Inflation cooled for the Phoenix metro area last month, and expenditures went up.
The Common Sense Institute (CSI) reported that Phoenix metro’s Consumer Price Index rose 2.8% year-over-year in June, a slight reduction from a 3% reading in April. Energy prices dropped by more than 6% in a single month, attributed to easing tensions with Iran.
CSI noted that Arizona’s growth rate was slower than the rest of the nation. Arizona’s home prices have also cooled while home prices climb nationally.
Over the past seven years, prices have increased in the Phoenix metro area by more than 33%. The typical household pays nearly $1,700 more a month on average for its regular expenditures than they did in the last year before the pandemic hit: around $5,200 to nearly $6,900. CSI estimated that the average Phoenix metro household would have been paying just $600 more compared to 2019 if inflation had followed a steady 2% increase rate these past seven years.
From the national perspective, the Joint Economic Committee (JEC) reported that headline personal consumption expenditure price index inflation rose to nearly 4% from June 2025 to last month. The Federal Reserve’s target for that metric is 2%. Core personal consumption expenditure price index inflation was reported to be nearing 3.3%.
Services inflation rose by 0.13% and goods inflation dropped by 0.63%.
Real personal consumption expenditures increased by $68 billion, or 0.4%. Real personal consumption expenditures on all services increased by $28 billion, or 0.26%, and real personal consumption expenditures on all goods increased by $42 billion, or 0.73%.
The JEC reported that the nominal personal savings rate declined by 0.1% to 2.7%. Headline personal income increased by $55 billion, or 0.2%, and real disposable income per capita increased by nearly 0.3%.
U.S. News & World Report ranked Arizona fourth for economy in its latest Best States annual report for 2026. This marked the highest ranking achieved by the state this past year among all scorecard metrics. The state ranked high for business environment, seventh; growth, seventh; and employment, 17th.
Arizona also ranked 33rd for fiscal stability and 42nd for opportunity: 28th for economic opportunity, 32nd for equality, 35th for affordability, 30th for long-term fiscal stability, and 33rd for short term fiscal stability.
All metric rankings tallied, Arizona came in 34th overall.
Elsewhere, Arizona ranked 21st for healthcare, 23rd for infrastructure, 29th for crime and corrections, 41st for natural environment, and 43rd for education.
The Arizona Commerce Authority issued a new report this month indicating that Arizona is exceeding its goals for the 2026 fiscal year: more than 26,000 potential new jobs added (131% of goal), nearly $110 billion in capital expenditures (2,749% of goal), and more than $81,000 in wages (137% of goal).
Yet, Arizona’s unemployment rate has been outpacing job growth. The state was one of seven states to experience an increase in unemployment, and its rate recently hit a high of 4.9%, numbers not seen since the pandemic. Labor force participation also fell to a total nearing a 10-year low.
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The city of Mesa will honor the birth of Jesus Christ with a drag queen show at its multimillion-dollar arts center.
“A Drag Queen Christmas” is the longest-running drag tour in America per the event organizers, Murray & Peter Present. This year, the group will perform at more than 40 locations across the country, including the Mesa Arts Center.
Those listed as performing at Mesa this year are drag performers under the stage names Crystal Methyd, Darlene Mitchell, Discord Addams, Juicy Love Dion, Myki Meeks, Nini Coco, and Silky Ganache. All Drag Queen Christmas performers were either contestants or winners in “RuPaul’s Drag Race,” a reality competition television series.
The event will take place in the Tom and Janet Ikeda Theater, which has more than 1,500 seats.
Publicly available video footage from past Drag Queen Christmas performances showcased some of the performers anticipated to take the stage in Mesa incorporating typical drag race elements in their performances: costumes and dance numbers peppered with sexually suggestive gestures and themes.
Tickets for the Drag Race Christmas in Mesa cost between $43 to $151 for seating, and an additional $134 for a meet and greet. Based on seat pricing, a sold-out show could bring in around $130,000 in ticket sales.
The show is limited to people aged 18 and older, though in Arizona it’s not illegal for children to attend these shows.
Republican lawmakers initially attempted to prohibit the exposure of minors to drag shows, as well as ban public funds for them, but Gov. Katie Hobbs swiftly squashed that effort when she vetoed a group of those bills upon taking office in 2023.
The city of Mesa has more than $18 million listed as projected expenditures this year for the Mesa Arts Center, more than $5 million of which was reported for live performances. The city’s budget reported more than $9 million allocated to the arts center.
