Arizona House of Representatives Committee on International Trade Report of Regular Meeting for March 26, 2025

Summary

Minutes of the regular meeting of the Arizona House of Representatives Committee on International Trade, Fifty-seventh Legislature, First Regular Session, held Wednesday, March 26, 2025, with Representative Rivero as Chairman. The committee took up SB1543, sponsored by Senator Carroll, and recorded a do-pass-as-amended recommendation with a strike-everything amendment by a vote of 8-0-0-2. Attachments include the agenda, a request-to-speak report listing people registered in support or opposition, the attendance record, a staff summary of the strike-everything amendment, the proposed amendment and the roll call vote. The staff summary states the amendment directs a municipality of 200,000 or more but less than 500,000 persons to allow hotel use and multifamily housing as an ancillary use within an international headquarters campus in a light industrial zoning district.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Full text

ARIZONA HOUSE OF REPRESENTATIVES
Fifty-seventh Legislature - First Regular Session

COMMITTEE ON INTERNATIONAL TRADE

Report of Regular Meeting
Wednesday, March 26, 2025

D
House Hearing Room | -- 8:30 A.M. CHER ERS OFFICE

Convened 8:42 A.M. MAR 28 2025
Recessed
Reconvened
Adjourned 10:54 A.M.

Members Present Members Absent

Representative Carbone Representative Austin

Representative Hendrix Representative Cavero

Representative Hernandez
Representative Travers
Representative Weninger
Representative Wilmeth
Representative Pefia, Vice-Chairman
Representative Rivero, Chairman

Agenda
Original Agenda — Attachment 1

Request to Speak
Report — Attachment 2

Committee Attendance
Report — Attachment 3

Presentations
Name Organization Attachments (Handouts)

Committee Action
Bill Action Vote Attachments

SB1543. DPA/SE 8-0-0-2 4,5,6
| hike Andon

Christie Hudson, Committee Secretary
March 28, 2025

(Original attachments on file in the Office of the Chief Clerk; video archives available at http:/Avww.azleg.gov)

COMMITTEE ON INTERNATIONAL TRADE
March 26, 2025
REVISED - 3/24/25 REVISED - 3/24/25 REVISED - 3/24/25

Conv. B242am
ARIZONA HOUSE OF REPRESENTATIVES A aly — {04 BY am

Fifty-seventh Legislature - First Regular Session

REGULAR MEETING AGENDA

COMMITTEE ON INTERNATIONAL TRADE
DATE Wednesday, March 26, 2025 ROOM HHRI1 TIME 9:00-A.M-
8:30 A.M.

Members of the public may access a livestream of the meeting here:
https:/Awww.azleg.gov/videoplayer/?clientID=6361162879&eventID=202503 1126

Members:
Representative Austin Representative Hernandez C Representative Wilmeth
Representative Carbone Representative Travers Representative Pefia, Vice-Chairman
Representative Cavero Representative Weninger Representative Rivero, Chairman

Representative Hendrix

Bills Short Title Strike Everything Title
SB1543 A 5C homestead exemption; equity increase S/E: ancillary use; international headquarters
(Carroll) campus
Ss D -0-200M w/d, IT, RULES

ORDER OF BILLS TO BE SET BY THE CHAIRMAN

RA
03202025
03/24/2025

People with disabilities may request reasonable accommodations such as interpreters, alternative formats, or
assistance with physical accessibility. If you require accommodations, please contact the Chief Clerk's Office at
(602) 926-3032 or through Arizona Relay Service 7-1-1.

