AZ HB2126

Establishes major incident reporting requirements for private prisons, requiring immediate notification to the Department of Corrections when incidents involve public health or safety threats, with civil penalties for non-compliance.

Requires private prisons to maintain minimum financial responsibility of $10 million through deposited funds, insurance policies, surety bonds, or certified financial statements to cover state liability.

Restricts housing of out-of-state and federal prisoners in private prisons to minimum or medium custody inmates and prohibits housing of prisoners with escape/rioting history, sexual offense convictions, class 1-2 felony convictions, or certain infectious diseases.

Requires 48-hour advance written notice to the Department of Public Safety and Department of Corrections before transferring other states' or federal prisoners into or out of private prisons, including prisoner names, numbers, conviction details, and monthly reporting of changes.

Imposes $10,000 penalty per escapee (or actual capture costs if higher) and requires security officers employed by private prisons to be at least 21 years old with no felony or domestic violence convictions.