House Engrossed

 

 

 

State of Arizona

House of Representatives

Fifty-fourth Legislature

First Regular Session

2019

 

 

 

CHAPTER 79

 

HOUSE BILL 2695

 

 

AN ACT

 

Repealing sections 8-812, 8-881, 15‑217, 15-245 and 41-110, Arizona Revised Statutes; amending section 41‑1504, Arizona Revised Statutes; repealing section 41-2307, Arizona revised statutes; amending sections 41‑2804, 41‑2822, 41-2824, 41-2826 and 41-2827, arizona revised statutes; repealing sections 41-2828 and 41-3956, Arizona revised statutes; amending section 49-474.02, Arizona Revised Statutes; repealing section 49‑818, arizona revised statutes; appropriating monies; relating to funds.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1.  Repeal

Sections 8-812, 8-881, 15-217, 15-245 and 41-110, Arizona Revised Statutes, are repealed.

Sec. 2.  Section 41-1504, Arizona Revised Statutes, is amended to read:

START_STATUTE41-1504.  Powers and duties; e-verify requirement

A.  The board of directors, on behalf of the authority, may:

1.  Adopt and use a corporate seal.

2.  Sue and be sued.

3.  Enter into contracts as necessary to carry out the purposes and requirements of this chapter, including intergovernmental agreements pursuant to title 11, chapter 7, article 3 and interagency service agreements as provided by section 35‑148.

4.  Lease real property and improvements to real property for the purposes of the authority.  Leases by the authority are exempt from chapter 4, article 7 of this title, relating to management of state properties.

5.  Employ or retain legal counsel and other consultants as necessary to carry out the purposes of the authority.

6.  Develop and use written policies, procedures and guidelines for the terms and conditions of employing officers and employees of the authority and may include background checks of appropriate personnel.

B.  The board of directors, on behalf of the authority, shall:

1.  Develop comprehensive long-range strategic economic plans for this state and submit the plans to the governor.

2.  Annually update a strategic economic plan for submission to the governor.

3.  Accept gifts, grants and loans and enter into contracts and other transactions with any federal or state agency, municipality, private organization or other source.

C.  The authority shall:

1.  Assess and collect fees for processing applications and administering incentives.  The board shall adopt the manner of computing the amount of each fee to be assessed.  Within thirty days after proposing fees for adoption, the chief executive officer shall submit a schedule of the fees for review by the joint legislative budget committee.  It is the intent of the legislature that a fee shall not exceed one percent of the amount of the incentive.

2.  Determine and collect registry fees for the administration of the allocation of federal tax exempt industrial development bonds and student loan bonds authorized by the authority.  Such monies collected by the authority shall be deposited, pursuant to sections 35‑146 and 35‑147, in an authority bond application fees fund.  Monies in the fund shall be used, subject to annual appropriation by the legislature, by the authority to administer the allocations provided in this paragraph and are exempt from the provisions of section 35‑190 relating to the lapsing of appropriations.

3.  Determine and collect security deposits for the allocation, for the extension of allocations and for the difference between allocations and principal amounts of federal tax exempt industrial development bonds and student loan bonds authorized by the authority.  Security deposits forfeited to the authority shall be deposited in the state general fund.

4.  At the direction of the board, establish and supervise the operations of full‑time or part‑time offices in other states and foreign countries for the purpose of expanding direct investment and export trade opportunities for businesses and industries in this state if, based on objective research, the authority determines that the effort would be beneficial to the economy of this state.

5.  Establish a program by which entrepreneurs become aware of permits, licenses or other authorizations needed to establish, expand or operate in this state.

6.  Post on its website on an annual basis a report containing at least the following information:

(a)  The cumulative progress made toward its goals for job creation, capital investment and higher average wages.

(b)  To the extent not prohibited by law, information on each incentive application approved by the authority in the fiscal year, including the amount of the incentive approved or awarded and the applicant's activity that is projected or has been achieved, whichever is applicable, to qualify for the incentive.

(c)  Rural economic development outreach and impact data.

(d)  Small business outreach and impact data.

7.  Develop and implement written policies and procedures relating to the administration of grants from the Arizona competes fund established by section 41‑1545.01, including the following elements:

(a)  Procedures for documenting grantee selection and due diligence.

