Glendale Prop 499 Defeated By Save Glendale Jobs Coalition

Glendale Prop 499 Defeated By Save Glendale Jobs Coalition

By Matthew Holloway |

The City of Glendale’s Proposition 499, the “Hotel and Event Center Minimum Wage and Wage Protection Act,” was soundly defeated on Election Day. The defeat was a rebuke to Worker Power, a California special interest group seeking “economic justice and the preservation of democracy.” Prop 499 was met with staunch opposition in Glendale from the coalition “Save Glendale Jobs,” funded by hospitality industry leaders and supported by three Glendale Councilmembers Lauren Tolmachoff, Joyce Clark, and Vice Mayor Ian Hugh.

The ballot measure would have mandated “hotel and event center workers receive a $20.00 per hour minimum wage (increases annually), service charge payments and premium pay to be enforced by a newly created city department of labor responsible for investigating employer violations involving payment of wages, reporting, recordkeeping, and overtime requirements.”

Hotel developer Chris DeRose, president of CivicGroup LLC, a firm seeking to bring a LivSmart by Hilton Hotel to downtown Glendale, was joined on a conference call prior to the vote by Clark, Hughe, Tolmachoff and Councilmember-elect Dianna Guzman. DeRose explained the serious problems that the proposition would cause for the burgeoning West Valley City, deep in an extended project of downtown revitalization as well as business owners.

“We’re in the process of taking that out to capital. Then we get a proposition that gets ballot access that threatens to upend all of our economic modeling and throw uncertainty into the whole project,” DeRose explained.

“Unfortunately, that’s frozen us in our tracks because whether you’re talking to a bank or you’re talking to investors, they want to know, ‘Hey, what’s the labor cost here?’ For a hotel, your number 1 expense, especially in a limited-service model where you don’t have F&B, it’s salary for staff. And so, this proposition has created uncertainty, and we’re not able to answer those very basic questions right now. And as a result, we’re not able to move the project forward.”

He added that the proposition appeared to be a “Trojan horse.”

“What’s really unusual about this, it’s a minimum wage that’s really – it’s a proposition that is disguised as a minimum wage. The minimum wage part is the Trojan horse.”

“The problem is that there’s actually a cap on productivity and that is unprecedented. I don’t know of another jurisdiction in America where you have a cap on productivity and in this case it’s 3,500 square feet, which is about 10 hotel rooms.”

Councilmember Clark noted the serious impact the proposal could have had on Glendale’s competitiveness in attracting businesses saying, “I think it’s important to note that Glendale will be the only city in the state to mandate $20 an hour. And overtime, it’s more than that. It’s $40 an hour, which people are not paying attention to. It puts Glendale at a competitive disadvantage with every city in the state and the Common Sense Institute says that it may cost Glendale anywhere from a million dollars on up annually just to regulate this and in lost revenue from other projects that may have considered locating in Glendale.”

Councilmember Tolmachoff expressed concerns about navigating the regulatory mandate the city would be required to assume saying, “To put the city in a position to be a regulatory authority and to have to intervene and interact between a civil disagreement between an employee and an employer is absolutely no place for a city to be.”

Save Glendale Jobs Chair Kim Grace Sabow said in a statement after the proposition’s defeat:

“I extend my sincere appreciation to Glendale voters, who chose to preserve and protect the jobs our industry creates. I want to thank the many supporters of our effort, without whom this result would not have been possible, including key business leaders, elected officials, and law enforcement. I also want to thank our dedicated campaign team, which expertly managed every aspect of this campaign, and our volunteers, who spread the word across the city about how damaging this measure would be. Together, we formed a mighty coalition.

“I am thrilled for Glendale, which I am certain will not only continue to grow and create more outstanding destinations, attractions, and experiences for visitors but will also continue to deliver more great jobs and career opportunities for Glendale residents.”

According to Maricopa County Elections, the proposition was defeated by 15.32 pts., or approximately 10,338 votes as of this report.

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

Common Sense Institute Issues Ballot Guide For Arizona Voters

Common Sense Institute Issues Ballot Guide For Arizona Voters

By Daniel Stefanski |

An Arizona thinktank has released its ballot guide for local and statewide propositions facing voters in the November General Election.

Last week, the Common Sense Institute Arizona issued a ballot guide for a number of local and statewide propositions. The report analyzes Scottsdale Proposition 490, Glendale Proposition 499, Proposition 138, and Proposition 312.

