Report Finds Arizona Job Growth Lagging National Trends Amid Rising Unemployment

Report Finds Arizona Job Growth Lagging National Trends Amid Rising Unemployment

By Matthew Holloway |

Arizona’s job growth has fallen behind national trends over the past year, with the state recording a net loss of jobs and rising unemployment, according to a new report from Republicans on the Joint Economic Committee.

The February employment update for Arizona found the state added approximately 11,000 jobs month-over-month, but posted a net loss of about 300 jobs over the previous 12 months.

The report ranked Arizona 24th in the nation for job growth during that period.

Arizona’s unemployment rate rose to 4.6 percent, up from 4.2 percent one year earlier, while the state’s labor force participation rate declined to 61.7 percent, down 0.4 percentage points year-over-year.

Nationally, the labor market continued to expand, with U.S. payrolls increasing by roughly 178,000 jobs in March, while the national unemployment rate remained lower at approximately 4.3 percent.

The report indicates Arizona’s recent performance has lagged the national pace on several key labor metrics, including year-over-year job growth and unemployment trends.

At the same time, the data shows continued monthly job gains in Arizona, reflecting ongoing hiring activity despite weaker longer-term growth.

Other analyses have also pointed to slowing job growth in the state. A December 2025 update from the Common Sense Institute found Arizona’s job growth had moderated significantly compared to earlier post-pandemic years.

Separately, the Arizona Chamber Foundation reported that job growth in 2025 was minimal following revisions to earlier employment data.

Conversely, state officials have highlighted other economic indicators in recent months. Governor Katie Hobbs’ office cited a report ranking Arizona second nationally in overall economic performance, which includes measures such as population growth, domestic migration, and gross domestic product.

The Joint Economic Committee report focuses specifically on labor market conditions, including employment levels, unemployment, and workforce participation.

Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.

Arizona House Advances Bill Allowing Family Monitoring In Care Facilities

Arizona House Advances Bill Allowing Family Monitoring In Care Facilities

By Matthew Holloway |

The Arizona House of Representatives approved Senate Bill 1041 with a bipartisan 41–11 vote on Wednesday, advancing legislation that would allow electronic monitoring in long-term care facilities.

According to a press release from AARP Arizona, the bill is intended to provide an additional option for families seeking to monitor the care of residents who may be unable to report abuse or neglect. The amended measure now returns to the Arizona Senate for approval.

SB 1041, if enacted, would permit residents or their representatives to install electronic monitoring devices, such as cameras, in long-term care settings under specified conditions.

The House vote follows recent media reports of an alleged abuse incident involving a long-term care worker and a resident with dementia

“This legislation gives families an additional option to help protect residents who may not be able to speak for themselves,” said Dana Marie Kennedy, state director of AARP Arizona, in the release.

Kennedy cited a recent incident involving the alleged abuse of a dementia patient, which, according to the release, “came to light only after the resident’s daughter placed a camera in her mother’s room and captured what occurred, leading to the worker’s arrest.”

According to AZ Family, Gamacy Gilles, 46, was arrested and accused of abusing a dementia patient at Grand Court Senior Living in Mesa on Sunday.

“That case highlights why SB 1041 matters,” Kennedy said, “Families should not have to depend on chance or learn after the fact that a loved one was harmed.”

Kennedy said the bill builds on several years of advocacy focused on improving safety and oversight in long-term care facilities. AARP Arizona has worked on related issues since 2017, according to the organization.

AARP Arizona also acknowledged the bill’s sponsor, Wendy Rogers (R-LD6), and its House sponsor, Quang Nguyen (R-LD1), and urged the Arizona Senate to approve the measure.

Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.

Chamber of Southern Arizona Names New Board Chair, Three New Members

Chamber of Southern Arizona Names New Board Chair, Three New Members

By Matthew Holloway |

The Chamber of Southern Arizona announced Tuesday that Alison Flynn Gaffney, chief executive officer of Banner – University Medicine Tucson, will serve as chair of its Board of Directors beginning July 1, 2026.