(b)  Procedures for verification of information submitted by grantees.

(c)  Procedures for evaluating requests to amend grant terms and for documenting decisions relating to those requests.

8.  Notwithstanding any other law, on request of the office of economic opportunity, disclose to the office of economic opportunity applicant information for incentives administered, in whole or in part, by the authority.  Any confidentiality requirements provided by law applicable to the information disclosed pursuant to this paragraph apply to the office of economic opportunity.

D.  The authority, through the chief executive officer, may:

1.  Contract and incur obligations reasonably necessary or desirable within the general scope of the authority's activities and operations to enable the authority to adequately perform its duties.

2.  Use monies, facilities or services to provide matching contributions under federal or other programs that further the objectives and programs of the authority.

3.  Accept gifts, grants, matching monies or direct payments from public or private agencies or private persons and enterprises for the conduct of programs that are consistent with the general purposes and objectives of this chapter.

4.  Assess business fees for promotional services provided to businesses that export products and services from this state.  The fees shall not exceed the actual costs of the services provided.

5.  Establish and maintain one or more accounts in banks or other depositories, for public or private monies of the authority, from which operational activities, including payroll, vendor and grant payments, may be conducted.  Individual funds that are established by law under the jurisdiction of the authority may be maintained in separate accounts in banks or other depositories, but shall not be commingled with any other monies or funds of the authority.

E.  The chief executive officer shall:

1.  Hire employees and prescribe the terms and conditions of their employment as necessary to carry out the purposes of the authority.  The board of directors shall adopt written policies, procedures and guidelines, similar to those adopted by the department of administration, regarding officer and employee compensation, observed holidays, leave and reimbursement of travel expenses and health and accident insurance.  The officers and employees of the authority are exempt from any laws regulating state employment, including:

(a)  Chapter 4, articles 5 and 6 of this title, relating to state service.

(b)  Title 38, chapter 4, article 1 and chapter 5, article 2, relating to state personnel compensation, leave and retirement.

(c)  Title 38, chapter 4, article 2, relating to reimbursement of state employee expenses.

(d)  Title 38, chapter 4, article 4, relating to health and accident insurance.

2.  Maintain three full-time employees to serve as advocates for small and rural businesses on economic development and regulatory matters before a city, town, county or state agency cities, towns, counties or state agencies.  Two of the full-time employees shall be dedicated to small business growth, support and regulation, one of which whom shall serve as a small business ombudsman.  One of the full‑time employee employees shall be dedicated to rural economic development. 

3.  On a quarterly basis, provide public record data in a manner prescribed by the department of administration related to the authority's revenues and expenditures for inclusion in the comprehensive database of receipts and expenditures of state monies pursuant to section 41‑725.

F.  In addition to any other requirement, in order to qualify for any grant, loan, reimbursement, tax incentive or other economic development incentive pursuant to this chapter, an applicant that is an employer must register with and participate in the e-verify program in compliance with section 23‑214.  The authority shall require verification of compliance with this subsection as part of any application process.

G.  Notwithstanding any other law, the authority is subject to chapter 3.1, article 1 of this title, relating to risk management.

H.  The authority is exempt from title 18, chapter 1, articles 1 and 2, relating to statewide information technology.  The authority shall adopt policies, procedures and guidelines regarding information technology.

I.  The authority is exempt from state general accounting and finance practices and rules adopted pursuant to chapter 4, article 3 of this title, but the board shall adopt written accounting practices, systems and procedures for the economic and efficient operation of the authority.

J.  The authority is exempt from section 41‑712, relating to the installation and maintenance of telecommunication systems.

K.  The authority may lease or purchase motor vehicles for use by employees to conduct business activities.  The authority is exempt from section 41‑803, relating to the state motor vehicle fleet, and title 38, chapter 3, article 10, relating to vehicle usage and markings.

L.  Any tangible or intangible record submitted to or compiled by the board or the authority in connection with its work, including the award of monies, is subject to title 39, chapter 1, unless an applicant shows, or the board or authority determines, that specific information meets either of the following:

1.  If made public, the information would divulge the applicant's or potential applicant's trade secrets, as defined in section 44‑401.

2.  If made public, the information could potentially harm the applicant's, the potential applicant's or this state's competitive position relating to potential business development opportunities and strategies.

