by Ethan Faverino | Feb 20, 2026 | Education, News
By Ethan Faverino |
Arizona lawmakers have introduced legislation aimed at preventing disruptions to public school operations by prohibiting teacher strikes and coordinated work stoppages, while tying state funding more closely to in-person classroom instruction.
House Education Committee Chairman Matt Gress (R-LD4) and Senate Education Committee Chairman Hildy Angius (R-LD30) are advancing the proposal as a striker amendment to House Bill 2313.
The measure would make it unlawful for teachers in Arizona public school districts and charter schools to engage in strikes or any organized efforts to halt work against their employers.
Teachers who participate in such collective actions would forfeit key employment protections, including civil service status, reemployment rights, and benefits or privileges associated with their public school positions. These penalties would apply only to group participation in strikes or work stoppages—individual employment decisions or absences would not be affected.
“Taxpayers fund instruction delivered in classrooms,” stated Rep. Gress in a press release announcing the striker. “When adults coordinate mass callouts to shut down campuses, that is a strike in practice. It robs students of instructional time and throws working parents into chaos. Public schools exist to educate children. If someone organizes a work stoppage, they should not retain the privileges and protections of public employment. If regular school days are moved online because of coordinated political action, funding must reflect that.”
In addition, the bill directs the Arizona Department of Education to cut down a school’s base support funding when remote instruction increases as a direct result of an organized work stoppage. The legislation includes safeguards for schools operating under approved alternative instructional models, full-time online programs, or during declared emergencies.
Lawmakers say the proposal is a response to events in late January, when thousands of teachers and staff members in Tucson called out sick in connection with a nationwide protest. This action led to the temporary closure of around 20 campuses in the Tucson Unified School District, disrupting student learning and creating challenges for families.
“Parents should not wake up to closed campuses because of organized protests,” added Senator Angius. “The Tucson closures showed how a coordinated call-in can shut down learning overnight. This legislation restores accountability and stability for families and keeps the focus where it belongs, on students in seats and classrooms open.”
Consideration of the striker amendment to HB 2313 is expected soon.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Feb 18, 2026 | Economy, News
By Ethan Faverino |
The Joint Economic Committee released its Monthly Inflation Update for January 2026 last week, highlighting a modest cooling in consumer price pressures as headline inflation declined below expectations.
According to data from the Bureau of Labor Statistics (BLS), the Consumer Price Index for All Urban Consumers (CPI-U) rose 2.39% year-over-year in January, down from 2.68% in December 2025. This marks a continued easing trend and comes in slightly below Cleveland Federal Reserve’s forecast of 2.36%.
Core CPI-U, which excludes volatile food and energy components, increased 2.50% over the same period, compared to 2.64% the prior month. Month-over-month, headline CPI-U advanced 0.17% from December to January, while core CPI-U rose 0.30%.
Key drivers included a sharp decline in energy prices, which fell -1.47% month-over-month and -0.14% year-over-year, a drop of 2.44 percentage points from December’s year-over-year figure. Food prices, meanwhile, increased 0.19% monthly and 2.88% annually, up 0.38 percentage points from the previous year.
Inflation continued to ease across all regions in January 2026, though rates varied geographically. The Northeast posted the highest inflation at 2.8%, followed by the West at 2.7% and the Midwest at 2.4%, while the South recorded the lowest rate at 1.9%. Each region experienced a decline from December levels.
The report also highlighted positive developments in workers’ purchasing power. Real average weekly earnings for all employees on private nonfarm payrolls rose 0.53% from December to January and climbed 1.88% year-over-year. Real average hourly earnings increased 0.26% monthly and 1.25% annually. For production and nonsupervisory employees, real weekly earnings grew even more robustly at 2.16% year-over-year.
These gains reflect wages outpacing inflation, providing American workers with improved real income amid moderating price pressures.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Feb 17, 2026 | News
By Ethan Faverino |
The Arizona House of Natural Resources, Energy, and Water Committee held a special hearing on last week to examine the Arizona State Land Department (ASLD) and advance legislation aimed at its continuation, improved administration, and the siting of utility-scale wind and solar energy projects near residential communities.
