state properties; management; 2026-2027

Plain English Breakdown

The effective date is listed as the general effective date, which typically means July 1 for non-emergency bills in Arizona, but this specific bill does not explicitly state an emergency clause or a different date.

State Property Management and Commemorative Plaque Rules for Fiscal Year 2027

This law sets rental rates for state-owned buildings in fiscal year 2027, requires reports on property sales within the Governmental Mall, and allows a privately funded plaque to honor the Arizona America 250 Commission.

What This Bill Does

• Sets office space rent at $17.87 per square foot for state-owned buildings in fiscal year 2026-2027.
• Sets storage space rent at $6.43 per square foot for state-owned buildings in fiscal year 2026-2027.
• Requires the Department of Administration to report details within ten days after selling property located within the Governmental Mall during fiscal year 2026-2027.
• Allows the Legislative Council to place a commemorative plaque honoring the Arizona America 250 Commission in the Governmental Mall.
• Prohibits the use of public money for creating or funding the commemorative plaque.

Who It Names or Affects

• State agencies that manage state-owned buildings and collect rent
• The Department of Administration regarding property sales reports
• The Legislative Council regarding the placement of a memorial plaque

Terms To Know

Capital Outlay Stabilization Fund

A state account used to manage money related to building and property costs.

Governmental Mall

The area in Phoenix where many Arizona state government buildings are located, as defined by law.

Fiscal Year 2026-2027

The one-year period for budgeting that runs from July 1, 2026, to June 30, 2027.

Limits and Unknowns

• The law does not specify the exact effective date beyond stating it follows general rules.
• Authorization for the commemorative plaque ends on September 30, 2029.
• The bill text does not list specific properties that will be sold or rented.

Official Summary Text

HB4167 - 572R - Senate Fact Sheet

Assigned to
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ENACTED

ARIZONA STATE SENATE

Fifty-Seventh
Legislature, Second Regular Session

ENACTED

AMENDED

FACT SHEET FOR
H.B. 4167/S.B. 1860

state properties;
management; 2026-2027

Purpose

Makes session
law changes relating to the management of state properties necessary to
implement the FY 2027 state budget.

Background

The Arizona
Constitution prohibits substantive law from being included in the general
appropriations, capital outlay appropriations and supplemental appropriations
bills. However, it is often necessary to make statutory and session law changes
to effectuate the budget. Thus, separate bills called budget reconciliation
bills (BRBs) are introduced to enact these provisions. Because BRBs contain
substantive law changes, the Arizona Constitution provides that they become
effective on the general effective date, unless an emergency clause is enacted.

H.B. 4167 contains
the budget reconciliation provisions for changes relating to state properties.

Provisions

1.

Continues to set the Capital Outlay Stabilization Fund square-footage
rental rates for

state-owned buildings at $17.87 for office space and $6.43 for storage space in
FY 2027.

2.

Requires
the Arizona Department of Administration in FY 2027, within 10 days after the
sale of state-owned real property within the Governmental Mall, to submit a
report to the Senate President, the Speaker of the House of Representatives and
the Director of the Joint Legislative Budget Committee that includes the:

a)

address of the real property;

b)

square footage of the real property;

c)

purchase price of the real property; and

d)

name
of the fund in which the proceeds from the sale of the real property are being
deposited.

3.

Authorizes the Legislative Council to provide for the placement of a
commemorative plaque that recognizes the service of the Arizona America 250
Commission (Commission) in the Governmental Mall.

4.

Allows
the Commission commemorative plaque to include:

a)

the names of the members who served on the Commission; and

b)

the
years of the members' service on the Commission.

5.

Applies the statutory procedures for monuments and memorials within the
Governmental Mall to the establishment of the plaque.

6.

Prohibits the use of public monies for the costs of the plaque.

7.

Specifies that all fundraising and contracts for the artistic design and
construction of the memorial are the sole responsibility of the proponents.

8.

Prohibits the state from facilitating fundraising or establishing a
state fund for the deposit of monies.

9.

Repeals the authorization for the Commission commemorative plaque on
October 1, 2029.

10.

Becomes
effective on the general effective date.

Amendments Adopted by
Committee of the Whole

�

Authorizes the Legislative Council to provide a Commission
commemorative plaque and outlines requirements for the funding and creation of
the plaque.

House Action
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Senate
Action

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4167 was substituted for S.B. 1860 on 3
rd

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Signed by
Governor 6/13/26

Chapter 139

Prepared by Senate Research

June 19, 2026

AN/KP/hk

Current Bill Text

Chapter 0139 - 572R - H Ver of HB4167

House Engrossed

state properties;
management; 2026-2027

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

CHAPTER 139

HOUSE BILL 4167

AN
ACT

relating to the management of state properties.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1.
Rental rates; state-owned
buildings; fiscal year 2026-2027

Notwithstanding section 41-792.01, subsection D,
Arizona Revised Statutes, in fiscal year 2026-2027, the capital outlay
stabilization fund rental rates for state-owned buildings are $17.87 per
square foot for office space and $6.43 per square foot
for storage space.

Sec. 2.
Reporting the
sale of state buildings in the governmental mall; fiscal year 2026-2027

In fiscal year 2026-2027, within
ten days after the sale of real property that is owned by this state and that
is located within the boundaries of the governmental mall described in section
41-1362, Arizona Revised Statutes, the department of administration shall
submit a report to the president of the senate, the speaker of the house of
representatives, and the director of the joint legislative budget committee
that includes all of the following:

1. The address of the real
property.

2. The square footage of the real
property.

3. The purchase price of the real
property.

4. The name of the fund in which
the proceeds from the sale of the real property are being deposited.

Sec. 3.
Arizona America
250 commission commemorative plaque; procedures; delayed repeal

A. Pursuant to section 41-1363,
subsection A, Arizona Revised Statutes, the legislative council is authorized
to provide for the placement in the governmental mall of a commemorative plaque
that recognizes the service of the Arizona America 250 commission and that may
include the names of the members who served on the commission and the years of
the members' service on the commission.

B. The procedures
prescribed in section 41-1363, Arizona Revised Statutes, apply to the
establishment of the commemorative plaque.

C. Public monies are not
authorized for the costs of the plaque. All fundraising and contracts for
artistic design and construction of the plaque are the sole responsibility of
the proponents.� This state may not facilitate fundraising or establish a state
fund for the deposit of the monies.

D. This section is repealed
from and after September 30, 2029.

APPROVED BY THE GOVERNOR JUNE 13, 2026.

FILED IN THE OFFICE OF THE SECRETARY OF STATE JUNE 13, 2026.