The proposed bill would amend section 35-181.03 of the Arizona Revised Statutes to update the auditing requirements for nonprofit corporations receiving state assistance. Under the current law, nonprofit corporations that receive more than $250,000 in state assistance are required to file audited financial statements for each fiscal year in which they exceed this threshold. The bill specifies that this requirement applies to years ending in 0 and 5 and extends the filing obligation to include the previous five fiscal years, rather than just the current year.

Additionally, the bill removes the provision that exempted nonprofit corporations receiving $250,000 or less in state assistance from the auditing requirements, instead mandating that all nonprofit corporations comply with contract requirements regarding financial and compliance audits as outlined in their respective contract agreements. This change aims to ensure greater accountability and transparency for all nonprofit organizations receiving state funding.

Statutes affected:
Introduced Version: 35-181.03