HB 2640 Arizona House · 57th Legislature - First Regular Session

school districts; leases; termination; nonrenewal

HB 2640 requires Arizona school districts to annually publish a list of vacant and partially used buildings, making this information publicly available to charter and private schools. The bill prohibits school districts from blocking charter or private schools from bidding on these properties and mandates they accept the highest bid from such schools if offered. For existing leases, school districts must justify rent increases with specific factors (like maintenance costs) and hold a 90-day public comment period before terminating a lease. Additionally, school districts must first offer used equipment to charter or private schools before selling it to other buyers.

Issues: ✓ Education

Bill status vetoed 4 of 5 stages cleared

Introduction

Jan 2025

Committee Review

Mar 2025

House Passage

Feb 2025

Senate Passage

Apr 2025

Vetoed

Apr 2025

Introduced Jan 23, 2025 Vetoed Apr 18, 2025

Maddy AI version diff · 1 comparison

What changed between versions

Introduced Version → House Engrossed Version · 5 edits · Apr 16, 2025

MODERATE

This bill expands school lease protections by adding a right of first refusal for charter schools when districts sell properties, clarifies lease termination procedures with public comment requirements, and adds a new section governing how proceeds from school property sales can be used for debt reduction and capital projects. The changes aim to provide more stability for charter schools and clarify financial rules for school districts.

Scope change

The bill now amends two Arizona Revised Statutes sections (15-119 and 15-1102) instead of just one, expanding the scope to include financial disposition rules for school property sales.

ELIGIBILITY

Charter schools and their authorizers now have a right of first refusal to purchase school district buildings if the district decides to sell.

REQUIREMENT

Lease termination or nonrenewal by school districts now requires a public hearing with at least 90 days for public comment before the board can vote.

Building owners must provide rationale for proposed lease increases, including considerations for educational facility revenue percentages and enrollment-related factors.

FISCAL

New section 15-1102 clarifies how proceeds from school property sales can be used for bonded indebtedness payment and capital outlay based on debt levels.

DEFINITION

Clarified definitions for 'partially used building' and 'vacant building' with specific square footage and vacancy duration requirements.

Floor votes · House Feb 26, 2025

How they voted

This bill passed the Senate by voice vote (no roll call recorded).

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Apr 18, 2025

Vetoed

Vetoed by Governor

executive

Apr 16, 2025

Upper · Passed

PASSED

upper

Apr 10, 2025

Upper · Passed

upper

Mar 19, 2025

Upper · Passed

upper

Feb 26, 2025

Lower · Passed

PASSED

lower

Feb 25, 2025

Lower · Passed

DPA

lower

Feb 11, 2025

Lower · Passed

DPA

lower

1 primary · 0 co-sponsors