Bill Text: AZ HB2600 | 2016 | Fifty-second Legislature 2nd Regular | Engrossed


Bill Title: Repeal; state boards and committees

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2016-03-28 - Senate RULES Committee action: Proper For Consideration [HB2600 Detail]

Download: Arizona-2016-HB2600-Engrossed.html

 

 

 

House Engrossed

 

 

 

State of Arizona

House of Representatives

Fifty-second Legislature

Second Regular Session

2016

 

 

HOUSE BILL 2600

 

 

 

AN ACT

 

amending sections 28-304, 28-6308, 28-6313 and 28-6353, arizona revised statutes; repealing sections 28-6356, 28-6357 and 28-6358, arizona revised statutes; amending section 37-622, arizona revised statutes; repealing sections 41-151.02, 41-511, 41-511.01 and 41-511.14, arizona revised statutes; providing for transferring and renumbering; amending section 41‑1279.03, arizona revised statutes; repealing sections 41-2148 and 41‑3023.06, arizona revised statutes; amending title 41, arizona revised statutes, by adding chapter 53; amending sections 41-5301, 41-5302, 41-5303, 41-5304, 41-5305, 41-5306, 41-5307, 41-5308, 41-5309, 41-5310, 41-5311, 41‑5312, 41-5313, 41-5314, 41-5315, 41-5316, 41-5317, 41-5318, 41-5319, 41‑5320 and 41-5321, arizona revised statutes, as transferred and renumbered; amending sections 45-618, 49-281 and 49-282, arizona revised statutes; repealing sections 49-289.04 and 49-289.05, arizona revised statutes; relating to state agencies and boards.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


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

Section 1.  Section 28-304, Arizona Revised Statutes, is amended to read:

START_STATUTE28-304.  Powers and duties of the board; transportation facilities

A.  The board shall:

1.  Develop and adopt a statewide transportation policy statement.  The policy statement shall be adopted as described in section 28‑306.

2.  Adopt a long‑range statewide transportation plan.  The plan shall be adopted as described in section 28‑307.

3.  Adopt uniform transportation planning practices and performance based planning processes for use by the department.  The practices and processes shall be developed as described in sections 28‑502 and 28‑503.

4.  Adopt transportation system performance measures and factors and data collection standards to be used by the department.  The performance measures, factors and standards shall be developed as described in sections 28‑504 and 28‑505.

B.  With respect to highways, the board shall:

1.  Establish a complete system of state highway routes.

2.  Determine which state highway routes or portions of the routes are accepted into the state highway system and which state highway routes to improve.

3.  Establish, open, relocate or alter a portion of a state route or state highway.

4.  Vacate or abandon a portion of a state route or state highway as prescribed in section 28‑7209.

5.  Sell board funding obligations to the state treasurer as provided in section 28‑7678.

C.  The board shall:

1.  Establish policies to guide the development or modification of the five year transportation facilities construction program that are consistent with the principles of performance based planning developed pursuant to article 7 of this chapter. The percentage of department discretionary monies allocated to the region in the regional transportation plan approved pursuant to chapter 17, article 1 of this title shall not increase or decrease unless the board, in cooperation with the regional planning agency, agrees to change the percentage of the discretionary monies.

2.  Award all construction contracts for transportation facilities.

3.  Monitor the status of these construction projects.

D.  Consistent with the board's responsibilities, the board shall:

1.  Consider the citizens transportation oversight committee's recommendations on the five year construction program for the regional transportation plan pursuant to chapter 17 of this title.

2.  Respond to any complaint and approve, disapprove or modify recommendations regarding a complaint forwarded to it by the citizens transportation oversight committee within ninety days after the citizens transportation oversight committee forwards a complaint to the board.

E.  d.  The board shall determine priority program planning with respect to transportation facilities using the performance based methods developed pursuant to article 7 of this chapter.

F.  e.  With respect to transportation facilities other than highways, the board shall establish, open, relocate, alter, vacate or abandon all or portions of the facilities.

G.  f.  With respect to aeronautics, the board shall perform the functions prescribed in chapter 25 of this title.

H.  g.  The board shall not spend any monies, adopt any rules or implement any policies or programs to convert signs to the metric system or to require the use of the metric system with respect to designing or preparing plans, specifications, estimates or other documents for any highway project before the conversion or use is required by federal law, except that the board may:

1.  Spend monies and require the use of the metric system with respect to designing or preparing plans, specifications, estimates or other documents for a highway project that is awarded before October 1, 1997 and that is exclusively metric from its inception.

2.  Prepare for conversion to and use of the metric system not more than six months before the conversion or use is required by federal law. END_STATUTE

Sec. 2.  Section 28-6308, Arizona Revised Statutes, is amended to read:

START_STATUTE28-6308.  Regional planning agency transportation policy committee; regional transportation plan; plan review process; committee termination

A.  The regional planning agency in the county shall establish a transportation policy committee consisting of twenty‑three members as follows:

1.  Seventeen members of the regional planning agency, including the chairperson of the citizens transportation oversight committee, one member of the state transportation board who represents the county, one member of the county board of supervisors and one member representing Indian communities in the county.

2.  Six members who represent regionwide business interests, one of whom must represent transit interests, one of whom must represent freight interests and one of whom must represent construction interests.  The president of the senate and the speaker of the house of representatives shall each appoint three members to the committee pursuant to this paragraph.  Members who are appointed pursuant to this paragraph serve six‑year terms. The chairman of the regional planning agency may submit names to the president of the senate and the speaker of the house of representatives for consideration for appointment to the transportation policy committee.

B.  Through the regional planning agency, the transportation policy committee shall:

1.  By a majority vote of the members, recommend approval of a twenty year comprehensive, performance based, multimodal and coordinated regional transportation plan in the county, including transportation corridors by priority and a schedule indicating the dates that construction will commence for projects contained in the plan.

2.  Develop the plan in cooperation with the regional public transportation authority in the county and the department of transportation and in consultation with the county board of supervisors, Indian communities and cities and towns in the county.

3.  Submit the plan for review by the regional public transportation authority in the county, the state board of transportation, the county board of supervisors, Indian communities and cities and towns in the county at the alternatives stage of the plan and the final draft stage of the plan.  After reviewing the plan, the regional public transportation authority in the county, the county board of supervisors and the state board of transportation, by majority vote of the members of each entity within thirty days after receiving the plan, shall submit a written recommendation to the transportation policy committee that the plan be approved, modified or disapproved.  Within thirty days after receiving the plan, Indian communities and cities and towns in the county may submit a written recommendation to the transportation policy committee that the plan be approved, modified or disapproved.

4.  Consider plan modifications proposed by any of the entities as prescribed in paragraph 3 of this subsection.

5.  By majority vote, approve, disapprove or further modify each proposed plan modification.

6.  Provide a written response to the regional public transportation authority, the state board of transportation, the county board of supervisors and the entity that submitted the proposed modification within thirty days after the vote on the proposed modification explaining the affirmation, rejection or further modification of each proposed modification.

7.  Recommend the plan to the regional planning agency for approval for an air quality conformity analysis.

C.  The regional transportation plan:

1.  Shall include the following transportation mode classifications with a revenue allocation to each classification consistent with section 42‑6105, subsection D:

(a)  Freeways and other routes in the state highway system.

(b)  Major arterial streets and intersection improvements.

(c)  Public transportation systems.

2.  Shall provide a suggested construction schedule for the transportation projects contained in the plan.

3.  May be annually updated to introduce new controlled access highways, related grade separations and transportation projects or to modify the existing plan.

4.  Shall be developed to meet federal air quality requirements established for the region in which it is located.

D.  Transportation excise tax revenues that are distributed pursuant to section 42‑6105, subsection D shall not be redistributed or used for other transportation modes.  Except as provided by section 28‑6353, subsections D, E and F, transportation excise tax revenues that are dedicated in the plan to a specific project or transportation system may only be redistributed to or otherwise used for another project within the same transportation mode if approved by a majority vote of the transportation policy committee.

E.  The committee established pursuant to this section ends on July 1, 2024 pursuant to section 41‑3103.END_STATUTE

Sec. 3.  Section 28-6313, Arizona Revised Statutes, is amended to read:

START_STATUTE28-6313.  Performance audits of proposed transportation projects and systems

A.  Beginning in 2010 and every fifth year thereafter, the auditor general shall contract with a nationally recognized independent auditor with expertise in evaluating multimodal transportation systems and in regional transportation planning to conduct a performance audit, as defined in section 41‑1278, of the regional transportation plan and projects scheduled for funding during the next five years.

B.  With respect to light rail systems, the audit shall consider the criteria used by the federal transit administration pursuant to 49 United States Code section 5309(e)(1)(B) and the interrelationship among the criteria to provide federal funding for light rail systems.  For light rail systems, the audit shall also consider:

1.  Service levels.

2.  Capital costs.

3.  Operation and maintenance costs.

4.  Transit ridership.

5.  Farebox revenues.

C.  The audit shall:

1.  Examine the regional transportation plan and projects scheduled for funding within each transportation mode based on the performance factors established in section 28‑505, subsection A, in the context of the transportation system.

2.  Review past expenditures of the regional transportation plan and examine the performance of the system in relieving congestion and improving mobility.

3.  Make recommendations regarding whether further implementation of a project or transportation system is warranted, warranted with modifications or not warranted.

D.  The auditor general or the auditors contracted to conduct the audit shall periodically update the transportation policy committee regarding the progress of the audit.

E.  Within forty‑five days after the release of the audit, the regional public transportation authority, the citizens transportation oversight committee, the state transportation board and the county board of supervisors, by a majority vote of each entity, shall submit written recommendations to the transportation policy committee that the findings are agreed to or disagreed with and the recommendations should be implemented, be implemented with modification or not be implemented.

