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ARIZONA STATE SENATE
Fifty-Seventh Legislature, Second Regular Session
school districts; property; bonding authority
Purpose
Prohibits a school district governing board (governing board) from calling an election to issue or modify bonds, if the ratio of the school district's student enrollment to enrollment capacity is less than 50 percent.
Background
A governing board may, and on petition of 15 percent of the school district electors must, hold an election to decide whether school district bonds will be sold to raise monies for specified purposes in the number and amount provided and payable from the school district's debt service fund. Monies to redeem bonds and pay interest are raised by assessing secondary property taxes in the school district. A ballot for an election to decide whether a district may issue bonds must contain outlined information, including the total amount of monies that will be raised by issuing the bonds (A.R.S. § 15-491).
The School Facilities Oversight Board (SFOB) must adopt rules establishing minimum school facility adequacy guidelines, which must provide the minimum quality and quantity of school buildings and facilities necessary and appropriate to enable pupils to achieve statutorily prescribed academic standards. A school district must have facilities with a minimum cumulative classroom square footage per pupil, with the required square footage per pupil changing based on grade level (A.R.S. § 41-5711; A.A.C. R7-6-210).
Average daily membership means the total enrollment of fractional students and full-time students, minus withdrawals, of each school day through the first 100 days or 200 days in session, as applicable, for the current year (A.R.S. § 15-901).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Prohibits a governing board, notwithstanding statute authorizing a governing board to call a bond election and only if the school district's enrollment to enrollment capacity is less than 50 percent, from calling an election to either:
a) determine whether bonds may be issued and sold; or
b) change the list of capital projects or the purposes authorized by prior voter approval to issue bonds.
2. Specifies that the ratio of a school district's enrollment to enrollment capacity is equal to the district's average daily membership for the prior year divided by the number of students who can be educated in the district's existing school buildings, as calculated by the SFOB consistent with the minimum school facility adequacy guidelines.
3. Prohibits the SFOB from including in the enrollment to enrollment capacity calculation any existing building that the school district leases, if the lessee uses the building to provide instruction to students in kindergarten programs or any of grades 1 through 12.
4. Becomes effective on the general effective date.
House Action
ED 2/17/26 DPA 8-3-0-1
3rd Read 3/3/26 32-24-3-0-1
Prepared by Senate Research
March 11, 2026
MG/hk