AZ HB2708

Amends section 42-5031.01 of Arizona Revised Statutes to allow distribution of transaction privilege tax revenues to Indian tribes for postsecondary educational institutions on their reservations.

Changes the definition of eligible institutions from "community colleges" to "college campuses" to broaden the types of facilities that can receive funding.

Establishes a two-tier funding cap: up to $1.75 million annually for a single community college (or 10% of transaction privilege tax revenues, whichever is less), and up to $875,000 annually for an additional technical college on the same reservation (or 5% of revenues, whichever is less).

Requires qualifying Indian tribes to enter into a compact with the state (with a minimum 10-year term) that specifies monies shall be used primarily for capital needs, maintenance, and renewal of existing facilities, and permits audits by the auditor general.

Requires tribes receiving funds for a technical college to modify their existing compact to account for distribution and use of monies for the new technical college campus.