F.  Within forty‑five days after the audit's release, the regional planning agency shall hold a public hearing on the audit findings and recommendations.

G.  The auditor general shall distribute copies of the audit to:

1.  The regional planning agency.

2.  The transportation policy committee.

3.  The citizens transportation oversight committee.

4.  3.  The regional public transportation authority in the county.

5.  4.  The county board of supervisors.

6.  5.  The state transportation board.

7.  6.  The governor, secretary of state, president of the senate and speaker of the house of representatives.

8.  7.  The Arizona state library, archives and public records.

9.  8.  Any other person who requests a copy pursuant to title 39, chapter 1, article 2.

H.  The state transportation board, regional planning agency, regional public transportation authority and county board of supervisors shall cooperate with and submit to the auditor general and the auditors contracted to conduct the audit information necessary to conduct the audits under this section.

I.  The cost incurred by the auditor general in contracting with independent auditors for conducting performance audits under subsection A of this section shall be paid from revenues of the county transportation excise tax under section 42‑6105.  When due, the payments have priority over any other distribution authorized by section 42‑6105.  The auditor general shall deposit the payments in the audit services revolving fund established by section 41‑1279.06. END_STATUTE

Sec. 4.  Section 28-6353, Arizona Revised Statutes, is amended to read:

START_STATUTE28-6353.  Regional transportation plan and project enhancements and changes

A.  The regional planning agency in the county shall approve any change in the regional transportation plan and the projects funded in the regional transportation plan that affect the planning agency's transportation improvement program, including project priorities.

B.  Requests for changes to transportation projects funded in the regional transportation plan that would materially increase costs shall be submitted to the regional planning agency for approval and submitted by the regional planning agency to the board for approval.

C.  If a local authority requests an enhancement to a transportation project funded pursuant to the regional transportation plan, the local authority shall pay all costs associated with the enhancement.

D.  The process prescribed in subsection E of this section is required if:

1.  An audit finding pursuant to section 28‑6313 recommends that a project or system in the regional transportation plan is not warranted or requires a modification that is a major amendment as defined in section 28‑6301.

2.  The transportation policy committee recommends to the regional planning agency a modification of the regional transportation plan that is a major amendment as defined in section 28‑6301.

E.  A major amendment requires the following:

1.  Consideration by the transportation policy committee of alternatives in the same modal category that will relieve congestion and improve mobility in the same general corridor addressed by the originally planned project or system.

2.  If a reasonable option is identified as an alternative for the originally planned project or system, the transportation policy committee shall submit the proposed amendment for review by the regional public transportation authority in the county, the state board of transportation, the county board of supervisors, Indian communities and cities and towns in the county and the citizens transportation oversight committee.  After reviewing the proposed amendment, the board of directors of the regional public transportation authority, the state board of transportation and the county board of supervisors, by a majority vote of the members of each board within thirty days after receiving the proposed amendment, shall submit a written recommendation to the transportation policy committee that the proposed amendment be approved, modified or disapproved.  Within thirty days after receiving the amendment, the citizens transportation oversight committee and the Indian communities and cities and towns may also submit written recommendations to the transportation policy committee that the proposed amendment be approved, modified or disapproved.

3.  If no reasonable option for an alternative to the originally planned project or system is identified, the transportation policy committee shall submit an amendment to delete the original project for review by the regional public transportation authority, the state board of transportation, the county board of supervisors, Indian communities and cities and towns in the county and the citizens transportation oversight committee.  After reviewing the proposed amendment the board of directors of the regional public transportation authority, the state board of transportation and the county board of supervisors, by a majority vote of the members of each board within thirty days after receiving the proposed amendment, shall submit a written recommendation to the transportation policy committee that the proposed amendment be approved, modified or disapproved.  Within thirty days after receiving the proposed amendment, the citizens transportation oversight committee and Indian communities and cities and towns in the county may also submit written recommendations to the transportation policy committee that the proposed amendment be approved, modified or disapproved.

4.  The transportation policy committee must consider any written recommendations submitted by any of the reviewing entities as prescribed by paragraph 2 or 3 of this subsection.

5.  The transportation policy committee shall recommend approval, disapproval or modification of the proposed amendment to the regional planning agency for consideration.

F.  The affirmative vote of seventeen members of the transportation policy committee is required to approve and proceed with either of the following:

1.  Recommendation of a major amendment to the regional planning agency that fails to receive approval of either the regional public transportation authority in the county, the state board of transportation or the county board of supervisors as prescribed in this section.

2.  A transportation project or system that is found to be unwarranted by an audit as prescribed in this section. END_STATUTE

Sec. 5.  Repeal

Sections 28-6356, 28-6357 and 28-6358, Arizona Revised Statutes, are repealed.

Sec. 6.  Section 37-622, Arizona Revised Statutes, is amended to read:

START_STATUTE37-622.  Duties of state forester; acceptance of federal law

A.  The state forester is designated as the agent of the state of Arizona and shall administer the provisions of this chapter.  In addition, the state forester shall:

1.  Perform all management and administrative functions assigned or delegated to this state by the United States relating to forestry and financial assistance and grants relating to forestry.

2.  Identify sources of information relating to forest management, including wildfire suppression and recovery and administrative and judicial appeals and litigation with respect to timber sales and forest thinning projects in this state, and develop procedures for compiling and transferring that information to the state forester.

3.  Take necessary action to maximize state fire assistance grants, including establishing timelines for using grant monies and reallocating lapsed grant monies to other projects.

4.  Conduct education and outreach in forest communities explaining the wildfire threat to private property caused by lack of timber harvesting and thinning.

5.  Monitor forestry projects and wildfire activities.

6.  Intervene on behalf of this state and its citizens in administrative and judicial appeals and litigation that challenge governmental efforts supported by the state forester if the state forester determines that intervention is in the best interests of this state.

7.  Annually develop and implement a comprehensive plan for the deployment of state, county, municipal, fire district, volunteer fire association and private fire service provider contract resources to wildfire suppression activities.  The wildfire deployment plan shall take into account anticipated fire conditions and fire severity and may include prepositioning resources as necessary.  The state forester shall consult with federal land management firefighting agencies, state and county emergency agencies, municipal fire departments, fire districts, statewide fire district and statewide fire chiefs associations, volunteer fire departments and private fire contractors in the development of a comprehensive wildfire deployment plan, the implementation of standards for training and certification for all classes of wildland fire personnel and the implementation of standards for wildland fire apparatus and equipment that is are deployed under cooperative agreements with the state forester.

8.  Provide necessary oversight to ensure standardized training and certification for all classifications of wildfire firefighters to be deployed, through cooperator agreement with the state forester, to any federal or state wildfire incident.

9.  Develop recommendations for minimum standards for safeguarding life and property from wildland fires and fire hazards, preventing wildland fires and alleviating fire hazards.

10.  Develop recommendations for minimum standards for the storage, sale, distribution and use of dangerous chemicals, combustibles, flammable liquids, explosives and radioactive materials in wildland-urban interface areas.

11.  Consult with the department of public safety, the department of emergency and military affairs and local governments regarding the establishment of fire evacuation routes and community alert systems.

12.  Make recommendations for minimum standards for the creation of defensible spaces in and around wildland-urban interface areas as authorized by existing county and municipal laws and ordinances.

B.  During the first regular session of each legislature, the state forester shall present information to the legislative committees with jurisdiction over forestry issues.  The state forester shall collaborate with, and invite the participation of, relevant state, federal and local governmental officers and agencies.  A written report is not required, but the presentation shall include information concerning:

1.  Forestry management, including the current conditions of the forests in this state on federal, state and private property as affected by federal, state and local public policies, climatic conditions, wildfire hazards, pest infestations, overgrowth and overgrowth control policies and methods and the effects of current federal policy on forest management and impacts on forest land management.

2.  The wildland‑urban interface, including the effects of county and municipal zoning policies and wildfire hazards on public and private property.

3.  Wildfire emergency management issues, including:

(a)  Intergovernmental and interagency primacy, cooperation, coordination, roles and training of federal, state and local forestry, firefighting and law enforcement agencies.

(b)  Channels and methods of communicating emergency information to the public.

(c)  The roles of governmental and nongovernmental disaster relief agencies and organizations.

(d)  The level of federal, state and local emergency funding.

C.  The state forester may:

1.  Furnish technical advice to the people of the state on forestry matters.

2.  Do all other acts necessary to take advantage of and carry out the provisions of the act of Congress described in subsection D.

D.  This state accepts the provisions of the cooperative forestry assistance act of 1978 (P.L. 95‑313; 92 Stat. 365; 16 United States Code chapter 41) providing for federal forestry assistance programs to states. END_STATUTE

Sec. 7.  Repeal

Section 41-151.02, Arizona Revised Statutes, is repealed.

Sec. 8.  Heading repeal

The article heading of title 41, chapter 3, article 1.1, Arizona Revised Statutes, is repealed.

Sec. 9.  Repeal

Sections 41-511, 41-511.01 and 41‑511.14, Arizona Revised Statutes, are repealed.

Sec. 10.  Transfer and renumber

Title 41, chapter 3, article 1.1, Arizona Revised Statutes, is transferred and renumbered for placement in title 41, chapter 53, article 1, Arizona Revised Statutes, as added by this act.  The following sections are transferred and renumbered for placement in title 41, chapter 53, article 1:

            Former Sections                     New Sections

            41‑511.02............................... 41‑5301

            41‑511.03............................... 41‑5302

            41‑511.04............................... 41‑5303

            41‑511.05............................... 41‑5304

            41‑511.06............................... 41‑5305

            41‑511.07............................... 41‑5306

            41‑511.08............................... 41‑5307

            41‑511.09............................... 41‑5308

            41‑511.10............................... 41‑5309

            41‑511.11............................... 41‑5310

            41‑511.12............................... 41‑5311

            41‑511.13............................... 41‑5312

            41‑511.15............................... 41‑5313

            41‑511.16............................... 41‑5314

            41‑511.17............................... 41‑5315

            41‑511.18............................... 41‑5316

            41‑511.19............................... 41‑5317

            41‑511.20............................... 41‑5318

            41‑511.21............................... 41‑5319

            41‑511.22............................... 41‑5320

            41‑511.23............................... 41‑5321

Sec. 11.  Section 41-1279.03, Arizona Revised Statutes, is amended to read:

START_STATUTE41-1279.03.  Powers and duties

A.  The auditor general shall:

1.  Prepare an audit plan for approval by the committee and report to the committee the results of each audit and investigation and other reviews conducted by the auditor general.

