Assigned to NR                                                                                                                       FOR COMMITTEE

 


 

 

 


ARIZONA STATE SENATE

Fifty-Seventh Legislature, Second Regular Session

 

FACT SHEET FOR H.B. 2351

 

state land; commissioner-initiated sales

Purpose

Requires rules adopted by the Arizona State Land Department (ASLD) relating to the sale of state lands by the ASLD Commissioner's (Commissioner's) own initiative to establish a procedure and criteria that the Commissioner must use for determining whether to initiate the sale of state lands.

Background

On receiving an application, or on the Commissioner's own initiative, the ASLD, under the rules of the ASLD, may cause state lands to be sold if the sale is not prohibited by law. Land containing timber of value, which in the opinion of the Commissioner should be sold separately from the land is not subject to sale until after the timber is sold (A.R.S. § 37-233).

The Arizona State Land Department (ASLD) must order the sale of the lands to the highest and best bidder at public auction held at the county seat of the county in which the land or the major portion of the land is located and give notice of the sale by advertisement. The ASLD may accept bids offered through electronic means during a public auction. After an accepted bid, the ASLD is not liable for: 1) the failure of a person's electronic means that prevents the person from participating in the auction; or 2) the failure of the electronic means the ASLD operates that is caused by an act of god or nature, a superior or overpowering force or an event or effect that cannot be reasonably anticipated or controlled during or directly preceding the public auction that prevents a person from participating in the public auction. If the Commissioner receives information that indicates there is a change in the circumstances regarding the benefits to the trust before the acceptance of a final bid at the public auction, the Commissioner may cancel the sale proceedings. A person adversely affected by a decision to terminate a sale may appeal such decision to the ASLD Board of Appeals, except for in the prescribed situations in which the ASLD is not liable (‎A.R.S. § 37-236).

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

Provisions

1.   Requires the rules adopted by the ASLD relating to the sale of state lands by the Commissioner's own initiative to establish a procedure and criteria that the Commissioner must use for determining whether to initiate the sale of state lands.

2.   Makes technical changes.

3.   Becomes effective on the general effective date.

House Action

LARA             1/27/26      W/D

NREW            2/12/26      DP       6-3-0-1

3rd Read          2/23/26                  32-25-3

Prepared by Senate Research

March 13, 2026

SB/hk