PHOENIX Arizona businesses are going to have to keep publishing their legal notices in newspapers, at least for the time being.
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Several of the foes of HB 2261 said they agree with Rep. Andy Biggs, RGilbert, that online publication makes more sense in the 21st century than newspapers, some of which have very small circulation. But they said they were dissuaded by the fact that the Arizona Corporation Commission, which would do the posting, does not yet have a web site capable of doing what the legislation would have required.
State law requires registration with either the commission or the Secretary of State’s office before entities actually can conduct business in Arizona. Documents include articles of incorporation, amendments and mergers, as well as dissolutions and withdrawal from business in Arizona.
Most of these must be published in an official newspaper in the county of incorporation.
Biggs said the cost of publication amounts to an additional tax on business and “corporate welfare’’ for the newspapers, many of which depend heavily on those legal notices.
The measure drew opposition from the Arizona Newspapers Association.
“These notices keep the public aware of who’s coming into a town, why they’re coming into a town, what type of business they’re going to be conducting in that town, if they’re closing shop or if they’re going to change their focus,’’ said Ginger Lamb, who also is publisher of the Arizona Capitol Times. She rejected Biggs’ contention that the publication fees amount to a tax, calling it “a cost of doing business that a reasonably prudent business person should be expected and gladly pay.’’
And Lamb said publication should be done by an independent third party, not the government.
But Biggs questioned whether there really is any more access in newspapers than the Internet.
He pointed out to colleagues there is no requirement to publish in newspapers the financial disclosure reports of their contributions and expenses they file every time they run for reelection. Instead, Biggs noted, that information is available either in person at public offices or on the Internet.
Lamb said that 28 percent of Arizonans do not have Internet access, particularly in rural areas. But Biggs countered that newspapers are not read by everyone, either.
Rep. Frank Antenori, RTucson, said the problem is not so much access as technical expertise.
“I have people that don’t quite get there,’’ said Antenori, whose district includes the retirement community of Green Valley.
Rep. Chad Campbell, DPhoenix, said he thinks the day will come when it no longer makes sense to publish legal notices in newspapers. But Campbell said he doesn’t think Arizona is quite there yet.





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