REFERENCE TITLE: state land department; disposition plan

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2426

Introduced by

Representatives Griffin: Diaz, Taylor;  Senator Gowan

AN ACT

relating to the five year disposition plan.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Five year disposition plan; requirements; delayed repeal

A. Within two years of the effective date of this act, the state land commissioner shall:

1. Complete the five year disposition plan for state lands pursuant to section 37-331.03, subsection D, Arizona Revised Statutes.

2. Adopt written policies and procedures for updating the five year disposition plan every five years.

3. Adopt written policies and procedures on how the state land department will use the five year disposition plans for determining whether state trust lands are or will be sent to public auction.

4. Provide a copy of the five year disposition plan and the policies and procedures adopted pursuant to this section to the president of the senate and the speaker of the house of representatives.

B. This section is repealed from and after June 30, 2029.

Sec. 2. Legislative findings

The legislature finds that:

1. According to the auditor general's performance audit and sunset review of the state land department completed on July 9, 2025, the state land department has failed to develop the statutorily required five year disposition plans since 2016.

2. According to the auditor general's performance audit and sunset review, all five members of the urban land planning oversight committee have been vacant since at least 2018.

3. Pursuant to sections 37-331.02 and 37-331.03, Arizona Revised Statutes, the urban land planning oversight committee serves in an advisory role only and is not required for the commissioner to fulfill the commissioner's obligations to create a five year disposition plan pursuant to statute.

4. The fact that the governor has not appointed any members to the urban land planning oversight committee has not absolved the commissioner of the commissioner's obligations to create a five year disposition plan as prescribed in section 37-331.03, Arizona Revised Statutes.

5. The creation of a five year disposition plan is necessary for housing affordability and to ensure the highest and best use of the land for the beneficiaries of the trust.