Arizona Revised Statutes. Voting members of the committee shall serve six-year terms. F. The committee may: 1. Subpoena witnesses, compel their attendance and testimony, administer oaths and affirmations, take evidence and require by subpoena the production of any books, papers, records or other items material to the performance of the committee's duties or the exercise of its powers. 2. Consult experts. 3. Conduct field investigations. 4. Hold public hearings. 5. Conduct private hearings, but only to the extent necessary. 6. Compel the cooperation of agencies in this state and nongovernmental organizations that are critical to the safety and security of this state to carry out the duties of the committee. 7. Coordinate with universities in this state, private firms specializing in infrastructure risk management and federal agencies, including the United States department of defense, the cybersecurity and infrastructure security agency, the national intelligence agency, the national security agency and the United States department of homeland security, to assess any risks in this state. G. The committee shall: 1. Identify all critical infrastructure and other assets within this state that could be targeted by malicious actions by adversarial nations in the event of a Pacific conflict and that would result in a significant negative impact on the public health, safety, economic security or physical security of this state and the nation. 2. On or before December 31 of each year, provide an annual report to the governor, the president of the senate and the speaker of the house of representatives summarizing the committee's findings and recommendations and any threats posed to this state in the event of a Pacific conflict. The report shall: (a) Provide a comprehensive risk assessment, including all identified vulnerabilities and recommendations for emergency response strategies for all of the following areas: (i) Critical infrastructure. (ii) Telecommunications infrastructure. (iii) Military installations located within this state. (iv) State supply chain for critical procurements. (v) State vendor supply chain for critical procurements. (vi) State cybersecurity. (vii) Public health, safety and security in this state. (b) Include both of the following: (i) Mitigation strategies and suggestions to limit or eliminate the risk posed to the critical infrastructure or other assets in the event of a Pacific conflict and mitigation strategies and suggestions that limit or eliminate the risk posed to the safety and security of this state or nation in the event of a Pacific conflict. (ii) A risk-based list of components determined by the degree at which the sourcing of each component is at risk of disruption or restriction, the degree to which the disruption or restriction of sourcing would cause a debilitating effect on the safety and security of this state and the nation and the difficulty in identifying alternative manufacturers for sourcing or supply chain delivery for the component. H. This section is repealed from and after December 31, 2027. I. For the purposes of this section: 1. "Critical infrastructure": (a) Means systems and assets, whether physical or virtual, that are so vital to this state and the United States that the incapacity or destruction of those systems and assets would have a debilitating impact on security, economic security, public health or safety. (b) Includes: (i) Gas and oil production, storage or delivery systems. (ii) Water supply refinement, storage or delivery systems. (iii) Electrical power delivery systems. (iv) Telecommunications networks. (v) Transportation systems and services. (vi) Personal data or otherwise classified information storage systems, including cybersecurity. 2. "Critical procurements" means acquisitions made by this state, any agency or political subdivision of this state or any private nongovernmental organization critical to the proper functioning of critical infrastructure or to the health, safety or security of this state or the United States. 3. "Pacific conflict": (a) Means a declared war or armed conflict between the United States or any of the allies of the United States and another nation that occurs on land or sea or in the air in the Pacific Ocean and threatens or could reasonably escalate to threaten the supply chains, critical infrastructure, safety or security of this state or the United States. (b) Includes a serious deterioration of diplomatic ties or economic engagement between the United States or the allies of the United States and another nation that threatens the status quo of Pacific trade, travel and military operations or exercises. 4. "State supply chain" means the end-to-end process for shipping goods, purchased by this state or shipped to this state, beginning at the point of origin through a point or points of distribution to the destination. 5. "State vendor supply chain" means the end-to-end process for shipping goods, purchased by this state from state vendors or shipped to the vendors, beginning at the point of origin through a point or points of distribution to the destination. Sec. 3. Audits; reporting requirements; delayed repeal; definitions A. The chief executive officer of the Arizona commerce authority shall conduct an audit of all critical procurements purchased or supplied through a state supply chain or state vendor supply chain and shall submit, within one hundred eighty days after the effective date of this section, a report to the governor, the president of the senate and the speaker of the house of representatives and the secretary of state and shall make the report accessible to the public. The report shall: 1. Identify the following: (a) All critical procurements produced in or by any of the following: (i) A foreign adversary. (ii) A state-owned enterprise of a foreign adversary. (iii) A company domiciled in a foreign adversary. (iv) A company owned by a company domiciled in a foreign adversary. (b) All critical procurements manufactured in countries or by companies at risk of disruption in the event of a Pacific conflict. (c) All critical procurements sourced from any country or company that uses a Pacific supply chain process at risk of disruption in the event of a Pacific conflict. 