M.  The authority is exempt from chapter 25, article 1 of this title, relating to government competition with private enterprise. END_STATUTE

Sec. 3.  Repeal

Section 41-2307, Arizona Revised Statutes, is repealed.

Sec. 4.  Section 41-2804, Arizona Revised Statutes, is amended to read:

START_STATUTE41-2804.  Duties and powers of director

A.  The director shall:

1.  Be responsible for the overall operations and policies of the department.

2.  Maintain and administer all secure care facilities and programs within the department required and established for the custody, control, treatment, education and rehabilitation of all youths committed to the department.

3.  Be responsible for the administration and execution of all conditional liberty services for youths released pursuant to rules adopted by the director in accordance with law.

4.  Be responsible for the development of policies and programs which shall be recommended to the governor and the legislature for the purpose of improving the youth rehabilitative and treatment programs of this state.

5.  Develop and establish a uniform statewide method of reporting statistics as related to this chapter.

6.  Subject to chapter 4, article 4 of this title, employ deputy directors and other key personnel based on qualifications prescribed by the director which that require education and practical experience.

B.  The director may:

1.  Adopt rules to implement the purposes of the department and the duties and powers of the director.

2.  Take any administrative action to improve the efficiency of the department, including the following:

(a)  Create new divisions or units or consolidate divisions or units.

(b)  Subject to chapter 4, article 4 of this title, transfer employees between the various divisions and units of the department.

(c)  Shift duties between divisions or units.

(d)  Delegate authority to appoint, hire, terminate and discipline all personnel of the department, including specialists and consultants subject to chapter 4, article 4 and, as applicable, article 5 of this title.

(e)  Transfer committed youths between secure care facilities.

(f)  Transfer youths who have been committed to the department or to any facility under its jurisdiction between the various secure care facilities for youths, foster homes and public and private agencies on notification to the committing court.

(g)  Subject to chapter 4, article 4 and, as applicable, article 5 of this title, appoint certain employees of the department to peace officer status for purposes of guarding, transporting or pursuing persons under the jurisdiction of the department and appoint certain employees of the department to peace officer status for purposes of investigating or arresting persons who commit or attempt to commit offenses directly relating to the operations of the department.

3.  Contract with other agencies or institutions in furtherance of any department program.

4.  Authorize the temporary escort of a youth for compassionate leave or for the purposes of treatment, education or rehabilitation.  The director shall consider the public safety and any other relevant factors before approving the temporary escort of a youth.  Department staff shall escort and maintain custody of a youth authorized for temporary escort.

5.  Adopt guidelines to dispose of property that is no longer needed or necessary for use in a department educational, vocational, treatment, training or work program.  The disposition of property is exempt from chapter 23, article 8 of this title.  Any monies derived from the disposition of the property shall be deposited, pursuant to sections 35‑146 and 35‑147, in the department of juvenile corrections career technical education fund established by section 41‑2828.

6.  Accept and spend private grants of monies to effectuate the purposes of section 41‑2827.  Monies collected pursuant to this paragraph shall be deposited and administered pursuant to section 41‑2828.

C.  Peace officers of the department shall not preempt the authority and jurisdiction of established agencies of this state and political subdivisions of this state.  Such officers shall notify agencies of this state and political subdivisions of this state before conducting an investigation within the jurisdiction of the agency and before making an arrest within the jurisdiction of the agency and shall ask, except in an emergency, if the agency wishes to participate, perform the investigation or arrest the person to be arrested before proceeding.  Personnel appointed as peace officers by the director shall have the minimum qualifications established for peace officers pursuant to section 41‑1822.  Personnel appointed by the director pursuant to subsection B, paragraph 2, subdivision (g) of this section are not eligible to participate in the public safety personnel retirement system except as otherwise provided in title 38, chapter 5, article 4. END_STATUTE

Sec. 5.  Section 41-2822, Arizona Revised Statutes, is amended to read:

START_STATUTE41-2822.  Committed youth work program

A.  The director shall establish a committed youth work program for youths in secure care facilities and on conditional liberty to ensure that:

1.  All committed youths in a secure care facility receive work assignments commensurate and compatible with the condition and limitations of the youth's physical and mental health.

