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ARIZONA STATE SENATE
Fifty-Seventh Legislature, Second Regular Session
ENACTED
AMENDED
FACT SHEET FOR H.B. 4158/S.B. 1851
criminal justice; 2026-2027
Purpose
Makes statutory and session law changes relating to criminal justice 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. 4158 contains the budget reconciliation provisions for changes relating to criminal justice.
Provisions
1. Prohibits, retroactive to January 1, 2026, state agencies, boards, commissions and departments from using monies from any fund or source other than the Erroneous Convictions Fund (Fund) to pay for any reimbursements or compensation awarded for successful erroneous conviction claims.
2. Establishes, retroactive to January 1, 2026, that the state is not liable to pay for any amount of reimbursement or compensation awarded for successful erroneous conviction claims in excess of the monies available in the Fund.
3. Increases, from $2,500,000 to $12,500,000, the monies that the Director of the Arizona Department of Corrections, Rehabilitation and Reentry (ADCRR) must annually transfer from the Corrections Fund to the Corrections Building Renewal Fund.
4. Consolidates reporting requirements for the ADCRR Transition Program and specifies that the Director of the Joint Legislative Budget Committee must receive a copy of the full consolidated report.
5. Requires the full consolidated ADCRR Transition Program report to be submitted by November 30 of each year, rather than by July 31 of each year.
6. Requires the Administrative Office of the Courts, on or before December 31, 2026, and each year thereafter, to compile a report on the enforcement and collection of monetary obligations, including restitution, fines, fees, surcharges and assessments, broken down into the following categories for each obligation:
a) the amounts ordered and collected;
b) collection rates;
c) instances in which a person was incarcerated due to nonpayment, bench warrants or a finding of contempt, and the total days of incarceration served;
d) the costs of enforcement and collection; and
e) net collections.
7. Requires the report to be submitted to the Governor, the President of the Senate, the Speaker of the House of Representatives, the Director of the Joint Legislative Budget Committee (JLBC), the Director of the Governor's Office of Strategic Planning and Budgeting (OSPB) and the Secretary of State.
8. Repeals the Arizona Civil Rights Advisory Board within the Attorney General's Civil Rights Division.
9. Delays the implementation of the Major Incident Division within the Department of Public Safety until July 1, 2028, rather than July 1, 2027.
10. Renames the Peace Officer Training Equipment Fund as the Law Enforcement Equipment Fund (Fund).
11. Transfers administrative oversight of the Fund from the State Treasurer to the Arizona Criminal Justice Commission.
12. Allows monies in the Fund to be used for administrative costs.
13. Makes technical and conforming changes.
14. Becomes effective on the general effective date, with retroactive provisions as noted.
Amendments Adopted by Committee of the Whole
1. Requires the Administrative Office of the Courts, on or before December 31, 2026, and each year thereafter, to compile a report on the enforcement and collection of monetary obligations, including restitution, fines, fees, surcharges and assessments, broken down into the following categories for each obligation:
a) the amounts ordered and collected;
b) collection rates;
c) instances in which a person was incarcerated due to nonpayment, bench warrants or a finding of contempt, and the total days of incarceration served;
d) net collections.
2. Requires the report to be submitted to the Governor, the Senate President, the Speaker of the House, the Directors of JLBC and OSPB and the Secretary of State.
3. Renames the Peace Officer Training Equipment Fund as the Law Enforcement Equipment Fund.
4. Transfers administrative oversight of the Fund from the State Treasurer to the Arizona Criminal Justice Commission.
5. Allows monies in the Fund to be used for administrative costs.
6. Makes technical changes.
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 49-9-2 3rd Read 6/11/26 23-5-2
(H.B. 4158 was substituted for S.B. 1851 on 3rd Read)
Signed by the Governor 6/13/26
Chapter 130
Prepared by Senate Research
June 19, 2026
ZD/ci