“In a year where many Arizonans will face the longest ballot in recent history, CSI is pleased to provide this resource on some of the statewide and local ballot questions that have economic implications,” said Katie Ratlief, Executive Director of the Common Sense Institute. “CSI strives to be a go-to resource for voters looking for just the facts, data, and impact on jobs. We hope this resource will be helpful to voters in making informed decisions in 2024.”

The summary of Scottsdale Proposition 490, according to CSI, is that it “would enact a new transaction privilege and use tax at a rate of 0.15% to fund city parks and preserves.” CSI’s bottom line for Prop 490 is as follows: “Given the local nature, small size, and offsetting public spending of the proposed tax, its economic impacts are difficult to model and probably small. Given clarification that this is a new tax, city voters must decide whether a new $30 million annual sales tax is needed to maintain and protect its popular parks and preserves within the larger context of the total city budget.”

The summary of Glendale Proposition 499, according to CSI, is that it “would enact a $20 minimum wage for certain hotel and event center workers, set limitations on the amount of square feet a room attendant can clean before earning twice the hourly wage rate, require service charges to be distributed directly to the person performing the service, and establish a new City Department of Labor Standards.”

CSI’s bottom line for Prop 499 is as follows: “Ultimately, if enacted, the Act would have dramatic implications for the city of Glendale and its economy. Though the implications would play out over time, rather than immediately, the results would be stark. Glendale is long, thin, and surrounded by the state’s urban core. The assets it has invested in — like State Farm Stadium — may be fixed, but other event and accommodation facilities could easily relocate outside of Glendale and still be within a mile or two of major landmarks.”

The summary of Proposition 138, according to CSI, is that it “will modify the minimum wage credit for tipped workers in the state through a constitutional amendment from $3/hr to 25% of the current state-wide minimum wage amount so long as the individual makes at least $2 above the state-wide minimum in wages and tips combined. CSI estimates the 25% offset in Prop 138 would be $3.69/hr in 2025.”

CSI’s bottom line for Prop 138 is as follows: “By lowering labor costs for certain tipped workers in the Arizona economy, the state’s minimum wage tipped worker credit supports a higher overall level of employment in these industries than would happen otherwise. The current fixed dollar credit both declines in relative value over time (when the minimum wage is increased) and is vulnerable to changes when the minimum wage itself is changed (since it is a part of state law).”

The summary of Proposition 312, according to CSI, is that it “would allow property owners in the state to apply for a property tax refund if the city or locality in which the property is located does not enforce laws or ordinances regarding illegal camping, loitering, obstructing public thoroughfares, panhandling, public urination or defecation, public consumption of alcoholic beverages, and possession or use of illegal substances.”

CSI’s bottom line for Prop 312 is as follows: “Property crime, illegal camping, the public use of drugs and alcohol, and other public nuisances are on the rise in Arizona. The impact of this is disproportionate, however — the problem is often isolated to specific areas. While this can limit the exposure of the city as a whole to the issue, for property owners in these areas, the impacts can be significant if the issue isn’t mitigated.”

The ballot guide also includes a number of key facts for each proposition that allows voters to obtain more information and context as they research the reasons and importance of the measures.

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

RFK, Jr., Tulsi Gabbard Rally Full House At Arizona Christian University

RFK, Jr., Tulsi Gabbard Rally Full House At Arizona Christian University

By Matthew Holloway |

Reformed Democrats Robert F. Kennedy Jr. and Tulsi Gabbard pumped up the pro-Trump  crowd at Arizona Christian University in Glendale on Saturday, railing against the hyperbolically left Democratic National Committee as having become the “party of war,” “the party of censorship.”

According to the New York Post, former Presidential candidate RFK, Jr., told the rapt audience, “Today it’s become the party of war, it’s become the party of surveillance, it’s become the party of censorship.” He added, “It’s no longer the party that I recognized.”

The event, entitled “Team Trump’s Reclaim America Tour,” was attended by approximately 600 people as reported by AZ Central, with more turned away at the door due to the size of the more intimate venue. The discussion was moderated by independent journalist Jessica Reed Kraus.

Kennedy’s showstopper moment came while explaining the withdrawal of his candidacy for President saying, “The reason I terminated my campaign is because it became clear to me my remaining in this campaign was going to bring to power a candidate who I believe will be easily manipulated by the deep state, by the national security state, by the intelligence agencies, to keep us in a state of continual war and seal the destruction of the United States of America.”