Gaffney oversees more than 8,000 employees across Banner – University Medical Center Tucson, Banner – University Medical Center South, Diamond Children’s Medical Center, and 28 clinics in Tucson and surrounding communities, according to the organization. Banner – University Medical Center Tucson was ranked the No. 4 hospital in Arizona and the top hospital in Tucson for the second consecutive year by U.S. News & World Report.

According to a press release from the Chamber, Gaffney will succeed current board chair and Tucson Electric Power (TEP) CEO Susan Gray, who has served in the role during the organization’s recent merger of Sun Corridor Inc. and the Tucson Metro Chamber.

“Susan Gray did a tremendous job, and I am excited to continue the momentum she helped build,” Gaffney said. “The Chamber is a strong organization, and I look forward to contributing to its mission to help our communities and businesses flourish.”

Gray said the combined organization has focused on economic development and business advocacy.

“I am immensely proud of the work over the last two years,” Gray said. “With The Chamber of Southern Arizona, we have created a new powerhouse organization driving sustainable economic growth and job creation.”

Chamber President and CEO Joe Snell said the organization is focused on regional competitiveness and economic development.

“We’re excited to welcome Alison as Chair,” Snell said. “We’re at a critical juncture where regionalism, competitiveness, and leveraging our region’s strengths for economic development success are top focus areas.”

The Chamber also announced three new members to its Board of Directors: Jose Arias, Vice President of Business Banking at First Citizens Bank; Marco Melancon, General Manager of Bombardier Aviation’s Tucson Service Center; and retired Gen. Robin Rand, President and CEO of the Kyl Institute for National Security.

According to the organization, the Chamber of Southern Arizona represents businesses employing approximately 85,000 people and works with leaders from the private sector, government, nonprofit organizations, and academia on economic development, advocacy, and public policy initiatives.

Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.

Arizona Democratic Candidate Dodges Questions On Gallego, Swalwell Ties

Arizona Democratic Candidate Dodges Questions On Gallego, Swalwell Ties

By Matthew Holloway |

Democratic congressional candidate Joanna Mendoza declined to answer questions this week about campaign support from Sen. Ruben Gallego (D-AZ) and a political action committee founded by former Democratic California Congressman Eric Swalwell.

Mendoza, who is running in Arizona’s 6th Congressional District, has publicly highlighted endorsements from both Gallego and Future Forum PAC, a political organization founded by Swalwell.

In a September social media post, Mendoza wrote, “ENDORSEMENT ALERT! Honored to have the support of Future Forum PAC!” She added, “Future Forum is dedicated to empowering the next generation of leaders in Congress, and together we’ll deliver a stronger, fairer future for every family in #AZ06.”

Future Forum PAC was founded by Swalwell, though references to him have reportedly since been removed from the PAC’s website.

Mendoza’s campaign website also prominently displays endorsements from Gallego and Future Forum PAC.

According to Breitbart News, Mendoza declined to answer multiple questions regarding her continued acceptance of support from Gallego and organizations linked to Swalwell following recent allegations against the former congressman.

During the exchange, Mendoza was asked whether she still supported Gallego despite his longtime friendship with Swalwell and whether she believed Gallego’s statements that he was unaware of allegations regarding Swalwell’s conduct. Mendoza did not respond to the questions.

“Lobbyist Joanna Mendoza’s website still touts her endorsement from Ruben Gallego and an Eric Swalwell-founded PAC while she refuses to ditch their money,” National Republican Congressional Committee spokesman Ben Petersen said in a statement released alongside video of the exchange. “Mendoza has gone radio silent, but Arizona voters see right through it.”

Swalwell suspended his gubernatorial campaign and later resigned from Congress after multiple allegations of sexual misconduct surfaced.

