HB 2105

Senate Engrossed
  House Bill
agricultural
  property; inspections; notice
State of Arizona
House of Representatives
Fifty-seventh Legislature
Second Regular Session
2026
CHAPTER 245
HOUSE BILL 2105
AN
ACT
amending sections 42-11053 and 42-12158,
Arizona Revised Statutes; relating to property tax.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 42-11053, Arizona Revised
Statutes, is amended to read:
START_STATUTE42-11053. Investigating property valuations
A. The department shall:
1. Investigate property valuations
and any matters relating to property taxes and shall require the production of
any private or public record relating to those valuations or property taxes.
2. Notify the owner or possessor of
the property that an inspection will occur and provide the date of the
inspection. The department is not required to provide the
notice required by this paragraph by certified mail.
3. Provide a copy of the inspection
report to the owner or possessor of the property.
B. The director or the director's agent may:
1. Enter on and examine any property in this state
to determine its full cash value. If the owner or possessor of
property refuses entrance to the director or the director's agent, the director
may estimate the valuation of the property.
2. Require any officer whose duties relate to
assessing or collecting taxes to report to the director at the time and in the
manner that the director prescribes. END_STATUTE
Sec. 2. Section 42-12158, Arizona Revised
Statutes, is amended to read:
START_STATUTE42-12158. Inspections by county assessor
A. The county assessor or the
assessor's deputies shall:
1. Make an on-site inspection of twenty-five
percent of the property classified as being used for agricultural purposes each
year.
2. Make an on-site inspection and appraise all
of these properties within every four years.
3. If the county assessor or the assessor's deputy
determines that the property does not meet the criteria for agricultural
classification, notify the property owner pursuant to section 42-12156.
4. Notify the property owner before
an inspection occurs and provide the date of the inspection. The county assessor is not required to provide the notice required by
this paragraph by certified mail.
5. Provide a copy of the inspection
report to the property owner.
B. A property that meets the criteria
for agricultural classification is not subject to an on-site inspection
in consecutive years pursuant to this section unless one of the following
occurs:
1. The property owner files A change
in the use notice pursuant to section 42-12156, subsection A.
2. There is a split of the property.
3. There is a change in ownership or
lease of the property.
4. There is a taxable improvement
made to the property.
C. For the purposes of this section,
the county assessor may develop a standardized form for inspection reports.
D. during
the year following the YEAR in which an on-site inspection is conducted, if the county assessor classifies a previously unreported taxable
improvement as agricultural property, the county assessor may assess the
applicable property tax on the improvement for the current tax year and any
prior tax year in which the improvement existed.END_STATUTE
APPROVED BY THE GOVERNOR JUNE 22, 2026.
FILED IN THE OFFICE OF THE SECRETARY OF STATE JUNE 22, 2026.