HB 2857 Summary

• Amends insurance and risk management provisions in Arizona Revised Statutes to add coverage for actual or suspected data breaches, security system breaches, and security incidents for select state agencies, boards, and commissions.

• Establishes a cyber risk insurance fund within the Department of Administration alongside the existing risk management revolving fund and construction insurance fund to cover cybersecurity losses and administrative costs.

• Repeals and re-establishes section 41-1506.02 to create a major events fund for supporting planning and operations of competitive bids for major events, with grants limited to 25 percent of operating expenditures required under event support contracts.

• Directs unrestricted federal monies received between July 1, 2022 and June 30, 2023 to be deposited in the state general fund for essential government services, effective retroactively from June 30, 2022.

• Suspends budget stabilization fund requirements for fiscal years 2022-2023, 2023-2024, and 2024-2025, and removes the 10 percent cap on the budget stabilization fund for fiscal year 2022-2023.