HB 2576 Summary

• Amends section 41-1009, Arizona Revised Statutes, to modify inspection and audit procedures for state agencies regulating licensed persons.

• Requires agencies to provide written notice of either an "opportunity to correct" alleged deficiencies or a "notice of violation" following inspections, with specific information including statutory citations, documents relied upon, and factual basis for deficiencies.

• Defines "notice of violation" as a written notice documenting that alleged deficiencies are intentional, not correctable within reasonable time, evidence of a pattern of noncompliance, or pose significant risk to public health, safety, welfare, or environment.

• Clarifies that agencies must provide regulated persons an opportunity to correct alleged deficiencies unless the agency documents in writing that deficiencies fall into specified categories (intentional, not correctable, pattern of noncompliance, or significant risk).

• Requires agencies to determine substantial compliance within thirty days after receiving notification that deficiencies have been corrected and may only take enforcement action if the regulated person fails to correct deficiencies or the agency determines they remain uncorrected within a reasonable period.