by Matthew Holloway | Jun 27, 2025 | News
By Matthew Holloway |
After 28 years, the sound of passenger trains arriving in Phoenix could return as soon as 2030. The Federal Railroad Administration has approved the essential scoping documents that will allow the Arizona Department of Transportation to create a Service Development Plan, completing the first stage of the Phoenix-Tucson Intercity Passenger Rail Corridor Study.
The effort will propose passenger rail service along a 158-mile corridor between the greater Phoenix and Tucson metropolitan areas and will include re-routing the Amtrak Sunset Limited back through Phoenix according to ADOT.
According to Federal Railroad Administration’s FY22 Corridor Identification and Development Program Selections, “The proposed corridor would reconnect Phoenix (Buckeye) to Tucson, AZ, with multiple daily frequencies. The proposed corridor would reinstate service on an existing alignment over which Amtrak discontinued service in 1997, rerouting the long-distance Sunset Limited to a more southerly alignment through Maricopa, AZ (the corridor would use the same route as the existing Sunset Limited/Texas Eagle between Picacho and Tucson, AZ). The corridor sponsor would enter Step 1 of the program to develop a scope, schedule, and cost estimate for preparing, completing, or documenting its service development plan.”
Step 1, as described by the 2022 document, has now been completed.
The Sunset Limited Route, and Amtrak service overall, was diverted from Phoenix following the attack that resulted in the derailment of the train at 1:35 a.m. on October 9, 1995, near Palo Verde, Arizona, 70-miles southwest of Phoenix.
The infamous derailment caused the death of an Amtrak employee and serious injuries to 12 others, along with minor injuries to 100 of the 258 passengers aboard. It remains one of the most famous cold cases in FBI history with no suspects despite a $310,000 reward still offered by several agencies for information leading to the arrest and conviction of the attacker.
Since 1997, Phoenix has remained disconnected from the Amtrak Intercity Rail system with riders required to use buses or drive to the Amtrak depot in Maricopa, Arizona, 38-miles to the south, or about an hour’s drive in traffic.
Democrat Congressman and former Phoenix Mayor Greg Stanton hailed the announcement in a post to X writing, “I’ve been fighting to restore Amtrak service to Phoenix for a long time, and today it’s one step closer to becoming a reality.”
In a written statement, current Arizona Gov. Katie Hobbs commented, “This is a big step forward for Arizona. I am committed to creating a bright transportation future for our state that fosters economic growth, creates jobs and expands transit opportunities for working people and families.”
The second stage of the process, the creation of a Service Development Plan, is expected to take two to three years after a crucial federal grant is approved, which is anticipated in the weeks to come per ADOT. The study, already funded with a $10.6 million budget, will include technical analysis of “capital and service requirements for passenger rail service; preliminary engineering and costs for capital improvements, such as stations, parking lots and trains; station locations; [and] service scenarios based on ridership potential.”
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 Jonathan Eberle | Jun 26, 2025 | News
By Jonathan Eberle |
Arizona Governor Katie Hobbs on Tuesday vetoed a continuation budget passed earlier in the day by the state House of Representatives, sharply criticizing House Republicans for what she called “pointless political grandstanding” just days before the June 30 budget deadline.
The House-passed stopgap measure aimed to keep the government operating past the end of the fiscal year while negotiations continued over a full budget agreement. But Hobbs swiftly rejected the proposal, calling it a “sham budget” that threatens critical state services and derails the bipartisan progress already made in the Senate.
“For months, I worked with leaders of both parties, in both chambers, to craft a bipartisan, balanced, and fiscally responsible budget that the majority of Senate Republicans support,” Hobbs claimed in a statement. “That budget has pay raises for State Troopers and firefighters, cuts taxes on small businesses, invests in combatting Veterans homelessness, and makes childcare more affordable and accessible.”
