LLC and packet from the CPA,states ---Portfolio Deductions subject to 2% disallowed by Federal, may be deductible on your state Taxes.?????

My wife has an LLC. The packet from the CPA states in the K-1 footnotes:

PORTFOLIO DEDUCTIONS SUBJECT TO 2% DISALLOWED BY FEDERAL, MAY BE DEDUCTIBLE IN YOUR STATE.  ?????  WE LIVE IN AZ.