Gabbard echoed Kennedy’s sentiment, the outlet reported, noting that the Harris campaign would see America mired in “continual war,” citing the endorsement of anti-Trump GOP former Vice President Dick Cheney.

She referred to the Democratic Party as an “elite cabal,” and “warmongers,” asking, “How could I […] align with a party that stands for tyranny and war?”

The former Congresswoman cited efforts by the left to target both Kennedy and President Trump via “systematic weaponization of government.” 

Gabbard countered, “We the people are far more powerful than them, which is why they are trying to destroy us, but we the people will not let them do that.”

As noted by the Post, Gabbard made a clear distinction between her and Kennedy’s message and the hyperpartisanship of the election at large. She told attendees the goal of their tour is to “point out the truth that this is not about Democrats versus Republicans. This is about our country.’

“This is about we the people standing up for freedom. This is about we the people standing up for peace.”

When asked about the pair’s future in the Trump campaign, Gabbard quipped, “Well I think Bobby and I are going to be on the road for the next 51 days,” and explained that despite her name not being on the ballot, as most politicians are who say it, “this is the most important election of our lives.” Wistfully noting that the waves in her home state of Hawaii “are really good right now,” she emphasized that the next 51 days will be filled with “conversations like this.”

Kennedy, answering the same, said his next trip home wouldn’t be for three weeks.

Brian Hughes, a senior Trump campaign advisor said in a statement released in late August that Robert F. Kennedy Jr. and Tulsi Gabbard have been added to the Trump/Vance Transition team. He wrote, “As President Trump’s broad coalition of supporters and endorsers expands across partisan lines, we are proud that Robert F. Kennedy Jr. and Tulsi Gabbard have been added to the Trump/Vance Transition team.” What roles the two will play in the second Trump administration remain unclear.

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

Glendale Prop 499 Defeated By Save Glendale Jobs Coalition

New Report Warns Of Job Losses, Massive Economic Costs With Glendale’s Prop 499

By Matthew Holloway |

The Common Sense Institute of Arizona (CSI) released a report Wednesday which outlines the implications and economic impact of the City of Glendale’s far-reaching “Hotel and Event Center Minimum Wage Protection Act” (Prop 499). The act is set to be considered by voters on November 5.

The initiative, launched by the non-profit organization “Worker Power Political Action Committee,” has been challenged by the City of Glendale on the basis that it violates the State of Arizona’s “Single Subject Rule” limiting initiatives to act upon a single issue, The case is now headed to the State Supreme Court according to AZ Central.

The report from CSI Arizona details that the initiative, if it becomes law, would mandate that hotel and event center employers pay their staff a minimum of $20 per hour, and places narrow restrictions on the duties they may perform and the duration for which they may perform them. As Brunner explains, “For example, it prescribes how many square feet can be cleaned in a hotel before the employer is required to pay twice the room attendants’ regular rate of pay for each hour worked during that workday, and establishes new requirements on how Hotel and Accommodation firms treat certain revenues and records.”

The act would furthermore require the City of Glendale to create an entirely new enforcement division in order to enforce the mandate and hire staff to conduct investigations. It would also price non-union labor out of the market per the report.

The CSI found that the new law, if enacted, would, “reduce Gross Domestic Product (GDP) in Glendale by between $120 million and $1.9 billion.” Given that the city’s event and accommodation industries account for approximately 8.2% of Glendale’s entire economy, the blow to the city’s tax base could be severe.

“Depending on how the industry responds to the new policies, between 1,700 and 32,000 Glendale jobs could be impacted. Impacts will range from the elimination of existing jobs subject to the new rules, to reduced work hours, to the movement of jobs outside the city. How much of each and when will determine where things fall in this range.”

In a post to X, the CSI explained, “The Minimum Wage Act would impose significant costs on the city of Glendale, requiring the creation of a new Department of Labor Standards to enforce the Act’s provisions. CSI estimates the city would need to spend $995,000 to $1.9 million annually to manage these new requirements.”

Compellingly, the CSI report referecnces similar policies put in place around the country as “instructive examples,” of the likely ramifications of enacting the restrictive law.

