AZ Legislature Week in Review – Week Ending June 29, 2025 – We Have a Budget

Arizona capitol

Our 6th year, 24th week.

HOBBS HAS SIGNED THE COMPROMISE BUDGET SENT TO HER

This is not the first time that we have a budget situation that was not resolved until the last minute. However, this year the budget battle seemed more contentious because the House Republicans and the Senate Republicans had a hard time agreeing with each other, thus enabling Hobbs’ mischief at a level that would not have been possible otherwise.

Most likely, over the next few weeks there will be plenty of analyses of this budget, with the usual finger pointing, naming of winners and losers, elation over a great budget, and hand wringing over an awful budget. The debate will continue ad nauseam. One fact that is not debatable is that when there is a divided government, whether we like it or not, there must be compromise. That is apparently what finally happened here.

The office of the governor has published a list of the highlights of this budget, as follows:

  • 5% pay raises for state troopers.
  • $8 million for the Governor’s SAFE Initiative to secure the border by helping local law enforcement fight drug smuggling and human trafficking.
  • $10 million for the Governor’s SAFE Initiative to support sheriffs in their county jail coordinated reentry programs.
  • $1.6 million for the DPS Anti-human Trafficking Fund Deposit.
  • $20 million to backfill federal cuts to the Victims of Crime Act, supporting victims of sexual assault, domestic violence and other violent crimes with counseling and legal services.
  • $44.9 million from the General Fund and $81 million ($30 million ongoing and $51 million one-time) in federal funds to cut the child care waitlist in half and expand childcare access. This is the largest investment of general funds for child care since the Great Recession.
  • $3.8 million to eliminate co-pays for reduced-price school meals, providing 10 million free meals to working class children.
  • $2 million for the Governor’s Homes for Heroes initiative to reduce veteran homelessness.
  • Full primary residence property tax exemption for 100% disabled Veterans.
  • $16.5 million for coordinated housing homelessness services through DES, including eviction prevention and shelter operations supporting youth and families.
  • 15% pay raises for state firefighters.
  • $30 million to the Wildland Fire Suppression Fund to prevent and fight wildfires.
  • $3 million to the Colorado River litigation fund to ensure Governor Hobbs can fight for Arizona’s fair share of Colorado River water.
  • $11.2 million to continue covering costs for Arizona communities battling wildfires.
  • $2.9 million to expand access to the outdoors through grants for park, waterway recreation, and trail developments, and growth of the Family Campout program.
  • Fully funds DDD for over 60,000 people, protecting health care for Arizonans with autism, cerebral palsy, epilepsy and intellectual disabilities.
  • $4 million for a Graduate Medical Education Rural Incentive Program, expanding access to health care for rural Arizonans through the development of rural residency programs.
  • $300K to add cochlear implants and outpatient speech therapy as covered AHCCCS services.
  • $100K to expand Medicaid to cover Traditional Healing services for Tribal members by drawing down over $200 million in federal funds.
  • $4.2 million to support critical access to hospitals in rural and underserved areas.
  • Fully funds K-12 education and waives the Aggregate Expenditure Limit for two years to prevent a K-12 school funding cliff.
  • $297 million to build new K-12 schools and improve existing school facilities.
  • $24 million to support SPEED bonding that will allow ASU, NAU, and UofA to unlock $325 million in bonding capacity for capital projects, including initiatives like a new medical school and nursing school.
  • $54 million for the Arizona Promise Program, the largest investment to date in the program that will provide scholarships for working class students ($16.3 million one-time general fund, $20 million ongoing general fund, $17.7 million one-time other funds).
  • $3 million for the Arizona Community College Promise Program, providing the first ever funding to this program that will create a scholarship program for working class students at the state’s community colleges.

Most likely, other versions of the important provisions of this budget will emerge in the days ahead.

HOBBS WATCH – Hobbs Veto Track

YEAR SENT TO HOBBS VETOED BY HOBBS PERCENTAGE VETOED
2023 348 143 41.1%
2024 332 73 22.0%
2025 (As of 6/27/25) 408 169 41.4%
TOTAL 1088 385 35.4%

To maintain perspective, Ducey, regarded by some as a no-good RINO, over his 8 years as governor had this record:

Bills Sent by Legislature 2,745   Bills Vetoed 111    Veto Rate 4.0%

Complete list of Bills Sent to Hobbs here.

Complete list of Bills Vetoed by Hobbs here.

Hobbs Contacts:  Phone  Phoenix: 602.542.4331 Tucson: 520.628.6580    Email here.

