Chapter 0080 - 482R - S Ver of SB1174

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

Section 1. Section 8-135, Arizona Revised Statutes, is amended to read:

START_STATUTE8-135. Confidential intermediary and fiduciary fund

A. The confidential intermediary and fiduciary fund is established consisting of the monies received pursuant to section 12‑284.03, subsection A, paragraph 8, section 14‑5651, subsection A, section 36-341, subsection B, section 14‑5651, subsection A and section 41-178, legislative appropriations, donations, fees, grants and contracts to implement the confidential intermediary program established by section 8‑134 and the sibling information exchange program established pursuant to section 8-543 and to perform the duties related to fiduciaries pursuant to section 14‑5651. The supreme court shall administer the fund subject to legislative appropriation. On notice from the supreme court, the state treasurer shall invest and divest monies in the fund as provided by section 35‑313, and monies earned from investment shall be credited to the fund. The fund is exempt from the provisions of section 35‑190 relating to lapsing of appropriations.

B. The appropriated funds shall only be used for the designated purposes specified in statute. END_STATUTE

Sec. 2. Section 8-550.01, Arizona Revised Statutes, is amended to read:

START_STATUTE8-550.01. Child abuse prevention fund; purpose; definition

A. Until December 31, 1997, the child abuse prevention fund is established consisting of monies received pursuant to section 12‑284, section 25‑311.01, subsection E, section 36‑3504, subsection C and section 43‑613. Beginning on January 1, 1998, the child abuse prevention fund is established consisting of monies received pursuant to section 12‑284.03, subsection A, paragraph 3, section 36‑3504, subsection C, sections 41-178 and section 43‑613. The director shall administer the fund for the purposes prescribed in this article.

B. Subject to legislative appropriation, the director shall expend monies in the fund to provide financial assistance to community child abuse and neglect prevention programs and family resource programs that, in the judgment of the director, offer prevention services and family resource programs to children and their parents or guardians and that comply with departmental accounting and auditing rules for the receipt of public monies.

C. Subject to legislative appropriation, the director may expend not more than five per cent of the monies in the fund for administrative expenses related to the fund.

D. The appropriated funds shall only be used for the designated purposes specified in statute.

E. Monies in the fund do not revert to the state general fund.

F. For the purposes of this section, "family resource program" means a program that offers community‑based services that provide sustained assistance and support to a family at various stages in its development and that promotes parental competence and behavior that will lead to the healthy and positive personal development of parents and children through:

1. Assistance to build family skills and assist parents in improving their capacity to be supportive and nurturing.

2. Assistance to enable a family to use other formal and informal resources and opportunities for assistance that are available within the family's community.

3. Supportive networks to enhance the child rearing capacity of parents and to assist in compensating for the increased social isolation and vulnerability of a family. END_STATUTE

Sec. 3. Section 12-113, Arizona Revised Statutes, is amended to read:

START_STATUTE12-113. Judicial collection enhancement fund; purpose; administration; report; definition

A. A judicial collection enhancement fund is established consisting of monies received from:

1. The time payment fee established in section 12‑116.

2. The surcharge paid by a person attending a court ordered diversion program pursuant to section 12‑114.

3. Monies deposited in the fund pursuant to section 12‑114.01, section 12‑119.01, subsection B, paragraph 1, section 12‑120.31, subsection D, paragraph 1, section 12‑284.03, subsection A, paragraph 7, section 22‑281, subsection C, paragraph 1, and section 22‑404, subsection C, paragraph 1 and section 41-178.

4. Electronic filing and access fees collected pursuant to sections 12‑119.02 and 12‑120.31.

B. Courts wishing to receive monies from the judicial collection enhancement fund shall submit a plan to the supreme court. Subject to legislative appropriation, the fund monies shall be used according to plans approved by the supreme court to train court personnel, improve, maintain and enhance the ability to collect and manage monies assessed or received by the courts, including restitution, child support, fines and civil penalties, to improve court automation, to improve case processing or the administration of justice and for probation services.

C. The supreme court shall administer the fund and may expend monies in the fund, subject to legislative appropriation, for local, regional or statewide projects. The supreme court may directly provide or contract for services consistent with the purposes of the fund. Monies from the fund shall supplement monies already provided to local courts for purposes consistent with the purposes of the fund.

D. By January 8 of each year, the supreme court shall report to the governor and the legislature, for the prior fiscal year, the total monies collected, the amount spent and for what purposes, including an exact explanation of funds defined as administration of the fund, the amount remaining in the fund and the number of employees who are paid from the fund and their job descriptions. The report shall also detail the progress made in improving the ability of the courts to collect monies.

E. On notice from the supreme court, the state treasurer shall invest and divest monies in the fund as provided by section 35‑313, and monies earned from investment shall be credited to the fund.

F. After the court determines the amount due, the court shall transmit to the county treasurer each month the fees collected pursuant to section 12‑116, except that municipal courts shall transmit to the city treasurer each month the fees so collected.

G. The county or city treasurer shall transmit to the state treasurer on or before the fifteenth day of each month the fees collected pursuant to subsection F of this section for deposit in the judicial collection enhancement fund.

