AZ HB2003

Adds coal as a new exemption from Arizona's retail transaction privilege tax (TPT) classification under section 42-5061, subsection A, paragraph 61.

Excludes coal from the definition of "nonmetalliferous mineral product" in the mining classification tax under section 42-5072, effectively removing coal from state mining taxes.

Establishes a new 0.5 percent county excise tax on coal mining operations by adding section 42-6113, applicable to gross proceeds from mining or producing coal within county boundaries.

Exempts sales of coal from municipal transaction privilege and similar taxes under section 42-6004.

Includes a conditional enactment clause requiring the Navajo Nation to approve transfer of the Navajo Generating Station and deliver notice to the Governor by December 31, 2022, for the bill to take effect.