ARIZONA HOUSE OF REPRESENTATIVES

Fifty-sixth Legislature

First Regular Session

House: COM DPA 10-0-0-0

HB 2446: smart and safe fund; distribution

Sponsor: Representative Martinez, LD 16

Caucus & COW

Overview

Amends the list of recipients who receive a portion of monies from the Smart and Safe Arizona Fund (Fund).

History

In 2020, the voters approved Proposition 207 which legalized the adult use of and prescribed the regulation and taxation for recreational marijuana. Prop 207 established the Fund which consists of monies derived from an excise tax on the sale of marijuana products, license and registration fees and certain civil penalties. Fund monies are first used to pay for administration and enforcement costs relating to the implementation of Prop 207. Remaining Fund monies are distributed to specified entities on a percentage basis:

1) 33% to community college districts for investing in and providing workforce development programs, job training, career and technical education and STEM programs;

2) 31.4% to municipal police and fire departments, fire districts and county sheriffs' departments in proportion to the number of members in the Public Safety Personnel Retirement System and the Public Safety Personnel Defined Contribution Retirement Plan for personnel costs;

3) 25.4% to the Arizona Highway User Revenue Fund;

4) 10% to the Justice Reinvestment Fund; and

5) .2% to the Attorney General.

(A.R.S. § 36-2856)

Provisions

1. Includes Indian reservation police agencies, Indian reservation firefighting agencies, university police departments at institutions under the jurisdiction of the Arizona Board of Regents, the Department of Public Safety and joint powers authorities to the list of recipients who receive the portion (31.4%) of Fund monies relating to public safety. (Sec. 1)

2. Applies retroactively to January 1, 2021. (Sec. 2)

3. Contains a Prop 105 clause. (Sec. 3)

4. Makes conforming changes. (Sec. 1)

Amendments

Committee on Commerce

1. Removes all additional Fund recipients except for joint powers authorities.

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5. HB 2446

6. Initials PRB Page 0 Caucus & COW

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