H. For the purposes of this article, "court authorized diversion program" means a program in which an individual who is charged with a civil or criminal traffic offense or any other criminal offense is not prosecuted for the offense on the successful completion of an authorized diversion program. Successful completion of a defensive driving school program resulting in dismissal of a civil or criminal traffic offense is considered a court authorized diversion program under this section. END_STATUTE

Sec. 4. Section 12-135, Arizona Revised Statutes, is amended to read:

START_STATUTE12-135. Alternative dispute resolution fund

A. The alternative dispute resolution fund is established consisting of monies deposited in the fund pursuant to section 12‑284.03, subsection A, paragraph 5, and section 22‑281, subsection C, paragraph 2 and section 41‑178.

B. Courts wishing to participate in the alternative dispute resolution program may apply to the supreme court for funding. The supreme court shall administer the fund and may expend monies in the fund for local, regional or statewide projects that establish, maintain, improve or enhance alternative dispute resolution programs.

C. On notice from the supreme court, the state treasurer shall invest and divest monies in the alternative dispute resolution fund as provided by section 35‑313, and monies earned from investment shall be credited to the fund.

D. Monies from the alternative dispute resolution fund that are provided to local courts shall be used to supplement, not supplant, local funding that would otherwise be made available for alternative dispute resolution programs.

E. The supreme court shall use monies that are deposited in the fund pursuant to section 12‑284.03, subsection A, paragraph 5 to implement, administer and fund alternative dispute resolution programs for the superior court in the counties that apply for funding.

F. The supreme court shall use monies that are deposited in the fund pursuant to section 22‑281, subsection C, paragraph 2 to implement, administer and fund alternative dispute resolution programs for justice courts that apply for funding.

G. Monies in the fund are exempt from the provisions of section 35‑190 relating to lapsing of appropriations. END_STATUTE

Sec. 5. Section 12-284, Arizona Revised Statutes, is amended to read:

START_STATUTE12-284. Fees

A. Except as otherwise provided by law, the clerk of the superior court shall receive fees classified as follows:

Class Description Fee

A Initial case filing fee

Tax case $115.00

Filing complaint or petition 115.00

Filing intervenor 115.00

Additional plaintiffs 115.00

Filing foreign judgment 115.00

Ownership of real property becomes an issue plaintiff 115.00

Appellant

(except under sections 12‑1809 and 13‑3602) 115.00

Change of venue to this county 115.00

Petition for change of name 115.00

Filing a process server application 115.00

B Subsequent case filing fee

Filing answer or initial appearance $ 61.00

Additional defendants 61.00

Notice of appeal to appellate courts

(except under section 12‑2107) 61.00

Cross‑appeal by appellee (except under section 12‑2107) 61.00

Ownership of real property becomes an issue defendant 61.00

Jurisdiction exceeded appellee

(within 20 days of filing) 61.00

Response to show cause that does one or more

of the following:

1. Requests affirmative relief or

counterrelief

2. Attacks the sufficiency of process or the

proceedings

3. Takes other affirmative action 61.00

C Initial case filing fee

Filing petition for annulment $ 91.00

Filing for dissolution/legal separation petition 91.00

Petition in formal testacy or appointment

proceeding 91.00

Application for informal probate or informal

appointment 91.00

Petition for supervised administration petition

to appoint guardian 91.00

Petition to appoint conservator or make other

protective order 91.00

Opposing petition in testacy or appointment

proceedings or appointment of guardian or

conservator 91.00

Single estate application or petition under

title 14, chapter 3, section 14‑3938 91.00

Domestic relations case for which a fee is not

specifically prescribed 91.00

D Subsequent case filing fee

Filing answer to annulment $ 46.00

Filing for dissolution/legal separation answer 46.00

Any person opposing contested petition if no

prior payment made 46.00

Postadjudication petitions in

domestic relations cases 46.00

Postjudgment activities in probate cases 46.00

E Minimum clerk fee

Filing power of attorney $ 18.00

Change of venue to another county transmittal

fee 18.00

Change of venue to another county pursuant to

section 12‑404 transmittal fee 18.00

Filing transcript and docketing judgment from

any courts 18.00

Issuance of writs of: attachment, execution,

possession, restitution, prohibition and

enforcement of order of judgment‑garnishment 18.00

Certified copy or abstract of marriage

application or license 18.00

Filing oath and bond of notary public 18.00

Certificate of correctness of copy of record 18.00

Justice of peace certificate 18.00

Notary public certificate 18.00

Each certificate of clerk to any matter in

clerk's record not specifically provided 18.00

Filing any paper or performing any act for which

a fee is not specifically prescribed 18.00

Subpoena - (civil) 18.00

Research in locating a document (per year or

source researched) 18.00

Exemplification (per certification) 18.00

Authentication (per certification) 18.00

Seal a court file 18.00

Reopen a sealed court file 18.00

Retrieve bank records 18.00

Reel of film alpha index per year (plus per page

fee below) 18.00

Payment history report 18.00

Certification under one document certification 18.00

Civil traffic appeal 18.00

F Per page fee

Making copies (on appeal and on request)

per page $ .50

Making extra copies per page .50

Making photographic or photostatic copies

per page .50

Comparison fee of papers furnished by applicant

per page .50

Alpha index per page .50

G Special fees

Small claim tax case $ 15.00

Marriage license and return of a

marriage license 50.00

Postage and handling 5.00

Notary services 5.00

Stop payment on check 10.00

B. The clerk of the superior court shall receive the fees prescribed in subsection A of this section for the following services:

1. Making copies of papers and records required to be made by the clerk on appeal, and copies of papers and records in the clerk's office made on request in other cases, for each legal size page of original.