2.  Conduct or cause to be conducted at least biennial financial and compliance audits of financial transactions and accounts kept by or for all state agencies subject to the single audit act of 1984 (P.L. 98‑502).  The audits shall be conducted in accordance with generally accepted governmental auditing standards and accordingly shall include tests of the accounting records and other auditing procedures as may be considered necessary in the circumstances.  The audits shall include the issuance of suitable reports as required by the single audit act of 1984 (P.L. 98‑502) so the legislature, federal government and others will be informed as to the adequacy of financial statements of the state in compliance with generally accepted governmental accounting principles and to determine whether the state has complied with laws and regulations that may have a material effect on the financial statements and on major federal assistance programs.

3.  Perform procedural reviews for all state agencies at times determined by the auditor general.  These reviews may include evaluation of administrative and accounting internal controls and reports on these reviews.

4.  Perform special research requests, special audits and related assignments as designated by the committee and conduct performance audits, special audits, special research requests and investigations of any state agency, whether created by the constitution or otherwise, as may be requested by the committee.

5.  Annually on or before the fourth Monday of December, prepare a written report to the governor and to the committee that contains a summary of activities for the previous fiscal year.

6.  In the tenth year and in each fifth year thereafter in which a transportation excise tax is in effect in a county as provided in section  42‑6106 or 42‑6107, conduct a performance audit that:

(a)  Reviews past expenditures and future planned expenditures of the transportation excise revenues and determines the impact of the expenditures in solving transportation problems within the county and, for a transportation excise tax in effect in a county as provided in section 42‑6107, determines whether the expenditures of the transportation excise revenues comply with section 28‑6392, subsection B.

(b)  Reviews projects completed to date and projects to be completed during the remaining years in which a transportation excise tax is in effect. Within six months after each review period the auditor general shall present a report to the speaker of the house of representatives and the president of the senate detailing findings and making recommendations.  If the parameters of the performance audit are set by the citizens transportation oversight committee, the auditor general shall also present the report to the citizens transportation oversight committee.

(c)  Reviews, determines, reports and makes recommendations to the speaker of the house of representatives and the president of the senate whether the distribution of highway user revenues complies with title 28, chapter 18, article 2.  If the parameters of the performance audit are set by the citizens transportation oversight committee, the auditor general shall also present the report to the citizens transportation oversight committee.

7.  If requested by the committee, conduct performance audits of counties and incorporated cities and towns receiving highway user revenue fund monies pursuant to title 28, chapter 18, article 2 to determine if the monies are being spent as provided in section 28‑6533, subsection B.

8.  Perform special audits designated pursuant to law if the auditor general determines that there are adequate monies appropriated for the auditor general to complete the audit.  If the auditor general determines the appropriated monies are inadequate, the auditor general shall notify the committee.

9.  Beginning on July 1, 2001, establish a school‑wide audit team in the office of the auditor general to conduct performance audits and monitor school districts to determine the percentage of every dollar spent in the classroom by a school district.  The performance audits shall determine whether school districts that receive monies from the Arizona structured English immersion fund established by section 15‑756.04 and the statewide compensatory instruction fund established by section 15‑756.11 are in compliance with title 15, chapter 7, article 3.1.  The auditor general shall determine, through random selection, the school districts to be audited each year, subject to review by the joint legislative audit committee.  A school district that is subject to an audit pursuant to this paragraph shall notify the auditor general in writing as to whether the school district agrees or disagrees with the findings and recommendations of the audit and whether the school district will implement the findings and recommendations, implement modifications to the findings and recommendations or refuse to implement the findings and recommendations.  The school district shall submit to the auditor general a written status report on the implementation of the audit findings and recommendations every six months for two years after an audit conducted pursuant to this paragraph.  The auditor general shall review the school district's progress toward implementing the findings and recommendations of the audit every six months after receipt of the district's status report for two years.  The auditor general may review a school district's progress beyond this two‑year period for recommendations that have not yet been implemented by the school district.  The auditor general shall provide a status report of these reviews to the joint legislative audit committee.  The school district shall participate in any hearing scheduled during this review period by the joint legislative audit committee or by any other legislative committee designated by the joint legislative audit committee.

B.  The auditor general may:

1.  Subject to approval by the committee, adopt rules necessary to administer the duties of the office.

2.  Hire consultants to conduct the studies required by subsection A, paragraphs 6 and 7 of this section.

C.  If approved by the committee the auditor general may charge a reasonable fee for the cost of performing audits or providing accounting services for auditing federal funds, special audits or special services requested by political subdivisions of the state.  Monies collected pursuant to this subsection shall be deposited in the audit services revolving fund.

D.  The department of transportation, the board of supervisors of a county that has approved a county transportation excise tax as provided in section 42‑6106 or 42‑6107 and the governing bodies of counties, cities and towns receiving highway user revenue fund monies shall cooperate with and provide necessary information to the auditor general or the auditor general's consultant.

E.  The department of transportation shall reimburse the auditor general as follows, and the auditor general shall deposit the reimbursed monies in the audit services revolving fund:

1.  For the cost of conducting the studies or hiring a consultant to conduct the studies required by subsection A, paragraph 6, subdivisions (a) and (b) of this section, from monies collected pursuant to a county transportation excise tax levied pursuant to section 42‑6106 or 42‑6107.

2.  For the cost of conducting the studies or hiring a consultant pursuant to subsection A, paragraph 6, subdivision (c) and paragraph 7 of this section, from the Arizona highway user revenue fund. END_STATUTE

Sec. 12.  Repeal

Sections 41-2148 and 41-3023.06, Arizona Revised Statutes, are repealed.

Sec. 13.  Title 41, Arizona Revised Statutes, is amended by adding chapter 53, to read:

CHAPTER 53

STATE PARKS

ARTICLE 1.  GENERAL PROVISIONS

Sec. 14.  Section 41‑5301, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5301.  State parks director; qualifications; state historic preservation officer

A.  The governor shall appoint a full‑time state parks director pursuant to section 38‑211 who shall: 

1.  Not be a member of the Arizona state parks board.

2.  1.  Serve at the pleasure of the governor.

3.  2.  Be qualified by successful experience in administration in business or in government.

4.  3.  Have a knowledge of or training in the multiple use of lands and the conservation of natural resources.

B.  The governor shall designate a full‑time employee of the board with professional competence and expertise in the field of historic preservation as the "state historic preservation officer" to administer the state historic preservation program. END_STATUTE

Sec. 15.  Section 41‑5302, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5302.  Purposes; objectives

The purposes and objectives of the board shall be state parks director are to select, acquire, preserve, establish and maintain areas of natural features, scenic beauty, historical and scientific interest, and zoos and botanical gardens, for the education, pleasure, recreation, and health of the people, and for such other purposes as may be prescribed by law. END_STATUTE

Sec. 16.  Section 41-5303, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5303.  Duties; director; partnership fund; state historic preservation officer; definition

A.  The board director shall:

1.  Select areas of scenic beauty, natural features and historical properties now owned by the state, except properties in the care and custody of other agencies by virtue of agreement with the state or as established by law, for management, operation and further development as state parks and historical monuments.

2.  Manage, develop and operate state parks, monuments or trails established or acquired pursuant to law, or previously granted to the state for park or recreation purposes, except those falling under the jurisdiction of other state agencies as established by law.

3.  Investigate lands owned by the state to determine in cooperation with the agency that manages the land which tracts should be set aside and dedicated for use as state parks, monuments or trails.

4.  Investigate federally owned lands to determine their desirability for use as state parks, monuments or trails and negotiate with the federal agency having jurisdiction over such lands for the transfer of title to the Arizona state parks board this state.

5.  Investigate privately owned lands to determine their desirability as state parks, monuments or trails and negotiate with private owners for the transfer of title to the Arizona state parks board this state.

6.  Enter into agreements with the United States, other states or local governmental units, private societies or persons for the development and protection of state parks, monuments and trails.

7.  Plan, coordinate and administer a state historic preservation program, including the program established pursuant to the national historic preservation act of 1966, as amended.

8.  Advise, assist and cooperate with federal and state agencies, political subdivisions of this state and other persons in identifying and preserving properties of historic or prehistoric significance.

9.  Keep and administer an Arizona register of historic places composed of districts, sites, buildings, structures and objects significant in this state's history, architecture, archaeology, engineering and culture which that meet criteria which that the board director establishes or which that are listed on the national register of historic places.  Entry on the register requires nomination by the state historic preservation officer and owner notification in accordance with rules which that the board director adopts.

10.  Accept, on behalf of the state historic preservation officer, applications for classification as historic property received from the county assessor.

11.  Adopt rules with regard to classification of historic property including:

(a)  Minimum maintenance standards for the property.

(b)  Requirements for documentation.

12.  Monitor the performance of state agencies in the management of historic properties as provided in chapter 4.2 of this title.

13.  Advise the governor on historic preservation matters.

14.  Plan and administer a statewide parks and recreation program, including the programs established pursuant to the land and water conservation fund act of 1965 (P.L. 88‑578; 78 Stat. 897).

15.  Prepare, maintain and update a comprehensive plan for the development of the outdoor recreation resources of this state.

