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HB2257 • 2026

HOV lane; blood transport vehicles

HB2257 - (NOW: watercraft fund; distribution of monies)

Education Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Leo Biasiucci
Last action
2026-06-22
Official status
Chapter 248
Effective date
Not listed

Plain English Breakdown

The official source lists specific percentages for each county but does not explicitly define what 'general effective date' means in terms of a calendar day.

HB2257: Changes to Watercraft Fee Distribution

This law changes how money from boat registration fees is split between state programs and sets fixed percentages for specific counties.

What This Bill Does

  • Lowers the share of watercraft fee revenue going to the general licensing fund from 65 percent to 55 percent.
  • Increases the total portion of funds available for lake improvement and boating safety from 35 percent to 45 percent.
  • Reduces the amount sent to the State Lake Improvement Fund from 15 percent to 10 percent of the remaining revenue.
  • Raises the share going to the Law Enforcement and Boating Safety Fund from 85 percent to 90 percent of the remaining revenue.
  • Removes the old formula used by officials to decide how much money each county receives for boating safety.

Who It Names or Affects

  • The Arizona Game and Fish Department, which manages watercraft licensing funds.
  • Eight specific counties: Apache, Coconino, Gila, La Paz, Maricopa, Mohave, Navajo, and Yuma.
  • County law enforcement agencies that use the money for boating safety personnel and equipment.

Terms To Know

Watercraft Licensing Fund
A state account used to manage boat rules, education programs, and invasive species control.
Law Enforcement and Boating Safety Fund
An account that provides money for county police officers who enforce boating laws on the water.

Limits and Unknowns

  • The law only applies to counties with a safety program that existed before July 1, 1990.
  • All funds distributed are still subject to approval by the state legislature for spending.
  • The bill text does not specify an exact effective date beyond stating it becomes active on the general effective date.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Plain English: This amendment changes how money from boat registration fees is split between state funds and specific Arizona counties, while removing a requirement for the department to report on spending.

  • More of the collected fee money (55%) goes into the Watercraft Licensing Fund instead of less, leaving only 45% for other safety and lake improvement funds.
  • Of that remaining portion, more money is sent directly to counties for law enforcement rather than being split evenly with a state lake improvement fund.
  • The amendment sets exact percentages for how much each eligible county receives from the Law Enforcement and Boating Safety Fund instead of using a formula based on factors like water size or accident data.
  • It removes the rule that requires the Arizona Department of Transportation to submit an annual report about how it spends money from the Watercraft Licensing Fund.
  • The text does not explain why these specific percentages were chosen for each county, only what they are.
  • It is unclear if counties that did not have a boating safety program before July 1990 can still receive funds under the new rules.

Plain English: This amendment changes how money from boat registration fees is split between different state funds and adds a rule requiring an annual report on spending.

  • It lowers the amount of fee revenue going to the watercraft licensing fund from 65% to 50%.
  • It increases the share of remaining money sent to law enforcement and boating safety programs by adjusting how fees are divided.
  • It requires the department to send an annual report about spending in the watercraft licensing fund to state leaders.
  • The text does not explain exactly what happens if a multi-county water conservation district is not established for certain fee payments.
  • Specific details on how the new percentages affect total funding amounts are not included in this amendment text alone.

