ARIZONA HOUSE OF REPRESENTATIVES Fifty-fifth Legislature Second Regular Session
	House: GE DPA 12-0-0-1

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HB 2067: county improvement districts; recreation; governance

Sponsor: Representative Blackman, LD 6

House Engrossed

Overview

Allows, as session law, the Board of Supervisors (BOS) of a county with a county improvement district providing recreational improvements to provide governance by a separately elected board of directors.

History

An improvement district is authorized to be established in an unincorporated area by the county BOS for the purpose of constructing and operating a wastewater treatment facility and making other local improvements or acquisitions in the district as permitted by statute (A.R.S. § 48-902).

Current law allows a petition to be addressed to the county BOS that requests the establishment of an improvement district to be filed with the clerk of the BOS if it is signed by a majority of the people owning real property or by the owners of 51% or more of the real property within the proposed district.  The petition must set forth the following regarding the proposed district:

1) The name;

2) The necessity for the proposed district;

3) That the public convenience will be promoted by the establishment of the district;

4) The boundaries; and

5) A general outline of the proposed improvement (A.R.S. § 48-903).

Provisions

1. Authorizes the BOS of a county with a population of less than 125,000 people with a county improvement district that provides recreational improvements to provide for the district to be governed by a separately elected three-member or five-member board of directors (board). (Sec. 1)

2. Directs the BOS, after public notice and a hearing on the matter, to adopt a resolution that specifies the public benefit, powers and duties of the separately governed district and describes the boundaries of the district. (Sec. 1)

3. Specifies that the governance change is effective on adoption of the resolution and appointment by the BOS of the initial members of the board. (Sec. 1)

4. Requires the subsequent directors, after the initial members appointed by the BOS, to be elected by the qualified electors of the district. (Sec. 1)

5. Outlines the terms of office for the initial directors of the board and their successors and requires an annual election by the board of a chairperson from among its members. (Sec. 1)

6. Prescribes the procedures for filling a vacancy on the district board that occurs due to disability or any other cause other than resignation. (Sec. 1)

7. Describes the process for the BOS if only one person or no person files a nominating petition for election to fill a position on the board of the district. (Sec. 1)

8. States that the newly created board has the powers granted to a district pursuant to statute relating to county improvement districts. (Sec. 1)

9. Outlines the notification requirements and cost allocations for additions to and alterations of the boundaries of the district. (Sec. 1)

10. Requires the board to appoint a clerk and make known an office and mailing address for the clerk. (Sec. 1)

11. Lists the records that the district must keep and have open to public inspection. (Sec. 1)

12. Stipulates that the board must comply with statutes relating to public meetings and proceedings and that the board members are considered public officers for the purposes of statute relating to conflict of interest. (Sec. 1)

13. Specifies that the district board must submit the district's budget annually to the BOS, who has veto authority, for approval if the board includes any initial members who were appointed by the BOS. (Sec. 1)

14. Provides that if the board is elected, the BOS may review and comment on financial transactions but does not have veto authority. (Sec. 1)

15. Prescribes the procedures and ability of a county BOS to revoke the authority of an elected board and specifies that the services provided by a county to a district are subject to reimbursement pursuant to statute. (Sec. 1)

16. Maintains that the authority for a county BOS to provide for the separate governance of a district expires unless the county BOS adopts a resolution and appoints an initial board of a district on or before December 31, 2025. (Sec. 1)

17. Defines board, clerk and district or county improvement district providing recreational improvements. (Sec. 1)

18. Contains a repeal date of January 1, 2026. (Sec. 1)

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                        HB 2067

Initials SJ        Page 0 House Engrossed

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