AZ SB1438

Establishes requirement for School Facilities Board to annually publish a list of vacant and low-capacity school buildings (50% or less capacity) owned by state or school districts, making it publicly available to charter schools, private schools, and other interested parties.

Prohibits school districts from discriminating against charter schools or private schools in the sale or lease of vacant buildings, but allows districts to accept highest market value offers; caps annual rent increases at 2% or less for existing public school tenants.

Extends the threshold for leasing school buildings from 10 years to 20 years without voter approval, and allows districts to end leases of schools receiving D grades for more than one year or F grades at any time.

Removes voter approval requirement for selling or leasing vacant buildings that have been vacant for at least 3 years or are below 40% capacity, with revenues prioritized for schools where at least 60% of students participate in free and reduced-price lunch programs.

Repeals section 15-189 and requires school districts to report vacant buildings and those under 40% capacity to the School Facilities Board; adds reporting requirements to bond election informational pamphlets about vacant buildings and low-capacity facilities.