The proposed bill seeks to amend current statutes by introducing a new chapter that defines specific sex-based terms and clarifies the state's stance on sex discrimination. It mandates that any policy, program, rule, or law prohibiting sex discrimination must ensure that females and males are treated fairly in comparison to similarly situated individuals of the opposite sex. Additionally, it allows for the establishment of separate single-sex environments in certain contexts, such as athletics and facilities, when the sexes are not similarly situated, particularly regarding biological differences.

The bill also includes detailed definitions for terms such as "boy," "girl," "male," "female," "man," "woman," "father," and "mother," emphasizing biological sex at birth and excluding gender identity from the definition of "sex." It requires public entities that collect vital statistics related to sex to categorize individuals strictly as male or female, while also allowing for the collection of additional data points. The legislation is designed to provide clarity and uniformity regarding sex discrimination laws and is titled the "Arizona Sex-based Terms Act."