Gov. Hobbs Vetoes Republican Budget Containing Over $1 Billion In Tax Relief

Gov. Hobbs Vetoes Republican Budget Containing Over $1 Billion In Tax Relief

By Matthew Holloway |

Arizona Gov. Katie Hobbs vetoed the Republican-backed state budget proposal Tuesday, calling the plan “unbalanced and reckless,” while Republican gubernatorial candidate Andy Biggs sharply criticized the decision and accused Hobbs of blocking tax relief efforts.

In a statement issued by the Governor’s Office, Hobbs said the GOP proposal would “default on our debt obligations, endanger vulnerable children, slash critical public safety funding, and pay for tax breaks to billionaires, data centers, and special interests by kicking Arizonans off their healthcare and taking food off their tables.”

The Republican proposal, passed by the Legislature largely along party lines, included tax cuts tied to federal tax conformity measures, reductions to agency spending, and changes to several state programs. The proposal would have implemented major portions of federal tax cuts adopted in last year’s federal legislation and reduced spending across most state agencies.

Legislative Republicans said the proposal spent roughly $800 million less than Hobbs’ January budget proposal.

The veto follows weeks of tension between Hobbs and Republican legislative leadership over budget negotiations and education funding. On April 13, Hobbs announced she would veto nearly all legislation sent to her desk until Republican lawmakers produced a budget proposal and returned to negotiations.

Following Hobbs’ veto on Tuesday, Congressman Andy Biggs’ (R-AZ05) gubernatorial campaign circulated a statement accusing the governor of repeatedly rejecting tax relief measures.

“The Veto Queen is at it again,” a graphic released by the campaign stated. “Katie Hobbs has now vetoed over $1 billion in tax relief for Arizona workers, families, and small businesses for the 3rd time in 5 months as our state’s affordability crisis deepens.”

Biggs also said he had previously worked on multiple state budgets during his tenure as president of the Arizona Senate.

“As a former State Senate President, I’ve written multiple state budgets and worked with different governors to put forward structurally sound and responsible budgets that protect public safety and allow Arizonans to keep more of their money,” Biggs stated.

“It takes patience, leadership, and a commitment to good-faith work between the governor and the Legislature. Katie Hobbs has shown she has none of those attributes, which is why she keeps falling back on simply vetoing bills and budgets. Arizonans deserve a leader with a vision, not vetoes. In November, we’ll make that change.”

Arizona House Speaker Steve Montenegro (R-LD29) also criticized Hobbs following the veto, accusing the governor of pursuing higher spending priorities.

“Once again Gov. Hobbs creates fiscal chaos for Arizona as she fights for her California-style budget,” Montenegro wrote in a post on X. “This budget focuses on what matters most to Arizona families, higher take-home pay, lower costs.”

“What we will not do is allow this governor to raise taxes and spend more for her programs on the backs of every family in Arizona,” Montenegro added.

Despite the veto, Hobbs’ office indicated negotiations could resume. According to KJZZ, the governor’s office said Hobbs had reached out to legislative leadership seeking additional budget meetings this week.

The Legislature adjourned after passing the proposal, with lawmakers expected to return in June unless leadership calls them back sooner. However, Arizona Senate President Warren Petersen (R-LD14) pushed back on claims that Republican lawmakers were taking an extended break following passage of the budget proposal.

Responding to a social media post by journalist Craig Harris stating that “The GOP-controlled Arizona Legislature is taking a one-month paid vacation,” Petersen wrote on X, “This is false, the Senate will be back on Monday and many members, myself included will be there every day this week.”

“The governor placed a moratorium on bills and we delivered a budget. There is no floor work to do,” Petersen added.

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.

U.S. House Unanimously Approves Rep. Crane’s Bill To Accelerate Kaibab Forest Fire Recovery

U.S. House Unanimously Approves Rep. Crane’s Bill To Accelerate Kaibab Forest Fire Recovery

By Ethan Faverino |

The U.S. House of Representatives unanimously approved an amendment presented by Congressman Eli Crane (R-AZ-02) to accelerate recovery efforts in the Kaibab National Forest following the devastating White Sage Fire.

The amendment, included in the 2026 Farm Bill, grants the U.S. Forest Service critical emergency contracting flexibilities to bypass unnecessary bureaucratic delays and speed up restoration work in the fire-affected areas.

