by Matthew Holloway | Feb 26, 2026 | News
By Matthew Holloway |
Arizona House Concurrent Resolution 2048, sponsored by State Representative Michael Way (R-LD15), passed the Arizona House Government Committee last week in a party-line vote and now heads to the full Arizona House of Representatives.
HCR 2048 is a proposed constitutional amendment that would prohibit salary increases for elected state officers from taking effect during their current term. It would also require legislators, the Governor, and other statewide executive officers to forgo regular salaries and subsistence payments if the general appropriation bill is not signed into law by April 30.
The measure states that compensation withheld during a budget delay would not be paid retroactively. Salaries would resume with the first full pay period after the budget becomes law.
“If we do not pass a budget on time, we should not get paid. It is that simple,” Way said in a statement. “Arizonans are expected to meet deadlines in their jobs. Lawmakers should be held to that same standard. If we fail to finish the budget by April 30, there should be consequences.”
The resolution is described as complementing House Concurrent Resolution 2005, introduced by Rep. Justin Wilmeth (R-LD2), which would require the Legislature to adjourn its regular session by April 30.
“Deadlines matter,” Way said. “Families and businesses across Arizona operate on them every day. State government should do the same.”
If approved by the full Legislature, HCR 2048 would be referred to Arizona voters at the next general election.
Way represents Legislative District 15, which includes Mesa and Queen Creek in Maricopa County and San Tan Valley in Pinal County.
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.
by Ethan Faverino | Feb 6, 2026 | News
By Ethan Faverino |
State Representative Michael Way (R-LD15) has introduced House Concurrent Resolution 2048 (HCR 2048), a proposed constitutional amendment that would hold Arizona’s elected officials financially accountable for failing to pass a state budget on time.
If approved by the Arizona Legislature and subsequently by voters in the next general election, HCR 2048 would amend Article V, Section 12 of the Arizona Constitution.
The measure would require that the Governor, all statewide executive officers—including the Secretary of State, Attorney General, State Treasurer, Superintendent of Public Instruction, and Lieutenant Governor—as well as all members of the Legislature, forgo their regular salaries and subsistence payments whenever the general appropriation bill for the upcoming fiscal year has not been signed into law by April 30.
Compensation withheld under this provision would not be paid retroactively once a budget is finally enacted; instead, salaries and payments would resume only on a forward basis, beginning with the first full pay period after the budget becomes law.
“Taxpayers do not get paid for work they do not finish, and lawmakers should not be treated any differently,” expressed Rep. Way. “We are elected to do one essential job each year, pass a state budget. If we fail to meet that deadline, we should not collect a paycheck.”
Rep. Way noted that Arizona has long experienced recurring delays in budget passage, with deadlines frequently treated more as flexible guidelines than firm requirements. “For too long, budget deadlines have been treated as suggestions instead of requirements,” Rep. Way added. “HCR 2048 changes the incentive structure and makes elected officials accountable for doing the job they were sent here to do.”
The resolution operates alongside HCR 2005, which would require the Legislature to adjourn its regular session by April 30 of each year. Together, the two measures aim to shorten the prolonged legislative sessions and bring greater discipline to the annual budget process.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Matthew Holloway | Jun 16, 2025 | Economy, News
By Matthew Holloway |
A new report from the Common Sense Institute of Arizona (CSIAZ) has laid to rest claims that Arizona’s budget deficit stems from the state’s adoption of a 2.5 percent flat tax. The report found that the deficit is attributable to increased spending by the state in the last year. The report also found that in defiance of detractors, the flat tax has actually led to an increase in state tax revenues, and Arizona is once again experiencing a budget surplus.
In a statement, CSIAZ Director of Policy & Research Glenn Farley said, “The facts tell a very different story than many of the headlines would lead us to believe. The data shows us that Arizona’s revenues are strong, local governments are collecting more than ever, and education spending is at an all-time high. The flat tax has not created a revenue crisis—but rapid and unsustainable spending growth has created real budget pressures. If we want to restore stability, we need to focus on the underlying drivers of the imbalance.”
The report from CSIAZ offers a direct refutation of a claim made by the far-leftist think tank Center on Budget and Policy Priorities (CBPP), which claimed in 2024 that the state would face a $1.6 billion deficit through fiscal year 2025 due to the flat income tax and universal private school vouchers. This assessment, however, leaves off a critical necessity in any conservative budget: spending cuts.
Farley and Senior Economist Thomas Young found unequivocally, “Since the flat tax passed, state revenues have grown by $3.3 billion. But the state budget is 25% larger than it was; at peak spending was up $3.7 billion, and even today it’s still up over $2.5 billion versus pre-flat Tax. If spending had followed historical trends, Arizona would have had a $4.3 billion surplus rather than a $1.6 billion cash shortfall last year.”
Farley and Young also debunked a claim from Dave Wells, Research Director at the Grand Canyon Institute (GCI) on “Arizona Horizon” who claimed in October 2024, “The flat tax’s $2 billion annual cost has had visible consequences and was a prime contributor to the budget deficits and cuts made during this legislative session.” They noted that despite forecasts that the budget would cost $4 billion over the next decade, updated estimates accounting “for dynamic effects and rapid growth in other tax types,” adjusts that to a more modest $1.4 billion impact while “revenue growth from a strong economy has more than offset the difference, meaning the state still collects more each year than before the tax cut.”
Much closer to home, claims that the tax reforms haven’t helped everyday Arizonans can be confidently cast aside with the fact that the average Arizonan saves about $400 per year from the flat tax while per-capita income has risen by 68% since 2015, with Arizona’s economic growth far outpacing the rest of the nation.
