AZ HB2066

Amends Arizona Revised Statutes section 11-952.02 to clarify governance of separate legal entities formed by cities, towns, counties, special taxing districts, and Indian tribes through intergovernmental agreements.

Requires intergovernmental agreements to explicitly state the intent to form a separate legal entity and specifies that the public agencies that formed the entity have sole authority to select its governing body without delegating to third parties.

Changes governing body composition language from "shall" to "may" be composed of elected officials from the contracting parties, providing flexibility in board structure.

Adds new disclosure and compliance requirements: entities must disclose all revenue sources and funding, share documents and financial statements with forming agencies, and comply with building, planning, and zoning codes of jurisdictions where they hold property.

Clarifies that elected officials serving on separate legal entities serve at the discretion of the forming agencies' governing bodies and cannot delegate their duties as elected officials of the separate entity.