AZ HB2596

Requires petition signed by a majority of property owners and owners of 51% or more of acreage (or 51% of assessed valuation for certain districts) before governing body can adopt a resolution to establish an improvement district, effective September 1, 2025.

Applies the new petition requirement to improvement districts formed under sections 48-574 (pedestrian malls, parking facilities, retention basins) and 48-575 (enhanced municipal services), with exceptions for districts formed by unanimous consent of all property owners.

Allows petitions to be amended and combined, presumes signatures are valid unless proven otherwise, and permits governing bodies to require petitioners to deposit funds or file bonds to cover expenses if the district is not established.

Permits waiver of notice, publication, and protest requirements if petition is signed by all property owners (excluding public property) and approved by the municipality in a written agreement.

Clarifies definitions and procedures for verifying property ownership, determining property count and acreage/valuation thresholds, and excludes public property and rights-of-way from calculations while still allowing their inclusion in the district.