One accuser, Lonna Drewes, alleged during a press conference that Swalwell sexually assaulted her after they met socially in 2018. Drewes said Swalwell offered to help her software business and invited her to public events before the alleged assault.

“He raped me, and he choked me, and while he was choking me, I lost consciousness, and I thought I died,” Drewes said during the press conference, according to the outlet.

“I knew he was married at the time and that his wife was pregnant,” she said. “He was my friend.”

Swalwell has denied the allegations.

Gallego later distanced himself from Swalwell following the allegations. However, Gallego has also faced allegations of misconduct.

Last week, Rep. Anna Paulina Luna said Senate Majority Leader John Thune’s office and Senate ethics officials were reviewing information related to allegations involving Gallego as well as possible campaign finance violations, as reported by CBS News.

Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.

Court Invalidates Arizona Water Policy Used To Restrict Phoenix-Area Development

Court Invalidates Arizona Water Policy Used To Restrict Phoenix-Area Development

By Matthew Holloway |

Maricopa County Superior Court Judge Scott Blaney ruled Tuesday that the Arizona Department of Water Resources (ADWR) did not comply with state law when implementing a policy that restricted residential development in parts of Maricopa County.

In the order, the court found the agency “did not comply” with Arizona law in adopting the challenged requirements and declared the policy invalid.

The policy, commonly referred to as the “Unmet Demand” approach, was used by ADWR in evaluating whether proposed developments could meet the state’s requirement to demonstrate a 100-year assured water supply in the Phoenix Active Management Area.

Arizona law requires developers in designated areas to obtain a certificate of assured water supply demonstrating access to sufficient groundwater or other supplies for 100 years before construction can proceed.

According to the lawsuit, ADWR’s application of an “Unmet Demand” standard required consideration of projected groundwater demand across the broader management area rather than focusing on the water supply available to an individual development.

The court rejected the agency’s justification for the policy, stating that its interpretation of the law “lacks merit.”

The case was filed in January 2025 by the Goldwater Institute on behalf of the Home Builders Association of Central Arizona, challenging the policy’s legality under state administrative procedures.

In a statement following the ruling, Goldwater Institute Vice President for Legal Affairs Timothy Sandefur said the court’s decision invalidated the agency’s approach to regulating development under the policy.

He explained, “The reality is that although Phoenix is a desert, there’s plenty of water to serve the needs of development. Yet the ‘Unmet Demand Rule’ transformed overnight how home building could work in Maricopa County—restricting construction at a time in which the limited supplies of residences have caused housing prices to soar. And that was illegal, because the Department had no power to adopt the ‘Unmet Demand Rule’ in the first place.”

He added, “State law sets forth a process for creating new rules, and the Department didn’t bother trying to comply with those processes. Instead, it claimed that it had simply discovered somehow that this was what the law required all along.”

The challenged policy had affected development planning in portions of the Phoenix metropolitan area, including Buckeye and Queen Creek, where groundwater availability determinations are required for new subdivisions, according to court filings and statements in the case.

Sandefur called the ruling “a crucial victory for Arizonans, not just in Phoenix but throughout the state, who might well have been on the Department’s target list had it been allowed to get away with redefining the rules in this way.”

He added, “The case is also a reminder of the dangerous power that the pervasive ‘administrative state’ wields over our daily lives—as unelected and unaccountable bureaucracies exert authority over every detail of construction, business, and property ownership, to cite just a few examples. The only solution to the arbitrariness and lawlessness of these agencies is to rein in their power—and for courts to ensure that they obey the law.”

The court’s ruling focused on whether ADWR followed the procedures required under Arizona law to implement new regulatory requirements. The order concluded that the agency did not follow those procedures in adopting the “Unmet Demand Rule” approach.

In a statement to Capitol Media, a Department of Water Resources spokesman said the agency intends to appeal Judge Blaney’s ruling, stating, “Although there is no final judgment yet, the Arizona Department of Water Resources intends to challenge the decision once it is final.”

Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.