In a sweeping action, lawmakers advanced all 16 bills on the agenda, demonstrating strong, unified momentum to reform persistent operational and cultural problems within the department.
HB 2426, which mandates the development and adoption of a required five-year disposition plan for state trust lands, was adopted as an amendment to HB 2150, the primary continuation bill for the ASLD.
Sponsored by Rep. Gail Griffin (R-LD19), HB 2150 repeals the department’s prior sunset date and continues its operation until July 1, 2030, with the repeal of related statutes effective January 1, 2031. The measure requires a two-year hearing, quarterly updates to the Legislature, and compliance with existing statutes mandating a five-year disposition plan under ARS § 37-331.03.
“The State Land Department is not a constitutional agency. The Legislature created the Department, and the Legislature can set guardrails to ensure the highest and best use of land,” stated Chairman Gail Griffin in a press release addressing the issues at the ASLD. “For years, the Department has failed to keep land and housing development moving with consistent long-term disposition planning and predictable decisions. That means less trust revenue for classrooms and fewer lots available for homes.”
ASLD manages approximately 9.2 million acres of state trust land, with a statutory mandate to prioritize the highest and best use to generate maximum revenue for 13 trust beneficiaries, primarily K-12 public schools.
However, recent audits—including the 2025 performance audit and sunset review by the Auditor General—along with multiple legislative hearings and recommendations from the Joint Committee of Reference, have highlighted persistent problems.
These include a lack of consistent long-term planning, unresolved pending applications without final decisions, unwritten regulatory processes and procedures, lost revenue opportunities, due-process concerns, and unnecessary strain on Arizona’s housing supply amid land scarcity and rising costs.
Effective management of state trust lands directly impacts housing affordability and education funding. The Department could immediately alleviate pressures by accelerating sales and leases of suitable parcels, increasing available land for residential development, and generating sustained revenue for schools without new taxes.
Yet reports indicate practices such as withholding land from public auction and canceling leases without replacement tenants, while the Hobbs administration is actively devaluing urban-adjacent land to favor utility-scale solar development near residential areas.
“This is not complicated,” added Griffin. “Arizona’s high-tech economy requires new affordable rooftops for workers, and Arizona’s schools depend on trust returns from the sale of available trust parcels. The Department can improve housing supply and education funding today by selling more land and ending the internal practices that keep projects stalled.”
The sunset review process provides the Legislature with significant leverage to enforce accountability and measurable change. During the hearing, committee members questioned the Governor’s appointed Land Commissioner on fundamental Department functions, processes, and documentation. Responses were often inadequate or nonexistent—raising concerns about leadership after three years in that role.
Senate Natural Resources Committee Vice Chairman Tim Dunn (R-LD25) echoed the call for reform. “The current administration didn’t create these problems, but it certainly inherited them. Now the burden is on the current commissioner to change the culture and redirect the agency in the right direction. The agency needs oversight, but the Department has an opportunity to make a meaningful difference for the state. A positive change could bring in millions of dollars of additional revenue for the trust.”
“Arizona House and Senate Republicans are unified in our understanding of the issues and of the breadth of changes that are needed,” added Senator Dunn. “Based on the clear recommendation of the Joint Committee of Reference, I think it’s safe to say that the Department will not be receiving a clean continuation, and that any continuation the Department receives will be contingent on significant improvements codified in law.”
HB 2426 requires the State Land Commissioner, within two years of the act’s effective date, to complete the five-year disposition plan, adopt written policies for updating it every five years, establish procedures for using the plan to guide public auctions, and submit copies to legislative leadership.
The bill’s legislative findings highlight years of inaction, noting the department’s failure since 2016 to produce the required plans and the fact that all five positions on the advisory Urban Land Planning Oversight Committee have remained vacant since 2018.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Feb 15, 2026 | News
By Ethan Faverino |
Governor Katie Hobbs has vetoed a Republican bill, HB 2785, which would have brought Arizona’s income tax law into full conformity with the federal Internal Revenue Code as reflected in the tax forms already issued by Hobbs’ Department of Revenue for the 2025 tax year.
