ARIZONA HOUSE OF REPRESENTATIVES

Fifty-sixth Legislature

First Regular Session

House: COM DP 6-4-0-0

HB2402: small business incubator program

Sponsor: Representative Gress, LD 4

Caucus & COW

Overview

Appropriates $500,000 from the Federal Temporary Assistance for Needy Families Block Grant (Federal Assistance Grant) in FY 2024 to the Arizona Commerce Authority (ACA) for establishing and administering the Small Business Incubator Program (Program).

History

The ACA was established in 2011 with the mission to provide private sector leadership in: 1) growing and diversifying the economy of Arizona; 2) creating high-quality employment in Arizona through expansion, attraction and retention of businesses; and 3) marketing Arizona for the purpose of expansion, attraction and retention of businesses (A.R.S. § 41-1502).

The Arizona Department of Corrections (ADC) is established with the objective of encompassing the various institutions, facilities and programs which are now or may become a part of the correctional program of the state and to provide the supervisory staff and administrative functions at the state level of all matters relating to the institutionalization, rehabilitation and community supervision functions of all adult offenders (A.R.S. § 41-1602).

The Temporary Assistance for Needy Families program is designed to help low-income families with children achieve economic self-sufficiency. TANF provides monies to states in the form of grants which may be used for expenditures that are reasonably calculated to accomplish the purposes of TANF:

1) Provide assistance to needy families so that children can be cared for in their own homes;

2) End the dependence of needy parents on government benefits by promoting job presentation, work and marriage;

3) Prevent and reduce the incidence of out-of-wedlock pregnancies and establish annual numerical goals for preventing and reducing the incidence of these pregnancies; and

4) Encourage the formation and maintenance of two-parent families. (45 CFR § 263.11, 260.20).

According to JLBC, the State, for FY 23, has approximately $244,000,000 in available TANF monies and will expend approximately $227,000,000.

Provisions

1. Establishes the Program in the ACA to assist current and former inmates who are participating in second chance centers to establish small businesses. (Sec. 1)

2. Defines second chance center as a program in which ADC and DES collaborate and bring comprehensive services to inmates who are nearing release and who are most likely to recidivate. (Sec. 1)

3. Appropriates $500,000 from the Federal Assistance Grant in FY 2024 to the ACA for establishing and administering the Program. (Sec. 2)

4. Exempts the appropriation from lapsing. (Sec. 2)

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8. HB 2402

9. Initials PRB/LM Page 0 Caucus & COW

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