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SB 1087

HCS/SS/SCS/SB 1087 - This act modifies provisions relating to driver's licenses. LIMITED DRIVING PRIVILEGES (Section 302.309) All circuit courts, the Director of Revenue, or a commissioner operating pursuant to current law shall have jurisdiction to hear applications and make eligibility determinations granting limited driving privileges, with exceptions described in this act. Any application for limited driving privileges may be made to the Director with specific and necessary reasons for the limited driving privilege. The burden shall be on the operator to demonstrate to the court or the department that the limited driving privilege is essential. In addition, this act adds attending a place of worship, and traveling to and from essential businesses listed in the act. (Section 302.309) These provisions are identical to provisions in HCS/SB 1408 (2026), SB 533 (2025), HB 206 (2025), HB 1794 (2024), and HB 252 (2023), and substantially similar to provisions in HB 1988 (2026), and HB 1996 (2026), SB 517 (2025). LICENSE SUSPENSIONS FOR TRAFFIC OFFENSES (Section 302.341) The act repeals an obsolete reference to a former bureau within the Department of Revenue. Minor traffic violations shall not include nonmoving violations such as, but not limited to, parking, standing, or stopping violations, including meter violations. If a Missouri resident fails to appear on two return dates, or fails to pay any fine or court costs assessed, any court having jurisdiction over the charges shall, within ten days of the failure to comply, inform the defendant by mail that the court may order the director of revenue to suspend the defendant's driving privileges if the charges are not disposed of and fully paid within thirty days from the date of mailing. Thereafter, if the defendant continues to fail to timely act to dispose of the charges and fully pay the costs assessed, the court may notify the Director of such failure. Upon receipt of this notification, the director shall mail notice to the defendant. Thirty-three days after mailing such notice, the director shall suspend the driving privileges of the defendant. The suspension shall remain in effect until the court furnishes requests setting aside the noncompliance suspension pending final disposition, or satisfactory evidence of disposition of pending charges and payment of fine and court costs, if applicable. These provisions are similar to provisions in HCS/SB 1408 (2026), HB 1988 (2026), HB 1996 (2026), SB 533 (2025), SB 517 (2025), HB 206 (2025), HB 1794 (2024), and HB 252 (2023). This act has a delayed effective date of January 1, 2027. TAYLOR MIDDLETON

2026 Regular Session Introduced by Joe Nicola

SB 1087 lowers initial residential contractor license fees to 370 and biennial renewals to 270, with automatic 50% cuts if the recovery fund exceeds 15M.

H Informal Calendar Senate Bills for Third Reading (HCS)
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Bill Summary · SB 1087

Bill Summary: SB 1087 — Residential Contractor Assessments; Recovery Fund (Amends Ariz. Rev. Stat. §32-1126)

Purpose / Intent

SB 1087 amends Arizona Revised Statutes §32-1126 (fees for contractor licensing) to change the assessment amounts collected from persons applying for or renewing residential contractor licenses and to add an automatic, fund-balance–based temporary fee-reduction mechanism for the residential contractors’ recovery fund.

Key provisions

  • Amends A.R.S. §32-1126 (fees).
  • Assessment amounts for residential contractor licenses (deposited in the residential contractors’ recovery fund, A.R.S. §32-1132):
    • Initial (first) residential license assessment set at $370 (text replaces higher previous figure).
    • Biennial license renewal assessment set at $270.
  • If the registrar does not issue the license, the assessment is returned to the applicant (unchanged).
  • New automatic adjustment rule (subsection H):
    • If, at the end of a fiscal year, the residential contractors’ recovery fund balance exceeds $15,000,000, the assessments required in subsection G are reduced by 50%.
    • The reduced assessment remains in effect until the fund balance at the end of a subsequent fiscal year falls below $10,000,000. At that point, assessments are reinstated to the full amounts in subsection G.
  • Other existing fee provisions in §32-1126 (application, renewal, exam, penalties, and registrar authority) remain in place; the bill targets residential-contractor assessment amounts and adds the fund-balance trigger.

Who is affected

  • Primary: Applicants for and holders of residential contractor licenses (general residential and applicable subclassifications) in Arizona — both new licensees and those renewing on the biennial cycle.
  • Secondary: The Arizona Registrar of Contractors (administration of fee collection and fund), and claimants/beneficiaries of the residential contractors’ recovery fund (because assessment changes alter fund inflows).

Fiscal / practical impact

  • Lowers the upfront assessment for new residential-license applicants relative to the higher amount in prior text (savings of roughly $230 per initial applicant if comparing $600 to $370).
  • Introduces an automatic, automatic 50% assessment reduction when the recovery fund is well-funded (> $15M), which will temporarily reduce inflows to the recovery fund until the balance drops under $10M.
  • The adjustment mechanism aims to limit over-accumulation in the recovery fund while preserving the ability to restore full assessments if the fund needs replenishment.

Procedural status & timeline (as provided)

  • Introduced: February 4, 2025.
  • Referred to Economic Development; committee hearings and votes occurred in March–April 2025.
  • Reported favorably without amendments (May 5, 2025); placed on intent calendar (May 7, 2025); not again placed on intent calendar (May 20, 2025).
  • Current status noted as: Rule 3-9(a) / Re-referred to Assignments.

Note: The bill text package included unrelated inserts (material from other jurisdictions concerning airport corporations and a technical Telegraph Act fix). The summary above focuses on the Arizona statute amendment to §32-1126 concerning residential contractor assessments and the recovery fund.

Compiled from official sources — confirm details with the bill’s official record.

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