Arizona 2026 Regular Session

02/03/2026 - House Natural Resources, Energy & Water

House Natural Resources, Energy & Water Committee of Reference

Key Moments

  • HB2389 — Announced as being held.
  • HB2014 — HB 2014 is identified as the first bill on the calendar, but it will be heard last at the sponsor's request.
  • HB2113 — Noted as being held and one of the first two bills held by the speaker.
  • HB2113 — The committee returns to HB 2113, noting that it was the bill that had been pulled and should have been pulled, and that it will be reassigned.
  • HB2428 — HB 2428 is introduced and heard by the committee. Staff explains that the bill would allow counties and ADEQ to issue voluntary permits for certifying emissions reduction credits related to mobile, portable, and other sources, and an amendment is presented. Witnesses testify in support or neutrality, describing the bill as clarifying county and ADEQ authority and helping support growth in non-attainment areas while preserving air quality goals. The committee then moves to return HB 2428 with a due pass recommendation as amended, and the bill passes with that recommendation.
  • Krista Osterberg — Introduces herself as Chief Legislative Liaison for ADEQ and states ADEQ is neutral on HB 2428 and the amendment.
  • Krista Osterberg — Krista Osterberg, Chief Legislative Liaison for ADEQ, testified that the agency is neutral on the bill. She explained that ADEQ typically only conducts fuel-formulation modeling when there is a change in available fuel formulations or industry proposes a new formulation, and that interstate and international transport also affects Arizona air quality. She added that ADEQ has been responsive to such requests and would be willing to do the work, noting that putting the requirement into statute would add more force. She also clarified that requests for evaluation can come from the legislature, though they are usually triggered by industry.
  • Krista Osterberg — Krista Osterberg of ADEQ was called to testify and stated that ADEQ is neutral on the bill. She explained that the $100,000 appropriation appears sufficient to cover the department’s costs, but the implementation timeline may need a modest extension. She estimated the work would take about six months, possibly closer to seven, and said she would coordinate with program staff regarding the extension.
  • Tristan Wolfson — Tristan Wolfson is introduced as the next witness, then testifies on behalf of Maricopa County in support of HB 2428 and thanks Chairwoman Griffin. The questioning period for him then concludes with no further questions.
  • HB2145 — HB 2145 is introduced as the next bill to be heard, then explained as expanding who may grant or deny petitions for gasoline suppliers or oxygenate blenders in Area A and Area C to comply with alternative standards. The bill is also described as conditionally enacted, contingent on EPA approval of the proposed gasoline fuel reformulation modifications by the specified deadline.
  • HB2145 — House Bill 2145 is moved for return with a due pass recommendation, and the committee subsequently announces that the bill has passed with that recommendation; the final mention repeats the passage announcement.
  • HB2331 — House Bill 2331 is discussed as amended by a strike-everything amendment that would require electric utilities to ensure 85% of generating capacity serving retail load customers comes from reliable resources by January 1, 2030. The amendment also changes terminology from "electric distribution utility" to "electric public service corporation." Speakers then express support for the bill and the strike-everything amendment because of its 85% reliable-energy requirement.
  • HB2331 — The committee takes up House Bill 2331, moves to return it with a due pass recommendation, proceeds with the amended version, and then completes the roll call, ultimately passing House Bill 2331 as amended out of committee with a due pass recommendation.
  • HB2331 — The committee works through the procedural steps for House Bill 2331, including correcting amendment/reconsideration language, reconsidering prior action, and renewing the motion to return the bill as amended with a do pass recommendation. A roll call vote is taken, and the chair announces that HB 2331 as amended has passed with a do pass recommendation.
  • Greg Blackie — Greg Blackie was called to testify and spoke in strong support of the strike-everything amendment to HB 2331 on behalf of the Arizona Free Enterprise Club. Members then responded with questions and comments challenging or clarifying his position on whether utilities are pursuing reliable generation, and one member thanked him and indicated a final question.
  • SRP — SRP is discussed as part of a broader utility resource-planning conversation: it is cited as having reached a similar conclusion in its integrated system plan about the higher cost of a solar-, wind-, and battery-heavy portfolio, referenced again in connection with its integrated system plan and planned resource changes, and mentioned alongside APS and other utilities in discussions about stakeholder meetings and the ability of utilities to obtain energy from multiple sources, including gas and nuclear.
  • Isaac Orr — Cited as one of the energy researchers explaining why the grid is facing shortages despite increased installed capacity.
  • Mitch Rolling — Cited as one of the energy researchers explaining why the grid is facing shortages despite increased installed capacity.
  • HB2331 — Referenced as the proposed solution to the reliability and cost concerns being described.
  • HB2331 — The witness opposes HB 2331, criticizing its reliability requirements and treatment of battery storage and nuclear generation, and concludes by urging a no vote on the bill.
  • HB2331 — HB 2331 is discussed in a single continuous exchange during testimony and committee action. The witness opposes the bill, saying it would require utilities to obtain 85% of their power from so-called reliable sources, which effectively means fossil fuels, and would force ratepayers statewide to keep subsidizing obsolete power plants. After the testimony, the committee moves the bill.
  • Mr. Blackie — Argued that HB 2331 is the solution and asked for support from ASCA.
  • Mr. Blackie — Asked to define reliability under the strike-everything amendment.
  • APS — APS is discussed as a major utility that should be able to obtain energy from all sources, including gas and nuclear, and as a company currently building significant new gas generation. The discussion notes APS’s announced natural gas projects, its role as a large customer for a proposed pipeline, criticism of its clean energy record, and the fact that its projects would contribute to reliable generation under the bill. The speaker also references working with APS through stakeholder engagement and serving on APS’s resource planning advisory council.