“This year California instituted a $20 per hour minimum wage for fast food workers leading restaurant owners to reduce staff hours, lay off part-time staffers, and limit overtime pay. Also this year, Long Beach, CA passed a ballot initiative instituting a $23 per hour minimum wage for hotel workers. On the consideration of increasing hotel and airport workers’ minimum wage to $25 per hour, the President of the Valley Industry and Commerce Association said ‘increasing the hourly wage by $6 or $7 this year alone could cost an employer about $14,000 more per worker.’ For Arizona to pass a $20 minimum wage for hotel and event center workers in Glendale, it could cost employers up to $10,756 per affected worker -through a combination of either direct increased wage costs or efficiency losses as employers mitigate the impacts by reducing staff, cutting hours, or moving business activity. Much of this cost will likely be passed onto consumers in the form of higher prices and increased fees (as has been the case in California). This may further incentivize both customers and operators to seek alternatives outside the city.”

With Glendale and the city’s businesses banking heavily on the much ballyhooed Mattel Adventure Park at the VAI Resort set to open in late 2024, according to a park representative, and the growing impact of the Westgate Entertainment District and State Farm Arena on the local economy, the impacts of this measure could be devastating.

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

President Trump To Rally At Glendale Venue VP Harris Didn’t Fill

President Trump To Rally At Glendale Venue VP Harris Didn’t Fill

By Matthew Holloway |

President Donald J. Trump will be visiting Arizona on Friday according to an announcement from Turning Point Action. Trump will be visiting the border with Mexico on Thursday and holding a rally at the Desert Diamond Arena in Glendale on Friday. After Vice President Kamala Harris and Gov. Tim Walz tread water in Chicago at the DNC with radical leftists breaking down barricades, their opponent, resurgent in the polls, will be touching down in the Arizona battleground and playing to a 20,000 seat arena.

Turning Point Action touted the visit on their website writing, “In his first scheduled rally following the conclusion of the DNC in Chicago; the rally will provide President Trump, Turning Point PAC and Turning Point Action speakers their first opportunity to react to updates and news from the convention, as well as take direct aim at Kamala Harris’ economic proposals that have been widely-criticized by mainstream, and even left-leaning news media as ‘communist’ policies that have ‘failed’ in the Soviet Union, Venezuela, and Argentina.

Harris and Walz rallied in the same arena on August 9. Doubtlessly both campaigns will seek to compare audience sizes and enthusiasm. The Harris event allegedly drew a crowd of 15,000 or 75% occupancy according to the outlet. Based on a study from the Harvard Kennedy School’s Ash Center for Democratic Governance and Innovation, the event on Friday will be telling with a unique opportunity for an apples to apples comparison. On average in 2024, Trump events have drawn about 5,000 attendees cross 28 rallies so far. Biden, before dropping out, only drew about 1,300 average across the four rallies he held. Meanwhile Harris and Walz have capitalized on post-Biden enthusiasm and played exclusively to larger venues with an average across the six venues so far of about 13,400 attendees.

Trump last played in Arizona to a packed house at the Phoenix Dream City Church, and the 3,000 seat venue was easily overwhelmed by the response. Trump’s rallies routinely have crowd responses that pack houses and overrun venue capacities.

The Trump campaign said in a press release,

“President Donald Trump and JD Vance are heartbroken to see the path of death and destruction left behind by Kamala Harris and Tim Walz. Hard-working Arizona families are paying a steep price for Kamala’s dangerously liberal agenda that is devastating American cities with skyrocketing costs and crime ridden streets. 

Kamala’s open border policies are fueling a drug crisis in the state. In Maricopa County, more than three people die every day on average due to fentanyl. Over half of the total fentanyl pills entering the country originate from the Arizona border. Fentanyl has overtaken meth as the deadliest drug in Arizona. Enough Fentanyl was seized last year to kill every Arizonan 14 times over. 

President Donald Trump and JD Vance will fight to ease the financial pressures placed on households and re-establish law and order in Arizona! We can Make America Great Again by tackling lawlessness head-on, ceasing the endless flow of illegal immigrants across our southern border, and reversing the detrimental effects of inflation by restoring people’s wealth.

Republican Senate nominee Kari Lake is expected to speak at the rally as well according to her post to X on Monday.

Since President Joe Biden stood down from the 2024 election, Arizona’s battleground status was entrenched with Harris enjoying a bump from 2 to 5 percent in polls according to RealClearPolling. However, in the past two weeks the race has narrowed to within a single percentage point per the RCP average. Prior to Biden’s withdrawal, Trump enjoyed a firm 5-6 point advantage over the former Democrat incumbent that only grew as concerns over Biden’s viability grew.

In Glendale the event’s doors are set to open at 11:00 a.m. and President Trump is expected to deliver his remarks at 4:00 p.m., although other speakers will be presenting starting at 2 p.m.

General admission tickets are available on DonaldJTrump.com.

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