16.  Initiate and carry out studies to determine the recreational needs of this state and the counties, cities and towns.

17.  Coordinate recreational plans and developments of federal, state, county, city, town and private agencies.

18.  Receive applications for projects to be funded through the land and water conservation fund and the state lake improvement fund on behalf of the Arizona outdoor recreation coordinating commission.

19.  Provide staff support to the Arizona outdoor recreation coordinating commission.

20.  Maintain a statewide off‑highway vehicle recreational plan.  The plan shall be updated at least once every five years and shall be used by all participating agencies to guide distribution and expenditure of monies under section 28‑1176.  The plan shall be open to public input and shall include the priority recommendations for allocating available monies in the off‑highway vehicle recreation fund established by section 28‑1176.

21.  Collaborate with the state forester in presentations to legislative committees on issues associated with forest management and wildfire prevention and suppression as provided by section 37‑622, subsection B.

B.  Notwithstanding section 41‑511.21 41‑5319, the board director may annually collect and expend monies to plan and administer the land and water conservation fund program, in conjunction with other administrative tasks and recreation plans, as a surcharge to subgrantees in a proportionate amount, not to exceed ten per cent percent, of the cost of each project.  The surcharge monies shall be set aside to fund staff support for the land and water conservation fund program.

C.  A partnership fund is established consisting of monies received pursuant to subsection B of this section, monies received from intergovernmental agreements pursuant to title 11, chapter 7, article 3 and monies received pursuant to section 35‑148.  The board director shall administer the fund monies as a continuing appropriation for the purposes provided in these sections.

D.  The state historic preservation officer shall:

1.  In cooperation with federal and state agencies, political subdivisions of this state and other persons, direct and conduct a comprehensive statewide survey of historic properties and historic private burial sites and historic private cemeteries and maintain inventories of historic properties and historic private burial sites and historic private cemeteries.

2.  Identify and nominate eligible properties to the national register of historic places and the Arizona register of historic places and otherwise administer applications for listing historic properties on the national and state registers.

3.  Administer grants‑in‑aid for historic preservation projects within this state.

4.  Advise, assist and monitor, as appropriate, federal and state agencies and political subdivisions of this state in carrying out their historic preservation responsibilities and cooperate with federal and state agencies, political subdivisions of this state and other persons to ensure that historic properties and historic private burial sites and historic private cemeteries are taken into consideration at all levels of planning and development.

5.  Develop and make available information concerning professional methods and techniques for the preservation of historic properties and historic private burial sites and historic private cemeteries.

6.  Make recommendations on the certification, classification and eligibility of historic properties and historic private burial sites and historic private cemeteries for property tax and investment tax incentives.

E.  The state historic preservation officer may:

1.  Collect and receive information for historic private burial sites and historic private cemeteries from public and private sources and maintain a record of the existence and location of such burial sites and cemeteries located on private or public lands in this state.

2.  Assist and advise the owners of the properties on which the historic private burial sites and historic private cemeteries are located regarding the availability of tax exemptions applicable for such property.

3.  Make the records available to assist in locating the families of persons buried in the historic private burial sites and historic private cemeteries.

F.  For the purposes of this section, "historic private burial sites and historic private cemeteries" means places where burials or interments of human remains first occurred more than fifty years ago, that are not available for burials or interments by the public and that are not regulated under title 32, chapter 20, article 6.END_STATUTE

Sec. 17.  Section 41-5304, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5304.  Powers; compensation

The board director may, subject to legislative budgetary control within the limitations of this article:

1.  Subject to chapter 4, article 4 and, as applicable, article 5 of this title, employ, determine conditions of employment and specify the duties of such administrative, secretarial and clerical workers and technical employees such as naturalists, archaeologists, landscape architects, rangers, park supervisors, caretakers, guides, skilled tradesmen, laborers, historians and engineers, and contract to have the services of such advisors or consultants as are reasonably necessary or desirable to enable it the director to perform adequately its the director's duties.  The compensation of the director and of all workers and employees shall be as determined pursuant to section 38‑611.

2.  Make such contracts, leases and agreements and incur such obligations as are reasonably necessary or desirable within the general scope of its the director's activities and operations to enable it the director to perform adequately its the director's duties.

3.  Acquire through purchase, lease, agreement, donation, grant, bequest or otherwise real and personal property and acquire real property through eminent domain for state park or monument purposes.  No property may be acquired in the manner provided in this paragraph which will require an expenditure in excess of funds budgeted or received for such purposes.  No state park or monument, or additions to a state park or monument, shall be created containing in excess of one hundred sixty acres of land unless created by an act of the legislature.  This acreage limitation shall not apply in the case of lands given or donated for state park or monument purposes nor to state owned lands that are selected by the board director and that are not subject to outstanding leases, permits or other rights for the use of the lands including preferential rights to renew such leases and permits.

4.  Sell, lease, exchange or otherwise dispose of real and personal property.  Any disposition of real property shall be submitted for approval of the joint committee on capital review.  The disposition of office equipment, furnishings, vehicles and other materials is subject to chapter 23, article 8 of this title.  The disposition of artifacts and other property of scientific, archaeological, historical or sociological interest is exempt from chapter 23, article 8 of this title, but the board director shall consult with the Arizona historical society in disposing of property of historical interest.

5.  Construct at state parks and monuments necessary sanitary and other facilities including picnic tables, fireplaces, campsites, service buildings and maintenance shops, and contract with private persons for the construction and operation of cabins, hotels and restaurants, and like establishments.

6.  Erect suitable signs and markers at parks and monuments and write, prepare and publish written material describing the historical significance of monuments and other places of historical or other significance.

7.  Solicit and work in cooperation with the department of transportation and the highway departments of various counties and the United States federal highway administration for necessary roads and trails within the state parks and monuments and access roads to state parks and monuments. For the purposes of this paragraph, the board director may designate roads, spurs and other traffic related appurtenances within state park boundaries as public highways.  Designation of roads, spurs or other traffic related appurtenances as public highways shall not prohibit the board director from closing such public highways when the park is closed, charging for admission to the park to persons using the public highway within the park or otherwise managing such public highways in the same manner as other lands within the park.

8.  Levy and collect reasonable fees or other charges for the use of such privileges and conveniences as may be provided under the jurisdiction of the board director.  The board director may enter into agreements for the purpose of accepting payment for fees or other charges imposed pursuant to this article by alternative payment methods, including credit cards, charge cards, debit cards and electronic funds transfers.  The collecting officer shall deduct any fee charged or withheld by a company providing the alternative payment method under an agreement with the board director before the revenues are transferred to the board director.

9.  Make reasonable rules for the protection of, and maintain and keep the peace in, state parks and monuments.  Such rules adopted by the parks board director are subject to review and approval by the legislature.  After a board director's rule has been finally adopted pursuant to chapter 6 of this title, the board director shall immediately forward a certified copy of the rule to the legislature.  The legislature may review and, by concurrent resolution, approve, disapprove or modify such rule.  However, such rule shall be given full force and effect pending legislative review.  If no concurrent resolution is passed by the legislature with respect to the rule within one year following receipt of a certified copy of the rule, the rule shall be deemed to have been approved by the legislature.  If the legislature disapproves a rule or a section of a rule, the board director shall immediately discontinue the use of any procedure, action or proceeding authorized or required by the rule or section of the rule.  If the legislature modifies a rule or section of a rule, the board director shall immediately suspend the use of any procedure, action or proceeding authorized or required by the rule or section of the rule until the modified rule has been adopted in accordance with chapter 6 of this title, after which all proceedings pursuant to the rule shall be conducted in accordance with the modified version of the rule.

10.  Furnish advisory services to city and county park or recreation boards and organizations.

11.  Delegate to the director, the deputy director or the director's designee any of its the director's powers and duties, whether ministerial or discretionary, which are prescribed by law, except that the board director may not delegate its the director's power or duty to make rules.

12.  Reimburse board volunteers for travel and lodging expenses and per diem subsistence allowances incurred while on public business for the board parks.  Reimbursement amounts shall not exceed those allowed under title 38, chapter 4, article 2.

13.  In consultation with the conservation acquisition board, develop a grant program and adopt guidelines for allocating and obligating monies in the land conservation fund pursuant to section 41‑511.23 41‑5321.  The guidelines shall include consideration of both qualification issues relating to applicants for grants and issues relating to the proposed use of the grant money in a manner consistent with existing municipal, county and regional land use plans. END_STATUTE

Sec. 18.  Section 41-5305, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5305.  Eminent domain

A.  In acquiring property by eminent domain, no water, watering facilities or water right of any person shall be taken separate and apart from the land served by such water, watering facilities or water rights, without fair and adequate compensation to be awarded for such land and water, watering facilities or water rights.