The city has also listed more than $8 million for operations, nearly $2 million for fund development, more than $1 million for adult and youth studio classes, nearly $900,000 for education and engagement, and more than $89,000 for volunteer recruitment and management.
The Fox Tucson Theatre in Tucson will also be hosting A Drag Queen Christmas performance this year.
The tour came through Arizona last year as well, hitting the Phoenix Theater in Phoenix and the University of Arizona main campus in Tucson.
Mesa is represented in the Arizona legislature by a supporter of drag shows.
State Rep. Lorena Austin (LD9), a Democrat representing Mesa, partnered with Planned Parenthood Advocates of Arizona to host a Drag Story hour in the Arizona Legislature’s basement in 2024.
House leadership accused Austin of misleading them when reserving the space for an event, and her actions resulted in Democrats temporarily losing access to House meeting rooms.
Austin rejected the accusation in a response published by Arizona House Democrats.
Austin would then go on that summer to host a drag show fundraiser open to all ages.
AZ Free News is your #1 source for Arizona news and politics. You can send us news tips using this link.
The Maricopa County Board of Supervisors unanimously approved a new policy this week, prohibiting county employees from using confidential, nonpublic information obtained through their public service to personally profit from prediction markets.
County officials said the policy is intended to strengthen public trust by ensuring government decisions are made in the best interest of residents rather than for personal financial gain.
Maricopa County officials also said the measure makes the county the first major county in the United States to adopt a formal policy specifically addressing prediction markets.
Public employees often have access to sensitive information before it becomes publicly available. Under the newly adopted resolution, county employees are prohibited from using or disclosing nonpublic information to profit from, avoid losses in, or assist others in profiting from prediction markets.
Violations of the policy may result in disciplinary action, including termination, and may also be referred to law enforcement.
The resolution builds upon existing Arizona law, including A.R.S. § 38-504(B), which prohibits public officers and employees from using or disclosing confidential, nonpublic information obtained through their official duties.
County leaders noted that prediction markets allow participants to wager on the likelihood of future events across a wide range of topics, including government actions, elections, politics, military conflicts, weather events, wildfires, sports, and other state, national, and global affairs.
The resolution states that the public’s confidence in government is undermined when officials use privileged information learned through public service for personal financial benefits.
Arizona law already prohibits wagering on the outcome of elections. Under A.R.S. § 16-1015, knowingly making, offering, accepting, or participating in a bet or wager on any contingency arising from an election before or during the election is classified as a class 2 misdemeanor.
In addition to prohibiting the use of nonpublic information for financial gain, the Board’s resolution formally designates such information as confidential, where it has not already been classified as such.
The policy also clarifies that it does not create new legal rights or remedies, does not conflict with federal or state law, and does not alter the statutory authority of any elected office or county department.
The policy applies to all Maricopa County employees, including those working in appointed departments, the Flood Control District of Maricopa County, and the Maricopa County Library District.
The resolution took effect immediately upon its unanimous approval by the Board of Supervisors and will remain in force until it is repealed, replaced, or rescinded.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
U.S. Agriculture Secretary Brooke Rollins announced a $25 million federal investment to build a sterile fly dispersal facility in Arizona. She made the announcement during a visit to the Douglas Port of Entry with Reps. Juan Ciscomani (R-AZ-06), Andy Biggs (R-AZ-05), and Eli Crane (R-AZ-02) ahead of the planned resumption of livestock imports from Mexico.
Rollins toured the port’s livestock inspection facilities Wednesday with Ciscomani, Biggs, Crane, and Arizona Department of Agriculture Director Paul Brierley. The Department of Agriculture plans to reopen the Douglas crossing to cattle imports on Aug. 24 as the first stage of a phased reopening of southern livestock ports.
During the visit, Rollins announced that the U.S. Department of Agriculture (USDA) would invest $25 million toward establishing a sterile fly dispersal facility in Arizona as part of the federal response to New World screwworm.
“Protecting American agriculture begins with protecting our borders and ensuring we have the strongest animal health safeguards anywhere in the world,” Rollins said. “The Douglas Port of Entry will reopen only because USDA has implemented one of the most rigorous livestock inspection protocols in history, giving us confidence we can safely resume this critical trade while ensuring cattle crossing the border are free from New World screwworm.”
