HB 2030 Summary

• Cities or towns with population over 240,000 that have assured water supply designations and are located in initial active management areas must hire independent auditors to conduct rate audits and cost-of-service studies if they have contracts with Central Arizona Project, participated in intentionally created surplus programs, received federal conservation funds, or sold long-term storage credits.

• Auditors must investigate hookup fees, capital expenditures, excess capacity, double-charging practices, revenues from effluent/storage credit sales, federal conservation payments, acquisition premiums, and whether utility revenues are used for non-utility purposes.

• Cities and towns must provide all requested books and records to auditors, and auditor reports are public records under Arizona law.

• Cities and towns must submit the auditor's report to the Governor, President of the Senate, and Speaker of the House by January 1, 2025, with a copy provided to the Secretary of State.

• This requirement expires and is repealed on December 31, 2026.