Modeled after the North Rim Restoration Act of 2025, the measure targets nearly 60,000 acres impacted by the wildfire in Northern Arizona.

“Page, Fredonia, the Kaibab Band of Paiute Indians, and other impacted communities were dealt a setback due to the devastating White Sage Fire,” stated Rep. Crane. “In response, I’m honored to have introduced and passed an amendment to help pave the way to a full and timely recovery.”

Key provisions of Rep. Crane’s Amendment (Sec. 8409 – Kaibab National Forest Restoration):

  • Authorizes the use of emergency acquisition flexibility under federal regulations to contract for forest management restoration activities, rebuilding, planning, design of structures, ground improvements, and other recovery efforts.
  • Removes the need for a Presidential emergency or disaster declaration, allowing immediate action to support local communities.
  • Requires robust transparency through detailed reports to Congress every 180 days on expenditures, expected costs, cost overruns, contractor performance, potential conflicts of interest, waste/fraud/abuse, and project timelines.
  • Includes a 12-month extension option if new wildfires impact ongoing recovery, subject to congressional approval.
  • Sunsets the authority five years after enactment or upon completion of recovery efforts, whichever comes first.

In addition to his own amendment, Rep Crane signed on as the sole cosponsor of an amendment led by Rep. Anna Paulina Luna (R-FL) to eliminate provisions that shielded pesticide companies from accountability while preserving critical public health protections. The measure restores Americans’ right to hold these companies accountable in court when their products cause harm.

He also cosponsored an amendment introduced by Rep. Paul Gosar (R-AZ-09) to reform evidence standards for compensating ranchers for livestock losses caused by Mexican wolves.

“I’m also grateful for the leadership of Representatives Gosar and Luna, who successfully passed provisions that assist our ranchers and help protect our food supply,” added Crane.  “These results advance critical priorities for rural Arizonans, and I’m thankful for the positive outcomes.”

The amendments now move forward as part of the broader Farm Bill package.

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

MAHA Leader Dr. Mehmet Oz Headlining Legislative Salute Event In Mesa

MAHA Leader Dr. Mehmet Oz Headlining Legislative Salute Event In Mesa

By Matthew Holloway |

The Republican Party of Arizona announced Tuesday that Dr. Mehmet Oz, administrator of the Centers for Medicare & Medicaid Services and a prominent figure in the “Make America Healthy Again” (MAHA) movement, will headline the party’s annual Legislative Salute event on May 9 in Mesa.

According to a press release from the Arizona Republican Party, the event, marking the revival of a longstanding party tradition, will be held at the Mesa Sheraton Hotel and will recognize Republican lawmakers in the Arizona Legislature.

“Dr. Oz, Administrator for the Centers for Medicare & Medicaid Services and a leader of the MAHA (Make America Healthy Again) movement, actively serves on the front lines in the battle against fraudsters who exploit the Medicaid system in primarily blue states and in Arizona under Democrat Governor Katie Hobbs,” the release stated. As reported by Fox News, Dr. Oz is actively investigating fraud, waste, and abuse in five states, with more to come, telling the outlet his concerns reach all fifty states. “We’ve written letters to Minnesota, California, a letter to Florida because we’re worried about the durable medical equipment fraud … New York, Maine, and there are more coming,” Dr. Oz told the outlet. He went on to cite evidence that foreign nationals from Cuba, Russia, and China are involved in fraud schemes all over the country.

“For years, the Republican Party of Arizona (AZGOP) has hosted the annual Legislative Salute to honor the hard-working Republicans in the Arizona Legislature who serve the public and fight waste, fraud, and abuse on the local level,” AZGOP Chair Sergio Arellano said in a statement. “After this year’s successful legislative session, we decided this was the right time to revive this great tradition.”

Arellano also referenced the Republican-backed $17.9 billion state budget proposal for fiscal year 2027. The budget features $1.45 billion in tax relief over four years and would spend approximately $800 million less than Governor Katie Hobbs’ opposing proposal.

“Republican legislators have delivered a budget that includes tax relief for Arizona residents,” Arellano stated. “They deserve recognition for their tremendous service to this state, and this event will provide an excellent opportunity for Republicans to come together and celebrate our conservative majority in the Legislature and make plans to keep it.”

