administrative costs; allowable percent

Plain English Breakdown

The official source material does not provide details about the consequences of exceeding the 8% limit or how existing program-specific limitations will interact with this new cap.

Limit on Administrative Costs

This bill sets an 8% cap on how much money budget units and political subdivisions in Arizona can spend on administrative expenses when they receive public funds.

What This Bill Does

• Sets an 8% cap on the amount of public money that budget units or political subdivisions can use for administrative expenses.
• Applies to all budget units and political subdivisions receiving public monies, regardless of existing specific program limits.

Who It Names or Affects

• Budget units in Arizona that receive public funds for administrative purposes.
• Political subdivisions in Arizona that get public money and need to spend it on administration.

Terms To Know

budget unit

A part of the government responsible for managing a specific budget or set of budgets.

political subdivision

A local government entity, like a city or county, that operates within a larger state government framework.

Limits and Unknowns

• The bill does not specify what happens if budget units exceed the 8% limit.
• It is unclear how existing program-specific administrative cost limitations will interact with this new uniform cap.

Official Summary Text

HB2115 - 572R - House Bill Summary

ARIZONA HOUSE OF REPRESENTATIVES

57th
Legislature, 2nd Regular Session

Majority Research Staff

HB
2115
: administrative costs; allowable percent

Sponsor:
Representative Griffin, LD 19

Committee
on Government

Overview

Caps
the amount that a budget unit or political subdivision of Arizona that receives
public monies can spend on administrative costs at 8%.

History

Title 35, Chapter 1, Article 5
governs the use and management
of public monies by state budget units and political subdivisions. Existing law
contains various program-specific administrative cost limitations, such as
limits tied to certain grants, funds or program appropriations.

Provisions

1.

Prohibits a
budget unit or political subdivision of Arizona that receives public monies for
administrative costs from using more than 8% of the total public monies
received for administrative costs.

2.

3.

4.

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2115

6.

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7.

8.

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Current Bill Text

HB2115 - 572R - I Ver

PREFILED��� DEC 30 2025

REFERENCE TITLE:
administrative costs; allowable percent

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2115

Introduced by

Representative
Griffin

AN
ACT

Amending title 35, chapter 1, article 5,
Arizona Revised Statutes, by adding section 35-198; relating to public
monies.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1. Title 35, chapter 1, article 5,
Arizona Revised Statutes, is amended by adding section 35-198, to read:

START_STATUTE
35-198.

Use of public monies; administrative costs; limit

NOTWITHSTANDING any other law, a budget unit or
political subdivision of this state that receives public monies for
administrative costs may use not more than eight percent of the total public
monies received for administrative costs.
END_STATUTE