ARIZONA HOUSE OF REPRESENTATIVES

Fifty-sixth Legislature

Second Regular Session

Senate: HHS DPA 7-0-0-0 | 3rd Read 25-3-2-0


SB 1238: obstetric services; rural communities; recommendations

S/E: performance audit; homeless shelter fund

Sponsor: Senator Shamp, LD 29

Committee on Health & Human Services

 

Summary of the Strike-Everything Amendment to SB 1238

Overview

Establishes a new Homeless Shelter and Services Fund. Creates new criminal violations involving drugs in homeless service zones. Transfers $5,500,000 from the FY 2024 Housing Trust Fund deposit and $50,000,000 from the Consumer Remediation Subaccount.

History

The possession, use, manufacture, sale and transportation of dangerous and narcotic drugs is illegal and carries felony classifications ranging from class 4 to class 2 (A.R.S. §§ 13-3407; 13-3408).

The Arizona Department of Housing (ADOH) administers various programs and funds related to housing of low- and moderate-income families, housing affordability, special needs populations and decaying housing stock (A.R.S. § 41-3953). As part of the FY 2024 budget, $150,000,000 was appropriated to ADOH for a deposit into the Housing Trust Fund and an additional total of $60,000,000 was appropriated to a new Homeless Shelter and Services Fund, which was established in session law (Laws 2023, Ch. 133).

Provisions

Criminal Classification

1.   ☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☒ Fiscal NoteEstablishes a new felony for intentionally being present in a drug-free homeless service zone to sell or transfer dangerous or narcotic drugs. (Sec. 1)

2.   Designates the offense as the same class of felony if the violation had not occurred within a drug-free homeless service zone, except that the presumptive, minimum and maximum sentences must be increased by one year and the individual is not eligible for probation. (Sec. 1)

3.   Creates a new class 1 misdemeanor for an employee of a facility that provides services to homeless individuals who knowingly violate a drug-free homeless service zone's policies prohibiting the possession or use of dangerous or narcotic drugs. (Sec. 1)

4.   Adds a fine, to be imposed by the court upon conviction of either new offense, of not less than $2,000 or three times the value of the drugs involved in the charge, whichever is greater. (Sec. 1)

5.   Requires providers of facility-based homeless services to maintain a visible notice identifying the building as a drug-free homeless service zone, except that domestic violence shelters may place the notice inside the facility. (Sec. 1)

6.   Defines drug-free homeless service zone as a homeless services facility or shelter. (Sec. 1)

Arizona Criminal Justice Commission (ACJC) Reporting

7.   Requires ACJC to collect and annually report information on:

a)   drug overdoses among individuals experiencing homelessness, including the number of drug overdoses and number of deaths caused by drug overdose; and

b)   crimes committed against and by homeless individuals. (Sec. 2)

8.   Requires the report to be submitted to the Governor, President of the Senate and the Speaker of the House of Representatives and provide a copy to the Secretary of State. (Sec. 2)

Homeless Shelter and Services Fund

9.   Creates the Homeless Shelter and Services Fund as a non-lapsing fund under ADOH, subject to legislative appropriation. (Sec. 3)

10.  Specifies that all grants from the Homeless Shelter and Services Fund must be made to operators or providers within drug-free homeless service zones. (Sec. 3)

11.  Requires recipients of grants from the Homeless Shelter and Services Fund to report on specified outcome-based metrics of individuals experiencing homelessness for three years, beginning December 1, 2024. (Sec. 3)

12.  Prioritizes grants for services benefiting homeless individuals who are children, parents or legal guardians with children, senior citizens and veterans. (Sec. 3)

13.  Requires ADOH to prescribe a simplified form and procedure to apply and approve grants. (Sec. 3)

14.  Prohibits additional funding to political subdivisions until the political subdivision does not directly or indirectly prohibit enforcement of public camping, sleeping or obstructing a public right-of-way laws. (Sec. 3)

15.  Prohibits individuals from using state- or local-owned lands for unauthorized sleeping, camping or long-term shelter. (Sec. 3)

16.  Authorizes a county attorney to bring a civil action against any political subdivision to prohibit the political subdivision from violating these provisions. (Sec. 3)

17.  Directs ADOH to provide a quarterly report to the Joint Legislative Budget Committee (JLBC) outlining expenditures and other outlined information. (Sec. 3)

Mixed Hoteling

18.  Requires a homeless shelter provider who engages in mixed hoteling to post specified signs at locations in the facility and online. (Sec. 3)

19.  Prohibits state or local monies from being used for mixed hoteling. (Sec. 3)

20.  Defines mixed hoteling as providing shelter rooms to homeless individuals while concurrently providing hotel services on the same premises but excludes emergency or temporary shelter for domestic violence victims and parents with children. (Sec. 3)

Performance Audit and Appropriations

21.  Instructs the Auditor General to conduct a special audit of the amount of expenditures made in the state on individuals experiencing homelessness and submit the special audit report to the Governor, Legislature and Secretary of State by December 31, 2025. (Sec. 4)

22.  Transfers $5,500,000 from the FY 2024 Housing Trust Fund deposit to the following:

a)   $5,000,000 to the Auditor General for all costs for the performance audit; and

b)   $500,000 to ACJC to implement data collection requirements. (Sec. 5)

23.  Appropriates $50,000,000 from the Consumer Remediation Subaccount of the Consumer Restitution and Remediation Revolving Fund to the Arizona Health Care Cost Containment System for the establishment of five secure behavioral health residential facilities. (Sec. 5)

Miscellaneous

24.  Defines dangerous drug, homeless individual, narcotic drug and individual experiencing homelessness. (Sec. 1, 3)

25.  Makes technical changes. (Sec. 2)

☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☐ Fiscal Note

 

 

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                        SB 1238

Initials AG     Page 0 Health & Human Services

 

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