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Arizona Senate considers its version of state’s budget

Last updated: June 18, 2025 3:30 pm
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Arizona Senate considers its version of state’s budget
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(The Center Square) – Arizona legislators are not holding back their thoughts on dueling budget bills.

As The Center Square has reported, Republican majorities in the Arizona Senate and House claim their plans help the state without raising taxes. But Senate leaders say their version, which is going before the full Senate Wednesday, has more bipartisan support and is more likely to be signed by Democratic Gov. Katie Hobbs. Republicans lack enough seats to override her vetoes.

If approved, the Senate’s budget bill would then go to the House, which passed 15 bills on Friday that make up its version of the budget on a 31-0 vote.

It may not be easy to get a budget through the Senate. During a Senate Appropriations Committee Hearing on Tuesday, state Sen. Mitzi Epstein, D-District 12, said, “Most of our budgets here in Arizona are fiasco budgets,” due in part to the Legislature-decimated revenue.

“Year after year, this body gives carveouts, loopholes, extra little gimmies to special people who can afford a very highly paid lobbyist. And therefore we then end up with not enough revenue to pay for our schools, not enough to pay for housing,” said Epstein. “Thank goodness this budget has a little bit of help for child care in it, but we have a long way to go, and child care is a workforce issue. There are people still who are not entering the workforce because they cannot afford child care.”

That, said Epstein, is a concern for business owners.

“Every employer I go to talk to says, ‘Yeah, trying to find good people is always a problem’ and trying to find good people in the past several years has become more difficult than ever,” said Epstein. “This $45 million we’ve got is going to be a good step in the right direction. It should have been $112 million.”

Epstein later noted, “Budgeteers will say Arizona has a balanced budget, but it’s balanced on the backs of children” at a time when the state is “giving money to the baseball billionaire boondoggle.” That is a reference to a legislative debate over tax credits and the use of public funds for the Arizona Diamondbacks and their stadium, Chase Field.

Committee Chair John Kavanagh, R-District 3, said the Senate budget bill is bipartisan and noted that means neither side gets everything it wants.

“There are a lot of good things in this budget,” Kavanagh continued. “We increase the personal business property tax exemption from $270,000 to $500,000 and reduced administrative burdens on small businesses, which will generate jobs.”

Kavanagh then talked up, among other things, $83 million in infrastructure investments throughout the state, as well as funding to finish major highway projects along State Route 347.

“We have net increase of $46 million in public safety funding, $27 million in Department of Public Safety equipment and building upgrades and repairs in K-12,” said Kavanagh.

The Republican senator later stressed there is money for housing.

House Appropriations Chair David Livingston, R-District 28, said during his committee hearing Tuesday that he and others are “working on this budget right now” and they have been doing so around the clock for the last three weeks.

“That’s why we were able to pass it on Friday,” said Livingston. “We’ve been doing our homework, we’ll continue to do the homework, and I can actually send texts and emails while I’m sitting here helping with the budget, so don’t worry.”

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