Page 1 of 1
Attachment \
Information Registered on the Request to Speak System

House International Trade (3/26/2025)

$SB1543, homestead exemption; equity increase

Testified in support:
Neil Giuliano, GREATER PHOENIX LEADERSHIP INC; Danny Seiden, AZ CHAMBER OF COMMERCE; Mayor Jason Beck,
representing self

Testified as opposed:
Scottsdale Vice Mayor Jan Dubauskas, representing self; Scottsdale Councilman Barry Graham, representing self;
Michelle Ugenti-Rita, TAXPAYERS AGAINST AWFUL APARTMENT ZONING EXEMPTIONS

Support:
Melissa Kemp CFP, representing self; Tom Farley, AXON ENTERPRISE, INC.; Cassandra Gonzalez, representing self;
Paul Sheldon, representing self

Oppose:

Raquelle Pantano, representing self; Barry M. Aarons, City Of Scottsdale; Nichole Klootwyk, representing self;
Joseph Chaplik, representing self; Tryfon Conti, representing self; Sheri Orr, representing self; Yvonne Cahill,
representing self; Gail Golec, representing self; Jamie Alford, representing self; Timothy La Sota, representing self;
Warren Woodward, representing self; Steve Larson, representing self; Trevor Cook, representing self; Virginia
Reilly, representing self; Debbie Delwiche, representing self; Margaret Barnes, representing self; Christopher
Ganther, representing self; Kathleen Sikes, representing self; Peter Anello, representing self; Cherie Anello,
representing self; Cheryl McDougall, representing self; Patricia Meade, representing self; Jeanne Kentch Mohave
County Assessor, representing self; Clare Goldsberry, representing self; Nancy Osgood, representing self; Neil
Thibodaux, representing self; Carol Wyatt, representing self; Doborah Oberhamer, representing self; Debbie Curtis,
representing self; Paul Davenport, representing self; Scottsdale Mayor Lisa Borowsky, representing self; Helen
Fong, representing self; Kim Duncan, representing self; Leslee Steinmann, representing self; Timothy Ferrara,
representing self; Kristy Woeste, representing self; Catherine Tunget, representing self; Peter Asencio,
representing self

All Comments:

Scottsdale Vice Mayor Jan Dubauskas, Self: Opposed to strike-everything amendment; Nichole Klootwyk, Self:
While this bill appears to have a narrow focus, it still has negative downstream consequences.; Scottsdale
Councilman Barry Graham, Self: Opposed to the strike everything amendment.; Michelle Ugenti-Rita, TAXPAYERS
AGAINST AWFUL APARTMENT ZONING EXEMPTIONS: Opposed to the Strike Everything Amendment; Sheri Orr,
Self: This is a violation of state statute allowing residents a right to provide public comment on zoning and
development issues in their community. Please support residents’ right to speak against zoning and development
and vote no on this bill.; Yvonne Cahill, Self: | have been involved in AZ politics for over 20 years. This is a corporate
bill with a special carve out that puts corporations over the vote of the residents! This sets a dangerous precedent
for future laws that take away local control of cities; Gail Golec, Self: This Bill is in violation of the First Amendment
of the Constitution. You all took an Oath to uphold the Constitution. The People have a RIGHT to Petition the

