This bill proposes changes to Arizona's higher education funding for the 2026-2027 fiscal year. It allows the state to match less than one dollar for every dollar collected from student registration fee surcharges and sets the specific amounts for state aid to community colleges for STEM and workforce programs. Additionally, it defines the limits for general operating state aid provided to community college districts. The legislation was vetoed by the Governor on May 5, 2026.
This bill amends Arizona state law to clarify how public funds are distributed to charter schools sponsored by state agencies, universities, or community colleges. It establishes specific rules for calculating financial support, including adjustments for small schools and provisions to prevent double-counting funds if a student is enrolled in both a charter and a traditional public school. Additionally, the legislation requires these schools to revise their student counts and budgets by mid-May and ensures that any grants received for basic operations reduce the state's financial contribution to avoid taxpayer duplication.
HB 2378 establishes a School Facilities Oversight Board to review and oversee public school construction and renovation projects in Arizona. The board, composed of 10 appointed members including taxpayer representatives, architects, engineers, construction company owners, and business community members, must maintain geographic and public-private balance. The bill requires the state division to set policies for expediting change order approvals (within two business days), annually notifying school districts about available funding through a public website, and maintaining a list of facilities management contacts at each district.
This bill allows Arizona to participate in a federal tax credit program, enabling individuals to claim a credit for contributions to qualified scholarship organizations. Starting in 2027, certified Arizona scholarship groups can provide funds for elementary and secondary education expenses, such as tuition or materials, under federal law. The state’s Department of Education must certify these organizations, maintain a public list of them, and submit annual reports to the federal government to maintain eligibility. The bill does not create new scholarships but aligns Arizona with existing federal tax incentives for education-related donations.
HB 2117 redirects $17 of the $25 annual fee for Arizona's environmental special license plates into a dedicated fund. The state natural resource conservation board will distribute $5,000 to $10,000 annually to each natural resource conservation district with an established education center. These funds must support environmental education programs that are scientifically based and address economic and social implications. The bill specifies that funds are exclusively for conservation education programs at local districts, without changing the plate fee structure.
HB 2040 would require Arizona public schools to provide students with information about current U.S. adoption practices and state adoption resources whenever school staff discuss contraception, STI testing, or dispense contraception. It also mandates that sex education curricula for grades 7-12 include specific content about adoption practices, resources, and related laws. Schools must make curriculum materials available for parental review and hold public hearings before adopting or updating programs. The bill is currently pending in the Arizona legislature and has not been enacted.
SB 1645 expands the Arizona Auditor General's authority to conduct audits of state and local government spending. It requires annual financial audits of state agencies, performance audits of county transportation excise tax spending every five years, and new school district audits to track the percentage of funds spent directly in classrooms. School districts must post this spending data online and report on implementing audit recommendations within two years. The bill also mandates audits for entities receiving taxpayer funds (like counties and cities) to verify compliance with spending rules. These provisions apply directly to state agencies, counties with transportation taxes, and school districts receiving highway user revenue.