2. Making extra copies of the papers and records mentioned in paragraph 1 of this subsection, required or requested for each page of copy of such papers and records.

3. In a clerk's office, in which a photographic or photostatic method of recording is used or is available for use in cooperation with other public offices, preparing copies enumerated in paragraphs 1 and 2 of this subsection for each page of copy or fraction of a page of copy. Portions of several pages of records may be combined in one page of copy. The clerk may prepare an abstract of marriage in lieu of a reproduction of the recorded marriage license. The fee shall apply to matters whether recorded in such office by longhand, typing, electronic, photographic or photostatic methods. The fees for copies are exclusive of the fees for certification or authentication.

4. Issuing a certificate as to official capacity of a notary public or justice of the peace and affixing a seal to the certificate.

5. Each subpoena issued in a civil proceeding or filing any paper or performing any act for which a fee is not specifically prescribed by law, but the clerk shall not charge for the clerk's services in administering the oath in connection with any affidavit, petition, letters or other pleading or document which, after administration of the oath therefor, is promptly filed by the clerk and becomes a part of a case or matter of record in the office of the clerk.

C. In addition to the fees required by subsection A of this section, the clerk shall charge and collect a surcharge of fifteen dollars for each filing of a postadjudication petition in a domestic relations case for which a fee presently is charged under class D in subsection A of this section. The surcharge shall be used exclusively to fund domestic relations education and mediation programs established pursuant to section 25‑413. Each month the clerk shall transmit the monies the clerk collects pursuant to this subsection to the county treasurer for deposit in the domestic relations education and mediation fund established by section 25‑413.

D. Excluding the monies that are collected pursuant to subsection C of this section, each month the clerk shall transmit seventy‑five per cent of the monies collected for subsequent case filing fees for postadjudication petitions in domestic relations cases under class D in subsection A of this section to the county treasurer for deposit in the expedited child support and parenting time fund established pursuant to section 25‑412. The remaining twenty‑five per cent of the monies collected pursuant to this subsection shall be distributed pursuant to section 12‑284.03.

E. At the commencement of each action for annulment, dissolution of marriage, legal separation, maternity or paternity, the petitioner shall pay to the clerk of the court the initial case filing fee for the action provided in subsection A of this section. At the time of filing a response, the respondent shall pay to the clerk of the court the subsequent case filing fee for the action provided in subsection A of this section. In each county where the superior court has established a conciliation court, the petitioner and respondent shall each pay to the clerk a sixty‑five dollar fee. The monies from the additional fee shall be used to carry out the purposes of the conciliation court pursuant to title 25, chapter 3, article 7.

F. In garnishment matters:

1. A fee shall not be charged for filing an affidavit seeking only the release of exempt wages.

2. A fee shall not be charged for filing a garnishee's answer, for filing a judgment against the garnishee or for the issuance or return of process incident to such a judgment.

3. For any contest relating to or any controversion of a garnishment matter, unless the contesting party has paid an appearance fee in that cause, the required appearance fee shall be paid, except that the garnishee shall not pay a clerk's fee.

G. A person who is cited to appear and defend an order to show cause shall not be charged an appearance fee. The person may stipulate to or consent to the entry of an order without the payment of an appearance fee. An appearance fee shall be paid if the person is present in person or by an attorney and does one or more of the following:

1. Requests affirmative relief or counterrelief.

2. Attacks the sufficiency of process or the proceedings.

3. Takes other affirmative action.

H. A petitioner shall not be charged a fee for requesting an order of protection pursuant to section 13‑3602 or an injunction against harassment pursuant to section 12‑1809. A defendant shall not be charged an answer fee in an order of protection action if the defendant requests a hearing pursuant to section 13‑3602, subsection I or in an injunction against harassment action if the defendant requests a hearing pursuant to section 12‑1809, subsection H.

I. A person who files a registrar's order pursuant to section 32‑1166.06 shall not be charged a fee.

J. The clerk of the court shall charge and collect a forty‑six dollar filing fee for a petition for emancipation of a minor filed pursuant to chapter 15 of this title. Each month the clerk shall transmit the monies the clerk collects pursuant to this subsection to the county treasurer for deposit in the emancipation administrative costs fund established by section 12-2456.