The governor’s veto comes amid rising tensions between the House and executive branch. House Speaker Steve Montenegro (R-LD29) had framed the continuation budget as a responsible step to avoid a shutdown after the Senate-negotiated agreement failed to garner enough support in his chamber. “We owe it to the people we serve to take the time needed to get this right,” Montenegro said. “This continuation budget ensures state services remain funded while giving lawmakers the time to work toward a better, more responsible solution.”
Governor Hobbs, however, dismissed that reasoning and accused House Republicans of endangering essential state services for political gain. “I have long made clear that both of the partisan and reckless House Republican budgets are unacceptable,” she said. “They gut public safety, slash health care for Arizonans, harm businesses, fail to lower costs, and leave our Veterans out in the cold.”
With just five days remaining before the state’s fiscal year ends, the legislature remains without an approved budget. Hobbs urged lawmakers to abandon political brinkmanship and adopt the bipartisan budget already passed by the Senate.
“Now, it’s time for House Republican leadership to move past their political stunts and work productively with their colleagues before they force an unnecessary state government shutdown of their own creation,” she said.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
by Jonathan Eberle | Jun 22, 2025 | News
By Jonathan Eberle |
A scheduled confirmation hearing for Karen Lee Peters, Governor Katie Hobbs’ nominee to lead the Arizona Department of Environmental Quality (ADEQ), was abruptly postponed on Wednesday by the Senate Director Nominations Committee.
Committee Chair Sen. Jake Hoffman (R-Queen Creek) announced the delay just hours before the hearing was set to begin, citing unresolved questions about certain aspects of Peters’ background that surfaced during the vetting process.
“Based on possible discrepancies with information relating to items we vetted, further clarification is necessary prior to holding Ms. Peters’ confirmation hearing,” Hoffman said in a written statement. He did not specify the nature of the discrepancies, nor whether they pertained to Peters’ previous professional experience or policy positions.
The postponement also came as the Arizona Senate worked to advance the state budget, which Hoffman noted was straining staff capacity.
“Given the Senate attempting to move the state budget today, our staff is stretched thin, and it is best to simply table the nomination for now,” Hoffman said. “I have communicated to Hobbs’ staff that we will reschedule her hearing soon.”
Peters’ confirmation is one of several being closely watched, as the Republican-controlled Senate continues to scrutinize the Democratic governor’s nominees for key state agencies.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
by Jonathan Eberle | Jun 22, 2025 | News
By Jonathan Eberle |
With less than two weeks before Arizona’s fiscal year ends, a deepening budget dispute between the state House and Governor Katie Hobbs escalated Saturday, as House Speaker Steve Montenegro announced plans to introduce a continuation budget to keep state government running past the June 30 deadline.
Montenegro said the House would move forward with a stopgap measure after determining that the Senate-passed executive budget, negotiated by Hobbs and Republican Senate leaders, lacks sufficient support to clear the House.
“The executive budget plan passed in the Senate does not have the votes in the House—with bipartisan opposition from Republicans and Democrats,” Montenegro said. “Now, with time running out and no viable path forward for their plan, it’s our responsibility to act to prevent a shutdown.”
He added that House Republicans had already passed their own budget last week, which he said focused on public safety, infrastructure, and government accountability—but that proposal was “ignored by the Senate.”
“The House is not going to be forced into a take-it-or-leave-it deal that doesn’t reflect the will of our members or the people we represent,” Montenegro said. “We will do what responsible legislators should do: take action to keep government running and protect Arizona taxpayers.”
A continuation budget, currently being drafted, would maintain current funding levels to preserve essential government operations while lawmakers continue to negotiate. However, the governor swiftly condemned the plan and signaled she would veto any such proposal.
In a statement, Governor Hobbs accused House Republicans of abandoning bipartisan talks and attempting to “jam through an irresponsible and partisan ‘budget.’”
“For months I have worked with leaders of both parties, in both chambers, to craft a bipartisan, balanced, and fiscally responsible budget,” Hobbs said. “Sadly, House Republican leadership abdicated their responsibility and refused to meaningfully participate in those bipartisan conversations.”
