ARIZONA HOUSE OF REPRESENTATIVES

57th Legislature, 2nd Regular Session

Majority Research Staff

Senate: RAGE DPA 5-0-2-0 | Third Read 26-3-1-0-0

House: COM DPA 9-0-1-2

☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☐ Fiscal Note


SB1671: gaming; racing; boxing; conflict-of-interest continuation

Sponsor: Senator Bolick, LD 2

House Engrossed

Overview

Continues the Arizona Department of Gaming (ADG), Arizona Racing Commission (Racing Commission) and the Arizona State Boxing & Mixed Martial Arts Commission (Boxing & MMA Commission) for six years. Includes conflict-of-interest requirements.

History

Established in 1995, the ADG regulates and monitors tribal gaming activities in accordance with Arizona tribal-state gaming compacts as required by federal law and authorized by statute. The ADG's statutory responsibilities include: 1) licensing and regulation of event wagering and fantasy sports contests; 2) supporting programs to reduce problem gambling; 3) overseeing live horse racing, harness racing, pari-mutuel and simulcast wagering; and 4) providing staff support for the Racing Commission and Boxing & MMA Commission.

The Arizona Racing Commission regulates and supervises all racing meetings held and pari-mutuel wagering conducted in Arizona. The Racing Commission is statutorily required to: 1) issue racing dates; 2) prepare and adopt rules governing racing and pari-mutuel wagering; 3) conduct hearings on permit applications and rehearings on licensing and regulatory decisions; and 4) conduct all review of applications to construct capital improvements at racetracks.

The Boxing & MMA Commission is responsible for regulating and supervising all boxing, kickboxing, tough man, and mixed martial arts events in Arizona, including issuing licenses to referees, judges, matchmakers, promoters, trainers, ring announcers, timekeepers, ringside physicians, inspectors, mixed martial arts combatants, boxers, managers and seconds (Title 5, Chapter 1, 2, and 6, A.R.S.).

The House of Representatives Commerce Committee of Reference (COR) met on January 13, 2026, to review the Auditor General's Performance Audit and Sunset Review Report (25-106) of the ADG, Racing Commission and Boxing & MMA Commission, consider the ADG's responses to the statutorily-outlined sunset factors and receive public testimony.

The Commerce COR recommended that the ADG be continued for two years and that the Racing Commission and Boxing & MMA Commission be continued for six years.

The ADG, Racing Commission and Boxing & MMA Commission are statutorily set to terminate on July 1, 2026, unless continued by the Legislature (A.R.S. §§ 41-3026.04, 41-3026.13, 41-3026.22).

Provisions

Arizona Department of Gaming

1.   Instructs ADG to create and implement a submission process and tracking system to track and monitor complaints and make the submission process available on ADG's website. (Sec. 4)

2.   Requires ADG, by September 30 of each year, to submit an annual report to the Legislature and Governor that includes aggregate data of complaints relating to persons or entities licensed or regulated by the Department. (Sec. 4)

3.   Adds that the annual report relating to active licensees must include a statement that indicates the number of independent audit results that are required to be submitted by licensed event wagering operators and management service providers and include any corrective actions taken by the department regarding the overpayment or underpayment of privilege fees. (Sec. 5)

Conflict-Of-Interest Requirements

4.   Requires the director, deputy director, executive director, commissioners and all employees of the Division of Racing, the Boxing & MMA Commission and ADG to:

a.   complete a conflict-of-interest disclosure form upon their initial appointment and hiring; and

b.   submit an updated form annually if any conflict-of-interest information has changed. (Sec. 1, 2, 3)

Continuations

5.   Continues, retroactive to July 1, 2026, the Racing Commission, the Boxing & MMA Commission and ADG for six years until July 1, 2032. (Sec. 6, 7, 11)

6.   Repeals the Racing Commission, the Boxing & MMA Commission and ADG on January 1, 2033. (Sec. 6)

Miscellaneous

7.   Contains purpose statements relating to the Racing Commission, the Arizona State Boxing & MMA Commission and ADG. (Sec. 8, 9, 10)

8.   Adds that failure for the Division of Racing employees to comply with completing and submitting the conflict-of-interest information is grounds for dismissal. (Sec. 1)

9.   Makes technical changes. (Sec. 1, 2)

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13.  Initials PB                       SB 1671

14.  3/11/2026  Page 0 House Engrossed

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