Arizona 2025 2025 Regular Session

Arizona House Bill HB2268 Comm Sub / Analysis

Filed 04/02/2025

                    Assigned to GOV & APPROP 	AS PASSED BY COMMITTEE 
 
 
 
 
ARIZONA STATE SENATE 
Fifty-Seventh Legislature, First Regular Session 
 
AMENDED 
FACT SHEET FOR H.B. 2268 
 
fire districts; homeowner's policies; DIFI 
(NOW: wildfire prevention authority; fund) 
Purpose 
Establishes the Wildfire Prevention Authority (Authority) to identify and make grants to 
cities, towns, counties, fire districts and nongovernmental organizations that are located in areas 
of Arizona identified as being at a greater fire risk, impacted by elevated wildfire risks or 
experiencing insurance policy nonrenewals or premium increases due to wildfire risk. Establishes 
the Authority Fund (Fund), consisting of any private and public monies received by the Authority, 
to pay the administrative expenses of the Authority and to make grant awards for the prescribed 
purposes. 
Background 
The Arizona Department of Forestry and Fire Management (DFFM) was created to provide 
for land management and the prevention and suppression of wildland fires on state land and on 
private property located outside of cities and towns. The State Forester administers DFFM and is 
responsible for the direction, operation and control of DFFM (A.R.S. ยง 37-1301).  
DFFM administers various grant programs to support projects at the state, region and local 
levels, including: 1) the Rural Fire Capacity Grant Program to provide financial assistance to train, 
organize and equip fire departments in rural areas and rural communities to prevent and suppress 
fires; and 2) fuel mitigation grants to fund mitigation treatment for hazardous forest fuels and 
protect communities at risk of wildfire. Priority is given to projects that focus on areas of highest 
risk, maximum impact and greatest level of cooperation (DFFM). Laws 2021, First Special 
Session, Chapter 1 appropriated $75,000,000 from the state General Fund (state GF) in FY 2021 
to DFFM for wildfire emergency response. 
There is no anticipated fiscal impact to the state General Fund associated with this 
legislation.  
Provisions 
Authority 
1. Establishes the Authority within DFFM to: 
a) review fire risk data and tools to identify the areas in Arizona that are at the greatest risk 
of damage to or loss of real and personal property from wildfires; 
b) prioritize funding to counties, cities, towns and fire districts that have adopted building or 
land use codes that are reasonably demonstrated to reduce the risk of damage to or loss of 
real and personal property from wildfires;  FACT SHEET โ€“ Amended  
H.B. 2268 
Page 2 
 
 
c) review publicly available insurance data to identify areas of Arizona that may be 
experiencing high levels of insurance policy nonrenewals or premium increases due to 
enhanced wildfire risk or damage to or loss of real and personal property from wildfires; 
d) to the extent that the Authority has available funding, make grants to cities, towns, counties, 
fire districts and nongovernmental organizations that are located in the areas of Arizona 
identified as being at a greater fire risk by the Authority or that are impacted by elevated 
wildfire risks. 
2. Allows the Authority to: 
a) develop and implement a plan of operation; 
b) develop and implement a financial plan; 
c) solicit and accept gifts, grants and donations. 
3. Requires the Authority to consist of: 
a) three members who are appointed by the Governor and who are employed by an insurance 
company that writes homeowner's or commercial property insurance policies, with at least 
one member who sells homeowner's or commercial insurance policies in wildland urban 
interface areas; 
b) the Director of DIFI or the Director of DIFI's designee; 
c) the Director of DFFM or the Director of DFFM's designee; 
d) one member who is appointed by the Governor and who represents a county that has a 
population of 200,000 or more persons and that experiences high fire risks; 
e) one member who is appointed by the Governor and who represents a county that has a 
population of fewer than 200,000 persons and that experiences high wildfire risks; 
f) one member who is appointed by the Governor and who represents a city or town that has 
a population of 50,000 or more persons and that experiences high wildfire risks; 
g) one member who is appointed by the Governor and who represents a city or town that has 
a population of fewer than 50,000 persons and that experiences high wildfire risk; 
h) one fire chief who is appointed by the Governor and who represents a fire district that 
primarily serves residents of a county that has a population of 200,000 persons or more and 
that experiences high wildfire risks; 
i) one fire chief who is appointed by the Governor and who represents a fire district that 
primarily serves residents of a county that has a population of fewer than 200,000 persons 
and that experiences high wildfire risks; and 
j) two members of the general public who are appointed by the Governor. 
4. Requires the members of the Authority to serve staggered three-year terms beginning and 
ending on the third Monday in January. 
5. Requires members of the Authority, at the first meeting each year, to elect a chairperson from 
among the members. 
6. Requires the Authority to meet at the call of the Chairperson or on request of seven members 
of the Authority. 
7. Specifies that grants made by the Authority are to: 
a) assist with vegetation management and community hardening projects, including 
retrofitting existing structures;  FACT SHEET โ€“ Amended  
H.B. 2268 
Page 3 
 
