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SB1835 - 572R - S Ver
Senate Engrossed
2026-2027; commerce
State of Arizona
Senate
Fifty-seventh Legislature
Second Regular Session
2026
SENATE BILL 1835
AN
ACT
amending section 5-572, arizona
revised statutes, as amended by laws 2024, chapter 210, section 2; repealing
section 5-572, arizona revised statutes, as amended by laws 2024, chapter
210, section 3; relating to commerce.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it
enacted by the Legislature of the State of Arizona:
Section 1. Section 5-572, Arizona Revised
Statutes, as amended by Laws 2024, chapter 210, section 2, is amended to read:
START_STATUTE
5-572.
Use of monies in state lottery fund; report
A. If there are any bonds or bond related
obligations payable from the state lottery revenue bond debt service fund, the
state lottery revenue bond debt service fund shall be secured by a first lien
on the monies in the state lottery fund after the payment of operating costs of
the lottery, as prescribed in section 5-555, subsection A, paragraph 1,
until the state lottery bond debt service fund contains sufficient monies to
meet all the requirements for the current period as required by the bond
documents. Debt service for revenue bonds issued pursuant to this
chapter shall be paid first from monies that would have otherwise been
deposited pursuant to this section in the state general fund. After
the requirements for the current period have been satisfied as required by the
bond documents, the monies in the state lottery fund shall be expended for the
expenses of the commission incurred in carrying out its powers and duties and
in the operation of the lottery.
B. Of the monies remaining in the state lottery fund
each fiscal year after appropriations and deposits authorized in subsection A
of this section, $10,000,000 shall be deposited in the Arizona game and fish
commission heritage fund established by section 17-297.
C. Of the monies remaining in the state lottery fund
each fiscal year after appropriations and deposits authorized in subsections A
and B of this section, $5,000,000 shall be allocated to the department of child
safety for the healthy families program established by section 8-481,
$4,000,000 shall be allocated to the Arizona board of regents for the Arizona
area health education system established by section 15-1643, $3,000,000
shall be allocated to the department of health services to fund the teenage
pregnancy prevention programs established in Laws 1995, chapter 190, sections 2
and 3, $2,000,000 shall be allocated to the department of health services for
the health start program established by section 36-697, $2,000,000 shall
be deposited in the disease control research fund established by section 36-274
and $1,000,000 shall be allocated to the department of health services for the
federal women, infants and children food program. The allocations in
this subsection shall be adjusted annually according to changes in the GDP
price deflator as defined in section 41-563, and the allocations are
exempt from the provisions of section 35-190 relating to lapsing of
appropriations. If there are not sufficient monies available
pursuant to this subsection, the allocation of monies for each program shall be
reduced on a pro rata basis.
D. If the state
lottery director determines that monies available to the state general fund may
not equal $84,150,000 in a fiscal year, the director shall not authorize
deposits to the Arizona game and fish commission heritage fund pursuant to
subsection B of this section until the deposits to the state general fund equal
$84,150,000 in a fiscal year.
E. Of the monies remaining in the state lottery fund
each fiscal year after appropriations and deposits authorized in subsections A
through D of this section, $1,000,000 or the remaining balance in the fund,
whichever is less, is appropriated to the department of economic security for
grants to nonprofit organizations, including faith-based organizations, for
homeless emergency and transitional shelters and related support
services. The department of economic security shall submit a report
on the amounts, recipients, purposes and results of each grant to the governor,
the speaker of the house of representatives and the president of the senate on
or before December 31 of each year for the prior fiscal year and shall provide
a copy of this report to the secretary of state.
F. Of the monies remaining in the state lottery fund
each fiscal year after appropriations and deposits authorized in subsections A
through E of this section, and after a total of at least $99,640,000 has
been deposited in the state general fund,
$1,750,000 shall be
deposited in the Arizona competes fund established by section 41-1545.01.
the remaining balance in the state lottery fund
remaining after
deposits into the Arizona competes fund
shall be deposited in the
university capital improvement lease-to-own and bond fund established by
section 15-1682.03, up to a maximum of eighty percent of the total annual
payments of lease-to-own and bond agreements entered into by the Arizona
board of regents.
G. All monies remaining in the state lottery fund
after the appropriations and deposits authorized in this section shall be
deposited in the state general fund.
H. Except for monies expended for debt service of
revenue bonds as provided in subsection A of this section, monies expended
under subsection A of this section are subject to legislative appropriation.
I. The commission shall transfer monies prescribed
in this section on a quarterly basis.
END_STATUTE
Sec. 2.
Repeal
Section 5-572, Arizona Revised
Statutes, as amended by Laws 2024, chapter 210, section 3, is repealed.