REFERENCE TITLE: municipal bonds; environmental sustainability; prohibition

State of Arizona

Senate

Fifty-fifth Legislature

Second Regular Session

2022

SB 1132

Introduced by

Senator Rogers

AN ACT

amending title 9, chapter 4, article 8, arizona revised statutes, by adding section 9-500.48; relating to municipal bonding authority.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1. Title 9, chapter 4, article 8, Arizona Revised Statutes, is amended by adding section 9-500.48, to read:

START_STATUTE9-500.48. Municipal bonds; environmental sustainability; prohibition; definitions

A. notwithstanding any other law, a municipality may not issue a green bond to finance or refinance a green project. 

b. for the purposes of this section:

1. "green bond" means any type of bond instrument in which the proceeds, or an equivalent amount, are exclusively applied to finance or refinance, in part or in full, a new or existing green project.

2. "green project":

(a) means a project that contributes to environmental objectives, including:

(i) climate change mitigation.

(ii) climate change adaptation.

(iii) Carbon neutrality.

(iv) Carbon mitigation measures.

(b) does not include pollution prevention and control. END_STATUTE