exactions; individualized determinations; appeal
This bill requires Arizona municipalities and counties to provide developers with a written explanation for any fee or condition (called an "exaction") imposed on a proposed development project before it can be charged. Developers can request a detailed, individualized analysis showing how the fee matches the project's specific impacts within 60 days, or the fee is automatically waived if not provided on time. If developers believe a fee is excessive, they can appeal to the Attorney General or sue in court, where local governments must prove the fee is proportional to the project's impact. Developers may also pay fees while appealing without losing their right to challenge them later.
Bill status
vetoed
4 of 5 stages cleared
Introduction
Feb 2026
Committee Review
Mar 2026
Senate Passage
Feb 2026
House Passage
Apr 2026
Vetoed
Apr 2026
Introduced Feb 5, 2026
Vetoed Apr 7, 2026
Maddy AI version diff · 1 comparison
What changed between versions
Introduced Version
→
Senate Engrossed Version (02/26/2026)
·
4 edits
·
Feb 26, 2026
MODERATE
The bill was reorganized into a formal Senate Engrossed version with updated headers and a cleaner layout. Substantively, the appeal process for challenging development fees was modified to require filing directly with the Attorney General rather than through a municipal internal review. Additionally, the definition of a 'proposed project' was narrowed to apply only to residential real property, and specific fee exclusions were added to clarify which charges are not subject to these new rules.
Scope change
The scope of the bill's protections was narrowed from all types of real property to only residential real property.
ENFORCEMENT
The appeal process was changed to require applicants to file appeals directly with the Attorney General instead of following a municipal internal review process.
SCOPE
The definition of 'proposed project' was restricted to applications for residential real property, excluding commercial, industrial, and other non-residential uses.
DEFINITION
Specific exclusions were added to clarify that certain development fees and regular permit application fees are not considered 'exactions' under this new law.
TECHNICAL
The document was reformatted from a draft introduction to a formal Senate Engrossed version with updated legislative headers and page numbering.
Floor votes · Senate Feb 26, 2026 · House Apr 1, 2026
How they voted
23–5
Passed · 2 other
Total votes 30
Feb 26, 2026
D
Democratic13
53% Yea
R
Republican17
94% Yea
Vote distribution
All Yea
All Nay
Mixed
No data
Full legislative history
Actions timeline
Total actions
14
Key actions
5
Committee
2
Amendments
1
Apr 7, 2026
Vetoed
Vetoed by Governor
executive
Apr 1, 2026
Lower · Passed
PASSED
lower
Mar 17, 2026
Lower · Passed
DP
lower
Feb 26, 2026
Upper · Passed
PASSED
upper
Feb 26, 2026
Upper · Passed
DPA
upper
Feb 18, 2026
Upper · Passed
DP
upper
1 primary · 0 co-sponsors
Sponsors
Role
Legislator
Party
State
District
P
Warren Petersen
RRepublican
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