Attachment D.
Government for redress and grievances. This affects all AZ Citizens and should not pass; Jamie Alford, Self: | look
forward to attending the meeting; Trevor Cook, Self: This strike all amendment will rob the citizens of Arizona their
vote when it comes to rezoning issues like apartments.; Christopher Ganther, Self: This is lobbyist activity at is very
worse and should not be considered. Please vote no for the citizens of Scottsdale and Arizona. In effect, it removes
our rights as citizens.; Kathleen Sikes, Self: This bill violates the rights of residents. Please vote NO; Cheryl
McDougall, Self: How is anyone okay with one company attempting to rewrite our state Constitution so they can
build 1,900 unwanted apartments in their 15 Minute City? PLEASE OPPOSE THIS BILL!; Patricia Meade, Self: To
totally change a bill should NOT be allowed. Striker bills should be stopped. We don't want this bill - Don't try to
sneak it through. That should be outlawed.; Clare Goldsberry, Self: NO 15-minute cities mixing industrial zones,
hotels and multifamily housing within a designated industrial zone. We do NOT want 15-minute cities as proposed
by the globalists at the WEF.; Nancy Osgood, Self: As a PC in LD12 | do not support this bill.; Neil Thibodaux, Self:
Update to no; Doborah Oberhamer, Self: Please kill this Axon bill. If this passes, you will be taking away the voice of
the people statewide. 26,000 petitions have been signed to place this on the ballot.; Debbie Curtis, Self: This is not
affordable housing. It's an attempt to create a 15 minute city. Not a wise choice of using the land for best &
highest purpose. I'm concerned our elected officials care more about their pocket book than the views of the
public.; Paul Davenport, Self: The Legislature over time has earned a poor reputation for lack of transparency and
public involvement. It's a bad idea to worsen it by considering a striker to help a special interest counter a voter
referendum, espy on such short public notice .; Scottsdale Mayor Lisa Borowsky, Self: Michelle Ugenti-Rita will
read my statement against the S/E amend on my behalf.; Helen Fong, Self: Citizen input necessary.; Kim Duncan,
Self: It takes away our sovereignty and zoning rights. | feel like it's a sneaky way to fund NGOs for illegal sanctuary
cities.; Peter Asencio, Self: |am a PC Captain, AZ State Committeeman.
PLEASE COMPLETE THIS FORM: FOR THE PUBLIC RECORD

HOUSE OF REPRESENTATIVES

Please PRINT Cicatiy

Committee on Ante noah nalredle Bill Number SS SUS
Date: St vie Pal S CQ Support 7 (Oppose O Neutral
Name Cor \ (5 wataes ; Need to Speak? OYes No

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+s EIVE-MINUTE SPEAKING LIMIT***
ARIZONA STATE LEGISLATURE
Fifty-seventh Legislature - First Regular Session

COMMITTEE ATTENDANCE RECORD

COMMITTEE ON INTERNATIONAL TRADE
CHAIRMAN: Tony Rivero VICE-CHAIRMAN: _ Michele Pefia
DATE 03/26/25 125 125 /25 /25
CONVENED Ke Wa m m m m m
RECESSED
RECONVENED
ADJOURNED lo.sdam
MEMBERS |
Austin ons
Carbone of
Cavero te
Hendrix wr ;
Hernandez C VA
Travers Va
Weninger Vv
Wilmeth a
Pefia, Vice-Chairman ~
Rivero, Chairman rd

v Present --- Absent exc Excused

Attachment S
ARIZONA HOUSE OF REPRESENTATIVES

Fifty-seventh Legislature

First Regular Session
Senate: FIN DP 7-0-0-0 | 3rd Read 28-0-2-0

5B1513: homestead exemption; equity inerease
S/E: ancillary use; international headquarters campus
Sponsor: Senator Carroll, LD 28
Committee on International Trade

Summary of the Strike-Everything Amendment to SB1543

Overview

Prescribes specified requirements for municipal ancillary use and multifamily residential
housing. Directs a municipality of 200,000 or more but less than 500,000 persons to allow
hotel use and multifamily residential housing as an allowed ancillary use in a zoning district
that permits light industrial use without requiring any type of application needing a public
hearing if the ancillary use is located within an international headquarters campus.

History
The planning agency may, or if directed by the legislative body must, prepare specific plans

based on the general plan and drafts of such regulations, programs and legislation as may in
the judgment of the agency be required for the systematic execution of the general plan.
Specific plans may, in addition to recommended zoning ordinances and subdivision
regulations, include regulations determining the location of buildings and _ other
improvements with respect to existing rights-of-way, floodplains and public facilities and
regulations of the use of land, buildings and structures, the height and bulk of buildings and
structures and the open spaces around buildings and structures, among others (A.R.S § 9-

461.08).

