document retention; proposals; donations

Plain English Breakdown

The bill does not specify enforcement mechanisms or penalties for non-compliance.

Document Retention and Donation Disclosure

This bill requires companies with state contracts or responding to RFPs to disclose donations to the governor and related groups, and it mandates state agencies to retain notes from proposal evaluations.

What This Bill Does

• Companies that have a contract with the state or respond to requests for proposals (RFPs) must tell the government if they gave anything of value to the governor or certain groups in the past five years.
• State agencies and employees cannot destroy notes taken during the evaluation of companies responding to RFPs.
• If any notes are destroyed, contracts related to those notes can be resolicited through a new request for proposals process.
• Companies applying for state grants must also disclose if they gave anything of value to the governor or certain groups in the past five years.

Who It Names or Affects

• Companies with state contracts or responding to RFPs
• State agencies and employees evaluating companies
• Companies applying for state grants

Terms To Know

Request for Proposals (RFP)

A document that the government uses to ask businesses to submit ideas or plans for a project.

Grants

Money given by the government to support projects or activities.

Limits and Unknowns

• The bill does not specify what happens if companies do not follow these new rules.
• It is unclear how this will affect existing contracts before the effective date of the amendment.
• There are no details on who will enforce these requirements and what penalties might apply.

Official Summary Text

SB1186 - 572R - Senate Fact Sheet

Assigned to
RAGE��������������������������������������������������������������������������������������������� AS
PASSED BY COMMITTEE

ARIZONA STATE SENATE

Fifty-Seventh
Legislature, Second Regular Session

AMENDED

FACT SHEET FOR
S.B. 1186

document retention; proposals; donations

Purpose

Modifies the requirements under the Arizona Procurement Code and for the
solicitation and award of grants by state governmental units.

Background

The Arizona Procurement Code regulates the buying, purchasing, renting,
leasing and acquiring of materials, services, construction or construction
services by Arizona using public monies. This includes all functions that
pertain to obtaining any materials, services, construction or construction
services such as the description of requirements, selection and solicitation of
sources, preparation and award of contracts and all phases of contract
administration. The procurement process is overseen by the Arizona Department
of Administration (ADOA), with the Director of ADOA acting as the Central
Procurement Officer of Arizona. Some public bodies, including the Arizona Board
of Regents and the legislative and judicial branches, are provided an exemption
from the requirements of the Arizona Procurement Code as prescribed (
A.R.S. Title 41, Chapter 23
).

Statute also outlines requirements of a state governmental unit in the
solicitation and award of competitive state grants. A state governmental unit
must prepare and issue a request for grant applications that include at least
the following information: 1) a description of the nature of the grant project,
including the scope of the work to be performed by an awardee; 2) an
identification of the funding source and the total amount of available funds;
3) whether a single award or multiple awards may be made; 4) encouragement of
collaboration by entities for community partnerships, if appropriate; 5) any
additional information required by the applications; 6) the criteria or factors
under which applications will be evaluated for award and the relative importance
of each criteria or factor; and 7) the due date for submittal of applications
and the anticipated time the awards may be made (
A.R.S. Title 41, Chapter 24
).

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

Provisions

1.

Requires
a company that currently has a state contract with any state agency or that responds
to a request for proposals (RFP) to disclose anything of value that the
company, its officers or directors or any of their family members have
provided, directly or indirectly, during the proceeding five years to any of
the following:

a)

the Governor;

b)

any entity established, financed, maintained or controlled by the
Governor or an agent of the Governor, including a campaign committee, a joint
fundraising committee or an inaugural fund; or

c)

an
entity that advocates for the election of the Governor or for the defeat of an
electoral opponent of the Governor, including a political committee or other
nonprofit organization that makes any independent expenditures.

2.

Prohibits state agencies and state employees from destroying any notes
taken during the evaluation of a company that responds to an RFP.

3.

Allows all contracts that were agreed to after the general effective
date to be resolicited if a state agency or state employee destroys any notes
taken during the evaluation of a company responding to the RFP.