The report also addressed claims that the reforms hurt city budgets, despite the reforms increasing the share of state income tax filtered down to city and municipal governments by three percent from 15% to 18%, totaling an additional $250 million over two years. The report also refuted claims that education spending would be cut as a result of the flat tax with K-12 education spending up nearly 80% since 2010, growing by 14% since 2022.
Essentially, CSI Arizona has shown that arguments against a flat tax are definitively driven by politics and rhetoric, not facts.
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.
by Matthew Holloway | Feb 28, 2025 | News
By Matthew Holloway |
Rep. David Livingston, Chairman of the Arizona House Appropriations Committee, issued a letter to Governor Katie Hobbs this week calling on her to publicly acknowledge her responsibility for a $122 million shortfall in the Arizona State Developmental Disabilities (DDD) program and work with the Republican-controlled legislature to correct the problem. Livingston noted that “Despite repeated requests for meaningful discussions, the Governor and her staff have refused to engage.”
Hobbs has faced sustained criticism from Livingston, the Goldwater Institute, and Arizona State Treasurer Kimberly Yee who described the situation as “unfortunate gross financial mismanagement by the Hobbs Administration.”
In his letter to Hobbs, Livingston wrote, “For the past seven weeks, I have held seven Appropriations Committee hearings, laying out in clear detail how your administration’s budget mismanagement is creating serious financial risks for the state. At every turn, I have asked for serious, responsible discussions to address this situation, yet your office continues to say you ‘aren’t ready.’ Meanwhile, rather than engaging with the Legislature in good faith, you and your staff have chosen to issue public statements, assign blame, and demand more taxpayer dollars—without addressing the broken system that led us here. Here’s the reality:
- The $122 million shortfall in the Developmental Disabilities (DDD) program stems entirely from unilateral decisions made by your administration. The Legislature was never consulted before these funds were spent, yet now taxpayers are being asked to cover the consequences.
- Last week, Democrats attempted to force through $122 million in additional spending without any structural reforms or accountability measures—a short-term band-aid that does nothing to prevent future financial shortfalls. Republicans rejected this reckless approach because real solutions require responsible budgeting, not knee-jerk political stunts.
- Your budget proposal is grossly unbalanced, leaving out over $800 million in expenses. Yet, your office suggested to reporters that lawmakers should simply “pass it” and trust the same administration that created this crisis to handle the details. That is not how responsible government works.”
Livingston emphasized that while Hobbs has opted “instead for public statements and political posturing,” Arizona families have suffered the consequences and “remain uncertain about critical services.”
In his letter, he implored the Governor, “You have a choice: You can work with us to fix this problem responsibly, or you can continue making public statements while Arizona families and service providers face uncertainty.” He added, “What we need is real accountability, long-term planning, and meaningful reforms to ensure this program is funded properly—not just for today, but for the future.”
The Appropriations Chairman closed his letter on an affirmation that “The Republican Majority in the House and Senate is committed to responsible budgeting and ensuring that Arizona families have the services they need—without reckless overspending.” He offered Hobbs a final recommendation: “It is time for you to step up, take responsibility, and come to the table.”
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.
by Matthew Holloway | Feb 19, 2025 | News
By Matthew Holloway |
Last week, the Chairman of the Arizona House Appropriations Committee, Rep. David Livingston, praised Treasurer Kimberly Yee for her recent letter reporting on allegations of “missing money,” somehow “misplaced” by Democrat Governor Katie Hobbs. Yee explained that the “missing money…appears to be unfortunate gross financial mismanagement by the Hobbs Administration.”
Chairman Livingston said in a statement, “I appreciate Treasurer Yee’s clarity in addressing the financial mess Governor Hobbs has created. The issue isn’t ‘missing money’—it’s blatant mismanagement.”
“Under the Governor’s feckless leadership, state agencies are making massive spending decisions with zero legislative oversight, ballooning costs, and expecting taxpayers to foot the bill. This kind of incompetence cannot stand.”
Livingston has been among the legislators expressing increasing alarm over the State of Arizona’s Developmental Disabilities Program (DDD). The program is presently staring down insolvency in a matter of months due to decisions made by Hobbs’ Office.
“This Governor is running Arizona’s budget into the ground,” Livingston added. “She’s refusing to control spending, and instead of making responsible choices, she’s leaving families on the hook for her failures. The Republican Majority Legislature won’t stand by while she bankrupts the state.”
According to Matt Beienburg of the Goldwater Institute, the budget proposed by Hobbs in late January is “mismanagement at its worst.” He explained, “Her recently released budget plan seeks to tear down Arizona’s Empowerment Scholarship Account program (ESA), the most successful school choice program in the country, even as it fails to account for more than $800 million in statutorily required spending on the state’s Medicaid program.”
In a letter to Hobbs in early February, Livingston called the Governor out for “fiscal mismanagement and lack of legislative consultation.” He claimed that the Hobbs administration has failed to control costs, noting that the program’s supplemental funding needs have ballooned from $109 million to $122 million in just weeks. He observed that in the case of the DDD, “Under Governor Hobbs’ watch, the cost of this program has exploded from $750 million to $1.5 billion.” He added, “The Legislature was blindsided by these numbers, and we need immediate answers on how the administration plans to rein in spending before Arizona families are left with nothing.”
“The state must act now to fix this before families pay the price for this administration’s failure,” Livingston said, according to the Arizona Daily Independent. “We can’t afford more of the governor’s last-minute budget negotiations while programs Arizonans depend on collapse.”
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.