K. Except for monies that are collected pursuant to subsections C, D, E and J of this section, the clerk of the superior court shall transmit monthly to the county treasurer all monies collected pursuant to this section for distribution or deposit pursuant to section 12‑284.03. END_STATUTE

Sec. 6. Section 12-305, Arizona Revised Statutes, is amended to read:

START_STATUTE12-305. County law library fund

A. A county law library fund is established in each county consisting of monies received pursuant to section 12‑284.03, subsection a, paragraph 4 and section 41-178.

B. The county law library fund shall be used for the purposes of enhancing legal research capabilities in the county law library and shall be under the direction of a judge of the superior court in the county. The board of supervisors shall disburse monies from the fund only on the order of the presiding judge of the superior court.

C. If the balance in the county law library fund exceeds three thousand dollars at the close of the fiscal year, the board of supervisors by resolution adopted by vote of the members, and with the concurrence of the judge of the superior court in the county, may transfer the surplus of the fund in excess of three thousand dollars to the a building repair fund. Monies so transferred shall be expended only for additions, alterations and repairs to the courthouse. The expenditures are subject to title 41, chapter 23. END_STATUTE

Sec. 7. Section 33-502, Arizona Revised Statutes, is amended to read:

START_STATUTE33-502. Authentication of authority of officer

A. If the notarial act is performed by any of the persons described in section 33‑501, paragraphs 1 to through 4, inclusive, other than a person authorized to perform notarial acts by the laws or regulations of a foreign country, the signature, rank, or title and serial number, if any, of the person are sufficient proof of the authority of a holder of that rank or title to perform the act. Further proof of his authority is not required.

B. If the notarial act is performed by a person authorized by the laws or regulations of a foreign county country to perform the act, there is sufficient proof of the authority of that person to act if:

1. Either a foreign service officer of the United States resident in the country in which the act is performed or a diplomatic or consular officer of the foreign country resident in the United States certifies that a person holding that office is authorized to perform the act, or

2. The official seal of the person performing the notarial act is affixed to the document, or

3. The title and indication of authority to perform notarial acts of the person appears either in a digest of foreign law or in a list customarily used as a source of such information.

C. If the notarial act is performed by a person other than one described in subsections A and B, there is sufficient proof of the authority of that person to act if the clerk of a court of record in the place in which the notarial act is performed secretary of state certifies to the official character of that person and to his authority to perform the notarial act.

D. The signature and title of the person performing the act are prima facie evidence that he is a person with the designated title and that the signature is genuine. END_STATUTE

Sec. 8. Section 36-3002, Arizona Revised Statutes, is amended to read:

START_STATUTE36-3002. Domestic violence shelter fund; purpose

A. The domestic violence shelter fund is established consisting of monies received pursuant to section 12‑284.03, subsection a, paragraph 2 and section 41-178. The program administrator shall administer the fund for the purposes prescribed in this section.

B. The department of economic security, after full consultation with a statewide coalition against domestic violence, shall establish program priorities for the fund. Subject to legislative appropriation, the department shall expend monies in the fund to provide financial assistance to shelters for victims of domestic violence through contracts for shelter services.

C. Monies in the fund do not revert to the state general fund. END_STATUTE

Sec. 9. Section 38-233, Arizona Revised Statutes, is amended to read:

START_STATUTE38-233. Filing oaths of record

A. The official oaths of state elective officers shall be filed of record in the office of the secretary of state. The official oaths of all other state officers and employees shall be filed of record in the office of the employing state board, commission or agency.

B. The official oaths of elective county and elective precinct officers shall be filed of record in the office of the county recorder, except the oath of the recorder, which shall be filed with the clerk of the board of supervisors. The official oaths of notaries public shall be endorsed upon their bond and filed with the clerk of the superior court in the county to which they are appointed secretary of state. The official oaths of all other county and precinct officers and employees shall be filed of record in the office of the employing county or precinct board, commission or agency.

C. The official oaths of all city, town or municipal corporation officers or employees shall be filed of record in the respective office of the employing board, commission or agency of the cities, towns and municipal corporations.

D. The official oaths of all officers and employees of all school districts shall be filed of record in the school district office.

E. The official oaths of all officers and employees of each public educational institution except school districts shall be filed of record in the respective offices of the public educational institutions.

F. The official oath or affirmation required to be filed of record shall be maintained as an official record throughout the person's term, appointment or employment plus a period of time to be determined pursuant to sections 41‑1347 and 41‑1351.END_STATUTE

Sec. 10. Section 38-810, Arizona Revised Statutes, is amended to read:

START_STATUTE38-810. Contributions

A. Each member shall contribute to the fund an amount equal to seven per cent of the member's gross salary. Contributions of members shall be made by payroll deductions. Every member is deemed to consent to these deductions. Payment of a member's compensation, less these payroll deductions, constitutes a full and complete discharge and satisfaction of all claims and demands by the member relating to remuneration for the member's services rendered during the period covered by the payment, except with respect to the benefits provided under the plan.