Tickets for the event are available through the Arizona Republican Party.

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 Senate GOP Sends Budget To Hobbs With $1.45B In Tax Relief

Arizona Senate GOP Sends Budget To Hobbs With $1.45B In Tax Relief

By Matthew Holloway |

Arizona Senate Republicans announced on Monday that they passed a $17.9 billion budget for fiscal year 2027 that includes $1.45 billion in tax relief over four years and spends approximately $800 million less than Governor Katie Hobbs’ proposal.

The budget, approved by the Legislature and sent to Hobbs, is based on updated April revenue projections that showed a $200 million decrease in available resources.

According to Senate Republicans, the plan includes a series of tax changes intended to provide cost-of-living relief, including eliminating state taxes on tips and overtime pay, increasing the standard deduction, allowing full deductions for child-care expenses, increasing the dependent tax credit by $25, and creating a $6,000 deduction for seniors age 60 and older with retirement or pension income.

The proposal also includes conformity with federal tax policy changes associated with Donald Trump’s tax cuts, which the Senate said would ensure Arizona taxpayers do not need to refile their 2025 state tax returns.

“This is a serious, disciplined budget that puts Arizona families first,” Senate President Warren Petersen (R-LD14) said in a statement. “We cut taxes, protect essential services, and base every decision on real April revenue projections — not wishful thinking.”

He added, “In divided government, we faced the math, eliminated waste through targeted reforms, and delivered real results without raising taxes or growing government.”

The budget maintains current funding levels for K-12 education and public safety, preserves the voter-protected K-12 State Land Trust, and limits overall spending growth to 1.9 percent.

To address the projected shortfall, Senate Republicans said the plan includes policy changes aimed at reducing spending, including enhanced eligibility verification in public assistance programs such as the Arizona Health Care Cost Containment System (AHCCCS) and the Supplemental Nutrition Assistance Program (SNAP), a 5% reduction in agency operating budgets excluding public safety and child welfare agencies, and the repeal of certain tax credits and subsidies, including solar incentives.

The budget does not reduce base pay for Arizona Department of Public Safety troopers or firefighters and does not modify existing data center incentives previously signed into law.

The plan also includes $4.75 million in emergency funding for the Department of Public Safety, which Senate Republicans said the agency had requested and that the governor had previously vetoed as a standalone bill.

The Arizona Senate Republican Caucus said the budget reflects the constraints of divided government and relies on no new taxes or fees.

“This budget reflects the reality of divided government,” Petersen said. “While Democrats were on the floor today saying we need to raise taxes, we are instead delivering historic tax relief without burdening taxpayers. Your business and your wallet are on the ballot this fall. Vote wisely.”

The proposal now awaits Hobbs’ action.

House Speaker Steve Montenegro (R-LD29), Petersen, and other legislative Republican leaders are scheduled to hold a press conference on Tuesday at 1 p.m., according to a media advisory, to highlight the budget and urge Hobbs to sign the legislation.

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.

Attorney General Mayes Defends City Of Phoenix Policy Keeping ICE Off City Property

Attorney General Mayes Defends City Of Phoenix Policy Keeping ICE Off City Property

By Staff Reporter |

Attorney General Kris Mayes defended the city of Phoenix’s new policy that prevents Immigration and Customs Enforcement (ICE) from entering city property without permission. 

Mayes published a 17-page investigative report last week determining the city’s action doesn’t limit or restrict enforcement of federal immigration law. 

In March, Phoenix City Council approved a resolution requiring law enforcement to obtain permission from the city prior to conducting operations on property owned or controlled by the city. 

Mayes ruled that requiring the city to allow federal immigration enforcement access to city property was equivalent to requiring local cooperation with federal immigration enforcement, which the federal law does not require. 

“With limited exceptions, federal law does not purport to compel the states’ participation in immigration enforcement, and therefore generally permits localities to refuse cooperation with immigration enforcement activities,” stated Mayes.

Further on in the report, Mayes determined that immigration enforcement would need to obtain a judicial warrant or consent to access non-public city property without permission. Mayes said law enforcement has ample freedom to carry out immigration enforcement on public property, namely public rights-of-way, the airport, and Phoenix Municipal Court.

