Assigned to ATT                                                                                                           AS PASSED BY HOUSE

 


 

 

 


ARIZONA STATE SENATE

Fifty-Seventh Legislature, Second Regular Session

 

AMENDED

FACT SHEET FOR S.B. 1456

 

ADOT; primitive roads; designation

(NOW: authorized third party; bond exemption)

As passed by the Senate, S.B. 1456 allowed the Director of the Arizona Department of Transportation (ADOT) to designate a state highway or route as a primitive road and outlined signage requirements for primitive roads.

The House of Representatives adopted a strike-everything amendment that does the following:

Purpose

            Adds employers and associations with at least 500 employees or members and who are applying for authorization to operate as an authorized third-party driver license provider to the list of entities who are exempt from submitting the prescribed bond with the application for authorization.

Background

An authorized third-party driver license provider, other than authorized third-party commercial driver license examiners, must perform driver license skills and written testing and driver license processing. A person who applies for authorization to operate as an authorized
third-party driver license provider must submit a bond in an amount of at least $300,000 for an initial application for authorization and an additional $100,000 for each additional location providing driver license functions. Only a single $100,000 bond is required for a location if an authorized third-party is also authorized to perform certain title and registration functions at the same location. The total required bond amount may not exceed $1,000,000 and certain government entities are exempt from the outlined bond requirements, including: 1) departments, agencies, political subdivisions, courts and law enforcement agencies of the state; 2) financial institutions or enterprises under the jurisdiction of the Department of Insurance and Financial Institutions and federal monetary authorities; 3) the federal government and any federal agency; and 4) tribal governments (A.R.S. § 28-5101.01).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.   Includes employers or associations that have at least 500 employees or members in the list of entities who are exempt from submitting prescribed bonds when applying for authorization as a third-party driver license provider.

2.   Makes technical changes.

3.   Becomes effective on the general effective date.

Amendments Adopted by the House of Representatives

ˇ Adopted the strike-everything amendment relating to bond exemptions for authorized third-party driver license providers.

House Action

TI                 3/25/26         DPA/SE      4-2-0-1

3rd Read       4/27/26                             38-19-2-0-1

3rd Read*     6/11/26                             39-19-2

*on reconsideration

Prepared by Senate Research

June 11, 2026

LMM/KS/ci