AZ HB2147

Amends Arizona Revised Statutes section 43-1603 to clarify that school tuition organizations (STOs) may consider donor recommendations when awarding scholarships but cannot award scholarships solely on the basis of such recommendations.

Prohibits STOs from allowing donors to designate student beneficiaries as a condition of making a contribution to the organization.

Requires STOs to include a notice in printed materials, scholarship applications, and on their websites stating that scholarships cannot be awarded, restricted, or reserved solely on the basis of donor recommendations.

Maintains requirement that STOs must consider the financial need of scholarship applicants when evaluating applications and awarding scholarships.

Continues to prohibit taxpayers from claiming tax credits if they agree to swap donations with another taxpayer to benefit either taxpayer's own dependent.