DWR; appealable agency actions; exemption

HB2025 - 572R - I Ver

PREFILED��� DEC 02 2025

REFERENCE TITLE:
DWR; appealable agency actions; exemption

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2025

Introduced by

Representative
Griffin

AN
ACT

Amending section 41-1092.08, Arizona
Revised Statutes; relating to administrative procedures.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1. Section 41-1092.08, Arizona Revised
Statutes, is amended to read:

START_STATUTE
41-1092.08.

Final administrative decisions; review; exception

A. The administrative law judge of the office shall
issue a written decision within twenty days after the hearing is
concluded. The written decision shall contain a concise explanation
of the reasons supporting the decision, including the findings of fact and
conclusions of law. The administrative law judge shall serve a copy
of the decision on all parties to the contested case or appealable agency
action.� On request of the agency, the office shall also transmit to the agency
the record of the hearing as described in section 12-904, except as
provided in section 41-1092.01, subsection F.

B. Within thirty days
after the date the office sends a copy of the administrative law judge's
decision to the head of the agency, executive director, board or commission,
the head of the agency, executive director, board or commission may review the
decision and accept, reject or modify it. If the head of the agency,
executive director, board or commission declines to review the administrative
law judge's decision, the agency shall serve a copy of the decision on all
parties. If the head of the agency, executive director, board or
commission rejects or modifies the decision, the agency head, executive
director, board or commission must file with the office, except as provided in
section 41-1092.01, subsection F, and serve on all parties a copy of
the administrative law judge's decision with the rejection or modification and
a written justification setting forth the reasons for the rejection or
modification of each finding of fact or conclusion of law. If there
is a rejection or modification of a conclusion of law, the written
justification shall be sent to the president of the senate and the speaker of
the house of representatives.

C. A board or commission whose members are appointed
by the governor may review the decision of the agency head, as provided by law,
and make the final administrative decision.

D. Except as otherwise provided in this subsection,
if the head of the agency, the executive director or a board or commission does
not accept, reject or modify the administrative law judge's decision within
thirty days after the date the office sends a copy of the administrative law
judge's decision to the head of the agency, executive director, board or
commission, as evidenced by receipt of such action by the office by the
thirtieth day, the office shall certify the administrative law judge's decision
as the final administrative decision. If the board or commission
meets monthly or less frequently, if the office sends the administrative law
judge's decision at least thirty days before the next meeting of the board or
commission and if the board or commission does not accept, reject or modify the
administrative law judge's decision at the next meeting of the board or
commission, as evidenced by receipt of such action by the office within five
days after the meeting, the office shall certify the administrative law judge's
decision as the final administrative decision.

E. For the purposes of subsections B and D of this
section, a copy of the administrative law judge's decision is sent on personal
delivery of the decision or five days after the decision is mailed to the head
of the agency, executive director, board or commission.

F. The decision of the agency head is the final
administrative decision unless one of the following applies:

1. The agency head, executive director, board or
commission does not review the administrative law judge's decision pursuant to
subsection B of this section or does not reject or modify the
administrative law judge's decision as provided in subsection D of this
section, in which case the administrative law judge's decision is the final
administrative decision.

2. The decision of the agency head is subject to
review pursuant to subsection C of this section.

3. The licensee accepts the administrative law
judge's decision concerning the appeal of a licensing decision as final
pursuant to subsection I of this section.

G. If a board or commission whose members are
appointed by the governor makes the final administrative decision as an
administrative law judge or on review of the decision of the agency head, the
decision is not subject to review by the head of the agency.

H. A party may appeal a final administrative
decision pursuant to title 12, chapter 7, article 6, except as provided in
section 41-1092.09, subsection B and except that if a party has not
requested a hearing on receipt of a notice of appealable agency action pursuant
to section 41-1092.03, the appealable agency action is not subject to
judicial review. The license is not stayed during the appeal unless
the affected party that has appealed applies to the superior court for an order
requiring a stay pending final disposition of the appeal as necessary to
prevent an imminent and substantial endangerment to public health or the
environment. The court shall determine the matter under the
standards applicable for granting preliminary injunctions.

I. Except for a licensing decision concerning the
administrative completeness of an application submitted by a licensee or a
licensing decision where the agency, executive director, board or commission
has determined that the licensee poses a threat of grave harm or danger to the
public or has acted with complete disregard for the well-being of the
public in engaging or in being allowed to engage in the licensee's regulated
business activity, for any appealable agency action or contested case involving
a licensing decision, the licensee may accept the decision not more than ten
days after receiving the administrative law judge's written
decision. If the licensee accepts the administrative law judge's
written decision, the decision shall be certified as the final decision by the
office. If the licensee does not accept the administrative law
judge's written decision as the final decision in the matter, the head of the
agency, executive director, board or commission may review the decision and
accept, reject or modify the decision. If the head of the agency,
executive director, board or commission intends to reject or modify the
decision, the parties shall meet and confer, within thirty days after receiving
the administrative law judge's decision pursuant to subsection A of this
section, concerning the agency's proposed modifications to the findings of fact
and conclusions of law. Within twenty days after conferring, the
head of the agency, executive director, board or commission shall file its
final decision in accordance with subsection B of this section.
This subsection does not apply to any appealable agency actions of the
department of water resources pursuant to title 45.

J. This section does not apply to the Arizona peace
officer standards and training board established by section 41-1821.
END_STATUTE