The objective standards required by a municipality for a multifamily residential development
are required to include 1) a municipal site plan review and approval process, including review
by any utility provider impacted by the proposed development, 2) adequate public sewer and
water service for the entire proposed development, 3) compliance with all applicable building
and fire codes, 4) that the existing buildings are economically or functionally obsolete, 5) that
existing buildings are located on a parcel or parcels that are at least one acre in size but not
more than 20 acres in size and 6) a set-aside of 10%of the total dwelling units for either
moderate or low-income housing or any combination of the two or at least 20 years after the
initial occupation of the proposed development. The developer may set aside more than 10%
at the developer's sole discretion (A.R.S. § 9-462.10).

Provisions

1. Requires a municipality with a population of 200,000 or more persons but less than
500,000 persons to allow hotel use and multifamily residential housing as an allowed
ancillary use in a zoning district that allows light industrial use without requiring any
type of application requiring a public hearing if the ancillary use meets both criteria:

OO Prop 105 (45 votes) Oo Prop 108 (40 votes) O Emergency (40 votes) JO Fiscal Note

SB 1543
Initials LM Page 1 Internrticnc! Tes 4-

Attachment _“/
a) the ancillary use is located within an international headquarters campus (campus)
solely owned by either a single entity or related entities at the time that development
of the campus commences and, on completion, the international headquarters on the
campus will employ more than 2,000 full-time employees at an average annual
compensation over 125% of the median wage of the county where the campus is
located; and

b) the campus containing the ancillary use is bound by a recorded instrument
enforceable by the municipality and:

i. restricts occupancy in at least 20% of the multifamily residential housing units on
campus to employees and families of employees of the international headquarters.
The recorded instrument must also provide that the municipality where the
campus is located, in the municipality's sole and absolute discretion, may waive
the occupancy requirement;

ii. prohibits an agreement for occupancy of any multifamily residential housing unit
within the campus for a period of less than 90 consecutive days and limits
occupancy to the same occupants for the entirety of the 90 days unless a tenant is
an employee or contractor of an entity located within the campus that performs
job duties at the international headquarters. Excludes multifamily housing
developments platted for individual ownership of units from this prohibition. (Sec.
1)

Subjects an ancillary use to compliance with all applicable municipal building codes and
fire codes and the objective development standards. (Sec. 1)

Restricts the governing body of the municipality from withholding a building permit or a
certificate of occupancy for an ancillary use that complies with one of the prescribed
requirements. (Sec. 1)

Directs a municipality to allow complementary retail and restaurant use within the
campus for campuses that include hotel use or multifamily residential housing units as
an ancillary use. (Sec. 1)

Applies objective standards to an ancillary use building developed as prescribed. (Sec. 1)

Mandates that a building permit for a developed ancillary use building may not be
obtained until the municipality issues a building permit for construction of the
international headquarters building. (Sec. 1)

Asserts that a certificate of occupancy may not be granted for a developed ancillary use
building before the municipality grants a certificate of occupancy for the international
headquarters building. (Sec. 1)

Grants a certificate of occupancy for a developed ancillary use building before the
municipality grants a certificate of occupancy for the international headquarters building
if the Arizona State Land Department has received a sufficient financial assurance as
prescribed, if the municipality does not grant a permanent certificate for the building
within five years after granting the certificate for ancillary use building. (Sec. 1)

Requires a municipality to consent to amendments to existing development agreements
to which the municipality is a signatory that are reasonably necessary to allow for the
development of hotel use or multifamily residential use as an ancillary use. (Sec. 1)

SB 1543

Initials LM Page 2 International Trade
10. Exempts land in the vicinity of a military airport or ancillary military facility, from
regulation on municipal allowed ancillary use. (Sec. 1)

11. Contains legislative findings. (Sec. 2)
12. Defines pertinent terms. (Sec. 1)

SB 1548
Initials LM Page 3 International Trade
Fifty-seventh Legislature International Trade
First Regular Session S.B. 1543

PROPOSED
HOUSE OF REPRESENTATIVES AMENDMENTS TO S.B. 1543

(Reference to Senate engrossed bill)

1 Strike everything after the enacting clause and insert:

2 "Section 1. Title 9, chapter 4, article 6, Arizona Revised
3 Statutes, is amended by adding section 9-461.19, to read:

