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ARIZONA STATE SENATE
Fifty-Seventh Legislature, Second Regular Session
ENACTED
FACT SHEET FOR H.B. 4155/S.B. 1848
amusements; 2026-2027
Purpose
Makes statutory and session law changes relating to amusements necessary to implement the FY 2027 state budget.
Background
The Arizona Constitution prohibits substantive law from being included in the general appropriations, capital outlay appropriations and supplemental appropriations bills. However, it is often necessary to make statutory and session law changes to effectuate the budget. Thus, separate bills called budget reconciliation bills (BRBs) are introduced to enact these provisions. Because BRBs contain substantive law changes, the Arizona Constitution provides that they become effective on the general effective date, unless an emergency clause is enacted.
H.B. 4155 contains the budget reconciliation provisions for changes relating to amusements.
Provisions
Liquor Licenses Fund
1. Specifies that remaining monies in the Liquor Licenses Fund revert to the state General Fund if the amount exceeds $700,000 by December 31 of each year, rather than at the end of each fiscal year.
Fantasy Sports Contest Fees
2. Repeals the Fantasy Sports Contest Fund.
3. Transfers all remaining unexpended and unencumbered monies from the Fantasy Sports Contest Fund to the Event Wagering Fund.
4. Redirects the deposit of fantasy sport privilege fees and penalties into to the Event Wagering Fund.
Unarmed Combat Subaccount
5. Repeals the Unarmed Combat Subaccount within the Racing Regulation Fund.
6. Establishes the Unarmed Combat Subaccount within the Event Wagering Fund (Unarmed Combat Subaccount), consisting of monies from unarmed combating licensing fees, penalties and other sources.
7. Requires the Arizona Department of Gaming (ADG) to administer the Unarmed Combat Subaccount.
8. Redirects the deposit of unarmed combat licensing fees and penalties into the Event Wagering Fund.
9. Requires the Director of the ADG, by the end of each month, to report to the Arizona Department of Administration the total amount received from unarmed combat licensing fees and penalties.
10. Requires the Director of the ADG to deposit the reported amount in the Unarmed Combat Subaccount.
11. Allows the ADG to transfer monies for the annual costs of regulating and enforcing event wagering from the Event Wagering Fund into the Unarmed Combat Subaccount.
Event Wagering Fund Spending
12. Authorizes the ADG, unless otherwise determined by the Legislature, to spend no more than 10 percent of monies on the annual costs of regulating and enforcing both event wagering and fantasy sports contests, rather than only event wagering.
13. Authorizes the ADG to spend up to $500,000 per fiscal year, of the 10 percent of Event Wagering Fund monies allotted for regulating and enforcing event wagering and fantasy sports contests, to support problem gambling programs or provide grants to problem gambling programs.
Racing Regulatory Assessment
14. Continues to require the ADG, in FY 2027, to establish and collect, in addition to the amounts already authorized, a regulatory assessment from each commercial racing permittee in the amount of 0.5 percent of the amounts wagered, payable from pari-mutuel pools from in-state and out-of-state live and simulcast races.
Horse Racing Gate Approval
15. Continues to authorize the
ADG, for race meetings in the years 2025 and 2026, to allow a
first-time starter horse to race as long as the horse has gate approval and at
least two timed workouts.
16. Requires one of the timed workouts to be an out-of-the-gate workout that is conducted within 60 days of the race in which the horse is entered.
17. Repeals the authorization for the ADG to allow gate approval for a first-time starter horse to race within 60 days of the race in which the horse is entered if the horse has gate approval and at least two-timed workouts on January 1, 2028.
Miscellaneous
18. Makes technical and conforming changes.
19. Becomes effective on the general effective date.
House Action Senate Action
APPROP 6/10/26 DP 15-1-2-0 ATT 6/10/26 DP 8-2-0
3rd Read 6/11/26 49-8-3 3rd Read 6/11/26 23-5-2
(H.B. 4155 was substituted for S.B. 1848 on 3rd Read)
Signed by the Governor 6/13/26
Chapter 127
Prepared by Senate Research
June 19, 2026
JT/NRG/ci