B. The fund manager's office shall be credited monthly with monies collected pursuant to section 12‑119.01, subsection B, paragraph 2, section 12‑120.31, subsection D, paragraph 2, and section 12‑284.03, subsection A, paragraph 6 and section 41-178. The monies credited to the fund pursuant to this subsection shall be deposited in the fund on a monthly basis, and there shall be a complete accounting of the determination of these monies deposited in the fund.

C. As determined by actuarial valuations performed by the plan's actuary, each employer shall make level per cent compensation contributions sufficient under the actuarial valuation to meet both the normal cost plus the actuarially determined amount required to amortize the unfunded accrued liability over, beginning July 1, 2005, a rolling period of at least twenty and not more than thirty years that is established by the fund manager taking into account the recommendation of the plan's actuary, except that, beginning with fiscal year 2006‑2007 and each year thereafter, the employer contribution rate shall not be less than ten per cent of salary. The monies deposited in the fund pursuant to subsection B of this section shall be used to reduce the contributions required of state and county employers only. Employers that entered the system under a joinder agreement shall also contribute an amount equal to the unfunded accrued liability for that employer. The unfunded liability for each new employer shall be actuarially determined by the plan's actuary as of the effective date of participation of each employer and shall be payable on the effective date of participation. The minimum employer contribution that is paid and that is in excess of the normal cost plus the actuarially determined amount required to amortize the unfunded accrued liability as calculated pursuant to this subsection shall be used to reduce future employer contribution increases and shall not be used to pay for an increase in benefits that are otherwise payable to members. The fund manager shall separately account for these monies in the fund. After the close of any fiscal year, if the plan's actuary determines that the actuarial valuation of the fund contains excess valuation assets and is more than one hundred per cent funded, the fund manager shall account for fifty per cent of the excess valuation assets in a stabilization reserve account. After the close of any fiscal year, if the plan's actuary determines that the actuarial valuation of the fund has a valuation asset deficiency and an unfunded actuarial accrued liability, the fund manager shall use any valuation assets in the stabilization reserve account, to the extent available, to limit the decline in the fund's funding ratio to not more than two per cent.

D. The department of administration and the treasurer of each county and participating city and town shall transfer to the fund manager the contributions provided for in subsections A and C of this section within ten working days after each payroll date. The state, county treasurers and clerks of the superior court shall transfer the monies credited under subsection B of this section to the fund manager on or before the fifteenth day of each calendar month that follows the month in which the court fees were collected. Contributions and monies credited under subsection B of this section and transferred after these dates shall include a penalty equal to ten per cent per annum, compounded annually, for each day that the contributions or monies credited under subsection B of this section are late. Delinquent payments due under this subsection, together with interest charges as provided in this subsection and court costs, may be recovered by action in a court of competent jurisdiction against the person or persons responsible for the payments or, at the request of the fund manager, may be deducted from any other monies including excise revenue taxes payable to a political subdivision by any department or agency of this state. If requested by the fund manager, the state, county treasurers or clerks of the superior court shall transfer the monies credited under subsection B of this section, in an amount determined by the fund manager, directly to the qualified governmental excess benefit arrangement established pursuant to section 38‑803.01.

E. The employer shall pay the member contributions required of members on account of compensation earned after August 7, 1985. The paid contributions shall be treated as employer contributions for the purpose of determining tax treatment under the United States internal revenue code. The effective date of the employer payment shall not be before the date the retirement plan has received notification from the United States internal revenue service that pursuant to section 414(h) of the United States internal revenue code the member contributions paid will not be included in gross income for income tax purposes until the paid contributions are distributed by refund or pension payments. The employer shall pay the member contributions from monies established and available in the retirement deduction account, which monies would otherwise have been designated as member contributions and paid to the retirement plan. Member contributions paid pursuant to this subsection shall be treated for all other purposes, in the same manner and to the same extent, as member contributions made before August 7, 1985.END_STATUTE

Sec. 11. Section 41-126, Arizona Revised Statutes, is amended to read:

START_STATUTE41-126. Fees; expedited services

A. The secretary of state shall receive the following fees:

1. Making a copy of any document on file in his office, no more than ten cents for each page or partial page.

2. Filing and recording each official bond application to become a notary public and transmitting a commission for a notary public, no more than twenty‑five dollars.

3. Filing an application for registration or renewal of the registration of a trademark or recording an assignment of a trademark, fifteen dollars.

4. Filing an application for registration or renewal of the registration of a trade name or recording an assignment of a trade name, no more than ten dollars.

5. Issuing a certificate of registration of a trademark or a trade name, no more than three dollars.

6. Filing, as required by the uniform commercial code:

(a) A financing statement, no more than three dollars.

(b) An amendment to a financing statement, no more than three dollars.

(d) A continuation statement, no more than three dollars.

(e) A statement of release, no more than two dollars.

(f) A termination statement, no more than two dollars.

7. Issuing a certificate as provided in section 44‑3146 naming a particular debtor, no more than six dollars.

8. Making a copy of a filed financing statement, no more than fifty cents per page.

9. Certifying a copy of a writing specified in paragraphs 6, 7 and 8 of this subsection, no more than three dollars.

10. Filing, recording or certifying any other document not specified in this section, no more than three dollars.

11. Filing the oath and bond of notary public, eighteen dollars.

12. Issuing a certificate as to official capacity of a notary public and affixing a seal to the certificate, eighteen dollars.