2.  Committed youths on conditional liberty, as a condition of liberty, may receive work assignments.  All work assignments shall be commensurate and compatible with the condition and limitations of the youth's physical and mental health.

3.  No committed youth in a secure care facility or on conditional liberty participates in a work assignment that threatens the safety and security of the public, a secure care facility or the committed youth.

B.  A committed youth may be exempted from the work requirement if the staff determines that the exemption is necessary for the health, safety or treatment of the youth.  The director or the director's authorized designee shall review and approve each exemption of a committed youth from engaging in the work requirements of this section.

C.  Notwithstanding title 23, chapter 2, article 3 relating to youth employment, each youth who is under commitment to the department, who is confined in a secure care facility under the department's jurisdiction and who is not regularly attending and making satisfactory progress in educational classes shall engage in work for at least forty hours a week unless exempted pursuant to subsection B of this section.

D.  Each committed youth who is engaged in productive work while under the jurisdiction of the department may receive such compensation for the youth's work as the director determines.  The compensation shall be in accordance with a graduated schedule based on quality and quantity of work performed and skill required for its performance. 

E.  The compensation of committed youths shall be paid directly by an outside entity or out of monies received pursuant to section 8‑243 or monies appropriated by the legislature or by the department with monies from the department of juvenile corrections restitution fund established by section 41‑2826.

F.  A minimum of two‑thirds of any compensation earned pursuant to this section by a committed youth in a secure care facility shall be paid to the clerk of the superior court to satisfy any juvenile court restitution order made pursuant to section 8‑344.  While a youth is on conditional liberty, the department shall determine the amount of wages to be credited to restitution.

G.  If a committed youth in a secure care facility is not subject to a restitution order but is subject to a monetary assessment by the court pursuant to section 8‑341, subsection G or H, a minimum of two‑thirds of any compensation earned shall be paid to the clerk of the superior court to satisfy the monetary assessment.  While a youth is on conditional liberty the department shall determine the amount of wages to be credited to a monetary assessment.

H.  If a committed youth in a secure care facility is not subject to a restitution order or a monetary assessment, two‑thirds of any compensation earned pursuant to this section shall be used to defer the costs of room and board for maintaining the committed youth at the secure care facility.

I.  The department shall require the payment of court ordered restitution, monetary reimbursements or assessments as a term of conditional liberty. 

J.  With the approval of the juvenile court and the victim, community restitution hours may be substituted for monetary restitution or monetary assessments at a rate deemed reasonable by the department.

K.  The department may enter into contracts with this state, any political subdivision of this state or private entities in order to provide employment or vocational educational experience.  Any revenues the department receives from the contracts shall be deposited, pursuant to sections 35‑146 and 35‑147, in the department of juvenile corrections career technical education fund established by section 41‑2828 and shall be used in accordance with the purposes of the fund. END_STATUTE

Sec. 6.  Section 41-2824, Arizona Revised Statutes, is amended to read:

START_STATUTE41-2824.  Training institute

A.  A training institute is established within the department of juvenile corrections to train those persons who work with committed youth in juvenile justice.

B.  The director shall establish and maintain training institutes under the jurisdiction of the department.

C.  The director may:

1.  Employ personnel and any faculty necessary to operate the training institute.

2.  Solicit, accept and expend gifts and grants.

3.  Adopt training standards.

4.  Approve the training curriculum, including continuing education and advanced and specialized training courses.

5.  Issue a certificate of completion to a person who satisfactorily completes a training program of not less than two hundred forty hours.

D.  A postsecondary institution may provide the training courses the director may approve under subsection C, paragraph 4 of this section.

E.  The director shall adopt rules for reimbursing reasonable tuition and fees for employees who attend the training institute.  If an agency other than the department sends an employee to the training institute, the agency shall pay all of its employee's tuition and fees.

