SB1171 - 502R

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

Section 1. Heading change

The article heading of title 27, chapter 1, article 1, Arizona Revised Statutes, is changed from "MINES AND MINERAL RESOURCES" to "ARIZONA GEOLOGICAL SURVEY".

Sec. 2. Section 27-101, Arizona Revised Statutes, is amended to read:

START_STATUTE27-101. Definitions

In this article, unless the context otherwise requires:

1. "Department" means the Arizona geological survey.

2. "Director" means the state geologist.

1. "Aggregate" means cinder, crushed rock or stone, decomposed granite, gravel, pumice, pumicite and sand.

2. "Mineral resources" means all metallic, nonmetallic and energy resources, including aggregate, coal, oil, natural gas, geothermal resources, carbon dioxide and helium.

3. "Minerals" includes metals and metallic and nonmetallic minerals, except oil and gas. END_STATUTE

Sec. 3. Renumber

Section 27-101.01, Arizona Revised Statutes, is renumbered as section 27-105.

Sec. 4. Repeal

Section 27-102, Arizona Revised Statutes, is repealed.

Sec. 5. Transfer and renumber

A. Section 27-112, Arizona Revised Statutes, is renumbered as section 27-110.

B. Sections 27-151, 27-151.01, 27-152, 27-152.01, 27-152.02, 27-153 and 27-155, Arizona Revised Statutes, are transferred and renumbered for placement in title 27, chapter 1, article 1, Arizona Revised Statutes, as sections 27-102, 27-104, 27-103, 27-106, 27-107, 27-108 and 27-109, respectively.

Sec. 6. Section 27-102, Arizona Revised Statutes, as transferred and renumbered by this act, is amended to read:

START_STATUTE27-102. Arizona geological survey; state geologist; powers

A. The Arizona geological survey is established with offices located in proximity to the university of Arizona in Tucson. The governor shall appoint a state geologist, pursuant to section 38‑211, to be the administrative head of the Arizona geological survey and to serve at the pleasure of the governor. The state geologist shall be registered as a geologist by the state board of technical registration, a graduate of an accredited institution and otherwise qualified by education and experience to direct the research and information functions of the Arizona geological survey.

B. The state geologist may organize the Arizona geological survey into such administrative units, and employ such permanent, temporary, part‑time and volunteer professional and support staff, as necessary to achieve the objectives and promote the policies prescribed by this article.

C. The state geologist may:

1. Retain the services of faculty members or students, and shall have reasonable access to the data and other resources, of the university of Arizona or any other state university in this state to conduct or supervise research, experimentation or other related work of the Arizona geological survey.

2. Organize field expeditions to perform work for the Arizona geological survey using university students who are sufficiently advanced in their study of geology to be able to perform satisfactory work.

3. Establish and appoint an advisory board consisting of independent practicing geologists, university or college faculty, mining geologists and others who use and rely on data, information and other services of the Arizona geological survey.

D. The expenses of the Arizona geological survey shall be paid by annual appropriation from the state general fund and as otherwise provided by this article and article 1 of this chapter.

E. For the purposes of this article, "mineral resources" means all metallic, nonmetallic and energy resources, including coal, oil, natural gas, geothermal resources, carbon dioxide and helium. END_STATUTE

Sec. 7. Section 27-103, Arizona Revised Statutes, as transferred and renumbered by this act, is amended to read:

START_STATUTE27-103. Objectives of Arizona geological survey

The objectives of the Arizona geological survey are to:

1. Serve as a primary source of geologic information in this state to enhance public understanding of the state's geologic character, geologic hazards and limitations and mining and mineral resources.

2. Inform, advise and assist the public in matters concerning the geological processes, materials and landscapes and the development and use of the mineral resources of this state.

3. Encourage the wise use of the lands and mineral resources of this state toward its development.

4. Provide technical advice and assistance in geology to other state and local governmental agencies engaged in projects in which the geologic setting, character or mineral resources of the state are involved.