B. The secretary of state shall provide for and establish an expedited service for the processing of requests, applications, filings and searches as follows:

1. The expedited processing shall be a priority same day service effected in a fast and efficient manner.

2. A fee shall be charged for expedited services. This fee shall not exceed twenty‑five dollars per service and shall be in addition to any other fees provided by law, including those set forth in subsection A of this section.

C. The secretary of state shall adopt rules necessary to carry out subsection B of this section. END_STATUTE

Sec. 12. Title 41, chapter 1, article 4, Arizona Revised Statutes, is amended by adding section 41-178, to read:

START_STATUTE41-178. Distribution of notary bond fees

The state treasurer shall transmit, distribute or deposit all monies received pursuant to section 41-126, subsection A, paragraphs 11 and 12 as follows:

1. 1.31 per cent for deposit in the drug and gang enforcement account established by section 41-2402 for the purposes of section 41-2402, subsection H.

2. 8.87 per cent for deposit in the domestic violence shelter fund established by section 36-3002.

3. 1.93 per cent for deposit in the child abuse prevention fund established by section 8-550.01.

4. 7.62 per cent for proportional deposit in each county's law library fund established by section 12-305, based on the number of notaries commissioned per county.

5. 0.35 per cent for deposit in the alternative dispute resolution fund established by section 12-135.

6. 23.79 per cent for deposit in the elected officials' retirement plan fund established by section 38-802, which shall be distributed to the fund pursuant to section 38-810.

7. 17.07 per cent for deposit in the judicial collection enhancement fund established by section 12-113.

8. 0.26 per cent for deposit in the confidential intermediary and fiduciary fund established by section 8-135.

9. 31.29 per cent for deposit in the notary bond fund established by section 41-314.

10. 7.51 per cent shall be distributed to the county where the notary is commissioned in the same manner as the seven dollars of the time payment fee prescribed by section 12-116, subsection B. END_STATUTE

Sec. 13. Section 41-312, Arizona Revised Statutes, is amended to read:

START_STATUTE41-312. Appointment; term; oath and bond

A. The secretary of state may appoint notaries public in each county to hold office for four years who shall have jurisdiction in the county in which they reside and in which they are appointed. Acknowledgments of documents may be taken and executed and oaths may be administered by a notary public in any county of the state although the commission is issued to the notary public in and for another county.

B. The secretary of state shall transmit the commission of the person appointed as notary public to the clerk of the superior court in the county for which the notary was appointed. The clerk shall give notice of the appointment to the person appointed who shall take, within twenty days after receiving such notice, the oath prescribed by law and give a bond to the state, with sureties approved by the clerk state, in an amount prescribed by the secretary of state and file it with the clerk secretary of state. Upon filing the official oath and bond the clerk secretary of state shall deliver the commission to such person and give notice to the secretary of state of the time and filing of the oath and bond.

C. A notary public is a public officer commissioned by this state and the following apply without regard to whether the notary public's employer or any other person has paid the fees and costs for the commissioning of the notary public, including costs for the official seal and journals:

1. A notary public's official seal and commission and any journal that contains only public record entries remain the property of the notary public.

2. A notary public may perform notarizations outside the workplace of the notary's employer except during those times normally designated as the notary public's hours of duty for that employer. All fees received by a notary public for notarial services provided while not on duty remain the property of the notary public.

3. An employer of a notary public shall not limit the notary public's services to customers or other persons designated by the employer.

D. A notary public shall continue to serve until the notary public's commission expires, the notary public resigns the commission, the notary public dies or the secretary of state revokes the commission. An employer may not cancel the notary bond or notary commission of any notary public who is an employee and who leaves that employment.

E. A notary public shall comply with all of the following:

1. Be at least eighteen years of age.

2. Be a citizen or a legal permanent resident of the United States.

3. Be a resident of this state for income tax purposes and claim the individual's residence in this state as the individual's primary residence on state and federal tax returns.

4. Except as provided in section 41‑330, subsection A, paragraph 2, never have been convicted of a felony.

5. Keep as a reference a manual that is approved by the secretary of state and that describes the duties, authority and ethical responsibilities of notaries public.

F. An applicant for appointment and commission as a notary public shall complete an application form prescribed by the secretary of state. Except for the applicant's name and business address, all information on the application is confidential and may not be disclosed to any person other than the applicant, the applicant's personal representative or an employee or officer of the federal, state or local government who is acting in an official capacity. The secretary of state shall use the information contained on the application only for carrying out the purposes of this article.

G. The state or any of its political subdivisions may pay the fees and costs for the commissioning of a notary public who is an employee of this state or any of its political subdivisions and who performs notarial services in the course of the notary public’s employment or for the convenience of public employees. END_STATUTE

Sec. 14. Title 41, chapter 2, article 2, Arizona Revised Statutes, is amended by adding section 41-314, to read:

START_STATUTE41-314. Notary bond fund; purpose; exemption

A. The notary bond fund is established consisting of monies received pursuant to section 41-178.

B. The secretary of state shall administer the fund and spend monies in the fund in order to defray the cost of the secretary of state's office assuming the responsibilities associated with the processing and administration of notary bonds.