4 9-461.19. Municipal allowed ancillary use; multifamily

5 residential housing; hotel use; regulations;
6
7
8
9

applicability; definitions
A. NOTWITHSTANDING ANY OTHER LAW, A MUNICIPALITY WITH A
POPULATION OF TWO HUNDRED THOUSAND OR MORE PERSONS BUT NOT MORE THAN
FIVE HUNDRED THOUSAND PERSONS SHALL ALLOW HOTEL USE AND MULTIFAMILY

10 RESIDENTIAL HOUSING AS AN ALLOWED ANCILLARY USE IN A ZONING DISTRICT
11 THAT ALLOWS LIGHT INDUSTRIAL USE WITHOUT REQUIRING ANY TYPE OF
12 APPLICATION THAT WILL REQUIRE A PUBLIC HEARING IF THE ANCILLARY USE
13 MEETS BOTH OF THE FOLLOWING CRITERIA:

14 1. THE ANCILLARY USE IS _ LOCATED WITHIN AN INTERNATIONAL
15 HEADQUARTERS CAMPUS THAT IS SOLELY OWNED BY EITHER A SINGLE ENTITY OR
16 RELATED ENTITIES AT THE TIME THAT DEVELOPMENT OF THE INTERNATIONAL
17 HEADQUARTERS CAMPUS COMMENCES AND, ON COMPLETION, THE INTERNATIONAL
18 HEADQUARTERS ON THE INTERNATIONAL HEADQUARTERS CAMPUS WILL EMPLOY MORE
19 THAN TWO THOUSAND FULL-TIME EMPLOYEES AT AN AVERAGE ANNUAL COMPENSATION
20 OF MORE THAN ONE HUNDRED TWENTY-FIVE PERCENT OF THE MEDIAN WAGE OF THE
21 COUNTY WHERE THE INTERNATIONAL HEADQUARTERS CAMPUS IS LOCATED.

22 2. THE INTERNATIONAL HEADQUARTERS CAMPUS THAT CONTAINS THE
23 ANCILLARY USE IS BOUND BY A RECORDED INSTRUMENT THAT IS ENFORCEABLE BY
24 THE MUNICIPALITY AND THAT DOES BOTH OF THE FOLLOWING:

25 (a) RESTRICTS OCCUPANCY IN AT LEAST TWENTY PERCENT OF THE
26 MULTIFAMILY RESIDENTIAL HOUSING UNITS LOCATED ON THE INTERNATIONAL
27 HEADQUARTERS CAMPUS TO INDIVIDUALS EMPLOYED AT THE INTERNATIONAL
28 HEADQUARTERS AND THE FAMILIES OF INDIVIDUALS EMPLOYED AT THE
29 INTERNATIONAL HEADQUARTERS. THE RECORDED INSTRUMENT MUST ALSO PROVIDE
30 THAT THE MUNICIPALITY WHERE THE INTERNATIONAL HEADQUARTERS CAMPUS IS
31 LOCATED, IN THE MUNICIPALITY'S SOLE AND ABSOLUTE DISCRETION, MAY WAIVE
32 THE OCCUPANCY REQUIREMENT.

33 (b) PROHIBITS AN AGREEMENT FOR OCCUPANCY OF ANY MULTIFAMILY
34 RESIDENTIAL HOUSING UNIT WITHIN THE INTERNATIONAL HEADQUARTERS CAMPUS

35 FOR A PERIOD OF LESS THAN NINETY CONSECUTIVE DAYS AND LIMITS OCCUPANCY

.aoptet 7 Hot Verbal:

|
_ Attachment 5

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House Amendments to S.B. 1543

TO THE SAME OCCUPANTS FOR THE ENTIRETY OF THE NINETY CONSECUTIVE DAYS
UNLESS A TENANT OF THE MULTIFAMILY RESIDENTIAL HOUSING UNIT IS AN
EMPLOYEE OR CONTRACTOR OF AN ENTITY LOCATED WITHIN THE INTERNATIONAL
HEADQUARTERS CAMPUS AND THAT EMPLOYEE OR CONTRACTOR PERFORMS JOB DUTIES
AT THE INTERNATIONAL HEADQUARTERS. THIS SUBDIVISION DOES NOT APPLY TO
MULTIFAMILY HOUSING DEVELOPMENTS THAT ARE PLATTED FOR’ INDIVIDUAL
OWNERSHIP OF UNITS.