5. Provide technical advice and assistance in geology to industry toward the wise development and use of the mineral and land resources of this state. END_STATUTE

Sec. 8. Section 27-105, Arizona Revised Statutes, as renumbered by this act, is amended to read:

START_STATUTE27-105. Immunity

Any claim or action against the department, the director Arizona geological survey, the state geologist or any other officer, employee or volunteer of the department geological survey in the person's official capacity must be brought against the state of Arizona and not against the department, director geological survey, state geologist or officer, employee or volunteer individually. END_STATUTE

Sec. 9. Section 27-106, Arizona Revised Statutes, as transferred and renumbered by this act, is amended to read:

START_STATUTE27-106. Duties of Arizona geological survey

The Arizona geological survey shall:

1. Map and describe the bedrock and related geologic materials and processes in Arizona, as follows:

(a) Prepare geologic maps that show the distribution of rock formations and surficial materials at the surface and in the subsurface.

(b) Describe the character of rock and surficial materials, including their age, origin and physical and chemical properties.

(d) Map and characterize energy and mineral resources and identify areas that may have potential for future discoveries.

2. Provide objective, scientific information about the geologic character of this state as follows:

(a) Provide timely, courteous responses to requests for information, advice and assistance from the public.

(b) Maintain a computerized bibliographic database of maps and reports on the geology of this state that is accessible to the public.

(c) Maintain an internet web site that includes information about the Arizona geological survey, products and services available and the geologic character of this state.

(d) Give lectures and talks, conduct workshops, lead field trips and provide information and assistance to public, educational and professional groups.

(e) Publish reports and other information, written in nontechnical terms, to inform those not trained in geology about the geologic character of Arizona.

3. Beginning on or before January 1, 2007 and every five years thereafter, submit to the state land department copies of all data files of known areas of earth fissures for the purposes of section 37-173, paragraph 11. On receipt of the earth fissure maps from the state land department that are based on data files submitted, Prepare all data files of known areas of earth fissures, produce maps of those areas with overlays showing affected counties, cities, towns, highways and streets and transmit the maps in printed and electronic format to the state real estate department for purposes of providing public access to the earth fissure maps pursuant to this paragraph and section 32-2117. The Arizona geological survey shall provide any map to any member of the public in printed or electronic format on request. The following notice shall be displayed below each map:

Notice

The state of Arizona has made a reasonable effort to ensure the accuracy of this map when it was produced, but errors may be present and the state of Arizona does not guarantee its accuracy. The map supplements, and is not a substitute for, a professional inspection of property for defects and conditions.

4. Operate and maintain a central repository and a computerized database for reports, books, maps and other publications regarding the geology, mining and mineral resources and associated technologies. Such repository and database shall be available for the use of the public and may be located at or connected with the university of Arizona or another state university or agency of this state. All databases and other archival materials shall be maintained in a secure and retrievable format and at a location prescribed by the state geologist to protect and preserve information from damage or destruction.

5. Operate and maintain a central repository for rock cores, well cuttings and related subsurface samples and all associated supplemental data consistent with the laws of this state requiring the deposit of such material and information. Such repository shall be available for the use of the public.

6. Receive and expend any monies arising from grants, contracts, contributions, gratuities or reimbursements payable or distributable to this state from the United States, or from state, county, municipal or other governmental sources. The Arizona geological survey shall also receive and expend any monies arising from grants, contracts, contributions, gratuities or reimbursements donated by private persons or corporations. Monies received pursuant to this paragraph shall be deposited in the geological survey fund and handled pursuant to section 27‑152.02 27-107.

7. Contract and be contracted with.

8. Utilize the services and expertise of the universities of the state at the discretion of the state geologist.

9. Cooperate with local, county, state and federal agencies.

10. Provide administrative and staff support for the Arizona oil and gas conservation commission.

11. Provide quality mining data, evaluation and assistance relating to mining and mineral development to the legislature, federal, state and local governmental agencies and the public.

12. Serve as a source of mining information and data necessary or advisable to attain its objectives. The state geologist may establish reasonable fees for publications.

13. Cooperate with the Arizona corporation commission in its investigations and administration of laws, relating to the sale of mining securities. END_STATUTE

Sec. 10. Section 27-107, Arizona Revised Statutes, as transferred and renumbered by this act, is amended to read:

START_STATUTE27-107. Powers and duties of state geologist; fund

A. The state geologist shall:

1. Establish such administrative functions and offices as necessary to achieve the purposes of this article.

2. Prescribe the number and professional disciplines of the technical staff and their office and laboratory associates.

3. Direct the work of the Arizona geological survey and the formulation of its program and policies.

4. Adopt such rules as are necessary to carry out the purposes of this article.

5. Purchase or lease necessary office and laboratory equipment and acquire facilities from the state or lease necessary office and laboratory space.

