HB 2939 — qualified facilities; tax credit; amount

ARIZONAHouse HOUSEEngrossed OFqualified REPRESENTATIVESfacilities; FLOOR AMENDMENT EXPLANATION 57th Legislature, 2nd Regular Session Majority Research Staff HB 2939:

qualified facilities;

amount MARTINEZState FLOORof AMENDMENTArizona 1.House of Representatives Fifty-seventh Legislature Second Regular Session HOUSE BILL 2939 AN ACT AMENDING SECTIONS 41-1512, 43-1083.03 AND 43-1164.04, ARIZONA REVISED STATUTES;

AltersRELATING theTO additionalINCOME taxTAX creditCREDITS. amount of $250,000 as applicable to total qualifying investments of less than $2,000,000,000 rather than $2,000,000,000 or more.

PAUL(TEXT BENNYOF 2/17/2026BILL (602)BEGINS 926-3848ON Fifty-seventhNEXT LegislaturePAGE) Martinez- Secondi Regular- Session H.B.

2939 ADDITIONALBe COWit MARTINEZenacted FLOORby AMENDMENTthe HOUSELegislature OFof REPRESENTATIVESthe AMENDMENTSState TOof H.B.Arizona:

2939 (Reference to House engrossed bill) Amendment instruction key:

[GREEN UNDERLINING IN BRACKETS] indicates text added to statute or previously enacted session law.

[Green underlining in brackets] indicates text added to new session law or text restoring existing law.

[GREEN STRIKEOUT IN BRACKETS] indicates new text removed from statute or previously enacted session law.

[Green strikeout in brackets] indicates text removed from existing statute, previously enacted session law or new session law.

<<Green carets>> indicate a section added to the bill.

<<Green strikeout in carets>> indicates a section removed from the bill.

The bill as proposed to be amended is reprinted as follows:

House(b) AmendmentsA list of full-time employment positions, the estimated number of employees to H.B.be hired for the positions each year during the first five years of operation and the annual wages for each position, calculated without employee-related benefits.

2939 (b) A list of full-time employment positions, the estimated number of employees to be hired for the positions each year during the first five years of operation and the annual wages for each position, calculated without employee-related benefits.

(d)- Authorizes1 the- departmentH.B. of revenue to provide tax information to the authority pursuant to section 42-2003 for the purpose of determining any inconsistency in information furnished by the applicant.

2939 (d) Authorizes the department of revenue to provide tax information to the authority pursuant to section 42-2003 for the purpose of determining any inconsistency in information furnished by the applicant.

-2-E. House Amendments to H.B.

2939 E.

(c) IF THE TOTAL QUALIFYING INVESTMENT IS [LESSLESS THAN]THAN $2,000,000,000$2,000,000,000, [OR MORE], $250,000 FOR EACH NET NEW FULL-TIME EMPLOYMENT POSITION PROJECTED BY THE APPLICANT- THAT2 HAS- JOBH.B. DUTIES ASSOCIATED WITH A QUALIFIED FACILITY THAT IS IN A RURAL LOCATION.

2939 APPLICANT THAT HAS JOB DUTIES ASSOCIATED WITH A QUALIFIED FACILITY THAT IS IN A RURAL LOCATION.

-3-K. House Amendments to H.B.

2939 K.

Preapproval under this section lapses, the application is void and the amount of the preapproved income tax credits does not apply against the dollar limit prescribed by subsection J of this section if, within twelve months after preapproval, the business fails to provide to the- authority3 documentation- ofH.B. its expenditure of $250,000 in qualifying investment or, if the period over which the qualifying investment will be made exceeds twelve months, documentation of additional expenditures as required in this subsection for each twelve-month period.

2939 the authority documentation of its expenditure of $250,000 in qualifying investment or, if the period over which the qualifying investment will be made exceeds twelve months, documentation of additional expenditures as required in this subsection for each twelve-month period.

If the chief executive officer rejects all or part of the managed -4-review, Housethe Amendmentschief toexecutive H.B.officer shall provide written reasons for the rejection.

2939 review, the chief executive officer shall provide written reasons for the rejection.

If the amount of qualifying investment- actually4 spent- isH.B. less than the amount preapproved for income tax credits, the preapproved amount not incurred lapses and does not apply against the dollar limit prescribed by subsection J of this section for that year.

2939 investment actually spent is less than the amount preapproved for income tax credits, the preapproved amount not incurred lapses and does not apply against the dollar limit prescribed by subsection J of this section for that year.

The transfer of -5-part Houseor Amendmentsall toof H.B.a company's assets that are then leased back by the company is not considered a liquidation under this section.

2939 part or all of a company's assets that are then leased back by the company is not considered a liquidation under this section.

V.- 5 - H.B.

2939 V.

-6-5. House Amendments to H.B.

2939 5.

7.- 6 - H.B.

2939 7.

The taxpayer must meet the -7-employee Housecompensation Amendmentsand toemployee H.B.health benefit requirements prescribed by section 41-1512.

2939 employee compensation and employee health benefit requirements prescribed by section 41-1512.