2. Include recommendations for alternative sourcing available, highlight any difficulties in identifying potential alternative sourcing and specify the level of risk to this state associated with such disruption in sourcing for each procurement that is threatened in the event of a Pacific conflict. B. On or before July 31, 2025, the chief executive officer of the Arizona commerce authority shall submit its report of the audit to the governor, the president of the senate and the speaker of the house of representatives and provide a copy of this report to the secretary of state. C. The state treasurer shall conduct an audit of all monies managed by this state and any political subdivision of this state and produce and submit, within one hundred eighty days after the effective date of this section, a report to the governor, the president of the senate and the speaker of the house or representatives and the secretary of state and shall make the report accessible to the public. The report shall identify all of the following: 1. Investments that are at risk of substantially losing value or being frozen, seized or appropriated by foreign adversaries in the event of a Pacific conflict. 2. Investments in any arms industry of a foreign adversary. 3. Investments in state-owned enterprises of a foreign adversary. 4. Investments in companies domiciled within a foreign adversary or owned by a company domiciled within a foreign adversary. D. The audit shall also recommend strategies for the immediate and complete divestment of the assets identified pursuant to subsection C of this section. E. On or before July 31, 2025, the state treasurer shall submit its report of the audit to the governor, the president of the senate and the speaker of the house of representatives and provide a copy of this report to the secretary of state. F. This section is repealed from and after December 31, 2025. G. For the purposes of this section: 1. "Critical procurements" means acquisitions made by this state, any agency or political subdivision of this state or any private nongovernmental organization critical to the proper functioning of critical infrastructure or to the health, safety or security of this state or the United States. 2. "Pacific conflict": (a) Means a declared war or armed conflict between the United States or any of the allies of the United States and another nation that occurs on land or sea or in the air in the Pacific Ocean and threatens or could reasonably escalate to threaten the supply chains, critical infrastructure, safety or security of this state or the United States. (b) Includes a serious deterioration of diplomatic ties or economic engagement between the United States or the allies of the United States and another nation that threatens the status quo of Pacific trade, travel and military operations or exercises. 3. "State supply chain" means the end-to-end process for shipping goods, purchased by this state or shipped to this state, beginning at the point of origin through a point or points of distribution to the destination. 4. "State vendor supply chain" means the end-to-end process for shipping goods, purchased by this state from state vendors or shipped to the vendors, beginning at the point of origin through a point or points of distribution to the destination. Sec. 4. Short title This act may be cited as the "Pacific Conflict Stress Test Act".
6475
6576 Be it enacted by the Legislature of the State of Arizona:
6677
6778 Section 1. Section 41-101, Arizona Revised Statutes, is amended to read:
6879
6980 START_STATUTE41-101. Powers and duties; attestation of acts of governor; salary
7081
7182 A. The governor has the powers and shall perform the duties as prescribed in this article. The governor:
7283
7384 1. Shall supervise the official conduct of all executive and ministerial officers.
7485
7586 2. Shall see that all offices are filled and the duties performed or, in default, invoke such remedy as the law allows.
7687
7788 3. Shall appoint a private secretary to the governor and shall appoint all officers of this state not made elective, unless otherwise provided.
7889
7990 4. Notwithstanding section 38-211, shall appoint the lieutenant governor to serve as the governor's chief of staff or the director of the Arizona department of administration or to fill any position for which the governor is otherwise authorized by law to make an appointment.
8091
8192 5. Shall be the sole official means of communication between this state and the government of any other state or the United States.
8293
8394 6. Shall produce and publish a state risk assessment not later than the day before the governor's annual address made to the state Legislature. The state risk assessment shall:
8495
8596 (a) Include:
8697
8798 (i) All substantial risks to state or national security, state or national economic security, state or national public health or any combination of those matters, occurring within and threatening this state.
8899
89100 (ii) An analysis of the probability and severity of the consequences associated with each risk scenario.
90101
91102 (b) identify all threats and hazards that could negatively impact the citizens and assets of this state.