6. Apply for and accept gifts, bequests or legacies of real or personal property or any other contribution, financial or otherwise, for use pursuant to the direction of the donor or, in the absence of an express direction, to be disposed of for the best interests of this state. The state geologist shall honor any restriction imposed by the donor on divulging contributed information or tangible personal property.

7. Accept from the federal, state and local governments or their agencies monies made available to this state for the purposes of this article.

8. Enter into cooperative agreements with federal, county or municipal governments or their agencies or with any agency or governmental unit established by the law of this or any other state for the purpose of carrying out the provisions of this article.

9. Contract with persons and organizations, public or private, to provide services for the Arizona geological survey.

10. Appoint a person with a background in oil and gas conservation to act on behalf of the oil and gas conservation commission and administer and enforce the applicable provisions of chapter 4 of this title relating to the oil and gas conservation commission.

B. The state geologist or the geologist's designee, at any time, may enter the property and inspect wells drilled for oil, gas, geothermal resources, helium or carbon dioxide and shall control property, machinery and appliances necessary to gauge the wells.

C. A geological survey fund is established for the purposes provided in this article consisting of appropriations and all monies received pursuant to article 1 of this chapter, this section and sections 27‑152.01, 27‑153 this article and section 27‑515. Monies shall be separately accounted for and used as a continuing appropriation by the state geologist for the purposes provided from each source. Monies in the fund are exempt from the provisions of section 35‑190 relating to lapsing of appropriations. END_STATUTE

Sec. 11. Section 27-108, Arizona Revised Statutes, as transferred and renumbered by this act, is amended to read:

START_STATUTE27-108. Publications; deposit

A. The state geologist may publish, in the form of bulletins, circulars, maps and other related series, or otherwise make available to state agencies, government officials, industry and the public the results of geological and related research and investigation undertaken by the Arizona geological survey. A publication shall not include any confidential information pursuant to section 27‑522. The state geologist shall consult with the operator and obtain the approval of the scope of work for the publication before the state geologist releases any proposed publication pertaining to a project regulated by the oil and gas conservation commission.

B. The publications of the Arizona geological survey shall be printed as the state geologist determines and distributed or sold as the interests of this state or science demand. Money obtained by the sale of publications shall be deposited in the geological survey fund established by section 27‑152.02 27-107 for printing further publications.

C. All materials collected, after having served the purpose of the Arizona geological survey, shall be made available to the universities, community colleges and high schools of this state. END_STATUTE

Sec. 12. Section 27-110, Arizona Revised Statutes, as renumbered by this act, is amended to read:

START_STATUTE27-110. Trade secrets; confidentiality; definition

A. The director state geologist may receive and accept geologic, engineering and feasibility studies and other economic and technical information that is considered a trade secret in the mineral industry.

B. Trade secret information obtained under this section is confidential and not subject to public disclosure.

C. For the purposes of this section, "trade secret" means information to which all of the following apply:

1. A person has taken reasonable measures to protect the information from disclosure and the person intends to continue to take those measures.

2. The information is not and has not been reasonably obtainable by legitimate means by other persons without the person's consent, other than by governmental entities and other than in discovery based on a showing of special need in a judicial or quasi‑judicial proceeding.

3. A statute does not specifically require disclosure of the information to the public.

4. The person has satisfactorily shown that disclosing the information is likely to cause substantial harm to the person's competitive position. END_STATUTE

Sec. 13. Repeal

The article heading of title 27, chapter 1, article 4, Arizona Revised Statutes, is repealed.

Sec. 14. Section 27-515, Arizona Revised Statutes, is amended to read:

START_STATUTE27-515. Administration; powers of the commission; fees

A. The commission shall administer and enforce the provisions of this article and other laws relating to conservation of oil and gas. The commission and administrative staff may, at any time, may enter upon property and inspect wells drilled for oil or gas, and well records, and shall control property, machinery and appliances necessary to gauge the wells. The Arizona geological survey shall provide staff support to the commission to administer the provisions of this chapter.