C. On notice from the secretary of state, the state treasurer shall invest and divest monies in the fund as provided by section 35-313, and monies earned from investment shall be credited to the fund.

D. Monies in the fund are continuously appropriated and exempt from the provisions of section 35-190 relating to lapsing of appropriations. END_STATUTE

Sec. 15. Section 41-315, Arizona Revised Statutes, is amended to read:

START_STATUTE41-315. Bond

A. A person who has been commissioned as a notary shall file with the secretary of state an oath of office and a bond in an amount prescribed by the secretary of state with the clerk of the superior court in the notary's county of residence in order for the commission to become effective. A licensed surety shall execute the bond. The bond shall be effective for four years beginning on the commission's effective date.

B. The clerk of the superior court secretary of state shall not accept any bond that was issued more than sixty days before or more than thirty days after the date on which the secretary of state commissions a notary. END_STATUTE

Sec. 16. Section 41-317, Arizona Revised Statutes, is amended to read:

START_STATUTE41-317. Delivering notorial seal, notarial journal and records; failure to comply; storing records; certified copies

A. On the resignation or revocation of a notarial commission or the death of a notary, the notary seal, notarial journal and records, except those records of notarial acts that are not public record, shall be delivered by certified mail or other means providing a receipt to the office of the county recorder in the notary's county of residence secretary of state. If a notary does not apply for reappointment, on expiration of the notarial commission the notary seal, journal and records shall be delivered to the county recorder secretary of state as required for resignation under this subsection. A notary who neglects for three months thereafter to deposit such records, seal and papers, or the personal representative of a deceased notary who neglects for three months after his appointment to deposit such records, seal and papers, shall forfeit to the state not less than fifty nor more than five hundred dollars.

B. While a notary public is commissioned, a notary public shall keep all records and journals of the notary's acts for at least five years after the date the notarial act was performed. On receipt of the records and journals from a notary public who no longer is commissioned, the county recorder secretary of state shall keep all records and journals of notaries public deposited in the county recorder's secretary of state's office for five years and shall give certified copies thereof when required, and for the copy certifications the county recorder secretary of state shall receive the same fees as are by law allowed to notaries public. The copy certifications shall be as valid and effectual as if given by a notary public. END_STATUTE

Sec. 17. Section 41-322, Arizona Revised Statutes, is amended to read:

START_STATUTE41-322. Authentication of authority of officer for foreign notarizations

A. If a notarial act is performed by any of the persons described in section 33‑501, paragraphs 1 through 4, other than a person authorized to perform notarial acts by the laws or regulations of a foreign country, the signature, rank or title and serial number, if any, of the person is sufficient proof of the authority of the person to perform the act. Further proof of the person's authority is not required.

B. If a notarial act is performed by a person authorized by the laws or regulations of a foreign country to perform the act, any of the following is sufficient proof of the authority of the person to perform the act:

1. Certification by a foreign service officer of the United States resident in the country in which the notarial act is performed or a diplomatic or consular officer of the foreign country resident in the United States that a person who holds the office that the person holds is authorized to perform notarial acts.

2. Affixation to the notarized document of the official seal of the person performing the notarial act.

3. The appearance either in a digest of foreign law or in a list that is customarily used as a source of such information of the title and the indication of authority to perform notarial acts of the person.

C. If a notarial act is performed by a person other than a person described in subsections A and B of this section, sufficient proof of the authority of the person to act exists if the clerk of a court of record in the place in which the notarial act is performed secretary of state certifies to the official character of the person and to the person's authority to perform the notarial act.

D. The signature and title of a person performing a notarial act are prima facie evidence that the person is a person with the designated title and that the signature is genuine. END_STATUTE

Sec. 18. Section 41-330, Arizona Revised Statutes, is amended to read:

START_STATUTE41-330. Grounds for refusal, revocation or suspension of commission

A. The secretary of state may refuse to appoint any person as a notary public or may revoke or suspend the commission of any notary public for any of the following reasons:

1. Substantial and material misstatement or omission in the application for a notary public commission that is submitted to the secretary of state.

2. Conviction of a felony unless restored to civil rights, or of a lesser offense involving moral turpitude or of a nature that is incompatible with the duties of a notary public. A conviction after a plea of no contest is deemed to be a conviction for purposes of this paragraph.

3. Revocation, suspension, restriction or denial of a professional license if that action was for misconduct, dishonesty or any cause that substantially relates to the duties or responsibilities of a notary public.

4. Failure to discharge fully and faithfully any of the duties or responsibilities required of a notary public.

5. The use of false or misleading advertising in which the notary public has represented that the notary public has duties, rights or privileges that the notary public does not possess by law.

6. Charging more than the fees authorized by statute or rule.

7. The commission of any act involving dishonesty, fraud or deceit with the intent to substantially benefit the notary public or another person or to substantially injure another person.

