by Staff Reporter | Jan 24, 2026 | News
By Staff Reporter |
The Arizona State Land Department (ASLD) may be prioritizing the construction of solar panels over new home construction.
The agency maintains a unique map for “best” locations to put solar — but they don’t maintain similar maps for ideal locations for other industries, like housing, mining, and grazing for agriculture.
ASLD’s Land Parcel Viewer has a unique dataset for mapping existing and ideal spots for solar, complete with ratings: 0.0 to 0.9 for the best in green, all the way to 5.0 to 10.0 for the worst in red.
The map shows where parcels are for mineral and oil and gas, and whether those are unleased or permitted; the locations of rights of way and their perpetuity; and where grazing allotments exist. However, it does not offer any compatibility measure for the available land for each industry.
These industries would require knowledge to include resources, depth, size, and proximity to development for mining; animal unit month (the forage amount required for one animal per month), slope, and grass type and quality for grazing; soil conditions, water supply, and slope for agriculture; and path of development and slope for housing.
Spencer Kamps, vice president of the Home Builders Association of Central Arizona, said in a statement that the unique treatment of mapping land by ASLD may give the solar industry an unfair competitive edge in arguing for priority land use.
“In the absence of a similar map for other industries, some might say the solar map is serving functionally as a ‘presumptive highest and best use map,’ which gives solar a ‘rebuttable presumption’ of highest and best use in each parcel indicated in green,” said Kamps.
Last September, Gov. Katie Hobbs issued an executive order directing ASLD to outline proposals to streamline and expedite energy infrastructure projects on state land, as well as accelerate those energy-related projects already underway.
ASLD should have delivered the requested report last October.
The governor’s order also established a task force to come up with a strategic plan to “cut red tape related to the lease, sale, or other use of state lands in a way that advances the streamlined deployment of necessary generation and transmission projects.
That plan is part of three reports due by March 1 of this year. That task force, announced last November, includes ASLD Commissioner Robyn Sahid.
The two other reports include a policy framework for large energy users — data centers — to balance state interests in expansion with ratepayer costs, and an energy strategy plan to capitalize on technologies such as geothermal and advanced nuclear power.
Hobbs also directed her Office of Resiliency to use State Energy Program funding to fund one full-time staffer for ASLD to complete work on energy infrastructure projects.
ASLD doesn’t just have criticisms coming from the industries that sustained the state economy long before solar came on the scene. The state legislature believes the agency is in need of serious reform.
The House and Senate Joint Legislative Committee convened earlier this week to discuss ASLD’s scheduled sunset later this year.
In a significant departure from the standard renewal period of eight years for a state agency, the committee instead opted for a four-year continuation with conditions attached.
Official recommendations from the committee attributed their decision to “deep, longstanding issues” within the agency, describing its operations as an opaque, “unaccountable ‘black box’” per a press release issued on Wednesday.
Several of the committee recommendations outlined in the press release concerned solar leases and sales.
The committee advised the agency open additional investigations into intentionally vacant land, commissioner-initiated sales with only one bidder, solar leases and sales with only one bidder, reclamation of lands after solar leases, vacant land located within municipalities, vacant land location within five miles of urban areas, and vacant land located within 10 miles of urban areas.
Rep. Gail Griffin, committee co-chair, said in that press release the agency’s longstanding issues have worsened under Gov. Hobbs’ administration.
“Licensing timeframes, five-year disposition plans, and written policies and procedures are essential to upholding the best interests of the trust. These were the top issues,” said Griffin. “The Commissioner acknowledged these issues during her confirmation hearing and committed to fixing them, but they haven’t been fixed. The captain isn’t steering the ship.”
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by Matthew Holloway | Jan 25, 2025 | News
By Matthew Holloway |
Governor Katie Hobbs is now facing a serious legal challenge from the Goldwater Institute, acting on behalf of the Home Builders Association of Central Arizona, to put a stop to what Goldwater described as “one of the most significant bureaucratic overreaches in Arizona’s history.”