B.  In seeking to establish a state park or monument on state or federally owned land, the board director shall not request the termination or cancellation of any valid lease, permit, government land entry, mining claim, privilege or other right unless fair and adequate compensation is awarded to the holder of such lease, permit, privilege or other right.  If the amount of the compensation cannot be determined by agreement, the board director may proceed to cause such lease, permit, privilege, government land entry, mining claim or right to be terminated or cancelled if such can be lawfully done by the state or federal agency having jurisdiction thereof, or the board director may proceed to acquire the same by eminent domain.  In any event the holder of such lease, permit, privilege, government land entry, mining claim or right shall receive fair and adequate compensation for the cost of and damage to his property interest or loss of his lease, privilege, government land entry, mining claim or permit.  In determining the amount of such compensation, consideration shall be given to any preferential rights of renewal and other preferential rights of the owner or holder thereof, the damage to the remaining land, damage by access roads, and damage to the rights and operation which such owner may have and all other relevant factors. END_STATUTE

Sec. 19.  Section 41-5306, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5306.  Parks and monuments on state lands

The board director may take over state lands and improvements thereon pursuant to article 9, chapter 2, title 37, chapter 2, article 9, except that the application to and approval by the governor shall not be required if the legislature has created the park or monument, and in determining the amount of compensation to be received by a lessee or permittee all of the elements of damage set forth in subsection B of section 41‑511.06 41‑5305, subsection B shall be considered. END_STATUTE

Sec. 20.  Section 41-5307, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5307.  Judicial review

Except as provided in section 41‑1092.08, subsection H, an appeal from a final decision of the board or from a final decision of the director made pursuant to the powers and duties delegated to the director by the board may be taken pursuant to title 12, chapter 7, article 6.END_STATUTE

Sec. 21.  Section 41-5308, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5308.  Park ranger law enforcement officers; training

The board director may appoint one or more of its officers or the director's employees as a park ranger law enforcement officer.  Any person so appointed shall have the minimum qualifications established for peace officers and police officers pursuant to section 41‑1822.  When so appointed, the officer or employee shall have the authority and power of a peace officer with the primary duties of enforcement of this article and enforcement of rules adopted pursuant to this article for the protection of the parks and monuments against damage and for the preservation of peace in the parks and monuments.END_STATUTE

Sec. 22.  Section 41-5309, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5309.  Rejection of gifts

The board director may reject any donation, bequest, or gift or property deemed by it the director to be unsuitable as a state park or monument. END_STATUTE

Sec. 23.  Section 41-5310, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5310.  Disposition of gifts; state parks donations fund

Monies from unconditional gifts, donations, bequests and endowments, which are not specifically designated to the state parks revenue fund, shall be deposited, pursuant to sections 35‑146 and 35‑147, by the board director in a fund to be known as the state parks donations fund, for use by the board director in accomplishing its the director's objectives and duties.  All expenditures from the state parks donations fund shall be made upon on claims duly itemized, verified and approved by the Arizona state parks board director.END_STATUTE

Sec. 24.  Section 41-5311, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5311.  Annual report

Not later than December 31 each year the board director shall deliver to the governor, the director of the department of administration and the legislature an annual report of the finances, goals and accomplishments of the board director during the preceding fiscal year. END_STATUTE

Sec. 25.  Section 41-5312, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5312.  Violations; classification

A.  Any person who knowingly damages, defaces or destroys any public park or monument property which that is within the this state or any political subdivision thereof is guilty of a class 2 misdemeanor.

B.  It is unlawful for a person to violate any provision of this article or rule or regulation prescribed under the provisions of this article.

C.  Unless a different or other penalty or punishment is specifically prescribed, the person who violates any provisions of this article or who violates or fails to comply with a lawful order, rule or regulation of the Arizona state parks board director is guilty of a class 2 misdemeanor.

D.  A park ranger law enforcement officer may utilize use the procedure prescribed by section 13‑3903 for violations of this article or any order, rule or regulation adopted pursuant to this article. END_STATUTE

Sec. 26.  Section 41-5313, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5313.  Arizona trail; fund; definition

A.  The Arizona trail is designated as a state scenic trail to memorialize former United States congressman Bob Stump for his significant contributions to the trails and people of this state.

B.  The Arizona state parks board director shall:

1.  Participate in planning, establishing, developing, maintaining and preserving the trail.

2.  Provide information to any person involved in planning, establishing, developing or maintaining the trail regarding the design, corridors, signs, interpretive markers highlighting special areas and historic uses and any other aspect of the trail to promote uniformity of development, maintenance and preservation.

3.  Encourage counties, cities and towns to adapt their general and comprehensive plans to preserve the trail right-of-way and to acquire property or legal interests in property to ensure the trail's continued existence in a permanent location.

4.  In cooperation with federal and state land management agencies, prepare a trail management plan and a plan for interpretive markers for the trail.

5.  Coordinate the board's director's trail plan with federal, state and local activities and land uses that may affect the trail and with private nonprofit support organizations to assist in planning, developing, promoting and preserving the trail.

6.  Accept gifts and grants of private and public monies for the purposes of this section.  Monies received pursuant to this paragraph shall be deposited in the Arizona trail fund.

C.  The trail shall be planned and designed for all nonmotorized recreational uses, including hiking, biking, horseback and pack stock use, cross country skiing, snowshoeing and camping.

D.  An agency of this state or of a county, city or town may not refuse to permit construction of the trail on property or rights-of-way owned or managed by the agency if the trail does not conflict with existing or proposed uses of the property.  Each such agency shall:

1.  Support the construction of the trail in the agency's long‑term plans for its property.

2.  Support the designation of the trail as a part of the national trail system.

3.  Accommodate facilities for the safe trail crossing of highway rights-of-way.

4.  Not infringe on existing land uses, such as cattle grazing or mineral development, that are near to or adjoin the trail.  This paragraph does not authorize any person using public lands under a permit or lease to interfere with the use, maintenance or operation of the Arizona trail.

E.  The Arizona trail fund is established consisting of legislative appropriations and donations to the fund.  The Arizona state parks board director shall administer the fund.  The monies in the fund are continuously appropriated for the sole purpose of maintaining and preserving the Arizona trail.

F.  For the purposes of this section, "Arizona trail" means a state scenic trail that extends approximately eight hundred miles between the southern border and the northern border of this state. END_STATUTE

Sec. 27.  Section 41-5314, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5314.  Rock climbing state park; fees, gifts and donations; disposition

A.  The Arizona state parks board director shall establish a rock climbing state park subject to all of the following conditions:

1.  The conveyance of approximately two thousand acres of bureau of land management land by the United States secretary of the interior, pursuant to the recreational and public purposes act (43 United States Code sections 869 through 869-4), to the Arizona state parks board this state.  The land is located in Gila county and is generally described as:  the south 1/2 of section 4, township 4 south, range 15 east; southeast 1/4 of section 5, township 4 south, range 15 east; all of section 8, township 4 south, range 15 east, except north 1/2, of the southwest 1/4 and southeast 1/4, southeast 1/4; north 1/2, and the north 1/2 of the southwest 1/4 of section 9, township 4 south, range 15 east; north 1/2 section 16, township 4 south, range 15 east, except southeast 1/4 of the northeast 1/4; the north 1/2 of section 17, township 4 south, range 15 east.

2.  The conveyance or lease of three parcels of state trust land totaling approximately one hundred sixty acres to the Arizona state parks board this state.  The trust lands are located in Gila county and are generally described as:  the southeast 1/4 of the southeast 1/4 of section 8, township 4 south, range 15 east; south 1/2 of the southeast 1/4, section 9, township 4 south, range 15 east; southeast 1/4 of the northeast 1/4, section 16, township 4 south, range 15 east.

3.  The establishment of a park access road as specified by the United States Congress and a public access easement on the access road being transferred to the Arizona state parks board this state.

B.  Notwithstanding the provisions of section 41‑511.05 41‑5304, paragraph 3, additions to the rock climbing state park, up to five hundred acres, shall not require additional legislative authorization.

C.  The Arizona state parks board director shall use its the director's best efforts to prevent trespass onto private lands adjacent to the boundaries of the rock climbing state park and shall provide access to the owners of any private lands within the exterior boundary of the state park.

D.  The Arizona state parks board director may charge user fees and concession fees and collect monies from other revenue generating activities. The state parks board director shall deposit, pursuant to sections 35‑146 and 35‑147, all monies collected in the state parks revenue fund established by section 41‑511.21 41‑5319.

E.  The Arizona state parks board director may accept gifts and donations toward the acquisition, management and operations of the rock climbing state park.  The Arizona state parks board director shall deposit, pursuant to sections 35‑146 and 35‑147, any gifts or donations collected in the state parks donations fund established by section 41‑511.11 41‑5310 and account for these monies separately.

F.  The Arizona state parks board director shall ensure public access to the rock climbing state park.

G.  Nothing in the establishment of the rock climbing state park shall be construed to impose any new or additional management requirements, restrictions or regulations under the laws of this state on the permitting, management of or the conduct of activities on any lands outside the state park, or to impose restrictions on these activities in addition to those applicable to the same land within and outside the state park, before its designation as a state park.

H.  Mining and mining related activities carried out by users of lands outside the rock climbing state park do not create a cause of action for any injuries sustained by a person within the boundaries of the state park. END_STATUTE

Sec. 28.  Section 41-5315, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5315.  Sustainable state parks and roads fund

The sustainable state parks and roads fund is established consisting of monies received pursuant to section 43‑622.  The Arizona state parks board director shall administer the fund.  Monies in the fund are continuously appropriated.  The Arizona state parks board director shall use the monies in the fund to operate, maintain and make capital improvements to buildings, roads, parking lots, highway entrances and any related structure used to operate state parks. END_STATUTE

Sec. 29.  Section 41-5316, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5316.  Spur Cross Ranch state park

A.  The Arizona state parks board director shall establish Spur Cross Ranch state park subject to the following conditions:

1.  A purchase and sale agreement shall be executed between the Arizona state parks board this state and at least one owner of Spur Cross Ranch as described in subsection D of this section.  The purchase and sale agreement shall be for property that is suitable for a state park consistent with the mission of the Arizona state parks board director.  The purchase and sale agreement shall be based on an appraisal made by an appraiser who is certified by a nationally recognized appraisal organization.  The purchase and sale agreement shall be for a price no greater than the appraised value, but can and may be for a price less than the appraised value.

2.  An intergovernmental agreement shall be executed between the Arizona state parks board this state and a county with a population of more than one million two hundred thousand persons according to the most recent United States decennial census.  That county shall provide half of the purchase price of the portion of Spur Cross Ranch as determined in the purchase and sale agreement between the Arizona state parks board this state and at least one owner of Spur Cross Ranch.

3.  An intergovernmental agreement shall be executed between the Arizona state parks board this state and a county with a population of more than one million two hundred thousand persons according to the most recent United States decennial census or with cities or towns or with both and that specifies the obligations of the parties to manage and operate Spur Cross Ranch state park.