B. AN ANCILLARY USE IS SUBJECT TO COMPLIANCE WITH GENERALLY
APPLICABLE MUNICIPAL BUILDING CODES AND FIRE CODES AND THE OBJECTIVE
DEVELOPMENT STANDARDS PURSUANT TO SUBSECTION E OF THIS SECTION.

C. THE GOVERNING BODY OF THE MUNICIPALITY MAY NOT WITHHOLD A
BUILDING PERMIT OR A CERTIFICATE OF OCCUPANCY FOR AN ANCILLARY USE THAT
COMPLIES WITH ONE OF THE FOLLOWING:

1. FOR INTERNATIONAL HEADQUARTERS CAMPUSES THAT INCLUDE
MULTIFAMILY RESIDENTIAL HOUSING UNITS AS AN ANCILLARY USE PURSUANT TO
THIS SECTION, A MUNICIPALITY SHALL ALLOW A NUMBER OF MULTIFAMILY
RESIDENTIAL UNITS WITHIN THE INTERNATIONAL HEADQUARTERS CAMPUS THAT ARE
EQUAL TO OR MORE THAN THE NUMBER OF GROSS ACRES IN THE INTERNATIONAL
HEADQUARTERS CAMPUS MULTIPLIED BY TWENTY-EIGHT.

2. FOR CAMPUSES THAT INCLUDE HOTEL USE AS AN ANCILLARY USE
PURSUANT TO THIS SECTION, A MUNICIPALITY SHALL ALLOW A NUMBER OF HOTEL
ROOMS WITHIN THE INTERNATIONAL HEADQUARTERS CAMPUS EQUAL TO OR MORE THAN
THE NUMBER OF GROSS ACRES IN THE INTERNATIONAL HEADQUARTERS CAMPUS
MULTIPLIED BY SEVEN. NOT MORE THAN TEN PERCENT OF THE HOTEL ROOMS
WITHIN THE INTERNATIONAL HEADQUARTERS CAMPUS SHALL BE ALLOWED AS
FOR-SALE RESIDENTIAL UNITS WITHIN THE HOTEL. THE MUNICIPALITY IS NOT
REQUIRED TO ALLOW AN AGGREGATE NUMBER OF HOTEL ROOMS AND MULTIFAMILY
RESIDENTIAL HOUSING UNITS AS AN ANCILLARY USE WITHIN THE INTERNATIONAL
HEADQUARTERS CAMPUS OF MORE THAN THE NUMBER OF GROSS ACRES IN THE
INTERNATIONAL HEADQUARTERS CAMPUS MULTIPLIED BY THIRTY-FIVE.

D. FOR CAMPUSES THAT INCLUDE HOTEL USE OR MULTIFAMILY RESIDENTIAL
HOUSING UNITS AS AN ANCILLARY USE PURSUANT TO THIS SECTION, A
MUNICIPALITY SHALL ALLOW COMPLEMENTARY RETAIL AND RESTAURANT USE WITHIN
THE INTERNATIONAL HEADQUARTERS CAMPUS.

E. THE FOLLOWING OBJECTIVE STANDARDS APPLY TO AN ANCILLARY USE
BUILDING DEVELOPED PURSUANT TO THIS SECTION:

1. A MUNICIPALITY MAY LIMIT THE HEIGHT OF THE ANCILLARY USE
BUILDING TO TWO STORIES IN A INTERNATIONAL HEADQUARTERS CAMPUS SITE THAT
IS LOCATED DIRECTLY ADJACENT TO AND WITHIN ONE HUNDRED FEET OF AN AREA
THAT IS ZONED FOR SINGLE-FAMILY RESIDENTIAL USE.

