Assigned to FS & COM                                                                                                FOR COMMITTEE

 

 


 

ARIZONA STATE SENATE

Phoenix, Arizona

 

FACT SHEET FOR H.B. 2028

 

bucket shop; testimony; technical correction

(NOW: study committee; seniors; disabled)

 

Purpose

 

            Establishes a joint legislative study committee on senior citizen programs relating to energy and taxation.

 

Background

 

            This legislation arises from the original content of H.B. 2576, which establishes a tax base exemption for revenues generated by companies that provide utilities and telecommunication services to seniors. This exemption allows income or gross revenues generated from sales to qualifying senior citizens to be deducted from the tax base. A strike everything amendment to this bill was adopted that reduces the current five percent state corporate tax rate to zero by reducing the rate a half percent per year over the next ten years. This bill as amended is currently assigned to the Finance Committee in the Senate.

           

 In the House Committee on Energy, Utilities and Technology, testimony was offered stating the original content of H.B. 2576 might be problematic because the utility companies do not have the resources to determine eligibility and the inaccuracy of information could be a problem for the Department of Revenue. Therefore a strike everything amendment to H.B. 2028 was adopted to form a study committee on the original provisions of H.B. 2576.

 

The fiscal impact of H.B. 2028 is minimal, related to reimbursement of travel expenses of members of the study committee.

           

Provisions

 

1.      Creates a Joint Legislative Study Committee on Senior Programs consisting the following members:

 

a)      Three members from the House of Representatives appointed by  

the Speaker of the House.

b)      Three members of the Senate appointed by the President.

c)      Two members that represent nonprofit organizations specializing in senior services appointed by the Speaker of the House.

d)      One member who represents a state service program that provides

services for senior citizen.

e)      One member appointed by the Speaker of the House who represents a county service program.

 

 

f)        One member who represents a city service program on senior services

      appointed by the President of the Senate.

g)      Three members who represent the  telecommunications, electric and

     gas industries appointed by the President of the Senate.

h)      One member who represents the senior citizen community appointed by the governor.

 

2.      Stipulates that members of the committee cannot receive compensation

but are eligible for reimbursements of work related travel expenses.

                                   

Duties and Responsibilities

 

3.      Requires the committee to:

 

a)      Assemble a directory of government and private sector programs that

      provide financial assistance and home efficiency programs to senior

      citizens for electrical utilities.

 

b)      Examine existing energy programs for seniors, the uses and their accessibility to seniors.

 

            c)   Determine duplication of services and recommend statutory changes

      to eliminate or consolidate duplicate services.

 

d)       Review energy and taxation issues that affect seniors.

 

e)   Makes recommendations for statutory changes to increase the

                  coordinated efforts of seniors energy programs administered by

           the state, counties, cities and private entities.

 

f)        Submit findings and recommendations to the Governor, President of the Senate, the Speaker of the House of Representatives and the Director of the Arizona State Library, Archives and Public Records on or before December 15, 2001.

 

4.      Repeals the act from December 31, 2001 and after.

 

5.      Provides for a general effective date.

 

 

House Action                                                 

 

EUT                3/7/01        DPA/SE       8-0-0-2-0

3rd Read         3/19/01                             44-9-7-0

 

 

Prepared by Senate Staff

March 26, 2001