92103
93104 6. 7. May direct the attorney general to appear on behalf of this state when any action or legal proceeding is pending that affects the title of this state to any property or that may result in a claim against this state.
94105
95106 7. 8. May require the attorney general, or any county attorney, to inquire into the affairs or management of any corporation doing business in this state.
96107
97108 8. 9. May require the attorney general to aid a county attorney in the discharge of his duties.
98109
99110 9. 10. May offer rewards for escaped insane persons, not exceeding five hundred dollars $500.
100111
101112 10. 11. May require any officer or board to make special reports to him on demand in writing.
102113
103114 11. 12. May convene the legislature at some other place when the seat of government becomes dangerous from disease or a common enemy.
104115
105116 12. 13. May enter into intergovernmental agreements with officers, agencies or departments of the United States to provide funding or other resources available from any related state agency, board or commission for the purpose of operating federal parks located in this state during any period when such parks would otherwise be subject to shutdown due to a lack of federal appropriation and as deemed necessary to promote tourism, this state's economic well-being, or the health, safety or welfare of the state's citizens. The governor shall not provide general fund appropriations from any related state agency, board or commission to operate a federal park pursuant to this paragraph for more than twenty-one days without the approval of the legislature. The joint legislative budget committee shall review any expenditure of funds monies or other resources pursuant to this paragraph.
106117
107118 13. 14. Has such powers and shall perform such other duties as devolve on him by law.
108119
109120 B. All official acts of the governor, except approval of the laws, shall be attested by the secretary of state.
110121
111122 C. The governor is eligible to receive an annual salary pursuant to section 41-1904.
112123
113124 D. Before an individual is hired as an employee of the office of the governor, that individual shall submit a full set of fingerprints to the governor for the purpose of obtaining a state and federal criminal records check pursuant to section 41-1750 and Public Law 92-544. The department of public safety may exchange this fingerprint data with the federal bureau of investigation. END_STATUTE
114125
115-Sec. 2. Bipartisan select committee on Pacific conflict; powers and duties; annual report; confidentiality; delayed repeal; definitions
126+Sec. 2. Bipartisan select committee on pacific conflict; powers and duties; annual report; delayed repeal; definitions
116127
117128 A. It is the policy of this state to:
118129
119130 1. Support the civilian and military command of the United States of America and its efforts to promote and maintain prosperity, peace and security for the United States and the United States of America's allies.
120131
121-2. Enhance the defensive posture of this state to protect the citizens and assets of this state and to contribute to the defensive posture of the United States of America by reducing security vulnerabilities within this state.
132+2. To enhance the defensive posture of this state to protect the citizens and assets of this state and to contribute to the defensive posture of the United States of America by reducing security vulnerabilities within this state.
122133
123-3. Exercise foresight and make reasonable preparations for a potential regional or global conflict centered in the Pacific that could involve attacks on the United States of America and the United States of America's allies in the Pacific, could involve asymmetrical attacks on the United States of America and could cause the disruption or complete severing of supply chains between this state, its vendors and other countries in the Pacific.
134+3. To exercise foresight and make reasonable preparations for a potential regional or global conflict centered in the Pacific that could involve attacks on the United States of America and the United States of America's allies in the Pacific, could involve asymmetrical attacks on the United States of America and could cause the disruption or complete severing of supply chains between this state, its vendors and other countries in the Pacific.
124135
125136 B. The bipartisan select committee on Pacific conflict is established consisting of the following members:
126137
127-1. The director of the department of public safety or the director's designee.
138+1. The chief executive officer of the Arizona commerce authority or the chief executive officer's designee.
128139
129-2. The adjutant general of the department of emergency and military affairs or the adjutant general's designee, who shall serve as the chairperson.
140+2. The director of the department of public safety or the director's designee.
130141
131-3. Two members of the senate, one of whom is appointed by the president of the senate and one of whom is appointed by the senate minority leader with approval of the president of the senate.
142+3. The adjutant general of the department of emergency and military affairs or the adjutant general's designee.
132143
133-4. Two members of the house of representatives, one of whom is appointed by the speaker of the house of representatives and one of whom is appointed by the house minority leader with approval of the speaker of the house of representatives.
144+4. Two members of the senate, one of whom is appointed by the president of the senate and who serves as the cochairperson of the committee and one member who is appointed by the senate minority leader.
134145
135-5. Five members who are appointed by the governor in consultation with the chairperson. These members shall provide expertise and collaborative research support to the committee.