B. The commission may:

1. Administer oaths to a witness in any hearing, investigation or proceeding held under this article or other law relating to conservation of oil and gas.

2. Issue subpoenas requiring attendance and testimony of witnesses and production of books, papers and records deemed material or necessary, and direct service of subpoenas by a sheriff or other officer authorized by law to serve process.

3. Prescribe rules and do all acts necessary or advisable to carry out the provisions of this article.

4. Collect such fees as will cover the costs of such services as, but not limited to, reproduction of records or any portion thereof and copies of rules. The monies so collected shall not be subject to the provisions of section 27‑523 but shall be deposited, pursuant to sections 35‑146 and 35‑147, by the commission in the fund from which the expenditure was originally made.

5. Publish technical maps, cross sections and reports and sell these materials for such fees as will cover the costs incurred in their preparation, reproduction and distribution.

C. The commission may enter into cooperative agreements with agencies of the United States government, with agencies of state or local government or with Indian tribes for the purpose of protection of the fresh water supplies of the state from contamination or pollution brought about by the drilling of any well or for any other purpose of this article.

D. The commission may apply for and accept gifts, devises and donations of books, well records, maps or other materials. All donated materials shall become public records.

E. Monies collected under subsection B, paragraph 5 of this section shall be deposited, pursuant to sections 35‑146 and 35‑147, in the geological survey fund established by section 27‑152.02 27-107 and shall be used to prepare, reproduce and distribute further publications. Monies in the fund are not subject to section 27‑523. END_STATUTE

Sec. 15. Section 32-2117, Arizona Revised Statutes, is amended to read:

START_STATUTE32-2117. Earth fissure maps; posting; immunity

A. On receipt of maps from the state land department Arizona geological survey, the department of state real estate department shall provide any earth fissure map to any member of the public in printed or electronic format on request and provide access on its web site website to the earth fissure maps prepared by the state land department Arizona geological survey pursuant to section 37-173, paragraph 11 27-106, paragraph 3. The following notice shall be displayed below each map:

Notice

B. Nothing in this section shall be construed as denying a person rights guaranteed by the Arizona Constitution, and notwithstanding any other law, a subdivider, owner or licensee is not liable to any person or governmental entity for any act or failure to act in connection with:

1. The disclosure of real estate subject to earth fissures if the subdivider, owner or licensee provides a written disclosure or includes notice in a public report, issued pursuant to section 32-2183 or 32-2195.03, with respect to real estate subject to earth fissures, of the map and web site website described in subsection A of this section. The written disclosure or notice in a public report, issued pursuant to section 32-2183 or 32-2195.03, of the map and web site website does not create an independent cause of action.

2. Any disclosure that occurred before the date the map described in subsection A of this section is posted on the web site website if the subdivider, owner or licensee had no actual knowledge that the land was subject to earth fissures before the map was posted. END_STATUTE

Sec. 16. Section 33-423, Arizona Revised Statutes, is amended to read:

START_STATUTE33-423. Disclosure; reports; indemnity; applicability; violation; classification

A. A disclosure report pursuant to this section may be provided to the buyer or seller of real property by a third party as authorized by the buyer or seller and shall be based on officially adopted and electronically posted or otherwise readily available governmental maps or information that discloses whether the real property is subject to one or more of the following:

1. Special flood hazard areas designated by the federal emergency management agency pursuant to 42 United States Code chapter 50.

2. Military airports and ancillary military facilities as defined in section 28‑8461 or as disclosed pursuant to section 28‑8484 or 32‑2113.

3. Military training routes as shown in the map produced pursuant to section 37‑102 and military restricted airspace as shown in the map produced pursuant to section 37‑102.

4. Public and private airports that are approved by the federal aviation administration.

5. Expansive soils as shown on maps issued by the natural resource conservation service or on other officially adopted and readily available governmental maps.

6. Fissures as shown on earth fissure maps issued by the Arizona geological survey or pursuant to section 27‑152.01 27-106, paragraph 3.