As part of USDA’s phased reopening of 3 southern cattle ports for livestock trade, USDA will reopen the Douglas, AZ, port, which borders Sonora on Aug. 24, 2026. Every animal entering the U.S. through these ports will undergo a full USDA inspection to ensure it is free of any… pic.twitter.com/5k1HtOZSAU
— New World Screwworm Rapid Response (@Screwworm_RR) July 29, 2026
Ciscomani said Arizona livestock producers and agricultural leaders had pressed the department to establish a sterile fly facility in the state.
“Local agriculture leaders and I have been fighting to deliver this sterile fly dispersal facility because Arizona’s livestock industry cannot afford to wait on the New World screwworm threat,” Ciscomani said. “This $25 million investment is the direct result of that work, and I’m grateful to Secretary Rollins for listening to Arizona’s producers and delivering on it.”
Big things are happening in Douglas, AZ! 🐕🦺🐾🦺
As @USDA_APHIS prepares to deploy the New World screwworm detector dogs to the Douglas, AZ port of entry, we are fired up to support the mission — and have modified the cattle chutes to give these canine heroes the best possible… pic.twitter.com/OtmDqpXJLu
— New World Screwworm Rapid Response (@Screwworm_RR) July 30, 2026
The Douglas crossing was selected as the first port to reopen because the USDA considers Sonora among the Mexican states presenting the lowest screwworm risk, citing its animal-health inspection system and distance from the areas of southern Mexico where most cases are concentrated. The department said the closest active case to the Douglas port was approximately 325 miles away as of July 22.
The reopening remains contingent on Mexico’s compliance with a joint federal action plan and continuing USDA risk assessments. Following an evaluation of operations in Douglas, the department will consider reopening livestock crossings at Santa Teresa and Columbus, New Mexico.
Every animal imported through Douglas will receive multiple veterinary examinations, including an inspection by USDA veterinarians before entering the United States. Animals that fail to satisfy federal import requirements will be denied entry, and the discovery of New World screwworm would immediately halt imports through the port.
The USDA described the Arizona dispersal center as a proposed facility and said it would work with state officials to determine its specific location and operating plan in the Douglas area. The department said construction could be completed in as little as several months, depending on the selected site and available infrastructure.
Cochise County officials have proposed placing the center at Bisbee-Douglas International Airport, about eight miles from Douglas. The county has promoted the airport as a potential site because of its proximity to the border, transportation infrastructure, available land, and location in a less-populated area.
A previous USDA sterile fly facility operated near Douglas from 1963 until 1983. The former facility was located at Douglas Municipal Airport, approximately two miles from downtown.
Biggs led a June letter to Rollins urging the USDA to include Arizona in its long-term screwworm prevention and response strategy. The letter was signed by Crane, Ciscomani, and Reps. Paul Gosar (R-AZ-09) and Abraham Hamadeh (R-AZ-08) and identified the historic Douglas sterile fly facility site as a strategically valuable location for future production capacity.
New World screwworm is a parasitic fly whose larvae feed on the living tissue of warm-blooded animals, causing severe wounds that can become fatal. The pest can affect livestock, pets, wildlife, and, in rare cases, people. The USDA confirmed the first animal case in the current U.S. outbreak in a Zavala County, Texas, calf on June 3. Additional cases have since been confirmed in Texas and New Mexico, while Arizona has reported no confirmed cases.
The United States eradicated New World screwworm in 1966 through the sterile insect technique. The method releases sterilized male flies into affected areas. Female screwworm flies that mate with sterile males produce no offspring, reducing the wild population over successive generations.
The USDA said federal and state personnel have maintained trapping operations near Douglas during the past year. Nearly 1,000 captured flies were submitted for scientific testing, and none were identified as New World screwworm.
State Rep. Lupe Diaz (R-LD19), chairman of the Arizona House Land, Agriculture and Rural Affairs Committee, also attended the event and praised the federal investment and reopening plan.
“The port reopening demonstrates that we can protect American agriculture while responsibly restoring commerce through this vital trade corridor,” Diaz said. “USDA’s science-based approach includes multiple layers of inspection and strict federal oversight.”
✅Rep. Lupe Diaz Joins U.S. Agriculture Secretary Brooke Rollins for Douglas Port Reopening and Sterile Fly Center Announcement
"The new sterile fly distribution center at Bisbee-Douglas International Airport is another major step forward. It will serve Arizona, New Mexico,… pic.twitter.com/ebiGbaOoc3
— Arizona House Republicans (@AZHouseGOP) July 30, 2026
Arizona’s fiscal year 2027 budget allows the state Department of Agriculture to use up to $250,000 from the Commercial Feed Trust Fund for two full-time-equivalent positions. One is designated for expenses associated with the screwworm response. The department may conduct border inspections as part of that response if the border opens for live cattle imports, and the state veterinarian may oversee the response. The second position is designated for expenses involving foreign animal diseases or pests, USDA program diseases, zoonotic diseases, and other emerging animal-disease responses.
