SB 1724 Summary

• Establishes a cyber risk insurance fund in the Department of Administration to cover actual or suspected data breaches and security incidents for select state agencies, boards, and commissions.

• Amends insurance provisions to allow state self-insurance for losses arising from data breaches, security system breaches, or security incidents, with deductible authority granted to the department director.

• Creates a major events fund administered by the Arizona Department of Commerce to support planning, operation, and grant awards (up to 25% of operating costs) for major events in coordination with tourism entities and local organizing committees.

• Requires the ombudsman-citizens aide office to receive appropriated funding through the legislative council as a line item in the general appropriations act rather than through the previous funding mechanism.

• 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, and suspends budget stabilization fund requirements and limitations for fiscal years 2022-2025.