SB 1703 Summary

• Employers with 50 or more employees (excluding part-time) must notify the Arizona Department of Economic Security at least 120 days before relocating a call center out of state or to a foreign country.

• Violations of the notification requirement incur civil penalties up to $10,000 per day, with the Industrial Commission able to reduce penalties for just cause.

• Employers appearing on the semiannual relocation list compiled by the Department of Economic Security become ineligible for state grants and guaranteed loans for five years and must remit the unamortized value of previously received grants, tax benefits, and subsidies.

• The Arizona Commerce Authority may waive ineligibility requirements if the employer demonstrates the lack of funding would cause substantial job losses, environmental harm, or significant economic impact to Arizona.

• State agencies must ensure all call center and customer service work related to state business is performed entirely within Arizona by state contractors, with compliance required by November 1, 2022.