146+5. Two members of the house of representatives, one of whom is appointed by the speaker of the house of representatives and who serves as the cochairperson of the committee and one member who is appointed by the house minority leader.
147+
148+6. Five nonvoting advisory members who are appointed by the cochairpersons of the committee and who are not counted for the purpose of determining a quorum. These members shall provide expertise and collaborative research support to the committee.
136149
137150 C. Appointments for the committee shall be made within sixty days after the effective date of this section.
138151
139-D. The committee's first meeting shall occur within ninety days after the effective date of this section. The committee shall meet at least once every three months, with additional regular meetings at the call of the majority of the committee and emergency meetings at the call of the chairperson or the governor. The committee is exempt from title 38, chapter 3, article 3.1, Arizona Revised Statutes.
152+D. The committee's first meeting shall occur within ninety days after the effective date of this section. The committee shall meet at least once every three months, with additional regular meetings at the call of the majority of the committee and emergency meetings at the call of the cochairpersons or the governor.
140153
141-E. Members of the committee are not eligible to receive compensation but are eligible to receive reimbursement for expenses pursuant to title 38, chapter 4, article 2, Arizona Revised Statutes.
154+E. Members of the committee are not eligible to receive compensation but are eligible to receive reimbursement for expenses pursuant to title 38, chapter 4, article 2, Arizona Revised Statutes. Voting members of the committee shall serve six-year terms.
142155
143156 F. The committee may:
144157
145-1. Request testimony and evidence from witnesses material to the performance of the committee's duties or the exercise of its powers.
158+1. Subpoena witnesses, compel their attendance and testimony, administer oaths and affirmations, take evidence and require by subpoena the production of any books, papers, records or other items material to the performance of the committee's duties or the exercise of its powers.
146159
147-2. Request the production of any books, papers, records or other items material to the performance of the committee's duties or the exercise of its powers.
160+2. Consult experts.
148161
149-3. Consult experts.
162+3. Conduct field investigations.
150163
151-4. Conduct field investigations.
164+4. Hold public hearings.
152165
153-5. Hold public hearings.
166+5. Conduct private hearings, but only to the extent necessary.
154167
155-6. Conduct private hearings, but only to the extent necessary.
168+6. Compel the cooperation of agencies in this state and nongovernmental organizations that are critical to the safety and security of this state to carry out the duties of the committee.
156169
157-7. Request the cooperation of agencies in this state and nongovernmental organizations that are critical to the safety and security of this state to carry out the duties of the committee.
158-
159-8. Coordinate with universities in this state, private firms specializing in infrastructure risk management and federal agencies, including the United States department of defense, the cybersecurity and infrastructure security agency, the national intelligence agency, the national security agency and the United States department of homeland security, to assess any risks in this state.
170+7. Coordinate with universities in this state, private firms specializing in infrastructure risk management and federal agencies, including the United States department of defense, the cybersecurity and infrastructure security agency, the national intelligence agency, the national security agency and the United States department of homeland security, to assess any risks in this state.
160171
161172 G. The committee shall:
162173
163-1. Apply for preparedness grants through the federal emergency management agency.
174+1. Identify all critical infrastructure and other assets within this state that could be targeted by malicious actions by adversarial nations in the event of a Pacific conflict and that would result in a significant negative impact on the public health, safety, economic security or physical security of this state and the nation.
164175
165-2. Identify all critical infrastructure and other assets within this state that could be targeted by malicious actions by adversarial nations in the event of a Pacific conflict and that would result in a significant negative impact on the public health, safety, economic security or physical security of this state and the nation.
166-
167-3. On or before December 31 of each year, provide an annual report to the governor, the president of the senate and the speaker of the house of representatives summarizing the committee's findings and recommendations and any threats posed to this state in the event of a Pacific conflict. The report shall:
176+2. On or before December 31 of each year, provide an annual report to the governor, the president of the senate and the speaker of the house of representatives summarizing the committee's findings and recommendations and any threats posed to this state in the event of a Pacific conflict. The report shall:
168177
169178 (a) Provide a comprehensive risk assessment, including all identified vulnerabilities and recommendations for emergency response strategies for all of the following areas:
170179
171180 (i) Critical infrastructure.
172181
173182 (ii) Telecommunications infrastructure.
174183
175184 (iii) Military installations located within this state.
176185
177186 (iv) State supply chain for critical procurements.