F.  A training institute fund is established consisting of monies collected pursuant to any grant, gift, donation, service or other financial assistance received from an individual, corporation, government or other organization.  The department of juvenile corrections shall administer the fund.  On notice from the department, the state treasurer shall invest and divest monies in the fund as provided by section 35‑313, and monies earned from investment shall be credited to the fund. END_STATUTE

Sec. 7.  Section 41-2826, Arizona Revised Statutes, is amended to read:

START_STATUTE41-2826.  Department of juvenile corrections restitution fund

A.  The department of juvenile corrections restitution fund is established for the payment of restitution and monetary assessments by youths who are ordered to pay restitution or monetary assessments and who are financially unable to pay or who are otherwise unable to be employed to earn money to pay restitution or monetary assessments and who are working in the committed youth work program prescribed by section 41‑2822 or the community work program established by section 41‑2825.  The fund consists of federal, state and local appropriations, monies distributed to the fund pursuant to section 41‑2828 and grants, gifts, devises and donations from any public or private source.  The fund shall be used to pay a youth for the youth's work in the committed youth work program prescribed by section 41‑2822 and to provide monies for the community work program established by section 41‑2825.

B.  The director may direct the payment of monies from the fund to the victim or the court for community restitution activities the youth does to pay restitution or monetary assessments that were ordered by the juvenile court or that the youth agreed to pay as part of a community work program administered by the department.  If a youth performs community restitution pursuant to this subsection, the entity providing the work shall supervise the youth's work.  The youth shall be credited for each hour worked at an hourly rate set by the director.

C.  As monies are available, the department shall pay from the fund youths who perform work or community restitution activities for restitution and monetary assessments purposes.

D.  The department may expend, for the payment of administrative costs and expenses, an amount not greater than ten per cent percent of the fund balance as of the end of the preceding fiscal year.

E.  Monies in the fund are continuously appropriated and are exempt from the provisions of section 35‑190 relating to lapsing of appropriations. END_STATUTE

Sec. 8.  Section 41-2827, Arizona Revised Statutes, is amended to read:

START_STATUTE41-2827.  Products produced by committed youths; materials; disaffirmance; contracts

A.  Products that are produced by committed youths pursuant to an educational, vocational, treatment, training or work program are the property of the department and may be marketed to the public by the department.  All proceeds from the sale of products that are produced by committed youths shall be deposited, pursuant to sections 35‑146 and 35‑147, in the department of juvenile corrections career technical education fund established by section 41‑2828.

B.  The department may purchase raw materials, components and supplies for use in the manufacture of products in a department educational, vocational, treatment, training or work program.

C.  The department shall fix and determine the prices at which all articles, services or products that are manufactured, provided or produced shall be furnished or sold.  All articles or products that are manufactured or produced or services that are provided through department educational, vocational, treatment, training or work programs shall be priced at not less than the actual cost of producing and marketing the product plus a reasonable amount for overhead and administrative costs and a reasonable profit to provide fiscal resources for the research and development of programs for committed youths.

D.  Sales of products that are produced by committed youths pursuant to a department educational, vocational, treatment, training or work program are not subject to disaffirmance because of minority.

E.  The director or the director's designee may contract with any state agency, political subdivision or private person, firm, corporation or association to provide services or products produced by committed youths pursuant to an educational, vocational, treatment, training or work program.

F.  All monies derived from contract services provided pursuant to subsection E of this section shall be deposited, pursuant to sections 35‑146 and 35‑147, in the department of juvenile corrections career technical education fund established by section 41‑2828. END_STATUTE

Sec. 9.  Repeal

Sections 41-2828 and 41-3956, Arizona Revised Statutes, are repealed.

Sec. 10.  Section 49-474.02, Arizona Revised Statutes, is amended to read:

START_STATUTE49-474.02.  Voluntary lawn and garden equipment emissions reduction program; criteria

A.  A county with a population of more than five hundred thousand persons according to the most recent United States decennial census shall establish and coordinate a voluntary lawn and garden equipment emissions reduction program to begin no later than July 1, 1998.  The equipment owner's participation in the program is voluntary.  The county may contract with an independent contractor to develop and implement all or any portion of the program.  The program shall provide for real and quantifiable emissions reductions.  The county shall coordinate the program with any similar programs offered by any person, organization or business.

B.  A person may participate in the program if the lawn or garden equipment starts and is used for residential or commercial purposes.

C.  A voucher shall be issued in the amount of two hundred dollars $200 to an owner of a commercial lawn mower that is retired and that meets the requirements of this section.  The voucher shall be used for the purchase of a lawn mower that generates lower emissions.