“This means that federal immigration officials are not presumptively prohibited from staging an enforcement operation on, for example, Phoenix sidewalks, and need not seek the City Manager’s advanced approval before commencing such operations,” wrote Mayes. “In this way, the Regulation simply designates how the City will decide whether to grant the consent to access non-public areas of City-owned property that federal law already requires immigration officials to obtain; it delegates that decision to the City Manager, in consultation with the Police Chief.”

Copied on this report were Gov. Katie Hobbs, Secretary of State Adrian Fontes, Arizona Senate President Warren Petersen (R-LD14), Arizona House Speaker Steve Montenegro (R-LD29), and State Rep. Quang Nguyen (R-LD01). Nguyen requested the report; per state law, which triggers an investigation by the attorney general. 

Another one of Mayes’ interpretations of the law as it relates to ICE has been widely contested.

The attorney general made the case in a January interview that individuals had justification for shooting masked ICE agents under Arizona’s “Stand Your Ground” law. 

“It’s kind of a recipe for disaster. Because you have these masked federal officers with very little identification, sometimes no identification, wearing plain clothes and masks,” said Mayes. “[The] law says that if you reasonably believe your life is in danger and you’re in your house or your car or on your property that you could defend yourself with lethal force.”

Mayes’ defense for justified shootings of ICE agents sparked bipartisan controversy. Gov. Hobbs said it was “inappropriate,” possibly dangerous, and needed to be retracted. The new chairman of the Arizona Republican Party, Sergio Arellano, said it was “reckless” and a direct endangerment of law enforcement. Legislative leaders censured Mayes. 

Amid the fallout over Mayes’ remarks, anti-ICE activists have taken to vandalizing the ICE Phoenix Field Office with death threats. 

Last week Mayes filed a lawsuit against the Department of Homeland Security to stop its planned ICE detention facility in Surprise.

AZ Free News is your #1 source for Arizona news and politics. You can send us news tips using this link.

Greg Roeberg Appointed As New Legal Counsel For AZGOP

Greg Roeberg Appointed As New Legal Counsel For AZGOP

By Ethan Faverino |

The Arizona Republican Party announced the appointment of Greg Roeberg as its new Legal Counsel last week. An Arizona attorney, with nearly two decades of experience in business and government law, Roeberg has become one of the state’s leading voices on election integrity.

Moving to Arizona during law school, Roeberg established a law practice focused on business law, serving entrepreneurs and small businesses in the early years of his career. He holds an undergraduate degree in Economics and Government and a law degree from Georgetown University. He was admitted to the Arizona Bar in 2008.

Roeberg is a lifelong Republican and became deeply engaged in politics in 2016 serving on the Trump Presidential Inaugural Committee. He went on to support the Trump Campaign in 2020 with a focus on logistics and election law.

Following his recovery from a 2019 lymphoma diagnosis and successful chemotherapy treatment, Roeberg answered the call again in 2024, serving as Election Integrity Attorney for the Trump campaign in Arizona. He has since represented the Republican National Committee, President Trump, and Republican candidates across the state throughout the 2020, 2022, and 2024 election cycles.

“Greg Roeberg is one of the sharpest legal minds in Arizona, and we are incredibly fortunate to have him on our team,” stated AZGOP Chairman Sergio Arellano. “He has spent nearly twenty years building a distinguished legal and business career, and over the last three election cycles he has been on the front lines defending the integrity of our elections — standing up for President Trump, the RNC, and Republican candidates across this state.”

Earlier this cycle, Roeberg launched a campaign for Arizona Attorney General before stepping down to focus on what he called the most urgent priority of the year: protecting the integrity of Arizona’s elections.

“When Greg made the decision to step away from his own campaign for Attorney General to take on this role, it spoke volumes about his character and his commitment to Arizona,” added Arellano. “He is a fighter, a patriot, and exactly the leader our party needs at this moment. I am proud to welcome him as our Legal Counsel.”

“It’s an honor to serve the Arizona Republican Party and the millions of Arizonans who believe in free, fair, and secure elections,” said Roeberg. “After three election cycles in the trenches, I know what’s at stake in this state. I’m grateful to Chairman Arellano for his trust, and I’m ready to get to work alongside him and our grassroots team to protect the voice of every legal voter in Arizona.”

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.