178187
179188 (v) State vendor supply chain for critical procurements.
180189
181190 (vi) State cybersecurity.
182191
183192 (vii) Public health, safety and security in this state.
184193
185194 (b) Include both of the following:
186195
187196 (i) Mitigation strategies and suggestions to limit or eliminate the risk posed to the critical infrastructure or other assets in the event of a Pacific conflict and mitigation strategies and suggestions that limit or eliminate the risk posed to the safety and security of this state or nation in the event of a Pacific conflict.
188197
189198 (ii) A risk-based list of components determined by the degree at which the sourcing of each component is at risk of disruption or restriction, the degree to which the disruption or restriction of sourcing would cause a debilitating effect on the safety and security of this state and the nation and the difficulty in identifying alternative manufacturers for sourcing or supply chain delivery for the component.
190199
191-H. Before receiving the report required by subsection G of this section, each recipient of the report shall develop confidentiality protocols, in consultation with the chairperson of the committee, for the maintenance and use of the report to ensure the confidentiality of the report and all information contained in the report. The confidentiality protocols are binding on the recipient that issues the protocols and anyone to whom the recipient shows a copy of the report. The report and any information contained or used in its preparation are exempt from and shall not be made available pursuant to title 39, chapter 1, article 2, Arizona Revised Statutes. The chairperson shall also develop protocols for the committee related to the maintenance and use of the report to ensure the confidentiality of the report and all information contained in the report.
200+H. This section is repealed from and after December 31, 2027.
192201
193-I. This section is repealed from and after December 31, 2028.
194-
195-J. For the purposes of this section:
202+I. For the purposes of this section:
196203
197204 1. "Critical infrastructure":
198205
199206 (a) Means systems and assets, whether physical or virtual, that are so vital to this state and the United States that the incapacity or destruction of those systems and assets would have a debilitating impact on security, economic security, public health or safety.
200207
201208 (b) Includes:
202209
203210 (i) Gas and oil production, storage or delivery systems.
204211
205212 (ii) Water supply refinement, storage or delivery systems.
206213
207214 (iii) Electrical power delivery systems.
208215
209216 (iv) Telecommunications networks.
210217
211218 (v) Transportation systems and services.
212219
213220 (vi) Personal data or otherwise classified information storage systems, including cybersecurity.
214221
215222 2. "Critical procurements" means acquisitions made by this state, any agency or political subdivision of this state or any private nongovernmental organization critical to the proper functioning of critical infrastructure or to the health, safety or security of this state or the United States.
216223
217224 3. "Pacific conflict":
218225
219226 (a) Means a declared war or armed conflict between the United States or any of the allies of the United States and another nation that occurs on land or sea or in the air in the Pacific Ocean and threatens or could reasonably escalate to threaten the supply chains, critical infrastructure, safety or security of this state or the United States.
220227
221228 (b) Includes a serious deterioration of diplomatic ties or economic engagement between the United States or the allies of the United States and another nation that threatens the status quo of Pacific trade, travel and military operations or exercises.
222229
223230 4. "State supply chain" means the end-to-end process for shipping goods, purchased by this state or shipped to this state, beginning at the point of origin through a point or points of distribution to the destination.
224231
225232 5. "State vendor supply chain" means the end-to-end process for shipping goods, purchased by this state from state vendors or shipped to the vendors, beginning at the point of origin through a point or points of distribution to the destination.
226233
227-Sec. 3. Audits; reporting requirements; confidentiality; delayed repeal; definitions
234+Sec. 3. Audits; reporting requirements; delayed repeal; definitions
228235
229-A. The auditor general shall conduct an audit of all critical procurements purchased or supplied through a state supply chain or state vendor supply chain. The audit shall:
236+A. The chief executive officer of the Arizona commerce authority shall conduct an audit of all critical procurements purchased or supplied through a state supply chain or state vendor supply chain and shall submit, within one hundred eighty days after the effective date of this section, a report to the governor, the president of the senate and the speaker of the house of representatives and the secretary of state and shall make the report accessible to the public. The report shall:
230237
231238 1. Identify the following:
232239
233240 (a) All critical procurements produced in or by any of the following:
234241
235242 (i) A foreign adversary.
236243
237244 (ii) A state-owned enterprise of a foreign adversary.
238245
239246 (iii) A company domiciled in a foreign adversary.