7. Special tax assessment areas or taxing authority and amount of special assessments in addition to ad valorem taxes as shown in the current tax records of the applicable county assessor.

8. Radon gas potential zones as shown on current maps issued by the United States environmental protection agency.

9. Environmental hazard superfund sites including the sites listed in the Arizona superfund program list and the water quality assurance revolving fund registry, or listed by the United States environmental protection agency including the national priorities list, the comprehensive environmental response compensation and liability information system database or on maps issued by the department of environmental quality or equivalent databases of those sites.

10. Any other condition that affects the real property that the buyer or seller authorizes and the third party provider agrees to provide in a third party provider disclosure report.

B. For any third party provider of information as prescribed by this section, the following apply:

1. A seller or buyer shall not be required to provide the written disclosure provided by this section to an insurance company, a lender or a governmental agency.

2. The third party provider shall carry errors and omissions insurance coverage with limits of at least one million dollars per occurrence and in an aggregate of at least ten million dollars. A person who violates this paragraph is guilty of a class 1 misdemeanor.

C. If an action is brought as a result of an error, inaccuracy or omission in the disclosure made only by a third party provider who provides information pursuant to subsection A of this section, the third party provider shall provide a defense against the action, shall indemnify the buyer or seller who authorized the disclosure report and persons licensed pursuant to title 32, chapter 20 who represent the buyer or seller for any judgment rendered and shall reimburse reasonable attorney fees and costs incurred in defending the action, unless the buyer, seller or agent for the buyer or seller had knowledge of the error, inaccuracy or omission or the buyer, seller or agent for the buyer or seller modified the disclosure and the modification resulted in the error, inaccuracy or omission. Nothing in this section shall be construed to prohibit a third party provider of information from agreeing by contract that the third party provider shall indemnify a person to a greater extent than is required by this section.

D. If information that is disclosed pursuant to this section is subsequently rendered inaccurate as a result of any governmental action, map revision, changed information or other act or occurrence after the delivery of the disclosure, no person is liable for the information that was disclosed unless the person had knowledge of the error, inaccuracy or omission.

E. This section shall not be construed to create a cause of action for the use of maps or other information pursuant to this section. This section does not apply to the sale of real property by any person pursuant to section 32‑2183 or section 32‑2195.03, or any affiliate of that person.

F. This section does not obligate any person to provide or purchase a disclosure report that is the subject of this section.

G. The listing of a condition in subsection A of this section or in a third party provider disclosure report does not by itself make that condition material or immaterial to a particular real estate transaction. The materiality of any disclosure is governed as otherwise provided by law. END_STATUTE

Sec. 17. Section 37-173, Arizona Revised Statutes, is amended to read:

START_STATUTE37-173. Duties

The division shall:

1. Establish a clearinghouse of information and a central repository for geospatial data and statewide geographic information system services.

2. Provide geographic information system services and geospatial data for the state land department and other public agencies in this state.

3. Facilitate the sharing of geospatial data and geographic information system services among all public agencies to address the needs of this state.

4. Prepare standards and specifications for developing, maintaining and sharing geospatial data and geographic information system services.

5. Function as the Arizona affiliate office for national geographic information systems and geospatial data coordination initiatives.

6. Establish a liaison relationship with the United States geological survey, federal geospatial organizations and other state and local government organizations in order to facilitate and coordinate sharing geospatial data, providing geographic information system services and using a clearinghouse.

7. Identify federal, state, regional, tribal and local government and private sector geospatial data and geographic information system services to include in the clearinghouse.

8. Coordinate the development and maintenance of a geospatial public land survey system and cadastral database with responsible federal, state and local agencies.

9. Within ninety days after receiving data files of known areas of earth fissures from the Arizona geological survey pursuant to section 27‑152.01, paragraph 3, produce maps of those areas with overlays showing affected counties, cities, towns, highways and streets. The division shall transmit the maps in printed and electronic format to the Arizona geological survey and the state real estate department for purposes of providing public access to the earth fissure maps pursuant to sections 27‑152.01 and 32‑2117. END_STATUTE

Sec. 18. Conditional enactment

This act does not become effective unless Senate Bill 1299, fiftieth legislature, second regular session, relating to sunset extension of the Arizona geological survey, becomes law.