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HB2956 • 2026

state trust lands; public auction

HB2956 - state trust lands; public auction

Education Energy
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Teresa Martinez
Last action
2026-02-17
Official status
House minority caucus
Effective date
Not listed

Plain English Breakdown

The exact date of the bill's repeal is specified as December 31, 2027 in the official text.

State Trust Lands; Public Auction

This bill allows people leasing state trust lands for commercial purposes to apply to buy the land they lease, except if it's used for solar or wind energy.

What This Bill Does

  • Allows someone who leases state trust land for business use to ask to buy that land.
  • Requires the person not to be using the land for solar or wind power.
  • Lets a lessee submit one application for multiple pieces of land they lease, or separate applications if needed.
  • Sets up rules for how public auctions should happen when someone wants to buy leased state trust land.

Who It Names or Affects

  • People who lease state trust lands for commercial purposes
  • The Arizona State Land Department

Terms To Know

State Trust Lands
Land owned by the state of Arizona that is used to earn money for specific public uses like schools and universities.
Lessee
A person or company who rents land from another party, in this case, the state.

Limits and Unknowns

  • The bill does not apply to leases for solar or wind energy.
  • This law will end on December 31, 2027.

Bill History

  1. 2026-02-17 House

    House minority caucus

  2. 2026-02-17 House

    House majority caucus

  3. 2026-02-05 House

    House second read

  4. 2026-02-04 House

    House Rules: HELD

  5. 2026-02-04 House

    House Natural Resources, Energy & Water: DP

  6. 2026-02-04 House

    House first read

Official Summary Text

HB2956 - 572R - House Bill Summary

ARIZONA HOUSE OF REPRESENTATIVES

57th
Legislature, 2nd Regular Session

Majority Research Staff

House
: NREW DP 6-3-0-1

HB
2956
: state trust lands; public auction

Sponsor:
Representative Martinez, LD 16

Caucus
& COW

Overview

Allows
a person leasing State Trust land for commercial purposes to apply to purchase
the parcel given they do not lease the parcel for the purposes of solar or wind
energy.

History

The Arizona State Land Department (ASLD) administers laws
related to lands owned by, belonging to and under control of the state, which
includes both trust land and sovereign land. The ASLD also manages and controls
the products and uses of state land including timber, stone, gravel, grazing
and farming (
A.R.S. � 37-102
).

State Trust lands are subject to lease for a term in excess
of ten years, but not more than 99 years, for commercial purposes to the
highest and best bidder at public auction. Auction is conducted at the place,
in the manner, and after the notice by publication provided for sales of State
Trust lands except as otherwise outlined by law. For commercial leases of State
Trust land more than three miles outside the boundaries of incorporated cities
and towns with populations of 10,000 or less, or more than five miles outside
the boundaries of incorporated cities and towns with a population above 10,000,
the ASLD must cooperate with the county or counties in which the land to be
leased is located in considering the intended uses. Leases are granted in
accordance with the Constitution of Arizona, state laws and the rules of ASLD (
A.R.S. � 37-281.02
).

Provisions

1.

Allows a
person leasing State Trust land for commercial purposes to apply to purchase
the parcel so long as they do not lease the parcel for the purpose of solar or
wind energy. (Sec.1)

2.

Enables a
lessee to submit a single application for multiple leased parcels or submit a
separate application for each desired leased parcel. (Sec. 1)

3.

Outlines the
process by which a public auction may be initiated at the request of a lessee
and how that public auction must be conducted. (Sec. 1)

4.

Repeals this
legislation on January 1, 2028. (Sec. 1)

5.

6.

7.

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FOOTER ---------

8.

Initials CW/RS��������������� HB
2956

9.

2/13/2026� Page 0 Caucus
& COW

10.

11.

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FOOTER ---------

Current Bill Text

Read the full stored bill text
HB2956 - 572R - I Ver

REFERENCE TITLE:
state trust lands; public auction

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2956

Introduced by

Representative
Martinez

AN
ACT

PROVIDING for public auction of leased
state trust lands.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1.
State lands;
leases; public auction; delayed repeal

A. Notwithstanding any
other law, a person that leases state land for commercial purposes may apply to
purchase the parcel if the person does not lease the parcel for the purposes of
solar or wind energy.� A lessee may submit a single application for multiple
parcels that are leased by the applicant or submit a separate application for
each desired leased parcel.

B. A lessee that wishes to
purchase a parcel pursuant to subsection A of this section may apply to the
state land commissioner to initiate a public auction for the leased parcel.�
Within ninety days after receipt of the application, the state land
commissioner shall appraise, advertise and sell the parcel at public auction to
the highest and best bidder.� If an applicant's lease on the parcel expires or
if an applicant renews the lease during the ninety-day time frame and the
applicant does not withdraw the application, the state land commissioner shall
proceed with the auction of the parcel consistent with the ninety-day
time frame.

C. This section is repealed
from and after December 31, 2027.