On Wednesday, Goldwater announced the lawsuit against Arizona’s Democrat Governor stating that Hobbs is “taking illegal actions” that would worsen the state’s ongoing housing crisis by imposing a certification requirement in parts of Maricopa County that, in addition to showing a 100-year groundwater supply, must also meet the dubious standard of “unmet demand.”
Writing for Goldwater, Stacy Skankey explained, “Although the phrase ‘unmet demand’ does not exist in Arizona law, this new rule now requires homebuilders to show a 100-year groundwater supply across the entire water management area (a specially designated area with a reliance on groundwater) rather than at the site of the proposed development. In other words, if a groundwater shortage is projected anywhere within a management area, the Department of Water Resources now claims that there is insufficient groundwater elsewhere in the Valley.”
As reported by AZ Free News in December, Goldwater penned a letter to the Arizona Department of Water Resources (ADWR) urging the agency under Hobbs to reconsider its “AMA Wide Unmet Demand Rule,” noting that the new rule was in violation of the law having been imposed without legislative approval or via the required rulemaking process.
According to ADWR, “Unmet demand occurs when the model cannot simulate pumping of all demands included, thereby creating a pumping shortfall or deficit. This pumping shortfall or deficit occurs when there is insufficient saturated aquifer to satisfy the pumping demand (i.e., the depth-to-water level reaches bedrock) or when the depth to water exceeds 1,100 feet after 100 years of simulated pumping.”
Essentially, unmet demand occurs when the state’s modeling is insufficient to predict demand. In other words, the basis for shutting down Arizona housing development is that the Hobbs administration’s simulation doesn’t work.
As noted in an op-ed for the AZ Capitol Times by CEO of the Home Builders Association of Central Arizona Jackson Moll and Goldwater Institute Vice President for Litigation Jon Riches, the Phoenix Active Management Area (AMA) Groundwater Model being used by the Hobbs administration, coupled with the ‘unmet demand’ standard, moves the goalposts on developers who have mitigated impact on the state’s water needs for nearly 30 years by replenishing pumped groundwater back into the water table.
Riches said in a statement, “Decisions on vital statewide concerns like the availability of affordable housing and the responsible stewardship of our natural resources should be made through a transparent, democratic process—not imposed by executive fiat.”
Moll added, “Gov. Hobbs’ deeply inaccurate and flawed claim that Arizona is running out of groundwater is having devastating effects on housing affordability in the state, which already ranks among the worst in the country.”
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 | Jan 12, 2025 | Economy, News
By Matthew Holloway |
The Town of Gilbert is the target of a lawsuit by the Goldwater Institute on behalf of the Home Builders Association of Central Arizona and a local property owner, Jonathan Barth, for allegedly violating the Arizona Constitution which bans tax increases on “services.”
According to Goldwater, the tax increase imposed by the Town of Gilbert includes “many types of business that do not produce tangible goods, such as advertising, photography, utilities, hotel/lodging, and construction.”
Goldwater is challenging two of the tax increases in particular: on homebuilding and short-term rental properties.
As noted in the text of the lawsuit, the Arizona Constitution prohibits “any county, city, town, municipal corporation, or other political subdivision of the state, or any district created by law” from creating any new or increasing any existing transaction-based taxes on the “privilege to engage in, or the gross receipts of sales or gross income derived from, any service performed in this state.”
The new tax ordinance in question, per the Town of Gilbert’s website, imposes a 0.5% increase in the existing sales tax and creates a “use tax” to be “paid for by residents and businesses when purchases are made online with out-of-state vendors who do less than $100K of sales in Arizona per year.”
The lawsuit explains that, “As a result of the Ordinance, individuals, businesses, and taxpayers, including Plaintiff Jonathan Barth, who engage in the rental or lease of real property, including for transient lodging, will pay a higher tax rate for the services they perform. Additionally, individuals, businesses, and taxpayers that engage in general contracting services, including the members of Plaintiff Home Builders Association of Central Arizona (“HBACA”), will pay a higher tax rate on the services they perform.”
Barth, an educator and father of five, will be impacted because he earns supplemental income by managing his detached bungalow as a rental for short-term tenants. He told Goldwater, “This tax hike makes it all the more difficult to make ends meet in Gilbert.”
