AZ HB2618

Amends section 42-6002 of Arizona Revised Statutes to prohibit cities and towns from employing auditors on a contingent fee basis or entering into contingent fee contracts for auditing transaction privilege and affiliated excise taxes.

Clarifies that cities and towns must use the same procedures for levying, collecting, and enforcing transaction privilege and excise taxes as authorized under chapter 5 of the Arizona Revised Statutes, unless their ordinances provide otherwise.

Exempts preexisting contracts and contractual relationships that existed before January 1, 2011 from the new prohibition on contingent fee auditor agreements, but applies the restriction to any renewals of such contracts.