8. Failure to complete the acknowledgment or jurat at the time the notary's signature and seal are affixed to the document.

9. Failure to administer the oath or affirmation required at the time of performing a jurat for an individual.

10. Execution of any notarial certificate by the notary public containing a statement known by the notary public to be false.

11. The return for insufficient funds or any other reason for nonpayment of a check issued for the bond filing fees or the application fees to the secretary of state or the bond filing fees to the clerk of the superior court in the applicant's county of residence.

12. Notarizing a document that contains no notarial certificate.

B. If an application is denied the secretary of state shall notify the applicant within thirty days after receipt of the application and shall state the reasons for the denial.

C. The secretary of state may suspend the commission of a notary for at least thirty days and for not more than one hundred eighty days.

D. If a person has had a notary commission in this state revoked, the secretary of state may refuse to appoint the person as a notary public for four years from the date of the revocation.

E. On revocation or suspension of a notary public's commission, the secretary of state shall give notice to the notary public and shall provide the person with notice of the opportunity for a hearing on the revocation or suspension pursuant to chapter 6, article 10 of this title. The revocation or suspension of a notary public commission is an appealable agency action. END_STATUTE

Sec. 19. Repeal

Section 41-332, Arizona Revised Statutes, is repealed.

Sec. 20. Section 41-2402, Arizona Revised Statutes, is amended to read:

START_STATUTE41-2402. Drug and gang enforcement account; resource center fund

A. A drug and gang enforcement account is established within the criminal justice enhancement fund consisting of monies appropriated to the account by the legislature and any other monies available from other sources, public or private, to be used for the purpose of enhancing efforts to deter, investigate, prosecute, adjudicate and punish drug offenders and members of criminal street gangs as defined in section 13‑105.

B. The Arizona criminal justice commission shall distribute monies from the drug and gang enforcement account in the following manner:

1. Up to fifty per cent to fund law enforcement agencies approved by the commission to enhance both:

(a) The investigation of drug and gang offenses and related criminal activity.

(b) Drug and gang education and prevention programs.

2. Up to fifty per cent to fund programs and agencies approved by the commission to enhance the state, county, city or town prosecution of drug and gang offenses and related criminal activity.

3. Up to thirty per cent to fund programs and agencies approved by the commission for the purpose of enhancing the ability of the courts to process drug and gang offenses and related criminal cases, either through the appointment of judges pro tempore or the establishment of additional divisions of the courts only for the purposes of this section, enhancing defense and probation services, including treatment, and funding the drug testing program.

4. Up to thirty per cent to fund programs by county sheriffs and the state department of corrections, as approved by the commission, to enhance drug offender treatment programs and the jail operations and facilities available to detain and incarcerate drug offenders and members of criminal street gangs as defined in section 13‑105.

5. Up to thirty per cent to fund programs and agencies, as approved by the commission, to enhance the integration of criminal justice records relating to drug and gang offenders and their related criminal activity.

C. Before any monies are expended from the account, the criminal justice commission shall submit to the joint legislative budget committee a plan of proposed expenditures from the account and the anticipated fiscal and operational impact of those expenditures on all state and local agencies.

D. Any state agency that receives monies allocated from this account shall not include such monies as part of its continuation budget base for the purpose of requesting appropriations for the following fiscal year.

E. All the monies allocated from this account shall be dedicated solely to the purpose of enhancing efforts to deter, investigate, prosecute, adjudicate and punish drug and gang and related criminal offenders, except those monies allocated pursuant to subsection H of this section.

F. Notwithstanding the limitations prescribed in subsection B of this section, any federal monies or matching state monies in the drug and gang enforcement account may only be allocated by the commission pursuant to a plan approved by the federal government.

G. The auditor general shall annually perform a full and complete audit of the fund or the commission shall annually contract with an accounting firm to perform the audit and deliver a report to the governor and the legislature. The audit shall be charged to the drug and gang enforcement account.

H. A resource center fund is established consisting of monies received pursuant to section 12‑284.03, subsection A, paragraph 1, section 41-178 and all monies received from public or private gifts, grants or other sources, excluding federal monies and monies to be passed through to other entities, to be used solely for the purpose of funding the Arizona drug and gang prevention resource center. Monies in the fund are subject to legislative appropriation. Any monies unexpended or unencumbered on June 30 of each year shall not be subsequently expended or encumbered unless reappropriated. No monies in the drug and gang enforcement account except those received pursuant to this subsection shall be used to fund the Arizona drug and gang prevention resource center. Monies that are received by the center pursuant to this subsection are subject to the reporting requirements prescribed in section 41‑617.01. END_STATUTE

Sec. 21. Requirements for enactment; two-thirds vote

Pursuant to article IX, section 22, Constitution of Arizona, this act is effective only on the affirmative vote of at least two-thirds of the members of each house of the legislature and is effective immediately on the signature of the governor or, if the governor vetoes this act, on the subsequent affirmative vote of at least three-fourths of the members of each house of the legislature.