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HB2943 - 572R - H Ver
House Engrossed
state land oversight
board; establishment
State of Arizona
House of Representatives
Fifty-seventh Legislature
Second Regular Session
2026
HOUSE BILL 2943
AN
ACT
Amending title 37, chapter 2, Arizona
Revised Statutes, by adding article 2.2; amending section 37-331.03,
Arizona Revised Statutes; RELATING to state lands.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it
enacted by the Legislature of the State of Arizona:
Section 1. Title 37, chapter 2, Arizona Revised
Statutes, is amended by adding article 2.2, to read:
ARTICLE
2.2. STATE LAND OVERSIGHT BOARD
START_STATUTE
37-226.
State land oversight board; membership
A. The state land oversight board is
established consisting of five members. Beginning at the 2028 general election
and every four years thereafter, the qualified electors of this state shall
elect the board members of the state land oversight board.
B. A Board member shall serve a
four-year term beginning on the first Monday in January subsequent to their
election.� If a vacancy as prescribed in section 38-291 occurs during a
board member's term, the governor shall appoint a new board member as
prescribed in section 16-230.
C. board members are not eligible to
receive compensation but are eligible for reimbursement of expenses pursuant to
title 38, chapter 4, article 2.
D. The board may meet at any time or
place expedient to the performance of the board's duties. The
members of the board shall select a chairperson and vice chairperson from the
membership of the board.
E. The chairperson shall:
1. Schedule the time, date and
location of meetings of the oversight board.� The chairperson shall call at
least one meeting each month.
2. Set the agenda for any oversight
board meetings, which may be modified by a majority vote of the board members.
3. Distribute written decisions of
the oversight board.
F. The vice chairperson shall fulfill
all duties of the chairperson if a vacancy occurs for the position of
chairperson.
G. A member of the board may not
participate in any matter in which the member has a direct financial interest.
For the purposes of this subsection, "direct financial interest"
includes being a relative of, business partner of or holding stocks or bonds
in, except through a mutual or exchange fund, an entity that has a matter
pending before the board.
H. The department shall make meeting
space available to the board at locations and times convenient to the board and
shall provide all administrative and other staff support necessary to perform
the powers and duties of the board.
END_STATUTE
START_STATUTE
37-227.
Powers and duties
A. notwithstanding section 38-211,
The state land oversight board may remove the commissioner from office subject
to all of the following conditions:
1. The board provides the
commissioner with a notice and an opportunity to be heard before a final vote
on removal.
2. SUBSTANTIAL evidence exists that
the Commissioner be removed for CAUSE.
3. the removal of the commissioner is
in the best INTEREST of the state land trust.
b. on the removal of the commissioner
pursuant to subsection a of this section, the governor shall appoint a new
COMMISSIONER as prescribed in section 38-211.
c. THe board shall do all of the
following:
1. Oversee the filing of alternative
appeals and INVESTIGATE allegations of violations of the arizona small business
bill of rights AND SUBSTANTIVE policy statements PURSUANT to section 37-228.
2. every ten years, Review and ensure
the commissioner submits the conceptual land use plan required by section 37-331.03.
3. every five years, Review and
ensure the commissioner submits the five-year disposition plan required by
section 37-331.03.
4. Review all determinations of the
commissioner of the highest and best use of state lands made pursuant to this
title or section 27-251. The commissioner's determination of
highest and best use of state lands is not valid unless affirmed by the state
land oversight board.
5. Review all proposed rulemaking and
substantive policy statements made by the department. a substantive
policy statement or rulemaking package is not valid unless affirmed by the
state land oversight board.
6. Ensure that the commissioner and
the department comply with all applicable provisions of title 41, chapter 6,
including all of the following:
(
a
) licensing
time frames.
(
b
) Rulemaking
requirements.
(
c
) the
Governor's regulatory review council's review.
(
d
) The
crafting and enforcement of substantive policy statements.