The legislation, passed on February 11, 2026, aimed to protect Arizona taxpayers from uncertainty, the need for amended returns, potential penalties, and mid-season rule changes during the ongoing filing season.
By aligning state statute with the guidance taxpayers are currently following, HB 2785 would have prevented widespread disruption and costly refiles for Arizonans.
The action comes after Governor Hobbs vetoed an earlier Republican tax conformity package that included targeted relief measures—such as no tax on tips or overtime, deductions for seniors, and replacements for the federal SALT deduction with expanded child tax credits and childcare expense deductions.
Following the first veto, the Governor’s administration issued tax forms assuming full federal conformity (including provisions like deductions for qualified tips, overtime pay, certain vehicle loan interest, and additional charitable contributions for standard deduction filers), while repeatedly declining to clarify her position or support changes.
Department of Revenue testimony highlighted the risks of reversing course now, potentially forcing up to one-third of filers to submit paper-only amended returns, incur additional filing costs, and face unexpected tax liabilities months later.
In a press release, House Speaker Steve Montenegro stated, “Arizona taxpayers did exactly what the government told them to do, and the Governor left them exposed. Her Department of Revenue issued tax forms, told people not to delay filing, and testified that changing course would cause massive disruption. Then the Governor vetoed the Legislature’s solution and refused to explain what comes next.”
“That is the opposite of leadership,” added Montenegro. “The House and Senate acted because families, seniors, and small businesses should not be forced to pay penalties, refile returns, or owe unexpected taxes because the executive branch could not get its act together.”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Feb 14, 2026 | Economy, News
By Ethan Faverino |
The latest survey from the National Federation of Independent Business (NFIB) reveals that small business optimism in the U.S. dipped slightly at the start of 2026. The Small Business Optimism Index declined by just 0.2 points in January to 99.3, yet it remains above the 52-year average of 98.
Among the index’s 10 key components, 7 declined, while only 3 improved. The positive standout shift came in expectations for real sales volumes, which jumped by 6 points, with a net 16% of owners now anticipating stronger sales in the coming quarter.
However, uncertainty notably climbed, as the Uncertainty Index increased by 7 points to 91. Much of this rise stemmed from more owners expressing doubt about whether the current environment favors business expansion.
“While GDP is rising, small businesses are still waiting for noticeable economic growth,” stated NFIB Chief Economist Bill Dunkelberg. “Despite this, more owners are reporting better business health and anticipating higher sales.”
In Arizona and similar regions, a cautious mood persists, with many business owners hesitant to pursue expansion. NFIB Arizona State Director Chad Heinrich noted that ongoing tax-related uncertainties are adding to these concerns, while NFIB data shows taxes are the leading problem for 18% of business owners.
“The optimism index remains stable, but small business owners remain cautious about the future and whether it’s a good time to expand their operations,” explained Heinrich. “The limbo Main Street Arizonans find themselves in this tax season only exacerbates their uncertainty. Small business owners need tax conformity from policymakers now.”
A new addition to this month’s report, the Small Business Employment Index, registered 101.6 in January—down nearly a point from December but still 1.5 points above its historical average of 100 and marginally higher than the 2025 average. This suggests the labor market for small businesses remains relatively balanced.
According to the NFIB Monthly Jobs Report, overall business conditions showed improvement in owners’ self-assessments, with 14% now rating their operations as excellent (up 5 points) and fewer classifying them as only fair (down 7 points to 27%).
Investment activity picked up as 60% of owners reported capital expenditures over the past six months—the highest share since late 2023—mostly directed toward new equipment.
On the labor front, challenges eased somewhat, with businesses citing labor quality as their top issue; the share fell for the third straight month to 16%, and unfilled job openings dropped to 31% (still above the long-run norm).
Inflationary pressures linger, however, as 26% of owners reported raising prices in January, and 32% plan increases in the next few months.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