D.  A voucher shall be issued in the amount of at least one hundred dollars $100 to an owner of a residential lawn mower that is retired and that meets the requirements of this section.  The voucher shall be used for the purchase of an electric lawn mower.

E.  A voucher shall be issued in the amount of at least fifty dollars $50 to the owner of a gasoline-powered lawn or garden device that is retired and that meets the requirements of this section.  The voucher shall be used for the purchase of a lawn or garden device that generates lower emissions.

F.  Equipment that is retired pursuant to this section shall not be used in this state.

G.  The voluntary lawn and garden equipment emissions reduction fund is established. The director shall administer the fund.  The fund shall consist of monies from the following sources:

1.  Monies appropriated by the legislature.

2.  Monies appropriated by political subdivisions.

3.  Gifts, grants and donations.

H.  G.  The county shall prepare and submit on December 1 of each year a progress report on the voluntary lawn mower emissions reduction program containing at least the following information:

1.  The number of lawn mowers and other lawn and garden devices retired by brand and year of manufacture.

2.  The cost-effectiveness of the program in terms of dollars spent per ton of emissions reductions.

3.  Any recommendations for improving the effectiveness of the program.

4.  The administrative costs of the program. END_STATUTE

Sec. 11.  Repeal

Section 49-818, Arizona Revised Statutes, is repealed.

Sec. 12.  Transfer of monies; deletion of funds

A.  On the effective date of this act, all unexpended and unencumbered monies remaining in the following funds are transferred to the state general fund:

1.  The oil overcharge fund established by section 41-110, Arizona Revised Statutes, as repealed by this act.

2.  The department of administration AFIS II collections fund established pursuant to section 35‑142, Arizona Revised Statutes.

3.  The child safety expedited substance abuse treatment fund established by section 8-812, Arizona Revised Statutes, as repealed by this act.

4.  The joint substance abuse treatment fund established by section 8-881, Arizona Revised Statutes, as repealed by this act.

5.  The commerce development bond fund established pursuant to section 41-1504, Arizona Revised Statutes, as amended by this act.

6.  The corporation commission statewide donations fund established pursuant to section 35‑142, Arizona Revised Statutes.

7.  The state department of corrections payment card clearing fund established pursuant to section 35‑142, Arizona Revised Statutes.

8.  The American competitiveness project fund established by section 15-245, Arizona Revised Statutes, as repealed by this act.

9.  The e-learning fund established by Laws 2006, chapter 375, section 4 and repealed by Laws 2006, chapter 375, section 5, as a amended by Laws 2007, chapter 264, section 13.

10.  The student success fund established by section 15-917, Arizona Revised Statutes, and repealed by Laws 2015, chapter 15, section 5.

11.  The technology-based language development and literacy intervention fund established by section 15-217, Arizona Revised Statutes, as repealed by this act.

12.  The intergovernmental agreement fund (fund 2180) established pursuant to section 49-104, Arizona Revised Statutes.

13.  The department of environmental quality indirect cost fund (fund 7000) established pursuant to section 49-115, Arizona Revised Statutes.

14.  The department of environmental quality payroll fund established pursuant to section 35-142, Arizona Revised Statutes.

15.  The used oil fund established by section 49-818, Arizona Revised Statutes, as repealed by this act.

16.  The voluntary lawn and garden equipment emissions reduction fund established by section 49-474.02, Arizona Revised Statutes, as amended by this act.

17.  The building and fire safety fund established pursuant to section 41-4023, Arizona Revised Statutes.

18.  The housing development fund established by section 41-3956, Arizona Revised Statutes, as repealed by this act.

19.  The department of juvenile corrections career technical education fund established by section 41-2828, Arizona Revised Statutes, as repealed by this act.

20.  The training institute fund established by section 41-2824, Arizona Revised Statutes, as amended by this act.

21.  The office of tourism workshop fund established by section 41‑2307, Arizona Revised Statutes, as repealed by this act.

22.  The department of water resources administrative fund established pursuant to section 35-142, Arizona Revised Statutes.

B.  On or before December 31, 2019, the department of administration shall delete the funds described in subsection A of this section from this state's financial accounting system.


 

 

 

 

APPROVED BY THE GOVERNOR APRIL 11, 2019.

 

FILED IN THE OFFICE OF THE SECRETARY OF STATE APRIL 11, 2019.