“The new sterile fly distribution center at Bisbee-Douglas International Airport is another major step forward,” Diaz said. “It will serve Arizona, New Mexico, Nevada, and California, giving western states a critical regional resource to combat the New World screwworm and protect our livestock industry.”
A judge ruled that a ballot measure to curb the influence of Arizona’s labor unions is unconstitutional.
The Maricopa County Superior Court issued its ruling on Friday against HCR 2040 because it included multiple subjects, and the Arizona Constitution requires ballot measures to contain a single subject. This has been the case since 2022, when Arizona voters approved a ballot measure making it a constitutional requirement for ballot measures to be limited to a single subject.
HCR 2040 was a legislatively referred constitutional amendment that would have prohibited school districts from using public funding and public resources to support labor organization operations, and prohibited the state and all its political subdivisions from negotiating with labor organizations.
“A school district employee has a right to negotiate the school district employee’s own terms and conditions of employment, including wages, benefits and working conditions,” stated the ballot measure. “This state or any political subdivision of this state may not negotiate with a labor organization or an exclusive representation agreement, collective bargaining agreement, memorandum of understanding, contract or other agreement regarding the terms and conditions of employment.”
If approved, the ballot measure would have effectively defunded teachers’ unions since they rely on school districts for dues collection. It would have also impacted pay negotiations for police and firefighters.
Democrats were against the ballot measure from the start. House Minority Leader Oscar De Los Santos (LD11) called it a “Republican attack” on first responders, educators, and unions.
🚨 BREAKING: Judge rules that HCR2040 — the Republican attack on public safety, police officers, firefighters, educators, and labor unions — is unconstitutional and kicks it off the November ballot.
Some Republicans, such as Rep. Matt Gress (LD4), agreed.
“At a time when public safety agencies face serious recruitment and retention challenges, our first responders must retain their ability to advocate for the resources they need to keep our communities safe,” said Gress in a statement.
Judge Greg Como ruled in Arizona Education Association v. State of Arizona that the ballot measure included two distinct prohibitions concerning labor unions: one applying to school districts and one applying to the state and its political subdivisions.
“While other provisions of HCR2040 address school districts, those provisions involve the use of public monies and resources to support labor unions,” said Como. “When the topic shifts to contracting with labor unions, the language takes a broader turn and applies to the state and ‘any’ political subdivision. As the provisions deal with separate prohibitions (use of public resources vs. contracting with unions), their context is different.”
Como ordered the secretary of state’s office to not include HCR 2040 on the 2026 General Election ballot.
Republican leadership within the Arizona legislature stated that they wouldn’t appeal the ruling.
HCR 2040 was floated amid negotiations between Republican lawmakers and the Arizona Education Association over the fate of the state’s school choice program, part of a plan by Republican gubernatorial nominee, Rep. Andy Biggs (AZ-05).
“I support a Biggs plan for a one-to-one ballot measure exchange — if the teachers union drops their anti-ESA measure, the Senate will repeal HCR 2040,” said Senate President Warren Petersen (R-LD14) in a statement last month.
I will always fight to protect school choice. To that end, I support the Biggs plan for a one-for-one ballot measure exchange – if the teachers union drops their anti-ESA measure, the Senate will repeal HCR 2040.
Short of this, I see little chance of a special session. I trust…
Republican Rep. Juan Ciscomani’s (R-AZ06) reelection campaign released a new advertisement Tuesday targeting Democratic challenger JoAnna Mendoza. The ad links Mendoza to Tucson Mayor Regina Romero and highlights Mendoza’s past comments about reallocating police funding.
The advertisement, titled “Radical Allies,” accuses Mendoza and Romero of sharing an approach to policing, taxation, and homelessness that Ciscomani’s campaign says has harmed Tucson. The spot concludes by warning of “fewer police officers,” “more dangerous streets,” and “the same failed radical policies.”
“JoAnna Mendoza has a clear record of undermining support for and trust in local law enforcement – just listen to her in her own words,” Ciscomani said.