240247
241248 (iv) A company owned by a company domiciled in a foreign adversary.
242249
243250 (b) All critical procurements manufactured in countries or by companies at risk of disruption in the event of a Pacific conflict.
244251
245252 (c) All critical procurements sourced from any country or company that uses a Pacific supply chain process at risk of disruption in the event of a Pacific conflict.
246253
247254 2. Include recommendations for alternative sourcing available, highlight any difficulties in identifying potential alternative sourcing and specify the level of risk to this state associated with such disruption in sourcing for each procurement that is threatened in the event of a Pacific conflict.
248255
249-B. On or before July 31, 2026, the auditor general shall submit its report of the audit conducted pursuant to subsection A of this section to the governor, the president of the senate and the speaker of the house of representatives.
256+B. On or before July 31, 2025, the chief executive officer of the Arizona commerce authority shall submit its report of the audit to the governor, the president of the senate and the speaker of the house of representatives and provide a copy of this report to the secretary of state.
250257
251-C. The auditor general shall conduct an audit of all monies managed by this state and any political subdivision of this state. The audit shall identify all of the following:
258+C. The state treasurer shall conduct an audit of all monies managed by this state and any political subdivision of this state and produce and submit, within one hundred eighty days after the effective date of this section, a report to the governor, the president of the senate and the speaker of the house or representatives and the secretary of state and shall make the report accessible to the public. The report shall identify all of the following:
252259
253260 1. Investments that are at risk of substantially losing value or being frozen, seized or appropriated by foreign adversaries in the event of a Pacific conflict.
254261
255262 2. Investments in any arms industry of a foreign adversary.
256263
257264 3. Investments in state-owned enterprises of a foreign adversary.
258265
259266 4. Investments in companies domiciled within a foreign adversary or owned by a company domiciled within a foreign adversary.
260267
261268 D. The audit shall also recommend strategies for the immediate and complete divestment of the assets identified pursuant to subsection C of this section.
262269
263-E. On or before July 31, 2026, the auditor general shall submit its report of the audit conducted pursuant to subsection C of this section to the governor, the president of the senate and the speaker of the house of representatives.
270+E. On or before July 31, 2025, the state treasurer shall submit its report of the audit to the governor, the president of the senate and the speaker of the house of representatives and provide a copy of this report to the secretary of state.
264271
265-F. Before receiving the reports required by subsections B and E of this section, each recipient of the report shall develop confidentiality protocols, in consultation with the chairperson of the bipartisan select committee on Pacific conflict established pursuant to section 2 of this act, for the maintenance and use of the report to ensure the confidentiality of the report and all information contained in the report. The confidentiality protocols are binding on the recipient that issues the protocols and anyone to whom the recipient shows a copy of the report. The report and any information contained or used in its preparation are exempt from and shall not be made available pursuant to title 39, chapter 1, article 2, Arizona Revised Statutes.
272+F. This section is repealed from and after December 31, 2025.
266273
267-G. This section is repealed from and after December 31, 2026.
268-
269-H. For the purposes of this section:
274+G. For the purposes of this section:
270275
271276 1. "Critical procurements" means acquisitions made by this state, any agency or political subdivision of this state or any private nongovernmental organization critical to the proper functioning of critical infrastructure or to the health, safety or security of this state or the United States.
272277
273278 2. "Pacific conflict":
274279
275280 (a) Means a declared war or armed conflict between the United States or any of the allies of the United States and another nation that occurs on land or sea or in the air in the Pacific Ocean and threatens or could reasonably escalate to threaten the supply chains, critical infrastructure, safety or security of this state or the United States.
276281
277282 (b) Includes a serious deterioration of diplomatic ties or economic engagement between the United States or the allies of the United States and another nation that threatens the status quo of Pacific trade, travel and military operations or exercises.
278283
279284 3. "State supply chain" means the end-to-end process for shipping goods, purchased by this state or shipped to this state, beginning at the point of origin through a point or points of distribution to the destination.
280285
281286 4. "State vendor supply chain" means the end-to-end process for shipping goods, purchased by this state from state vendors or shipped to the vendors, beginning at the point of origin through a point or points of distribution to the destination.
282287
283-Sec. 4. Effective date
284-
285-This act is effective from and after December 31, 2024.
286-
287-Sec. 5. Short title
288+Sec. 4. Short title
288289
289290 This act may be cited as the "Pacific Conflict Stress Test Act".