Former Mayor Brigette Peterson and all of the members of the Town Council are named as defendants in addition to the town itself.
The town allegedly intends to use the projected $55 million yield of this new tax for “Critical Infrastructure Projects,” adding that “Time is of the essence as many of Gilbert’s services are over capacity and new infrastructure is needed.”
The Goldwater Institute has found however, that these “Critical Infrastructure Projects,” include pickleball courts, splash pads, a ropes course, and a “statement” bridge.
The Home Builders Association of Central Arizona (HBACA) told Goldwater that the new taxes will result in increased construction costs in the town as well. HBACA CEO Jackson Moll warned, “Gilbert officials are trampling on their own constituents’ rights with no regard for the consequences their illegal actions will have on taxpayers and homebuyers. The Arizona Constitution is clear: increasing taxes on services, including on construction contracting, is unlawful.”
As previously reported by AZ Free News, the Goldwater Institute pursued a similar action against the Town of Payson in September when the Town Council decided to incur a $70 million debt via a bond measure without a public referendum.
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 Corinne Murdock | Mar 27, 2024 | Economy, News
By Corinne Murdock |
Home builders are warning that Gov. Katie Hobbs’ moratorium on home building will hurt the state’s economy severely.
The Home Builders Association of Central Arizona (HBACA) cited a recent study by Elliott Pollack, a Scottsdale-based real estate and economic consulting firm.
“From an economic perspective, the sudden and drastic measures announcing no new certifications of assured water supply from groundwater created uncertainty and risk, an effective deterrent to potential investors in our state’s economy,” read the study. “The prevailing sentiment that Arizona is out of water is now a significant hurdle that requires educating all future potential investment in our State.”
The study projected that the governor’s moratorium on new builds, imposed last June by ceasing certifications of assured water supply, could cost the Phoenix area over 26,000 jobs over the next decade. That, along with a projection that the moratorium would exacerbate the state’s affordable housing crisis.
Hobbs issued the moratorium in response to an Arizona Department of Water Resources (ADWR) report projecting a 100-year deficit of four percent in groundwater for the greater Phoenix area.
Assured water supply requires demonstration that developers have a plan to use groundwater in compliance with water management rules set by the ADWR and facilitated by the Central Arizona Groundwater Replenishment District (CAGRD).
After ADWR allowed CAGRD membership to meet the renewable water management obligations in 1995, an estimated 460,000 homes were built, bringing in over 1.2 million residents. CAGRD’s existence ensured that water providers and landowners wouldn’t be on the hook for assuring the 100-year renewable water supply up front.
After the ADWR rule change concerning CAGRD, Elliott Pollack reported that the state brought in $50.4 billion in wages and $135.7 billion in economic impact. CAGRD region residents also spent over $180 billion in the local economy, and contributed over $35 billion in tax revenues.
According to a long-term forecast by the Maricopa Association of Governments (MAG), one out of seven newly built homes would be in Buckeye by 2030, with an estimated 14 percent of new builds cropping up in the city through 2060. That’s up to 3,700 new builds annually on average. However, Elliott Pollack said that this long-term forecast wouldn’t come to fruition under Hobbs’ moratorium — meaning, the expectation of the economy-boosting annual influx of around 10,000 new residents wouldn’t occur.
The study further projected the moratorium could cause mass out-of-state migration by escalating home prices in formerly affordable housing regions, with the supply of homes under $400,000 dwindling or ceasing to exist altogether. The median home price in Arizona sits at around $434,000.
Mortgage rates would demand a minimal income of about $100,000 to afford a $400,000 home. Census data estimated that around 40 percent of the greater Phoenix area’s population made $100,000 or more as of 2022, and further estimated median household income to be about $72,000.
That means about 60 percent of the area wouldn’t be able to afford a home in the area.
The study also found that most out-of-state migration from Arizona was to cities with more affordable homes. Out of nearly 30 cities analyzed, 25 had median home prices more affordable than Arizona’s.
Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.
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