House Engrossed

 

 

 

 

State of Arizona

House of Representatives

Fifty-fourth Legislature

Second Regular Session

2020

 

 

 

HOUSE BILL 2686

 

 

 

AN ACT

 

amending section 9-467, arizona revised statutes; amending title 9, chapter 7, article 1, arizona revised statutes, by adding section 9-810; amending section 11-321, arizona revised statutes; amending title 11, chapter 6, article 5, arizona revised statutes, by adding section 11-867; relating to building permits.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


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

Section 1.  Section 9-467, Arizona Revised Statutes, is amended to read:

START_STATUTE9-467.  Building permits; issuance; distribution of copies; state preemption; utilities; subsequent owner; limitation; definitions

A.  Any city or town municipality requiring the issuance of a building permit shall transmit one copy of the permit to the county assessor and one copy to the director of the department of revenue.  Permit copies shall provide the permit number, issue date and parcel number.  On the issuance of the certificate of occupancy or the certificate of completion or on the expiration or cancellation of the permit, the assessor and the department of revenue shall be notified in writing or in electronic format of the permit number, parcel number, issue date and completion date.

B.  The regulation of a utility provider's authority to operate and serve customers is a matter of statewide concern.  The regulation of building permits as it relates to a building permit applicant's ability to use a utility provider that is capable and authorized to provide utility service is allowed solely in accordance with subsections C and D of this section.  A building permit applicant's ability to use a utility provider that is capable and authorized to provide utility service is not subject to further regulation by a municipality.

C.  A municipality requiring the issuance of a building permit may not deny a permit application based on the utility provider proposed to provide utility service to the project.

D.  A municipality issuing a BUILDING permit shall ensure that all applicable permits and associated fees assessed on a building permit applicant contain requirements and amounts that do not exceed the requirements and amounts for use of other utility providers and do not have the effect of restricting a permit applicant's ability to use the services of a utility provider that is capable and authorized to provide utility service.

B.  E.  A city or town municipality may not require an applicant for a building permit to hold a transaction privilege tax license or business license as a condition for issuing the building permit.  A city or town may require a person that has been issued a building permit and that does not otherwise hold a business license from the city or town municipality to apply for a business license within thirty days after issuing the building permit.

C.  F.  If a person has constructed a building or an addition to a building without obtaining a building permit, a city or town municipality shall not require a subsequent owner to obtain a permit for the construction or addition done by the prior owner before issuing a permit for a building addition except that nothing in this section shall be construed as prohibiting the enforcement of does not prohibit enforcing an applicable ordinance or code provision which that affects the public health or safety.

G.  This section does not prohibit a municipality from recovering reasonable costs associated with reviewing and issuing a building permit.

H.  this section does not affect any authority of a municipality to manage or operate a municipally owned utility.

I.  For the purposes of this section:

1.  "municipality" means a city or town organized in accordance with law, including a home rule or charter city.

2.  "Utility service" means water, wastewater, natural gas, including propane gas, or electric service provided to an end user. END_STATUTE

Sec. 2.  Title 9, chapter 7, article 1, Arizona Revised Statutes, is amended by adding section 9-810, to read:

START_STATUTE9-810.  State preemption; utilities; restrictions; prohibition; limitation; definition

A.  The regulation of a utility provider's authority to operate and serve customers is a matter of statewide concern.  A person's or entity's ability to use the services of a utility provider that is capable and authorized to provide utility service is not subject to further regulation by a municipality pursuant to this section.

B.  Any code, ordinance, land use regulation or general or specific plan provision or part of a code, ordinance, land use regulation or general or specific plan provision adopted by a municipality may not prohibit or have the effect of restricting a person's or entity's ability to use the services of a utility provider that is capable and authorized to provide utility service at a person's or entity's property.

C.  A municipality may not impose a fine, penalty or other requirement that has the effect of restricting a utility provider's authority to operate or serve customers.

D.  This section does not affect any authority of a municipality to manage the public highways within the municipality's boundaries or to exercise the municipality's police powers to review and approve an application before issuing a permit to perform work in the public highways or to enforce associated permit conditions.