Bill History

  1. 2026-06-13 Senate

    Governor signed

  2. 2026-06-12 House

    Transmitted to House

  3. 2026-06-12 Senate

    Senate third read passed

  4. 2026-06-12 Senate

    Senate passed

  5. 2026-06-12 Senate

    Senate third read failed

  6. 2026-06-11 Senate

    Senate committee of the whole

  7. 2026-06-10 Senate

    Senate minority caucus

  8. 2026-06-10 Senate

    Senate majority caucus

  9. 2026-03-03 Senate

    Senate second read

  10. 2026-03-02 Senate

    Senate Rules: PFC

  11. 2026-03-02 Senate

    Senate Appropriations, Transportation and Technology: DP

  12. 2026-03-02 Senate

    Senate first read

  13. 2026-02-26 Senate

    Transmitted to Senate

  14. 2026-02-26 House

    House third read passed

  15. 2026-02-25 House

    House committee of the whole

  16. 2026-02-17 House

    House minority caucus

  17. 2026-02-17 House

    House majority caucus

  18. 2026-01-20 House

    House second read

  19. 2026-01-15 House

    House Rules: C&P

  20. 2026-01-15 House

    House Transportation & Infrastructure: DPA/SE

  21. 2026-01-15 House

    House first read

Official Summary Text

HB2257 - 572R - Senate Fact Sheet

Assigned to
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COMMITTEE

ARIZONA STATE SENATE

Fifty-Seventh
Legislature, Second Regular Session

FACT SHEET FOR
H.B. 2257

HOV
lane; blood transport vehicles

(
NOW: watercraft
fund; distribution of monies
)

Provisions

Alters the
allocation of watercraft registration and infrastructure fee revenues.

Background

Each month,
monies received from the registration and infrastructure fees received for the
numbering of watercraft must be deposited in the Watercraft Licensing Fund for
distribution by the Arizona Game and Fish Department as follows: 1) 65 percent
must be deposited into the Watercraft Licensing Fund to be used for
administering and enforcing boating and water sports regulation; and 2) of the
remaining 35 percent, 15 percent must be deposited into the State Lake
Improvement Fund and 85 percent must be deposited into the Law Enforcement and
Boating Safety Fund (
A.R.S.
� 5-323
).

Only a county
board of supervisors that has a law enforcement and boating safety program that
was in existence before July 1, 1990, is eligible to receive Law Enforcement
and Boating Safety Fund monies. The State Treasurer administers the Law
Enforcement and Boating Safety Fund and uses an allocation formula determined
annually by the Arizona Game and Fish Commission (Commission). The Commission,
when determining the allocation formula, may consider: 1) the adequacy of
existing county boating safety programs, including accident investigations; 2)
the number of recreational days of use on water within the county; 3) the
surface acreage of water within the county's jurisdiction; 4) the county water
safety record; 5) the ability of the county to constructively use additional
monies; 6) the ratio of boating use to water surface within the county's
jurisdiction; 7) the ability of participating counties to provide continued
funding for the program; 8) annual input and feedback from the county board of
supervisors receiving funds; and 9) boat accident data for the waterways within
the county's jurisdiction (
A.R.S.
� 5-383
).

There is no anticipated fiscal impact to the state General Fund
associated with this legislation.

Provisions

1.

Alters
the allocation of watercraft registration and infrastructure fees as follows:

a)

55 percent, rather than 65 percent, must be deposited into the
Watercraft Licensing Fund;

b)

45 percent, rather than 35 percent, must be allocated as follows:

i.

10 percent, rather than 15 percent, to the State Lake Improvement Fund;
and

ii.

90
percent, rather than 85 percent, to the Law Enforcement and Boating Safety
Fund.

2.

Removes the statutorily prescribed Arizona Game and Fish Commission
allocation formula for the Law Enforcement and Boating Safety Fund monies and
removes the requirement for the State Treasurer to use the allocation formula
when distributing monies.��

3.

Requires
the revenues allocated to the Law Enforcement and Boating Safety Fund to be
allocated as follows:

a)

1.03 percent to Apache County;

b)

10.45 percent to Coconino County;

c)

7.35 percent to Gila County;

d)

12.5 percent to La Paz County;

e)

9.65 percent to Maricopa County;

f)

49.22 percent to Mohave County;

g)

0.5 percent to Navajo County; and

h)

9.3
percent to Yuma County.

4.

Makes technical and conforming changes.

5.

Becomes effective on the general effective date.