Hobbs warned that the continuation budget would gut pay raises for state troopers and firefighters, slash childcare and education funding, raise taxes on small businesses, and eliminate key investments in veterans’ services and wildfire mitigation.
“Speaker Montenegro knows this, yet he has chosen to continue with this farce as an exercise in pointless political grandstanding,” she said. “His reckless actions jeopardize basic government functions with potentially devastating consequences.”
The governor also criticized House Republicans for seeking an increase in their own per diem pay while proposing cuts to public safety and education programs.
“This irresponsible House Republican budget will raise costs and make our state less safe, less secure, and less competitive,” she added. “It’s time for House Republican leadership to come back to reality, stop wasting everyone’s time, and show some common sense by working with their colleagues in a productive fashion.”
With the June 30 deadline approaching, the battle over Arizona’s budget now hinges on whether either side can reach a new agreement—or whether the impasse will trigger a government shutdown.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
by Matthew Holloway | Jun 20, 2025 | News
By Matthew Holloway |
Only weeks after refusing to comply with an Executive Order to reactivate the Cholla Power Plant in Northern Arizona, Arizona Public Service (APS) has filed documents with the Arizona Corporation Commission (ACC) requesting an increase in the state-regulated electrical utility’s revenue of $579.5 million. That equates to a jump in residential electrical rates of approximately 14.5%. The hike would represent a 30% increase in residential rates since 2023.
The utility is also seeking permission from the Commission to unilaterally adjust prices annually using “rate design schedules.” APS justified this request to the ACC in the 2,323-page application docket claiming, “The costs to ensure reliable service to customers have rapidly increased due to high rates of inflation, persistently high interest rates, and continued supply chain and trade policy volatility.”
The utility alleged that a “significant revenue deficiency … based on the 12-month period that ended on December 31, 2024 (Test Year), demonstrates that APS’s current rates do not recover sufficient revenue to ensure reliable service.”
Notably, APS and its parent company, Pinnacle West Capital Corp., did have enough revenue to give Governor Katie Hobbs $250,000 for her inauguration and even bankrolled her legal battle with Kari Lake to the tune of $100,000.
“The tremendous growth across APS’s service territory shows no sign of letting up, with the Company’s infrastructure and reliable energy supply providing the backbone of this historic expansion,” APS said. “And yet, with high rates of inflation, persistently high interest rates, and continued supply chain volatility, the costs to serve current APS customers (let alone prepare for growth) are substantially higher than when the test year concluded in the Company’s last rate case.”
Just one year ago, the ACC approved a rate increase for residential customers of approximately 8 percent. That was followed by significant turnover in the commission with Republican newcomers Rachel Walden and Rene Lopez joining incumbent Lea Márquez Peterson to defeat the Democrat nominees and lock down all five seats for the GOP.
In the upcoming 2026 election, Arizona Reps. David Marshall and Ralph Heap are challenging incumbent commissioners Chairman Kevin Thompson and Vice Chairman Nick Myers. During a Tuesday presser, Marshall and Heap accused the commissioners of excessive price hikes and blocking President Donald Trump’s energy agenda.
“We have some families now who have to make a decision. Do I buy less groceries so I can pay my power bills? Or just deal with it or go without power,” Marshall told reporters.
“The Corporation Commission may not always make the headlines,” he added. “But the decisions made there affect every one of us every single day.”
In a statement responding to the primary challenge from Reps. Marshall and Heap, Commissioners Thompson and Myers defended their record saying, “We’ve taken steps to ensure our utilities are planning responsibly and not chasing costly, agenda-driven energy mandates. That’s why we required APS to prove in its 2023 Integrated Resource Plan that it has enough reliable and dispatchable generation to replace retiring plants. And it’s why we initiated the termination of Kris Mayes’ Renewable Energy Standard, which was an outdated mandate that artificially inflated utility costs by forcing ratepayers to subsidize unreliable, high-cost sources like wind and solar.”
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.
