AZ SB1604

Increases civil penalties for violations of residential care and sober living home licensing requirements from a maximum of $500 to at least $5,000 and not more than $10,000 per violation.

Creates the indigenous peoples protection revolving fund, with 80% of penalties from residential care violations deposited to support tribal colleges (40%), restitution for families of deceased victims of behavioral health systems ($3,000 minimum plus repatriation costs per family) (20%), and tribal community behavioral health services (40%).

Makes it a class 6 felony for residential care institutions and sober living homes to operate without a license, with civil penalties of $5,000-$10,000 per day of operation.

Prohibits licensees whose sober living home licenses are revoked in Arizona or other states from reapplying for any license under this title for at least five years.

Deposits 5% of penalties to the health services licensing fund for residential care inspections and enforcement and 15% to the nursing care institution resident protection revolving fund.