Assigned to NREW & APPROP FOR COMMITTEE ARIZONA STATE SENATE Fifty-Sixth Legislature, Second Regular Session FACT SHEET FOR S.C.R. 1038 Arizona state parks heritage fund Purpose Subject to voter approval, statutorily deposits $10,000,000 in the Arizona State Parks Heritage Fund (Fund) from the State Lottery Fund (SLF) each year. Background The Arizona State Parks Board must manage and establish criteria for the use of the Fund. Current statute prescribes the following expenditures of the Fund: 1) 50 percent on local, regional or state parks for outdoor recreation and open space development, restoration or renovation; 2) 30 percent on local, regional and state historic preservation projects; 3) 10 percent on local, regional and state nonmotorized trails; and 4) 10 percent on outdoor and environmental education (A.R.S. § 41-503). The SLF consists of revenues received from sales of lottery tickets and other monies received, except for the payment of prize monies. In addition to operating costs of the lottery, the SLF allocates monies towards lottery bond obligations, the Arizona Game and Fish Commission Heritage Fund, the Department of Child Safety, the Arizona Board of Regents, the Department of Health Services and the Disease Control Research Fund (A.R.S. § 5-572). S.C.R. 1038 transfers $10,000,000 annually to the Fund from the SLF of the monies remaining in the SLF after appropriations and other deposits. Provisions 1. Deposits $10,000,000 in the Fund from the SLF each year after appropriations and other deposits. 2. Exempts the Arizona State Parks Board from rulemaking requirements for one year. 3. Makes technical changes. 4. Requires the Secretary of State to submit the proposition to the voters at the next general election. 5. Becomes effective on the general effective date. Prepared by Senate Research February 13, 2024 RA/KP/slp