B.  If funding is provided for the acquisition of Spur Cross Ranch other than from sources administered by an agency of this state or a county with a population of more than one million two hundred thousand persons according to the most recent United States decennial census, the obligation of this state and that county is reduced proportionately by the amount of other funding sources.  The use of federal monies for any portion of the costs of acquisition of the Spur Cross Ranch shall not affect this state's jurisdiction over the acquisition, operation or maintenance of the Spur Cross Ranch as a state park.

C.  The Arizona state parks board director may accept gifts and donations toward the acquisition, management and operation of Spur Cross Ranch state park.  Any gifts and donations collected shall be deposited in the state parks donations fund established by section 41‑511.11 41‑5310 and accounted for separately.  The Arizona state parks board director shall ensure public access to the Spur Cross Ranch state park.

D.  Spur Cross Ranch state park consists of all or part of the following described property:

1.  Lots 3, 4, 5 and 6; the south half of the northwest quarter; the northwest quarter of the southwest quarter; and the southeast quarter of the northeast quarter, all lying in and being a part of section 4, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

2.  All of section 5, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona; except the southeast quarter of the southeast quarter of section 5.

3.  All of section 6, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

4.  The southwest quarter of the southwest quarter of section 4, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

5.  The southeast quarter of the southeast quarter of section 5, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

6.  The northeast quarter of the northeast quarter of section 8, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

7.  The northwest quarter of the northwest quarter of section 9, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

8.  Lots 1 and 2; and the southwest quarter of the northeast quarter, all lying in and being a part of section 4, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

9.  The north half of the north half of section 7, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

10.  The south half of the southeast quarter of section 7, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

11.  The south half of the northeast quarter of section 8, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona.

12.  The Catherine lode mining claim, designated by the surveyor general as survey number 4096 embracing a portion of section 4, township 6 north, range 4 east of the Gila and salt river base and meridian, Maricopa county, Arizona, in the cave creek mining district, as conveyed and more particularly described in patent recorded in book 248 of deeds, page 400.

13.  The Columbian lode mining claim, designated by the surveyor general as survey number 2685, embracing a portion of the unsurveyed domain in the cave creek mining district, as conveyed and more particularly described in patent recorded in book 99 of deeds, page 10.

14.  The Mashackety lode mining claim, designated by the surveyor general as survey number 2685, embracing a portion of the unsurveyed domain in the Cave Creek mining district, as conveyed and more particularly described in patent recorded in book 99 of deeds, page 10.

15.  The Mashackety number 1 lode mining claim, designated by the surveyor general as survey number 2685, embracing a portion of the unsurveyed domain in the Cave Creek mining district, as conveyed and more particularly described in patent recorded in book 99 of deeds, page 10. END_STATUTE

Sec. 30.  Section 41-5317, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5317.  Catalina state park

A.  There is established the Catalina state park which may consist of all or a part of the following described property:

Sections 13, 24, 25, north one‑half of Section 35, Section 36, all in Township 10 South, Range 14 East, of the Gila and Salt River Base and Meridian, Pinal County, Arizona, Section 1, south one‑half of Section 2 East of Lago Del Oro Parkway, South one‑half of Section 11, west one‑half of Section 12, Section 14, all of Section 20 lying east of Highway 89, south one‑half of Section 21, south one‑half and the northeast one‑fourth of Section 22, Section 23, Section 26, Section 27, Section 28, all of Section 29 lying east of Highway 89, all of Section 32 lying east of Highway 89, Section 33, Section 34, all in Township 11 South, Range 14 East, of the Gila and Salt River Base and Meridian, Pima County, Arizona, Section 3, Section 4, all of Section 5 lying east of Highway 89, all of Section 7 lying east of Highway 89, all of Section 8 lying east of Highway 89, Section 18, all in Township 12 South, Range 14 East, of the Gila and Salt River Base and Meridian, Pima County, Arizona.

B.  The Arizona state parks board or its successor This state may lease or purchase from anyone any of the lands described in subsection A of this section for Catalina state park purposes, subject to the availability of funds appropriated for such purposes by the legislature.

C.  Notwithstanding the provisions of title 37, chapter 2, article 14, relating to the exchange of public lands, the state land commissioner may obtain any of the land described in subsection A of this section by trade of state land of equal value within Pima or Pinal county. END_STATUTE

Sec. 31.  Section 41-5318, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5318.  Authorized emergency use of water from Lake Patagonia by city of Nogales

A.  Notwithstanding any provision of law to the contrary, whenever an emergency exists, as determined by the mayor of the city of Nogales, Arizona, and concurred in by the director of water resources, that there is not sufficient water for use by such the city and that there is no other water available from any other practical source, then the state parks board shall director, upon on request by such the mayor, shall authorize such the city to remove from Lake Patagonia such amount of water as needed to supply the city with sufficient water.  The city of Nogales shall provide the means for transferring such water.

B.  The director of water resources shall assess a fee to the city of Nogales for the use of such water based upon on the value of the water.  Such fee shall be paid by the city to the state parks board Lake Patagonia account. END_STATUTE

Sec. 32.  Section 41-5319, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5319.  State parks revenue fund; purpose; exemption

A.  The state parks revenue fund is established consisting of:

1.  Monies received from the sale of park posters, park postcards, books, souvenirs and sundry items pursuant to section 41‑511.05 41‑5304, paragraph 4.

2.  Monies appropriated by the legislature for the purpose of enhancing state parks.

3.  Unconditional gifts and donations specifically designated to the revenue fund, except for unconditional gifts, donations, bequests and endowments deposited in the state parks donations fund pursuant to section 41‑511.11 41‑5310.

4.  All monies derived from state park user fees, concession fees and other revenue generating activities.

5.  Surcharges on park reservations.  

6.  Sale of park assets.

B.  The monies in the fund are subject to legislative appropriation:

1.  For the operation and maintenance of the state park system.

2.  For use by the board director to acquire and develop real property and improvements as state parks consistent with the purposes and objectives prescribed in section 41‑511.03 41‑5302, subject to review by the joint committee on capital review.

C.  Monies in the fund shall not be appropriated in a manner that is inconsistent with restrictions in the lease or deed to the property.

D.  The board director may collect monies as a surcharge on park reservations and shall determine the surcharge rate as provided in section 41‑511.05 41‑5304, paragraph 8 after considering the costs to plan and administer the reservation system.

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

F.  Monies in the state parks revenue fund are exempt from section 35‑190, relating to lapsing of appropriations.  The purposes for which monies were expended during the preceding fiscal year shall be delineated in the agency's annual report pursuant to section 41‑511.12 41‑5311. END_STATUTE

Sec. 33.  Section 41-5320, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5320.  Trail systems plan; deposit of monies; definition

A.  The board director shall prepare a trail systems plan that:

1.  Identifies on a statewide basis the general location and extent of significant trail routes, areas and complementary facilities.

2.  Assesses the physical condition of the systems.

3.  Assesses usage of trails.

4.  Describes specific policies, standards and criteria to be followed in adopting, developing, operating and maintaining trails in the systems.

5.  Recommends to federal, state, regional, local and tribal agencies and to the private sector actions which that will enhance the trail systems.

B.  The plan shall be revised at least once every five years.

C.  Monies from gifts, grants and other donations received by the board director for the trail systems plan shall be deposited in a separate account of the state parks donations fund established by section 41‑511.11 41‑5310 and may be allocated by the board director for special trail project priorities established annually by the board director.

D.  Monies deposited in the state parks donations fund account shall be used for providing state monies up to an amount equal to the amount of cash, materials and labor from any other source for the planning, acquisition, maintenance or operation of the trails and for administrative expenses of not more than twenty per cent percent of total account monies.

E.  For purposes of this section, "trail systems" means coordinated systems of trails in this state.END_STATUTE

Sec. 34.  Section 41-5321, Arizona Revised Statutes, as transferred and renumbered, is amended to read:

START_STATUTE41-5321.  Conservation acquisition board; land conservation fund; conservation donation and public conservation accounts; livestock and crop conservation fund

A.  The conservation acquisition board is established, as an advisory body to the Arizona state parks board director, consisting of the following members who are appointed by the governor, at least one of whom shall be experienced in soliciting money from private sources:

1.  One state land lessee.

2.  One member who is qualified by experience in managing large holdings of private land for income production or conservation purposes.

3.  One member of the state bar of Arizona who is experienced in the practice of private real estate law.

4.  One real estate appraiser who is licensed or certified under title 32, chapter 36.

5.  One member who is qualified by experience in marketing real estate.

6.  One representative of a conservation organization.

7.  One representative of a state public educational institution.

B.  The governor shall designate a presiding member of the board.  The term of office is five years except that initial members shall assign themselves by lot to terms of one, two, three, two members for four and two members for five years in office.

C.  The conservation acquisition board shall:

1.  Solicit donations to the conservation donation account.

2.  Consult with entities such as private land trusts, state land lessees, the state land department, the Arizona state parks board state parks director and others to identify conservation areas that are reclassified pursuant to section 37‑312 and that are suitable for funding.

3.  Recommend to the Arizona state parks board director appropriate grants from the land conservation fund.

D.  The land conservation fund is established consisting of the following accounts:

1.  The conservation donation account consisting of monies received as donations.  Donations to the account are subject to any lawful conditions the donor may prescribe, including any conditions on the use of the money or reversion to the donor.  Monies in the account are exempt from the provisions of section 35‑190 relating to lapsing of appropriations.

2.  The public conservation account consisting of monies appropriated to the account from the state general fund and monies from any other designated source.  In fiscal years 2000‑2001 through 2010‑2011, the sum of twenty million dollars is appropriated each fiscal year from the state general fund to the public conservation account in the land conservation fund for the purposes of this section.  Monies in the account are appropriated for the purposes of this section, and the Arizona state parks board director may spend monies in the account without further legislative authorization.  Each expenditure of monies from the public conservation account for purposes listed under subsection G, paragraph 2 of this section shall be matched by an equal expenditure of monies from the conservation donation account or from other private or governmental sources.

