Ariz. Rev. Stat. § 41-6039
On the issuance of a certificate of dissolution as provided in section 41-6038, the ordinances and regulations theretofore in force within the district shall be of no further effect. Any contract theretofore entered into to which the district or supervisors are parties shall remain in force for the period provided therein, and the board shall be substituted for the district or supervisors as a party thereto. The board shall be entitled to all benefits and subject to all liabilities under any such contract and shall have the same right and liability to perform, require performance, sue and be sued thereon, and to modify or terminate the contract by mutual consent or otherwise, as the supervisors of the district would have had. Dissolution shall not affect the lien of any judgment entered under this chapter, nor the pendency of any action instituted thereunder, and the board shall succeed to all the rights and obligations of the district or supervisors as to such liens and actions.
A.R.S. § 41-6039