 
b) aid in the removal of brush and other fire fuel for property owners who are unable to create 
defensible spaces, including low-income and elderly residents; 
c) help modify infrastructure to improve the response capacity of a city, town, county or fire 
district to respond to wildfires, including to help decrease wildfire risk and improve the 
availability of property insurance to residents of the city, town, county or fire district; 
d) provide technical assistance to develop ordinances and local policies to improve wildfire 
resilience; and  
e) provide technical assistance to residents of a city, town, county or fire district to renovate 
or improve property to become more fire resilient. 
8. Defines defensible spaces as the area surrounding a building or structure that has been cleared 
of combustible materials to slow the spread of fire. 
Fund 
9. Establishes the Fund, to be administered by the Authority, consisting of private and public 
monies received by the Authority. 
10. Specifies that monies in the Fund are subject to legislative appropriation and exempt from 
lapsing. 
11. Requires monies in the Fund to be used only to pay the administrative expenses of the 
Authority and to make grant awards for the prescribed purposes. 
12. Requires the State Treasurer, on notice from the Authority, to invest and divest monies in the 
Fund and monies earned. 
13. Requires monies earned from the investment of monies in the Fund to be credited to the Fund. 
14. Requires all monies appropriated to DFFM for the Authority to be used by DFFM exclusively 
for the operation of the Authority. 
15. Requires monies appropriated from the Fund that are included in the general appropriations 
act to be included within separate line items for the Authority operating lump sum 
appropriation and any local grants. 
16. Allows the Authority to accept nonmonetary contributions, including the services of 
individuals, office and secretarial assistance, mailings, printing, office equipment, facilities 
and supplies that are necessary to carry out the Authority's functions. 
17. Requires monies from the Fund to be used to supplement, rather than supplant, other monies 
that are available for wildfire prevention and mitigation. 
18. Requires the Authority to have the Fund audited by a certified public accountant every two 
years. 
19. Requires the Authority to file a certified copy of the audit with the Auditor General (OAG) 
within five days after completion of the audit.   FACT SHEET โ€“ Amended  
H.B. 2268 
Page 4 
 
 
20. Allows the OAG to make further audits and examinations as the OAG deems necessary and 
take appropriate action relating to the audit. 
21. Becomes effective on the general effective date.   
Amendments Adopted by Committee 
1. Removes the $20,000,000 annual contribution to the Fund from the premium tax from fire 
insurers. 
2. Makes conforming changes. 
House Action 	Senate Action 
LARA 2/11/25 W/D APPROP 4/1/25 DPA 10-0-0 
APPROP 2/24/25 DPA/SE 16-2-0-0 
3
rd
 Read 3/4/25  46-12-0 
Prepared by Senate Research 
April 2, 2025 
LMM/SDR/ci