Sharing the advertisement in a post to X, Ciscomani wrote, “JoAnna Mendoza is endorsed by Tucson’s Failed, Unpopular Mayor Regina Romero for AZ06.” He added, “ Under Romero’s failed leadership: Police officers and firefighters stretched thin, Homelessness and crime are rampant, Business owners left to pick up the mess.”
🚨RADICAL POLICIES. RADICAL ALLIES.🚨
JoAnna Mendoza is endorsed by Tucson’s Failed, Unpopular Mayor Regina Romero for AZ06.
Under Romero's failed leadership: ❌Police officers and firefighters stretched thin ❌Homelessness and crime are rampant ❌Business owners left to… pic.twitter.com/FwRy7thZBz
Ciscomani said residents of Arizona’s Sixth Congressional District deserve elected officials who prioritize public safety and provide law enforcement agencies with the personnel and equipment needed to protect their communities.
The advertisement describes Romero as a Mendoza ally and cites her endorsement of the Democrat nominee. Romero publicly endorsed Mendoza in July 2020, when Mendoza was running for the Arizona Senate in Legislative District 11.
“JoAnna has demonstrated her lifelong commitment to serving our country and the people of Arizona,” Romero said during the 2020 campaign.
Mendoza thanked Romero for the endorsement and said she had helped with Romero’s successful 2019 campaign to become Tucson’s first female and Latina mayor.
The Ciscomani campaign’s release did not identify a separate endorsement issued by Romero during the current congressional race. Romero is not listed on Mendoza’s current campaign endorsement page, which includes Democrat Sens. Mark Kelly and Ruben Gallego, Attorney General Kris Mayes, former Rep. Gabby Giffords, and several other elected officials and organizations.
Later Tuesday, Romero explicitly endorsed Mendoza in a post responding to Ciscomani, “@JuanCiscomani has failed Tucsonans. He voted to remove SNAP & Medicare benefits from children & seniors to give his billionaire buddies tax breaks. We need leadership that is more interested in results than theatrics. That is why we must retire Juan & elect @Mendoza4AZ.”
@JuanCiscomani has failed Tucsonans. He voted to remove SNAP & Medicare benefits from children & seniors to give his billionaire buddies tax breaks. We need leadership that is more interested in results than theatrics. That is why we must retire Juan & elect @Mendoza4AZ
Romero referred to Medicare in the post. Congressional Budget Office analyses of the reconciliation law identified Medicaid and SNAP as the principal benefit programs affected by reductions in federal spending.
Romero and Mendoza appeared together in February during a Tucson panel on gun violence with Giffords and Tucson Unified School District Governing Board member Natalie Luna Rose.
The new advertisement also draws from comments Mendoza made during a 2020 town hall hosted by the Arizona Clean Elections Commission and the Arizona Capitol Times amid nationwide protests and disputes over police funding.
“I support the reallocation of funding to programs that would allow people to live their best lives,” Mendoza said when asked whether she supported defunding police, according to a report from Fox News.
Mendoza identified social services, housing, public education, health care, economic stability, and environmental safety among the programs she believed should receive funding.
The Ciscomani campaign also cited Mendoza’s statement that police reform represented “one aspect of the systemic racism” present in the United States. The campaign characterized her support for reallocating funding as an endorsement of the movement to defund police departments.
Mendoza has rejected that characterization. Her campaign told Fox News that she supports providing police with additional resources, including training and body cameras, and said she has repeatedly opposed defunding law enforcement.
“I do not support defunding the police,” Mendoza said during another virtual event in 2020. “Police officers are being asked to do too much.”
Mendoza reiterated that position in an opinion article in the Arizona Daily Star in March 2026 that was republished be her campaign.
“The answer is not to defund law enforcement—it’s to fund law enforcement with intention,” Mendoza wrote.
She called for additional training, body cameras, clear identification, and oversight while expressing support for police officers, Border Patrol personnel, and immigration agents who lawfully perform their duties.
Ciscomani’s campaign also highlighted federal funding the congressman has supported for local public safety agencies. His congressional office said he obtained $4.2 million in Community Project Funding to replace aging Tucson Police Department vehicles.
A January spending package included $809,687 for replacement radios for the Sahuarita Police Department. Ciscomani has also sponsored legislation intended to establish coordination centers where federal, state, local, and tribal law enforcement agencies could conduct joint operations.
Ciscomani and Mendoza advanced to the Nov. 3 general election after running without opposition in their respective July 21 primaries. Ciscomani has represented the district since 2023 and won reelection in 2024 with 50.0 percent of the vote, defeating Democrat Kirsten Engel by 10,822 votes.
