SB 1521 Initials CW Page 1 Natural Resources, Energy & Water ARIZONA HOUSE OF REPRESENTATIVES Fifty-seventh Legislature First Regular Session Senate: NR DP 5-2-1-0 | 3 rd Read 17-11-2-0-0 SB 1521: unbuilt certificates; assured water supply S/E: Town of Wellton; expenditure limitation Sponsor: Senator Dunn, LD 25 Committee on Natural Resources, Energy & Water Summary of the Strike Everything Amendment to SB 1521 Overview Assesses a penalty for excess expenditures of local revenues by the Town of Wellton in fiscal year (FY) 2023. History The Arizona Auditor General (OAG) is mandated by statute to prescribe a uniform expenditure reporting system for counties, community college districts, cities and towns. The OAG is required to hold a hearing to determine if any political subdivision has exceeded the expenditure limitations pursuant to article IX, sections 20 and 21, Constitution of Arizona. If any political subdivision other than a county has exceeded the expenditure limitations prescribed without authorization, the OAG must notify the State Treasurer to withhold a portion of the political subdivision's allocations of the certain revenues for the fiscal year subsequent to the OAG hearing as follows: 1) if the excess expenditures are less than five percent of the limitation, an amount equal to the excess expenditures; 2) if the excess expenditures are equal to or greater than five percent but less than ten percent of the limitation, or are less than five percent of the limitation but it is at least the second consecutive instance of excess expenditures, an amount equal to triple the excess expenditures; or 3) if the excess expenditures are equal to or greater than ten percent of the limitation, an amount equal to five times the excess expenditures or one-third of the allocation of the revenues described in subsection H of this section, whichever is less (A.R.S. § 41- 1279.07). Provisions 1. Assesses a penalty of $100 for excess expenditures of local revenues by the Town of Wellton for FY 2023. (Sec 1) 2. Contains a retroactive effective date of July 1, 2022. (Sec. 1) ☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note