-2-

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House Amendments to S.B. 1543

2. EXCEPT PURSUANT TO PARAGRAPH 1 OF THIS SUBSECTION, A
MUNICIPALITY MAY NOT RESTRICT THE MAXIMUM HEIGHT OF THE ANCILLARY USE
BUILDING TO LESS THAN SIX STORIES, NOT INCLUDING MECHANICAL SCREENING OR
ROOFTOP APPURTENANCES.

3. ANY UTILITY PROVIDER THAT MAY PROVIDE UTILITY SERVICE TO THE
ANCILLARY USE DEVELOPMENT MAY REVIEW CONSTRUCTION DOCUMENTS TO ENSURE
ADEQUATE WATER AND SEWER CAPACITY IMPACTED BY THE PROPOSED ANCILLARY USE
DEVELOPMENT.

4. EXISTING MUNICIPAL ZONING ORDINANCES FOR SETBACK AND PARKING
REQUIREMENTS FOR THE PROPOSED ANCILLARY USE DEVELOPMENT APPLY.

F. A BUILDING PERMIT FOR AN ANCILLARY USE BUILDING DEVELOPED
PURSUANT TO THIS SECTION MAY NOT BE OBTAINED UNTIL THE MUNICIPALITY
ISSUES A BUILDING PERMIT FOR CONSTRUCTION OF THE INTERNATIONAL
HEADQUARTERS BUILDING. A CERTIFICATE OF OCCUPANCY MAY NOT BE GRANTED
FOR AN ANCILLARY USE BUILDING DEVELOPED PURSUANT TO THIS SECTION BEFORE
THE MUNICIPALITY GRANTS A CERTIFICATE OF OCCUPANCY FOR THE INTERNATIONAL
HEADQUARTERS BUILDING.

G. NOTWITHSTANDING SUBSECTION F OF THIS SECTION, IF SUBSTANTIAL
CONSTRUCTION OF THE INTERNATIONAL HEADQUARTERS BUILDING HAS COMMENCED, A
CERTIFICATE OF OCCUPANCY MAY BE GRANTED FOR AN ANCILLARY USE BUILDING
DEVELOPED PURSUANT TO THIS SECTION BEFORE THE MUNICIPALITY GRANTS A
CERTIFICATE OF OCCUPANCY FOR THE INTERNATIONAL HEADQUARTERS BUILDING IF
THE STATE LAND DEPARTMENT HAS RECEIVED A BOND, A LETTER OF CREDIT OR ANY
OTHER SUFFICIENT FINANCIAL ASSURANCE THAT, IN THE REASONABLE DISCRETION
OF THE STATE LAND COMMISSIONER, PROVIDES FOR PAYMENT TO THE STATE LAND
TRUST OF AN AMOUNT EQUAL TO THE MARKET SALE VALUE OF THE LAND AND
IMPROVEMENTS CONTAINING THE ANCILLARY USE DEVELOPMENT, LESS DEVELOPMENT
COSTS, IF THE MUNICIPALITY DOES NOT GRANT A PERMANENT CERTIFICATE OF
OCCUPANCY FOR THE INTERNATIONAL HEADQUARTERS BUILDING WITHIN FIVE YEARS
AFTER GRANTING THE CERTIFICATE OF OCCUPANCY FOR THE ANCILLARY USE
BUILDING.

H. A MUNICIPALITY SHALL CONSENT TO AMENDMENTS TO EXISTING
DEVELOPMENT AGREEMENTS TO WHICH THE MUNICIPALITY IS A SIGNATORY THAT ARE
REASONABLY NECESSARY TO ALLOW FOR THE DEVELOPMENT OF HOTEL USE OR
MULTIFAMILY RESIDENTIAL USE AS AN ANCILLARY USE PURSUANT TO THIS
SECTION.