E.  This section does not affect any authority of a municipality to manage or operate a municipally owned utility.

F.  For the purposes of this section, "utility service" means water, wastewater, natural gas, including propane gas, or electric service provided to an end user. END_STATUTE

Sec. 3.  Section 11-321, Arizona Revised Statutes, is amended to read:

START_STATUTE11-321.  Building permits; issuance; state preemption; utilities; distribution of copies; subsequent owner; limitation; definition

A.  Except in those cities and towns which that have an ordinance relating to the issuance of building permits, the board of supervisors shall require a building permit for any construction of a building or an addition thereto to a building exceeding a cost of one thousand dollars $1,000 within its jurisdiction.  The building permit shall be filed with the board of supervisors or its designated agent.

B.  The regulation of a utility provider's authority to operate and serve customers is a matter of statewide concern.  The regulation of building permits as it relates to a building permit applicant's ability to use a utility provider that is capable and authorized to provide utility service is allowed solely in accordance with subsections c and d of this section.  A building permit applicant's ability to use a utility provider that is capable and authorized to provide utility service is not subject to further regulation by a county.

C.  A county may not deny a permit application based on the utility provider proposed to provide utility service to the project.

D.  A county issuing a building permit shall ensure that all applicable permits and associated fees assessed on a building permit applicant contain requirements and amounts that do not exceed the requirements and amounts for use of other utility providers and do not have the effect of restricting a permit applicant's ability to use the services of a utility provider that is capable and authorized to provide utility service.

B.  E.  The board of supervisors may not require an applicant for a building permit to hold a transaction privilege tax license or business license as a condition for issuing the building permit.

C.  F.  Where deemed of public convenience, the board of supervisors shall permit allow the application for and the issuance of building permits by mail.

D.  G.  One copy of the building permit required by the terms of subsection A of this section shall be transmitted to the county assessor and one copy shall be transmitted to the director of the department of revenue.  The permit copy provided to the assessor and the department of revenue shall have the permit number, the issue date and the parcel number for which the permit is issued.  On the issuance of the certificate of occupancy or the certificate of completion or on the expiration or cancellation of the permit, the assessor and the department of revenue shall be notified in writing or in electronic format of the permit number, parcel number, issue date and completion date.

E.  H.  If a person has constructed a building or an addition to a building without obtaining a building permit, a county shall not require a subsequent owner to obtain a permit for the construction or addition done by the prior owner before issuing a permit for a building addition except that nothing in this section shall be construed as prohibiting the enforcement of does not prohibit enforcing an applicable ordinance or code provision which that affects the public health or safety.

I.  This section does not prohibit a county from recovering reasonable costs associated with reviewing and issuing a building permit.

J.  this section does not affect any authority of a county to manage or operate a county-owned utility.

K.  for the purposes of this section, "utility service" means water, wastewater, natural gas, including propane gas, or electric service provided to an end user. END_STATUTE

Sec. 4.  Title 11, chapter 6, article 5, Arizona Revised Statutes, is amended by adding section 11-867, to read:

START_STATUTE11-867.  State preemption; utilities; restrictions; prohibition; limitation; definition

A.  The regulation of a utility provider's authority to operate and serve customers is a matter of statewide concern.  A person's or entity's ability to use the services of a utility provider that is capable and authorized to provide utility service is not subject to further regulation by a county pursuant to this section.

B.  Any code, ordinance, land use restriction or general or specific plan provision or part of a code, ordinance, land use regulation or general or specific plan provision adopted by a county may not prohibit or have the effect of restricting a person's or entity's ability to use the services of a utility provider that is capable and authorized to provide utility service at a person's or entity's property.

C.  A county may not impose a fine, penalty, or other requirement that has the effect of restricting a utility provider's authority to operate or serve customers.

D.  This section does not affect any authority of a county to manage the public highways within the county's boundaries or to exercise the county's police powers to review and approve an application before issuing a permit to perform work in the public highways or to enforce associated permit conditions.

E.  This section does not affect any authority of a county to manage or operate a county-owned utility.

F.  For the purposes of this section, "utility service" means water, wastewater, natural gas, including propane gas, or electric service provided to an end user. END_STATUTE