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Senate Engrossed
municipalities; counties; private permitting providers |
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State of Arizona Senate Fifty-seventh Legislature Second Regular Session 2026
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SENATE BILL 1241 |
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AN ACT
amending title 9, chapter 4, article 6, Arizona Revised Statutes, by adding section 9-461.21; amending title 11, chapter 6, article 1, Arizona Revised Statutes, by adding section 11-810.02; relating to local planning.
(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 6, Arizona Revised Statutes, is amended by adding section 9-461.21, to read:
9-461.21. Private permitting providers; building permits; certificates of completion; liability insurance; code and fee publication; registration; nuisance removal; prohibition; powers; definitions
A. For any single-trade residential construction project, the property owner or the property owner's contractor or agent may elect to use a private permitting provider to conduct a building plan review or inspection without approval from the municipality.
B. On completion of a building plan review for a single-trade residential construction project, if a private permitting provider has determined that the building plan complies with applicable building codes, the private permitting provider shall issue a private permit. The private permitting provider shall submit a copy of the private permit to the municipality within forty-eight hours after issuing the private permit. The municipality may not require the private permitting provider to submit the building plan to the municipality for review. The municipality shall accept and track the private permit in the same manner as a building permit that is issued by the municipality.
C. On completion of an inspection of a single-trade residential construction project, if a private permitting provider determines that the single-trade residential construction project complies with the building permit application and all applicable building codes, the private permitting provider shall issue a private certificate of completion. The private permitting provider may use photographs, recorded videos or live video streams to conduct the inspection. The private permitting provider shall submit a copy of the private certificate of completion to the municipality within forty-eight hours after issuing the private certificate of completion. The municipality shall accept and track the private certificate of completion in the same manner as a certificate of completion that is issued by the municipality.
D. A municipality may not impose any fees related to the review or processing of a private permit or private certificate of completion that is issued by a private permitting provider other than reasonable recording fees.
E. A municipality may not take any discriminatory action against the property owner or the property owner's contractor or agent for using a private permitting provider.
F. A private permitting provider may use software that is designed to automate the required review and building permit or certificate of completion process without the performance of an additional manual review by the private permitting provider.
G. A private permitting provider shall maintain applicable professional liability insurance in the amount established by the private permitting provider's registration or certification regulations.
H. A municipality shall post on the municipality's website all building codes and permitting fee schedules. If a municipality does not post all building codes and permitting fee schedules on the municipality's website, a private permitting provider may rely on applicable International model building safety codes to determine code compliance and conduct an inspection. A municipality that has not posted all building codes and permitting fee schedules on the municipality's website may not charge a permitting fee for a single-trade residential construction project that is permitted or inspected pursuant to this section.
I. A municipality may maintain a registration process to verify that a private permitting provider meets the requirements of this section. If a municipality maintains a registration process pursuant to this subsection, the municipality shall post on the municipality's website a list of private permitting providers that are registered through the municipality's registration process. If a municipality maintains a registration process, a private permitting provider that is included in the municipality's posted list of registered private permitting providers or that is registered through another municipality or county shall be available to perform a building plan review or inspection.
J. Notwithstanding subsection I of this section, a municipality that has abated or removed a nuisance that was the subject of a building plan review or inspection that was conducted by a private permitting provider pursuant to this section may prohibit that private permitting provider from conducting building plan reviews or inspections in that municipality. A private permitting provider that is prohibited from conducting building plan reviews or inspections pursuant to this subsection may appeal the prohibition to the governing bodies of the municipality. At the private permitting provider's request, the municipality shall provide the private permitting provider with a method to remove the prohibition.
K. This section does not limit or affect a municipality's ability to define, abate or remove nuisances and punish persons committing nuisances pursuant to section 9-240, subsection B, paragraph 21, subdivision (a).
L. A municipality that issues a permit, approval or certificate of occupancy after a plan review or inspection that is conducted by a private permitting provider pursuant to this section shall have the immunity prescribed in sections 12-820.01 and 12-820.02.
M. For the purposes of this section:
1. "Building code" includes:
(a) plumbing and mechanical codes.
(b) electric codes.
(c) residential construction codes.
(d) energy conservation codes.
(e) zoning and planning codes.
(f) building construction codes.
(g) property maintenance codes.
(h) antiblight codes.
2. "Private certificate of completion" means a certificate of completion that is issued by a private permitting provider.
3. "Private permit" means a building permit that is issued by a private permitting provider.
4. "Private permitting provider" means either of the following:
(a) A person or firm that is registered pursuant to title 32, chapter 1 to practice architecture or engineering.
(b) An inspector or plans examiner who is certified by an organization that develops model codes and standards for building safety.
5. "Single-trade residential construction project":
(a) Means Any construction project on the property of a single-family or multifamily residential dwelling unit that requires a building permit and that is limited to a single construction discipline.
(b) Includes Erecting, installing, enlarging, altering, repairing, removing, converting or replacing:
(i) A single utility system.
