appropriation; commerce authority; nuclear; study

Plain English Breakdown

The bill's status is uncertain due to its failure in the House third reading on March 11, 2026.

Study Funding for Small Reactors and Data Centers

HB2388 provides $100,000 to study how small modular reactors and data centers can benefit Arizona’s economy.

What This Bill Does

• Appropriates $100,000 from the state's General Fund in fiscal year 2026-2027 for the Arizona Commerce Authority (ACA) to conduct a study on the economic benefits of small modular reactors and data centers.
• The study must include job creation, tax revenue generated, support for broadband and infrastructure improvements, secondary business relocation, and other relevant economic benefits.
• Requires ACA to submit its findings in a report by June 30, 2027, to the governor, legislature, and make it available on their website.

Who It Names or Affects

• Arizona Commerce Authority
• Governor and Legislature of Arizona

Terms To Know

Arizona Commerce Authority (ACA)

A state agency that helps businesses grow in Arizona by attracting, expanding, and retaining companies.

Fiscal Year

The period of time used for budgeting and financial reporting, usually from July 1 to June 30.

Limits and Unknowns

• It is not clear how the study will be conducted or what specific economic benefits might be found.
• The bill did not pass its final reading in the House as of March 11, 2026.

Official Summary Text

HB2388 - 572R - House Bill Summary

ARIZONA HOUSE OF REPRESENTATIVES

57th
Legislature, 2nd Regular Session

Majority Research Staff

House
: RED DP 6-1-0-0 |APPROPS DPA 10-7-0-1

HB
2388
: appropriation; commerce authority; nuclear; study

Sponsor:
Representative Martinez, LD 16

House
Engrossed

Overview

Appropriates $100,000
from the state General Fund (GF) in Fiscal Year (FY) 2027 to the Arizona
Commerce Authority (ACA) to study the economic benefits of small modular
reactors and data centers.

History

The ACA provides private sector leadership in growing and diversifying
the economy of this state, creating high quality employment in this state
through expansion, attraction and retention of businesses and marketing this
state for the purpose of expansion, attraction and retention of businesses (
A.R.S. �
41-1502
).

Provisions

1.

Appropriates
$100,000 from the GF in FY 2027 to the ACA to conduct a study of the economic
benefits of small modular reactors and data centers to this state and local
governments. (Sec. 1)

2.

Requires the
study to include:

a.

the number
of jobs created and the average annual salaries of those jobs;

b.

the amount
of any state and local tax revenue produced by the construction and operation
of small modular reactors and data centers;

c.

how small
modular reactors and data centers could support increased local broadband and
infrastructure investments and improvements;

d.

the number
and type of secondary and tertiary businesses that may relocate to areas
anchored by modular reactors or data centers, the number of jobs that those
businesses could create and the average annual salaries of those jobs; and

e.

any other
economic benefits the Arizona commerce authority deems relevant. (Sec. 1)

3.

Directs the
ACA to submit, by June 30, 2027, a report of its findings to the Governor and
the Legislature and make a copy of the report available on its website. (Sec.
1)

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2388

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0 House Engrossed

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Current Bill Text

HB2388 - 572R - H Ver

House Engrossed

appropriation;
commerce authority; nuclear; study

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HOUSE BILL 2388

AN
ACT

APPROPRIATING monies to the Arizona
commerce authority.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1.
Appropriation;
Arizona commerce authority; study; report

A. The sum of
$100,000 is appropriated from the state general fund in
fiscal year 2026-2027 to the Arizona commerce authority to conduct a study of
the economic benefits of small modular reactors and data centers to this state
and local governments. The study must include:

1. The number of jobs
created
by the construction and operation of
small modular reactors and by the construction and operation of data centers
and the average annual salaries of those jobs.

2. The amount of any state
and local tax revenue
produced by the
construction and operation of small modular reactors and by the construction
and operation of data centers.

3.
How small modular reactors and data centers could support
increased local broadband and infrastructure investments and improvements.

4.
The number and type of secondary and tertiary businesses
that may relocate to areas anchored by a small modular
reactor or data center and the number of jobs that those businesses could
create and the average annual salaries of those jobs.

5. Any other economic
benefits the Arizona commerce authority deems relevant.

B. On or before
June 30, 2027, the Arizona commerce authority shall submit a
report of its finding from the study conducted pursuant to subsection A of this
section to the governor, the president of the senate, the speaker of the house
of representatives, the chairperson of the commerce committee of the house of
representatives and the chairperson of the regulatory affairs and government
efficiency committee of the senate and shall make available a copy of this
report on the authority's website.