4.

Requires
a company that applies for a grant by any state governmental unit to disclose
anything of value that the company, its officers or directors or any of their
family members have provided, directly or indirectly, during the preceding five
years to any of the following:

a)

the Governor;

b)

any entity established, financed, maintained or controlled by the
Governor or an agent of the Governor including a campaign committee, a joint
fundraising committee or an inaugural fund; or

c)

any
entity that advocated for the election of the Governor or for the defeat of an
electoral opponent of the Governor, including a political committee or other
nonprofit organization that makes any independent expenditures.

5.

Becomes effective on the general effective date.

Amendments Adopted by
Committee

�

Applies the donation disclosure requirements to a company that
currently has a state contract with any state agency.

Senate Action

RAGE������ 2/18/26����� DPA������� 4-3-0

Prepared by Senate Research

February 19, 2026

JT/ci

Current Bill Text

SB1186 - 572R - S Ver

Senate Engrossed

document retention;
proposals; donations

State of Arizona

Senate

Fifty-seventh Legislature

Second Regular Session

2026

SENATE BILL 1186

AN
ACT

AMENDING TITLE 41, CHAPTER 23, ARTICLE 1,
ARIZONA REVISED STATUTES, BY ADDING SECTION 41-2505; AMENDING SECTION 41-2550,
ARIZONA REVISED STATUTES; AMENDING TITLE 41, CHAPTER 24, ARTICLE 1, ARIZONA
REVISED STATUTES, BY ADDING SECTION 41-2707; RELATING TO THE DEPARTMENT OF
ADMINISTRATION.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section
1.
1. Title 41, chapter 23, article 1, Arizona
Revised Statutes, is amended by adding section 41-2505, to read:

START_STATUTE
41-2505.

State contracts; request for proposals; governor; donations;
disclosure

Notwithstanding any
other law, a company
that currently has a state
contract with any state agency or that responds to a request for proposals
shall disclose anything of value that the company, its officers or directors or
any of their family members have PROVIDED, DIRECTLY or indirectly, during the
preceding five years to any of the following:

1. The governor.

2. any entity that is established,
financed, maintained or controlled by the Governor or an agent of the Governor,
including a campaign committee, a joint fundraising committee or an inaugural
fund.

3. an entity that advocates for the
election of the Governor or for the defeat of an electoral opponent of the
Governor, including a political committee or other nonprofit organization that
makes any independent expenditures.

END_STATUTE

Sec.
2.
2. Section
41-2550, Arizona Revised Statutes, is amended to read:

START_STATUTE
41-2550.

Retention of procurement records; resolicitation of contracts

A.
All procurement records
shall be retained and disposed of in accordance with records retention
guidelines and schedules approved by the Arizona state library, archives and
public records.

B. A state
agency or state employee may not destroy any notes taken during the evaluation
of a company that responds to a request for proposals. If a state
agency or state employee destroys any notes pursuant to this subsection, All
contracts that were related to the destroyed notes and that were agreed to FROM
AND AFTER THE EFFECTIVE DATE OF THIS AMENDMENT TO THIS SECTION MAY be
resolicited.

END_STATUTE

Sec.
3.
3. Title
41, chapter 24, article 1, Arizona Revised Statutes, is amended by adding
section 41-2707, to read:

START_STATUTE
41-2707.

Grants; governor; donations; disclosure

Notwithstanding any other law, a company that
applies for a grant shall disclose anything of value that the company, its
officers or directors or any of their family members have PROVIDED, DIRECTLY or
indirectly, during the preceding five years to any of the following:

1. The governor.

2. any entity that is established,
financed, maintained or controlled by the Governor or an agent of the Governor,
including a campaign committee, a joint fundraising committee or an inaugural
fund.

3. an entity that advocates for the
election of the Governor or for the defeat of an electoral opponent of the
Governor, including a political committee or other nonprofit organization that
makes any independent expenditures.

END_STATUTE