House Action

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Prepared by Senate Research

March 13, 2026

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Current Bill Text

Read the full stored bill text
Chapter 0248 - 572R - H Ver of HB2257

House Engrossed

HOV
lane; blood transport vehicles

(now: watercraft
fund; distribution of monies)

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

CHAPTER 248

HOUSE BILL 2257

AN
ACT

Amending sections 5-323 and 5-383,
Arizona Revised Statutes; relating to boating and water sports.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1. Section 5-323, Arizona Revised
Statutes, is amended to read:

START_STATUTE
5-323.

Disposition of fees; annual report

Each month monies received from the registration and
infrastructure fees received under this chapter for the numbering of watercraft
shall be deposited, pursuant to sections 35-146 and 35-147, in the
watercraft licensing fund. Each month, the department shall distribute the
monies as follows:

1. All revenues collected pursuant to section 5-321,
subsection A and section 5-326 shall be allocated as follows:

(a)
Sixty-five per cent

fifty-five percent
shall be deposited in the watercraft
licensing fund. The watercraft licensing fund is to be used by the department
for administering and enforcing this chapter, providing an information and
education program relating to boating and boating safety and administering any
aquatic invasive species program established under this title or title 17. These
monies are subject to legislative appropriation.

(b)
Thirty-five per cent

forty-five percent
of such revenues shall be further
allocated as follows:

(i)
Fifteen per cent

Ten percent
to the state lake
improvement fund to be used as prescribed by section 5-382.

(ii)
Eighty-five per cent

ninety percent
to the law enforcement
and boating safety fund to be used as prescribed by section 5-383.

2. All revenues collected from any additional
registration fees collected pursuant to section 5-321, subsection
C
D
shall be paid to an account
designated by a multi-county water conservation district established under
title 48, chapter 22 to be used solely for the lower Colorado river
multispecies conservation program and for no other purpose.
END_STATUTE

Sec. 2. Section 5-383, Arizona Revised
Statutes, is amended to read:

START_STATUTE
5-383.

Law enforcement and boating safety fund; boating law enforcement,
personnel, equipment and training funding to counties

A.
A

The
law
enforcement and boating safety fund is established
that consists

consisting
of monies distributed to the fund pursuant to
sections 5-323, 5-395.01, 5-395.03, 5-396 and 5-397. The
monies are subject to legislative appropriation.

B. Only a board of supervisors of a county that has
a law enforcement and boating safety program that was in existence before July
1, 1990 shall be eligible to receive law enforcement and boating safety fund
monies.�
The revenues allocated to the law enforcement and
boating safety fund shall be allocated as follows:

1. 1.03 percent to apache County.

2. 10.45 percent to coconino county.

3. 7.35 percent to gila county.

4. 12.5 percent to la paz county.

5. 9.65 percent to maricopa county.

6. 49.22 percent to mohave county.

7. .5 percent to navajo county.

8. 9.3 percent to yuma county.

C. The state treasurer shall administer the
fund.
Using an allocation formula as determined
annually by the commission,
The state treasurer shall distribute monies
monthly from the law enforcement and boating safety fund to eligible counties
as prescribed in subsection B of this section.

D. In determining the allocation
formula, the commission may consider the following:

1. The adequacy of existing county
boating safety programs that include accident investigations.

2. The number of recreational days of
use on water within the jurisdiction of the counties in areas of administrative
authority.

3. The surface acreage of water within
the jurisdiction of the counties in areas of administrative authority.

4. The county water safety record.

5. The ability of the county to
constructively use additional monies.

6. The ratio of boating use to water
surface within the jurisdiction of the counties in areas of administrative
authority.

7. The ability of participating
counties to provide continued funding of the program.

8. Annual input and feedback from the
county boards of supervisors receiving funds.

9. Boat accident data for the
waterways within the jurisdiction of the county.

E.

D.
The
monies distributed to a county board of supervisors shall be used by the law
enforcement agencies of the county solely for boating law enforcement,
personnel, equipment and training.
END_STATUTE

APPROVED BY THE GOVERNOR JUNE 22, 2026.

FILED IN THE OFFICE OF THE SECRETARY OF STATE JUNE 22, 2026.