AZ HB2594

Establishes a local transportation assistance fund receiving monies from state lottery revenues, with mandatory minimum deposits of $9 million annually increasing to a maximum of $18 million per fiscal year, plus additional deposits up to $23 million maximum.

Distributes fund monies to incorporated cities and towns based on population proportion (minimum $10,000 per city/town), with cities over 300,000 population required to use funds for public transportation and smaller cities able to use funds for broader transportation purposes.

Creates a county assistance fund receiving up to $7.65 million annually from lottery revenues, distributed equally among counties with populations of 500,000 or fewer persons and among counties with populations exceeding 500,000 persons.

Establishes Arizona State Parks Board Heritage Fund receiving $10 million annually from lottery revenues, allocated for trails (5%), parks and recreation (35%), natural area acquisition (17%), natural area maintenance (4%), historic preservation (17%), state park development (17%), and environmental education (5%).

Amends state lottery fund distribution requirements to prioritize payments to local transportation assistance fund before other designated programs, and requires annual reporting on fund distributions and compliance by regional public transportation authorities and metropolitan planning organizations.