The proposed bill would amend Title 6 of the Arizona Revised Statutes by adding Chapter 18, which establishes the Arizona Bullion Depository under the administration of the Department of Insurance and Financial Institutions (DIFI). This new chapter would introduce key definitions such as "bullion," "deposit," "depositor," and "transactional currency," clarifying the types of precious metals involved and the nature of transactions. The bill outlines the responsibilities of the Depository, including the appointment of an Administrator by the Director of DIFI, the ability for the State Treasurer to deposit state funds in bullion, and the establishment of security protocols and regular audits to ensure compliance and protect the interests of depositors.

Additionally, the bill would create a transactional currency system backed by the precious metals held in the Depository, detailing the roles of the Director and Administrator in managing these transactions and establishing fees for services. DIFI would retain a portion of these fees for administrative costs, with the remainder directed to the state General Fund. Overall, the legislation aims to modernize the management of state-held precious metals, enhance financial security for governmental entities, and create a regulated framework for handling these assets.