7. Review all proposed notices of
VIOLATIONS and ENFORCEMENT actions of the department. a notice of
VIOLATION and ENFORCEMENT action is not valid unless affirmed by the state land
oversight board.
8. Review all MATTERS of the
department involving the office of ADMINISTRATIVE
hearings. notwithstanding section 41-1092.08, any DECISION of the
office of ADMINISTRATIVE hearings relating to the department is not valid
unless affirmed by the state land oversight board.
D. This section does not infringe on
any right to further appeal as provided by law.
END_STATUTE
START_STATUTE
37-228.
Alternative appeal process
A. In lieu of filing an
administrative action or appeal of a decision made by the commissioner with the
office of administrative hearings, a person may seek relief from the state land
oversight board.
B. In lieu of filing a complaint or
petition with the governor's regulatory review council alleging a violation of
the arizona small business bill of rights or that a substantive policy
statement exceeds the permissible scope, a person may seek relief from the
state land oversight board.
C. For the purposes of this section,
the state land oversight board may reward the same relief as the governor's
regulatory review council or the office of administrative hearings.
D. a person who is challenging an
administrative action, filing an appeal or alleging a violation of the laws of
this state is not required to pursue on alternative appeal prescribed by this
section to prove the person exhausted all applicable administrative remedies.
E. This section does not infringe on
any right to further appeal as provided by law.
END_STATUTE
Sec. 2. Section 37-331.03, Arizona Revised
Statutes, is amended to read:
START_STATUTE
37-331.03.
Conceptual land use plans;
urban state trust lands; five-year state trust land disposition plans;
definitions
A. The commissioner shall create conceptual land use
plans for all urban state trust land in this state and other state trust lands
the commissioner considers to be appropriate. The commissioner
shall:
1. Prioritize the creation of conceptual plans to
the extent possible to:
(a) Correlate with the rate of population growth in
the urban areas in this state.
(b) Coincide with the production of municipal
general plans under title 9, chapter 4, article 6 and county plans under title
11, chapter 6, article 1.
2. Revise and update each plan at least every ten
years.
3. Consult with the city, town or county in which
the land is located and with any regional planning organization regarding
integrating the conceptual
land use
plan into the general
land use plan of the city, town or county.
4. Submit each
conceptual land use
plan,
and revision of the
conceptual land use
plan, to the
urban land planning oversight committee
and the state land
oversight board
for review.
B. On approval of the conceptual land use plan by
the commissioner under this section, the conceptual
land use
plan
is considered to be a state general plan for
the
purposes
of this article.
C. The commissioner may create the conceptual land
use plans under subsection A of this section by any of the following methods:
1. Using department staff or private consultants.
2. Entering into participation contracts pursuant to
section 37-239.
3. Issuing planning permits for urban lands pursuant
to section 37-338.
4. Entering into planning contracts for urban lands
or other state trust lands the commissioner considers to be appropriate,
including compensation as provided by section 37-338, subsection D.
D. The commissioner shall create
five
year
five-year
disposition plans for all state
trust land in this state, based at a minimum on market demand
,
and
anticipated transportation and infrastructure
availability. The commissioner shall:
1. Review and update each
five-year
disposition
plan each year as may be necessary.
2. Consult with the city, town or county in which
the land is located and with any regional planning organization.
3. Submit each
five-year disposition
plan
and revision to the urban land planning oversight committee
and
the state land oversight board
to ensure conformity with the conceptual
land use
plan under subsection A
of this section
.
E. For the purposes of this section:
1. "Conceptual land use plan" means a plan
that is developed for urban state trust land and other state trust lands the
commissioner considers to be appropriate and that identifies:
(a) Appropriate land uses, including commercial,
industrial, residential and open space uses.
(b) Transportation corridors and infrastructure
requirements.
(c) All natural and artificial constraints and
opportunities associated with the land.
2. "
Five year
five-year
disposition plan" means a plan that identifies
the land projected to be sold, leased, reclassified for conservation purposes,
master planned or zoned during the next five years.
END_STATUTE