E.  If the legislature fails to appropriate monies to the public conservation account in a fiscal year, and if there are no other monies in the public conservation account, the Arizona state parks board director may either grant nothing from the fund in that year or, on recommendation by the conservation acquisition board, may grant available monies in the conservation donation account for purposes authorized in subsection G of this section.

F.  The monies in the fund are exempt from the provisions of section 35‑190 relating to lapsing of appropriations.

G.  Monies in the public conservation account, with matching monies from the conservation donation account, are appropriated as follows:

1.  A total of two million dollars each fiscal year to the livestock and crop conservation fund.  The fund is established for the purposes of this paragraph.  Monies in the fund are continuously appropriated to the Arizona department of agriculture for the exclusive purpose of granting monies to individual landowners and grazing and agricultural lessees of state or federal land who contract with the Arizona department of agriculture to implement conservation based management alternatives using livestock or crop production practices, or reduce livestock or crop production, to provide wildlife habitat or other public benefits that preserve open space and for administrative expenses as provided by this paragraph.  The department shall administer the fund.  On notice from the director of the department, 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.  Monies in the fund are exempt from the provisions of section 35‑190 relating to lapsing of appropriations.  For the purposes of granting monies from the fund pursuant to this paragraph, the department:

(a)  Shall develop guidelines and criteria for implementation of this program that shall include requiring as part of the application a letter describing the intended use for the grant money.

(b)  Shall give priority to lessees of state or federal land who reduce livestock production to provide public benefits such as wildlife species conservation or wildlife habitat.

(c)  Shall not grant more than fifty per cent percent of the monies in the fund with respect to land in one county in any fiscal year.

(d)  Is exempt from chapter 6 of this title with respect to adopting rules, except that the department shall provide for public notice and sixty days for public comment on the annual grant guidelines and criteria, including public hearings.

(e)  Shall award all grants pursuant to chapter 24, article 1 of this title.

(f)  Shall require each grantee to submit to the department, within twelve months after receiving the grant, a written report detailing how grant monies were used to achieve the project described in the letter submitted as part of the application.  If the project is longer than one year, a written report shall be submitted to the department on an annual basis until the project is complete.

(g)  May use not more than ten per cent percent of the monies appropriated to the fund in any fiscal year for the purposes of administering the program.

(h)  Shall prepare a report of the disposition of monies appropriated to the fund each fiscal year and provide a copy of the report to the governor, to the Arizona state parks board director and to any person who requests a copy.

2.  The remainder of the monies to the Arizona state parks board director for the exclusive purpose of granting monies to the state or any of its political subdivisions, or to a nonprofit organization that is exempt from federal income taxation under section 501(c) of the internal revenue code and that has the purpose of preserving open space, for the following purposes only:

(a)  To purchase or lease state trust lands that are classified as suitable for conservation purposes pursuant to title 37, chapter 2, article 4.2.  A grant of money under this subdivision to a nonprofit organization is conditioned on the organization providing reasonable public access to any land that is wholly or partly purchased with that money.  The organization shall agree with the Arizona state parks board director that it will impose a restrictive covenant, running with the title to the land, granting such access and providing for reversion to this state of any interest in the property acquired with money granted under this subdivision on the failure to comply with the terms of the covenant.  The Arizona state parks board director and the state land commissioner have standing to either enforce the covenant or recover the amount of the grant from the current owner, with interest from the date the grant was awarded to the nonprofit organization.

(b)  To purchase the development rights of state trust lands throughout this state under the following conditions:

(i)  The development rights shall be sold at public auction as provided in section 37‑258.01.

(ii)  The lessee of the state trust land at the time the development rights are purchased shall be notified of the purchase in writing.

(iii)  The purchase of the development rights shall not result in cancellation or modification of the current lease.

(iv)  The purchase of the development rights shall not affect the existing lessee's current economic use of the land and rights pursuant to title 37, chapter 2, article 4.2.

(v)  As a condition of the sale of the development rights, the purchaser shall agree in perpetuity not to exercise the development rights and that the land shall remain as open space.

(vi)  The state trust land shall retain any other rights and attributes as prescribed by law at the time of the purchase.

H.  For the purposes of subsection G, paragraph 2 of this section:

1.  The Arizona state parks board director shall not grant more than fifty per cent percent of the monies with respect to land in one county in any fiscal year.

2.  A grant of money is valid for eighteen months and may be extended one time for twelve additional months if a required public auction has not been held.

3.  The Arizona state parks board director may adopt rules to establish qualifications of nonprofit organizations for purposes of applying for and receiving money granted.

4.  The owner of property that is wholly or partly acquired with money granted shall not restrict or unreasonably limit access to private lands.  Any sale of land with money granted shall include a condition requiring that permanent access to private lands be allowed.

I.  The Arizona state parks board director shall administer the land conservation fund.  On notice from the board director, the state treasurer shall invest and divest monies in either account in the fund as provided by section 35‑313, and monies earned from investments shall be credited to a separate administration account to pay the board's director's expenses of administering the land conservation and acquisition program under subsection G, paragraph 2 of this section, which shall not exceed five per cent percent of the amount deposited in the public conservation account in any fiscal year or five hundred thousand dollars, whichever is less.  Investment earnings in excess of five hundred thousand dollars are appropriated to the Arizona state parks board director for the purpose of operating state parks.

J.  Members of the conservation acquisition board may be reimbursed for travel and lodging expenses and per diem subsistence allowances incurred while on public business for the board.  Reimbursement amounts shall not exceed those allowed under title 38, chapter 4, article 2. END_STATUTE

Sec. 35.  Section 45-618, Arizona Revised Statutes, is amended to read:

START_STATUTE45-618.  Arizona water quality fund

A.  An Arizona water quality fund is established for agency participation in activities related to title 49, chapter 2, article 5 and coordination of data bases necessary for those activities.  The director shall administer the fund.

B.  The Arizona water quality fund consist consists of monies from legislative appropriations, grants, contributions and transfers from other public agencies.

C.  On notice from the director, 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 exempt from lapsing under section 35-190.

E.  Before December 31 of each year, the director shall submit to the speaker of the house of representatives and the president of the senate and the advisory board established by section 49-289.04 a written report describing the activities of the department for the preceding fiscal year relating to expenditures from the fund.  The report shall include an accounting for expenditures from the fund and how the monies were used to perform duties in cooperation with the department of environmental quality pursuant to title 49, chapter 2, article 5.  The report shall address the department of water resources resources' sharing and management of data with the department of environmental quality, well inspection activities conducted pursuant to this fund, measures to remediate wells pursuant to section 45‑605, duties performed pursuant to agreements with the department of environmental quality and the status of other departmental participation in water quality assurance revolving fund activities.END_STATUTE

Sec. 36.  Section 49-281, Arizona Revised Statutes, is amended to read:

START_STATUTE49-281.  Definitions

In this article, unless the context otherwise requires:

1.  "Applicant" means any individual, employee, officer, managing body, trust, firm, joint stock company, consortium, public or private corporation, including a government corporation, partnership or association, this state, a political subdivision of this state, or a commission of the United States government or a federal facility, an interstate body or any other entity that applies for a settlement under either section 49‑292.01 or 49‑292.02.

2.  "Community" means the broad spectrum of persons determined by the director to be within an existing or proposed site placed on the registry pursuant to section 49‑287.01.

3.  "Community involvement area" means the geographical area that is within a site placed on the registry pursuant to section 49‑287.01 and additional geographic areas as found appropriate in the director's discretion.

4.  "Dispose" means the deposit, injection, dumping, spilling, leaking or placing of any pollutant into or on any land or water so that the pollutant or any constituent of the pollutant may enter the environment or be discharged into any waters, including aquifers.

5.  "Eligible party" means a person who enters into a written agreement with the director to implement and complete a remedial investigation and feasibility study with respect to a site or portion of a site that was on the annual priority list on May 1, 1997 or any other person who incurs costs for a remedial action that is in substantial compliance with section 49‑282.06 as determined by the director.

6.  "Facility" means any land, building, installation, structure, equipment, device, conveyance, area, source, activity or practice.

7.  "Fund" means the water quality assurance revolving fund established by section 49‑282.

8.  "Hazardous substance" has the same meaning prescribed in section 49‑201 but does not include petroleum as defined in section 49‑1001, except to the extent that a constituent of petroleum is subject to the provisions of section 49‑283.02.

9.  "Nonrecoverable costs" means any costs incurred by the director after June 30, 1997:

(a)  That consist of salaries and benefits paid to state employees, including direct and indirect costs, except as specifically provided in  section 49‑282.05, section 49‑285, subsection B, section 49‑285.01, section 49‑287.01, section 49‑287.06, subsection H and section 49‑287.07 and for epidemiological studies conducted by the department of health services.

(b)  For activities conducted pursuant to section 49‑287.02.

(c)  For water monitoring activities conducted pursuant to section 49‑225.

(d)  For well inspections, but not other remedial actions, to determine whether vertical cross-contamination is resulting from a well pursuant to section 45-605 or 49‑282.04.

(e)  For the advisory board established by section 49‑289.04.

(f)  (e)  For rule making rulemaking.

10.  "Orphan shares" means the shares of the cost of a remedial action that are allocated to an identified person who is determined to be a responsible party and that are not paid or otherwise satisfied by that responsible party due to any of the following:

(a)  The party cannot be located or no longer exists.

(b)  The party has entered into a qualified business settlement pursuant to this article.

(c)  The party has entered into a settlement pursuant to this article for an amount that is less than its allocated share.

(d)  The director has determined that the share allocated to the party is uncollectible.

