The proposed bill, HB2252, seeks to eliminate the requirement for professional employer organizations (PEOs) to register with the Secretary of State (SOS) in Arizona. Currently, PEOs must register and maintain a minimum net worth or a bond to operate legally. The new legislation would repeal several sections of the Arizona Revised Statutes that govern PEO registration and related requirements, thereby simplifying the regulatory framework for these organizations. Additionally, it specifies that any required bond must be held by an insured depository institution rather than a depository designated by the SOS.

In summary, the bill removes the registration requirement for PEOs, which could reduce administrative burdens for these organizations. It also repeals outdated statutes related to PEO registration and clarifies the handling of bonds, while making technical adjustments to the language of the law. There is no anticipated fiscal impact on the state General Fund as a result of this legislation.

Statutes affected:
Introduced Version: 23-561, 23-563, 23-564, 23-565, 23-566, 23-567, 23-568, 23-569, 23-572, 23-575, 23-576, 23-907
House Engrossed Version: 23-561, 23-563, 23-564, 23-565, 23-566, 23-567, 23-568, 23-569, 23-572, 23-575, 23-576, 23-907
Chaptered Version: 23-561, 23-563, 23-564, 23-565, 23-566, 23-567, 23-568, 23-569, 23-572, 23-575, 23-576, 23-907