AZ HB2094

Amends section 49-355 of Arizona Revised Statutes to modify the small drinking water systems fund administration and grant purposes.

Authorizes the water infrastructure finance authority of Arizona to administer the fund on designation of the environmental quality director, rather than limiting administration to the department of environmental quality.

Expands eligible grant recipients to include interim managers and owners of small drinking water systems, in addition to interim operators appointed by the Arizona Corporation Commission.

Adds authority for emergency grants and expands eligible water infrastructure repairs to include upgrades and rehabilitation work needed for compliance with federal and state drinking water regulations.

Requires written grant agreements with performance targets, payment terms, and potential repayment provisions, with emergency grants exempt from competitive bidding requirements under title 41, chapter 23.