I. THIS SECTION DOES NOT APPLY TO LAND IN THE TERRITORY IN THE
VICINITY OF A MILITARY AIRPORT OR ANCILLARY MILITARY FACILITY AS DEFINED
IN SECTION 28-8461.

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House Amendments to S.B. 1543

J. FOR THE PURPOSES OF THIS SECTION:

1. “BUILDING CODE" HAS THE SAME MEANING PRESCRIBED IN SECTION
9-1301.

2. “INTERNATIONAL HEADQUARTERS" MEANS A PRINCIPAL CENTRAL
ADMINISTRATIVE OFFICE WHERE PRIMARY HEADQUARTERS-RELATED FUNCTIONS AND
SERVICES ARE PERFORMED, INCLUDING FINANCIAL, PERSONNEL, ADMINISTRATIVE,
LEGAL, PLANNING AND SIMILAR BUSINESS FUNCTIONS, AND THAT DOES NOT REPORT
TO ANY PARENT COMPANY OUTSIDE OF THIS STATE.

3. “INTERNATIONAL HEADQUARTERS BUILDING" MEANS THE PRIMARY
BUILDING THAT CONTAINS THE INTERNATIONAL HEADQUARTERS ON THE
INTERNATIONAL HEADQUARTERS CAMPUS.

4. “INTERNATIONAL HEADQUARTERS CAMPUS" MEANS A CONTIGUOUS AREA OF
NOT LESS THAN FORTY GROSS ACRES, PORTIONS OF WHICH MAY BE SEPARATED BY
PUBLIC RIGHTS-OF-WAY, ON WHICH AN INTERNATIONAL HEADQUARTERS IS LOCATED
AND WHICH MAY INCLUDE ANCILLARY USE PURSUANT TO THIS SECTION.

5. “LIGHT INDUSTRIAL USE" INCLUDES LIGHT MANUFACTURING AND
AERONAUTICAL USE.

6. “RELATED ENTITIES" MEANS ENTITIES THAT HAVE MORE THAN FIFTY
PERCENT DIRECT OR INDIRECT COMMON OWNERSHIP.

7. “ZONING DISTRICT" MEANS A ZONING DISTRICT, PLANNED COMMUNITY
DISTRICT, PLANNED AREA DEVELOPMENT OR PLANNED UNIT DEVELOPMENT.

Sec. 2. Legislative findings

The legislature finds:

1. That it is in the public interest of this state to encourage
the location or relocation of corporate headquarters to this state.

2. That the development of corporate international headquarters
campuses as defined in section 9-461.19, Arizona Revised Statutes, as
added by this act, that include primary commercial uses as well as
ancillary residential uses contribute greatly to the economic prosperity
and health of this state.

3. That it is necessary to adopt a uniform law governing
international headquarters campuses as defined in section 9-461.19,
Arizona Revised Statutes, as added by this act, to encourage the
development of corporate international headquarters campuses throughout

this state."
Amend title to conform

TONY RIVERO
1543RIVERO.docx
03/24/2025
03:11 PM
C: LAT

ARIZONA HOUSE OF REPRESENTATIVES
Fifty-seventh Legislature - First Regular Session

ROLL CALL VOTE

COMMITTEE ON International Trade BILL NO. SB 1543

DATE March 26, 2025 MOTION: DPA [Sz
PASS AYE NAY PRESENT ABSENT

Austin ra

Carbone uf

Cavero we

Hendrix i al

Hernandez C ; V4

Travers Vo /

Weninger V ral

Wilmeth "4

Pena, Vice-Chairman Va

Rivero, Chairman VA
APPROVED: COMMITTEE SECRETARY

Ny

TONY RIVERO, Chairman
MICHEKE PENA, Vice-Chairman

ATTACHMENT___[ 2

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da984cb285636f9ee1f2f7224c1a8f32b92cadadaf54338be6cea2e49c0e140e

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2025-03-26_international-trade-minutes.pdf

Original

www.azleg.gov