Assigned to GOV FOR COMMITTEE
ARIZONA STATE SENATE
Fifty-Seventh Legislature, First Regular Session
FACT SHEET FOR S.B. 1349
software licensing contracts; requirements
Purpose
Prohibits a contract entered into by a public agency for the licensure of software
applications on generally available hardware from limiting the public agency's ability to install
software of the public agency's choosing on that hardware.
Background
A state agency may authorize a person to be a third-party electronic service provider. The
written agreement between the state agency and the authorized third-party electronic service
provider may be for a limited number of services and may limit the persons that may receive the
services. A state agency must select an authorized third-party electronic service provider that meets
all the requirements established by the state agency through a competitive bid process. An
authorized third-party electronic service provider is an entity that has executed a written
agreement with a state agency and that is authorized by the state agency to provide electronic
transmission services between the state agency, private citizens, other government agencies and
public and private entities in this state or in any other state, territory or country (A.R.S. ยง 18-422).
There is no anticipated fiscal impact to the state General Fund associated with this
legislation.
Provisions
1. Prohibits a contract entered into by a public agency for the licensure of software applications
designed to run on generally available desktop or server hardware from limiting the public
agency's ability to install or run the software on that hardware of the public agency's choosing.
2. Applies the prohibition to any contract or addendum entered into beginning on the general
effective date.
3. Defines public agency as the state, the Arizona Board of Regents or a city, charter city, county,
district, public authority or other political subdivision of the state.
4. Becomes effective on the general effective date.
Prepared by Senate Research
February 17, 2025
AN/slp