11.  "Release" means any spilling, leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping or disposing into the environment but excludes:

(a)  Any release which that results in exposure to persons solely within a workplace, with respect to a claim which that such persons may assert against the employer of such persons.

(b)  Emissions from the engine exhaust of any motor vehicle, rolling stock, aircraft, vessel or pipeline pumping station engine.

(c)  Release of source, by-product or special nuclear material, as those terms are defined in section 30-651, resulting from the operation of a production or utilization facility as defined in the atomic energy act of 1954 (68 Stat. 919; 42 United States Code sections 2011 through 2297), which is subject to the regulatory authority of the United States nuclear regulatory commission as specified in that act, and the agreement, dated March 30, 1967, entered into between the governor of this state and the United States atomic energy commission pursuant to section 30-656 and section 274 of the atomic energy act of 1954, as amended.

(d)  The normal application of fertilizer.

12.  "Remedial actions" means those actions that are reasonable, necessary, cost-effective and technically feasible in the event of the release or threat of release of hazardous substances into the environment, such actions as may be necessary to investigate, monitor, assess and evaluate such release or threat of release, actions of remediation, removal or disposal of hazardous substances or taking such other actions as may be necessary to prevent, minimize or mitigate damage to the public health or welfare or to the environment which that may otherwise result from a release or threat of release of a hazardous substance.  Remedial actions include the use of biostimulation with indigenous microbes and bioaugmentation using microbes that are nonpathogenic, that are nonopportunistic and that are naturally occurring.  Remedial actions may include community information and participation costs and providing an alternative drinking water supply.

13.  "Remedy" means a remedial action selected in a record of decision issued pursuant to section 49‑287.04.

14.  "Site" means the geographical areal extent of contamination.

15.  "Vertical cross-contamination" means the vertical migration of released hazardous substances in groundwater through a well from an aquifer or aquifer layer to another aquifer or aquifer layer.END_STATUTE

Sec. 37.  Section 49-282, Arizona Revised Statutes, is amended to read:

START_STATUTE49-282.  Water quality assurance revolving fund

A.  A water quality assurance revolving fund is established to be administered by the director.  The fund consists of monies from the following sources:

1.  Monies appropriated by the legislature.

2.  Fertilizer license fees allocated under section 3‑272, subsection B, paragraph 2.

3.  Pesticide registration fees allocated under section 3‑351, subsection D, paragraph 2.

4.  The tax on water use pursuant to section 42‑5302.

5.  Water quality assurance fees collected under section 45‑616.

6.  Industrial discharge registration fees collected under section 49‑209.

7.  Manifest resubmittal fees collected under section 49‑922.01.

8.  Hazardous waste facility registration fees collected under section 49‑929.

9.  Hazardous waste resource recovery facility registration fees collected under section 49‑930.

10.  Monies recovered from responsible parties as remedial action costs.

11.  Monies received as costs for a review of remedial actions at the request of a person other than the state.

12.  Monies received from the collection of corporate income taxes under title 43, chapter 11, article 2 as prescribed by subsection B of this section.

13.  Prospective purchaser agreement fees collected under section 49‑285.01.

B.  The water quality assurance revolving fund shall be assured of an annual funding amount of eighteen million dollars.  Beginning July 1, 1999, as soon as practicable At the beginning of each fiscal year, the state treasurer shall transfer the sum of fifteen million dollars to the water quality assurance revolving fund from the corporate income tax as collected pursuant to title 43, chapter 11, article 2.  As custodian of the fund, the director shall certify to the governor, the state treasurer, the president of the senate and the speaker of the house of representatives at the end of that fiscal year the amount of monies deposited in the water quality assurance revolving fund pursuant to subsection A, paragraphs 1 through 9 of this section.  At the end of the fiscal year the state treasurer shall adjust the fifteen million dollar transfer of corporate income tax so that, when combined with monies deposited in the fund during that fiscal year pursuant to subsection A, paragraphs 1 through 9 of this section, the fund receives eighteen million dollars each fiscal year.  This adjustment shall occur as part of the year‑end book closing process for that fiscal year.  If sufficient monies from the corporate income tax are not available to make any necessary upward adjustments as part of the year‑end book closing, the state treasurer shall transfer the monies necessary to achieve the eighteen million dollar funding level from the transaction privilege and severance tax clearing account pursuant to section 42‑5029, subsection D, paragraph 4, to the water quality assurance revolving fund.  Any transfers prescribed by this subsection shall not be deducted from the net proceeds distributed pursuant to section 43‑206.

C.  At the beginning of each fiscal year, the director of environmental quality shall contract with the department of water resources for the transfer of up to eight hundred thousand dollars from the water quality assurance revolving fund to the Arizona water quality fund established by section 45‑618 for support services for the water quality assurance revolving fund program.  The support services provided for the water quality assurance revolving fund program shall be determined by the director of water resources in consultation with the director of environmental quality.

D.  Monies in the fund are exempt from lapsing under section 35‑190. Interest earned on monies in the fund shall be credited to the fund.

E.  Monies from the water quality assurance revolving fund shall be used for the following purposes:

1.  To provide state matching monies or to meet such other obligations as are prescribed by section 104 of CERCLA.

2.  For all reasonable and necessary costs to implement this article, including:

(a)  Taking remedial actions.

(b)  Conducting investigations of an area to determine if a release or a threatened release of a hazardous substance exists.

(c)  Conducting remedial investigations, feasibility studies, health effect studies and risk assessments.

(d)  Identifying and investigating potentially responsible parties and allocating liability among the responsible parties.

(e)  Funding orphan shares.

(f)  Participating in the allocation process, administrative appeals and court actions.

(g)  Funding the community advisory boards and other community involvement activities and the water quality assurance revolving fund advisory board.

(h)  Remediating pollutants if necessary to remediate a hazardous substance.

3.  For the reasonable and necessary costs of monitoring, assessing, identifying, locating and evaluating the degradation, destruction, loss of or threat to the waters of the state resulting from a release of a hazardous substance to the environment.

4.  For the reasonable and necessary costs of administering the fund.

5.  For the reasonable and necessary costs of administering the industrial discharge registration program under section 49‑209.

6.  For the costs of the water quality monitoring program described in section 49‑225.

7.  For compliance monitoring, investigation and enforcement activities pertaining to generating, transporting, treating, storing and disposing of hazardous waste.  The amount to be used pursuant to chapter 5 of this title is limited to the amount received in the prior fiscal year from the hazardous waste facility registration fee.

8.  For emergency response use as prescribed in section 49‑282.02.

9.  For all reasonable and necessary costs of the preparation and execution of prospective purchaser agreements.

10.  For all reasonable and necessary costs of the voluntary remediation program.

11.  To reimburse a political subdivision of this state for its reasonable, necessary and cost‑effective remedial action costs incurred in response to a release or threat of a release of a hazardous substance or pollutants that presents an immediate and substantial endangerment to the public health or the environment.  The political subdivision is not eligible for reimbursement until it has taken all reasonable efforts to obtain reimbursement from the responsible party and the federal government.  No more than two hundred fifty thousand dollars may be spent from the fund for this purpose in any fiscal year.

12.  For all reasonable and necessary costs incurred by the department pursuant to section 49‑282.04 and the department of water resources pursuant to section 45‑605 for well inspections, remedial actions and review and approval of well construction necessary to prevent vertical cross‑contamination.  The director of environmental quality and the director of water resources shall enter into an agreement for the transfer of these costs.

13.  For actions that are taken pursuant to section 49‑282.03 before the selection of a remedy.

14.  For the reasonable and necessary costs of the conveyance, use or discharge of water remediated as part of a remedy under this article.

15.  For the reasonable and necessary costs incurred by the department of health services at the request of the director of environmental quality to assess and evaluate the effect of a release or threatened release of hazardous substances to the public health or welfare and the environment.  The director of environmental quality and the director of the department of health services shall enter into an agreement for the transfer of these costs.  The assessment and evaluation by the department of health services may include:

(a)  Performing health effect studies and risk assessments.

(b)  Evaluating and calculating cleanup standards.

(c)  Assisting in communicating health and risk issues to the public.

16.  For the reasonable and necessary costs incurred by the department of law to provide legal services at the request of the director of environmental quality.

17.  For the reasonable and necessary costs of contracting for the goods and services to enable the director to implement this article.

18.  For remediation demonstration projects that use bioremediation or other alternative technologies.  The department may not use more than five hundred thousand dollars in a fiscal year pursuant to this paragraph.

F.  Any political subdivision of this state which that uses, used or may use waters of the state for drinking water purposes or any state agency, regardless of whether the political subdivision or state agency is a responsible party, may apply to the director for monies from the fund to be used for remedial action.  An application to the fund for remedial action costs shall not be treated as an admission that a political subdivision or an agency of the state is a responsible party, but a political subdivision or a state agency that is a responsible party is liable for remedial action costs in the same manner, including reimbursement of the fund, as any other responsible party.  The political subdivision shall commit a local matching amount at least equal to the amount sought from the fund.

G.  The director of environmental quality shall prepare and submit a budget for the water quality assurance revolving fund program and the director of water resources shall prepare and submit a budget for the Arizona water quality fund with the departments' budgets that are required pursuant to section 35‑111.  The committees on appropriations of the house of representatives and the senate shall review the water quality assurance revolving fund budget and the Arizona water quality fund budget to ensure that the departments' expenditures are made in accordance with the legislature's intent and that the departments are making adequate progress toward accomplishing that intent. END_STATUTE

Sec. 38.  Repeal

Sections 49-289.04 and 49-289.05, Arizona Revised Statutes, are repealed.

Sec. 39.  Conforming legislation

The legislative council staff shall prepare proposed legislation conforming the Arizona Revised Statutes to the provisions of this act for consideration in the Fifty-third legislature, First regular session.

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