HOBBS’ LEGISLATIVE ACTIVITY (Other than budget activity)

SIGNED

HB2054, DIFI; financial enterprises; insurance; compact

HB2133, nurses; provisional licensure

HB2374, transnational repression; foreign adversaries

HB2386, pay parity; law enforcement; benchmarks

VETOED

HB2610, school districts; board members; superintendent

HB2542, state contracts; foreign adversary; prohibition

LEGISLATURE’S LEGISLATIVE ACTIVITY 

HOUSE – In addition to the budget package activity, the House acted on these bills:

BILL # SHORT TITLE WHERE DATE RESULT
HB2091 land division; applicant submissions; review (now:  assured water supply; certificate; model) House Final Reading 06/24/2025 PASSED
HB2313 behavioral health examiners board; continuation (now:  health boards; state agencies; continuations) House Final Reading 06/24/2025 PASSED
HB2324 technical correction; unclaimed property; interest (now:  forfeiture; digital assets; reserve fund) House Final Reading 06/24/2025 PASSED
SB1057 working animal; harm; classification (now:  marijuana; rural opportunity initiative) House Third Reading 06/23/2025 FAILED
SB1001 early ballots; identification; tabulation House Third Reading 06/24/2025 PASSED
SB1019 photo enforcement systems; prohibition House Third Reading 06/24/2025 PASSED
SB1082 constables; report; board of supervisors (now:  land ownership; designated countries; prohibition) House Third Reading 06/24/2025 PASSED
SB1299 law enforcement personnel; grant program (now:  safe community enforcement fund; establishment) House Third Reading 06/24/2025 PASSED
SB1496 tax credit; qualifying charitable organizations House Third Reading 06/24/2025 PASSED
HB2946 city election; transaction privilege tax House Third Reading 06/26/2025 PASSED
SB1161 sheriffs; constables; service; mileage; fees House Third Reading 06/26/2025 PASSED
SB1470 graduation; children with disabilities (now:  AHCCCS enrollment freeze; appropriation) House Third Reading 06/26/2025 FAILED

SENATE – In addition to the budget package activity, the Senate acted on these bills:

BILL # SHORT TITLE WHERE DATE RESULT
SB1082 constables; report; board of supervisors (now:  land ownership; designated countries; prohibition) Senate Final Reading 06/27/2025 PASSED
SB1198 animal cruelty; classification            (now:  animal cruelty; felony classification) Senate Final Reading 06/27/2025 PASSED
SB1496 tax credit; qualifying charitable organizations Senate Final Reading 06/27/2025 PASSED
SB1500 permanency placement; grandparent; priority (now:  compensation; erroneous convictions) Senate Final Reading 06/27/2025 PASSED
SB1507 independent corrections ombudsman; auditor general  (now:  corrections; reports; oversight office) Senate Final Reading 06/27/2025 PASSED
SB1529 municipal housing; preapproved design (now:  municipal housing; preapproved design; annexation) Senate Final Reading 06/27/2025 PASSED
SB1537 transitional housing; reentry programs; licensure Senate Final Reading 06/27/2025 PASSED
SB1281 adjutant general; duties Senate Final Reading 06/27/2025 PASSED
HB2369 auditor general; county treasurer; review Senate Third Reading 06/27/2025 PASSED
HCR2055 drug cartels; terrorist organizations Senate Third Reading 06/27/2025 PASSED
HB2015 EORP; CORP; funded ratio Senate Third Reading 06/27/2025 PASSED
HB2034 ASRS; supplemental employee deferral plan Senate Third Reading 06/27/2025 PASSED
HB2035 ASRS; termination incentive programs Senate Third Reading 06/27/2025 PASSED
HB2036 ASRS; temporary personnel service Senate Third Reading 06/27/2025 PASSED
HB2077 ASRS; long-term disability Senate Third Reading 06/27/2025 PASSED
HB2724 patriotic youth groups; school access Senate Third Reading 06/27/2025 PASSED

CONCURRENT RESOLUTION, VOTER REFERRAL BILLS.

Several bills that, if passed, will go to the voters for approval are still pending. Now that the budget hurdle has been cleared, there is a good chance that adjournment will take place soon and these bills will be abandoned. Voters who tend to contact legislators regarding pending legislation may wish to do so regarding these bills. In Arizona we have several organizations that facilitate this, including https://azpeopleslobbyist.com/ Here is the list of those pending bills.

HCR2015 federal funds; legislative approval
HCR2023 property tax; combat veterans; exemption
HCR2025 constitutional amendments; sixty percent vote
HCR2037 prohibited weapons; definition repeal
HCR2040 elections; foreign contributions; donations; certification
HCR2042 preferential treatment; discrimination; prohibited acts
HCR2047 state land trust; permanent funds
HCR2053 legislative privilege; traffic violations
HCR2057 initiatives; referendums; signature requirement; counties
SCR1002 photo enforcement systems; prohibition
SCR1003 compensation; elective state officers; inflation
SCR1008 municipalities; counties; vote; fee increases
SCR1014 surplus; income tax rate; reduction
SCR1015 state land trust; permanent funds.
SCR1022 legislative districts; population; census; citizenship
SCR1027 elections; foreign contributions; certification; donations
SCR1032 permanent school fund; distribution; uses