State Seal2 copy            Bill Number: S.B. 1406

            Petersen Floor Amendment

            Reference to: printed bill

            Amendment drafted by: Leg Council





1.   Repeals the requirement to register an aircraft with the Arizona Department of Transportation.

2.   Repeals relevant sections of statute related to aircraft registration, including associated registration fees and license taxes.

3.   Appropriates $3,000,000 from the state General Fund to the State Aviation Fund in FY 2022 and every fiscal year thereafter.

4.   Adds legislative appropriations as a funding source for the State Aviation Fund.

5.   Makes conforming changes.



Fifty-fifth Legislature                                                  Petersen

First Regular Session                                                   S.B. 1406





(Reference to printed bill)




Page 1, strike lines 2 through 44

Strike pages 2 and 3

Page 4, strike lines 1 through 8, insert:

"Section 1. Section 28-8201, Arizona Revised Statutes, is amended to read:

START_STATUTE28-8201. Definitions

In this article and articles 2, through 3 and 5 of this chapter, unless the context otherwise requires:

1. "Aeronaut" includes any aviator, pilot, balloonist and other person participating in the operation of aircraft while in flight.

2. "Aircraft" includes a balloon, airplane, amphibian and craft used for navigation through the air.

3. "Passenger" includes a person who rides in aircraft but has no part in its operation.

4. "Seizure of aircraft" means the physical disabling or securing of an aircraft by locks, chains or other mechanical devices. END_STATUTE

Sec. 2. Section 28-8202, Arizona Revised Statutes, is amended to read:

START_STATUTE28-8202. State aviation fund; appropriation

A. The state aviation fund is established consisting of the following:

1. Aviation fuel taxes or motor vehicle fuel taxes deposited by the department.

2. Monies deposited by the department as a result of the sale of an abandoned aircraft as defined in section 28-8243 or seized aircraft.

3. The amount of flight property tax that the department of revenue has deposited pursuant to section 42-14255.

4. Registration fees, license taxes and penalties collected pursuant to article 4 of this chapter.

5. 4. Monies received by the department from the operation of airports under this article and articles 2, through 3 and 5 of this chapter.

6. 5. The amount of jet fuel excise tax and jet fuel use tax that the department of revenue has deposited pursuant to section 42-5353.

6. legislative appropriations.

B. On notice from the department, the state treasurer shall invest and divest monies in the state aviation fund as provided by section 35-313, and monies earned from investment shall be credited to the fund.

C. The department shall administer monies that are appropriated by the legislature from the state aviation fund.

D. The board shall distribute monies appropriated to the department from the state aviation fund for planning, design, development, acquisition of interests in land, construction and improvement of publicly owned and operated airport facilities in counties, incorporated cities and towns and Indian reservations.  The board shall distribute these monies according to the needs for these facilities as determined by the board.  No Not more than ten percent of the average annual revenue that the fund received for the past three years may be awarded to any one airport in grants in any fiscal year. For the purposes of this subsection, "publicly owned and operated airport facility" means an airport and appurtenant facilities in which one or more agencies, departments or instrumentalities of this state, a city, town or county of this state or an Indian tribe or tribal government holds an interest in the land on which the airport is located that is clear of any reversionary interest, lien, easement, lease or other encumbrance that might preclude or interfere with the possession, use or control of the land for public airport purposes for a minimum period of twenty years. END_STATUTE

E. The sum of $3,000,000 is appropriated from the state general fund in fiscal year 2021-2022 and each fiscal year thereafter to the state aviation fund for use as prescribed by subsection D of this section.

Sec. 3. Section 28-8244, Arizona Revised Statutes, is amended to read:

START_STATUTE28-8244. Hearing; appeal

A. A person who is aggrieved by a decision made within the department pursuant to this article or article 1, 3, 4 or 5 of this chapter may request a hearing before the director. The person shall submit a written request for the hearing to the department within thirty days after the decision of the department.

B. Except as otherwise provided in this section, the director shall hold the hearing in accordance with title 41, chapter 6, article 6.

C. A party to the hearing before the director may appeal pursuant to title 12, chapter 7, article 6.END_STATUTE

Sec. 4. Heading change

The article heading of title 28, chapter 25, article 4, Arizona Revised Statutes, is changed from "AIRCRAFT REGISTRATION AND TAXATION" to "AVIATION FUEL TAX"."

Renumber to conform

Page 4, line 10, after "Sections" insert "28-8321, 28-8322, 28-8323, 28-8324, 28-8325, 28-8326, 28-8327, 28-8328, 28-8329, 28-8330, 28-8331, 28-8332, 28-8334,"

Line 11, strike "and" insert a comma; after "28-8342" insert "and 28-8343"

Strike lines 12 through 34

Page 4, line 36, strike "Section" insert "Sections"; after "28-8345" insert ", 28-8346 and 28-8347"; strike "is" insert "are"

Strike lines 37 through 45

Page 5, strike lines 1 through 14

Renumber to conform

Amend title to conform







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