(ii) A heating, ventilation or air conditioning system.
(iii) A water heater or water-treatment appliance.
(iv) A solar photovoltaic system, a solar thermal system, an energy storage system or a combination.
(v) Roofing.
(vi) Exterior openings.
(vii) Stucco, plaster or siding.
(viii) Fencing.
Sec. 2. Title 11, chapter 6, article 1, Arizona Revised Statutes, is amended by adding section 11-810.02, to read:
11-810.02. Private permitting providers; building permits; certificates of completion; liability insurance; code and fee publication; registration; nuisance removal; prohibition; powers; definitions
A. For any single-trade residential construction project, the property owner or the property owner's contractor or agent may elect to use a private permitting provider to conduct a building plan review or inspection without approval from the county.
B. On completion of a building plan review for a single-trade residential construction project, if a private permitting provider has determined that the building plan complies with applicable building codes, the private permitting provider shall issue a private permit. The private permitting provider shall submit a copy of the private permit to the county within forty-eight hours after issuing the private permit. The county may not require the private permitting provider to submit the building plan to the county for review. The county shall accept and track the private permit in the same manner as a building permit that is issued by the county.
C. On completion of an inspection of a single-trade residential construction project, if a private permitting provider determines that the single-trade residential construction project complies with the building permit application and all applicable building codes, the private permitting provider shall issue a private certificate of completion. The private permitting provider may use photographs, recorded videos or live video streams to conduct an inspection. The private permitting provider shall submit a copy of the private certificate of completion to the county within forty-eight hours after issuing the private certificate of completion. The county shall accept and track the private certificate of completion in the same manner as a certificate of completion that is issued by the county.
D. A county may not impose any fees related to the review or processing of a private permit or private certificate of completion that is issued by a private permitting provider other than reasonable recording fees.
E. A county may not take any discriminatory action against the property owner or the property owner's contractor or agent for using a private permitting provider.
F. A private permitting provider may use software that is designed to automate the required review and building permit or certificate of completion process without the performance of an additional manual review by the private permitting provider.
G. A private permitting provider shall maintain applicable professional liability insurance in the amount established by the private permitting provider's registration or certification regulations.
H. A county shall post on the county's website all building codes and permitting fee schedules. If a county does not post all building codes and permitting fee schedules on the county's website, a private permitting provider may rely on applicable INTERNATIONAL model building safety codes to determine code compliance and conduct an inspection. A county that has not posted all building codes and permitting fee schedules on the county's website may not charge a permitting fee for a single-trade residential construction project that is permitted or inspected pursuant to this section.
I. A county may maintain a registration process to verify that a private permitting provider meets the requirements of this section. If a county maintains a registration process pursuant to this subsection, the county shall post on the county's website a list of private permitting providers that are registered through the county's registration process. If a county maintains a registration process, a private permitting provider that is included in the county's posted list of registered private permitting providers or that is registered through another county or municipality shall be available to perform a building plan review or inspection.
J. Notwithstanding subsection I of this section, a county that has abated or removed a nuisance that was the subject of a building plan review or inspection that was conducted by a private permitting provider pursuant to this section may prohibit that private permitting provider from conducting building plan reviews or inspections in that county. A private permitting provider that is prohibited from conducting building plan reviews or inspections pursuant to this subsection may appeal the prohibition to the governing body of the county. At the private permitting provider's request, the county shall provide the private permitting provider with a method to remove the prohibition.
K. This section does not limit or affect a county's ability to define, abate or remove nuisances and punish persons committing nuisances.
L. A county that issues a permit, approval or certificate of occupancy after a plan review or inspection that is conducted by a private permitting provider pursuant to this section shall have the immunity prescribed in sections 12-820.01 and 12-820.02.
M. For the purposes of this section:
(a) plumbing and mechanical codes.
(b) electric codes.
(c) residential construction codes.
(d) energy conservation codes.
(e) zoning and planning codes.
(f) building construction codes.
(g) property maintenance codes.
(h) antiblight codes.
2. "Private certificate of completion" means a certificate of completion that is issued by a private permitting provider.
3. "Private permit" means a building permit that is issued by a private permitting provider.
4. "Private permitting provider" means either of the following:
(a) A person or firm that is registered pursuant to title 32, chapter 1 to practice architecture or engineering.
(b) An inspector who is certified by an organization that develops model codes and standards for building safety or by a national professional electrical trade association.
5. "Single-trade residential construction project":
(a) Means Any construction project on the property of a single-family or multifamily residential dwelling unit that requires a building permit and that is limited to a single construction discipline.
(b) Includes Erecting, installing, enlarging, altering, repairing, removing, converting or replacing:
(i) A single utility system.
(ii) A heating, ventilation or air conditioning system.
(iii) A water heater or water-treatment appliance.
(iv) A solar photovoltaic system, a solar thermal system, an energy storage system or a combination.
(v) Roofing.
(vi) Exterior openings.
(vii) Stucco, plaster or siding.
(viii) Fencing.