  • TEP — Referenced as not allowing the witness's group onto its RPAC committee for resource planning.
  • Spain — Cited as an example of a country that produced 100% renewable power for a day and then experienced a major outage.
  • China — Used as an example of a country with a large population and a significant share of power from wind and solar, while also noting coal expansion.
  • Patricia Phillips — The chair repeatedly calls for Patricia Phillips, but she does not appear to be present.
  • Sandy Barr — Sandy Barr is called to testify and presents opposition to HB 2331 as the director of Sierra Club's Grand Canyon chapter. She explains that Sierra Club’s position on natural gas changed because of concerns about methane and other emissions released throughout the gas supply process. The exchange includes a few brief friendly references and follow-up prompts from legislators, but remains centered on her testimony and related questions before she is thanked and the committee moves on.
  • Sandy Barr — Sandy Barr testified in opposition to HB 2795 on behalf of a Sierra Club chapter. She argued that the bill would preempt county governments from preventing, restricting, or otherwise regulating the siting of small modular nuclear reactors after federal approval. She concluded by warning that nuclear power drives up rates and raises broader lifecycle concerns.
  • Sandy Barr — Continues testimony, referencing earlier concerns and the importance of being good neighbors.
  • Jody Pulsen — Called to testify, but no response was heard.
  • Judi — Called to testify, but no response was heard.
  • Glenn Solars — Called to testify, but no response was heard.
  • Mike Gardner — Called to testify, but no response was heard.
  • Tom Ashe / Tom Honorable Tom — Called and acknowledged as present; given two minutes.
  • Tom Priselski — Tom Priselski of Rural Arizona Action testified in opposition to HB 2331, arguing that the bill would favor fossil fuels, stifle innovation, and force Arizona utilities and ratepayers to continue subsidizing obsolete power plants and related infrastructure costs. He framed the measure as harmful to cleaner, more cost-effective energy options and raised constitutional concerns. The chair then thanked him for his testimony and opened the floor for questions.
  • Catherine Warren — Called to testify, but no response was heard.
  • Catherine Warren — Listed as signed up for the bill.
  • HB2795 — House Bill 2795 is introduced and described as a measure that would prohibit county zoning ordinances from blocking or regulating the use of land or improvements for small modular reactor construction and operation under specified federal and county conditions. The sponsor then thanks the committee for bringing the bill forward, invites questions, and begins introductory remarks.
  • HB2795 — House Bill 2795 is discussed throughout a continuous committee hearing segment. Witnesses and speakers express opposition and concerns that the bill would preempt county government authority over siting, zoning, planning, and public input for small modular nuclear reactors, and could allow siting decisions without adequate local or emergency-response review. Suggestions are raised for possible amendments and coordination with the sponsor, who is noted as having worked on the issue with stakeholders. The discussion then moves to committee action, including a motion to return the bill with a due pass recommendation and subsequent support during roll call, with the bill also framed as part of broader clean energy and preemption policy debates.
  • HB2795 — HB 2795 is discussed as a measure to clarify county zoning authority and protect lawful land use by ensuring local zoning does not conflict with existing state and federal regulation. The sponsor frames the bill as not being preemption, but as aligning county authority with higher-level law, especially for small modular reactors that meet federal safety and review requirements. Supporters argue it will streamline siting for advanced nuclear projects, preserve public comment and community input, reduce regulatory uncertainty, and encourage investment in Arizona’s energy future. Critics and questions focus on whether the bill effectively preempts county zoning, but the discussion remains centered on the same issue throughout: how HB 2795 affects local siting authority for small modular reactors.
  • David Morris — David Morris, Director of Grassroots Operations for Americans for Prosperities Arizona, testifies in support of the bill. He argues that Arizona needs to act now because of growing power needs and regulatory delays, and he emphasizes that the bill does not weaken safety regulations. He then uses comparisons to Palo Verde and older nuclear plants to illustrate that small modular reactors have a much smaller footprint, and he highlights their passive safety systems as a key safety advantage.
  • David Morris — David Morris, Director of Browseats Operations for Americans for Prosperity Arizona, testified in support of HB 2494. He explained that the organization is not opposed to green or nuclear energy and believes the bill supports the need to develop energy from all sources to meet demand. He concluded by reiterating that the bill does a good job of advancing that goal and indicated he was available for questions.
  • Alexis Bax — Alexis Bax is introduced and then testifies as the Strategic Director of the Libre Initiative in strong support of HB 2795, arguing for its benefits to Arizona’s energy future and investment climate. She concludes by urging support for the bill and offering to answer questions, and later clarifies in response to a question that she is also the current Mrs. Arizona.
  • Alexis Bax — Alexis Bax, Strategic Director for the Libre Initiative, testified in support of HB 2494. She explained that the bill would clarify and modernize how Arizona communities and energy developers coordinate on large-scale energy infrastructure, supporting more reliable power development.
  • Mrs. Arizona — Title mentioned by the witness during questioning.
  • Russell Smolden — Russell Smolden of Arizona Municipal Power Users testifies in support of the bill, discussing current SMR projects in the U.S., including multiple projects on Army bases, and arguing that Arizona should position itself to attract this technology. He adds that the bill helps clarify county siting limits and supports long-term planning for nuclear development in Arizona. The exchange then shifts into a question about commercial and private applications of SMRs.
  • Russell Smolden — Identified as signed up to speak, also known as 'Mr. Arizona.'
  • Joan Murphy / Jones (uncertain) — Chair referenced a person from Tombstone who may not have attended; name is unclear in the transcript.