Despite opposition from local leaders and community organizers, Governor Katie Hobbs has signed SB 1543 into law, a move that will significantly curtail the ability of residents in cities like Scottsdale to refer zoning decisions to the ballot. The legislation, which passed the Arizona Legislature along party lines earlier this month, takes aim at local control.
The law applies retroactively, nullifying a referendum effort by nearly 27,000 Scottsdale residents who had petitioned to challenge a city council-approved expansion plan by public safety technology company Axon. The referendum would have placed the matter on a future citywide ballot, giving voters the opportunity to weigh in on the project’s future.
In a letter sent to Governor Hobbs prior to her decision, Scottsdale Mayor Lisa Borowsky and the full City Council warned that SB 1543 “undermines the principles of local control that are foundational to Scottsdale’s governance” and “sets a dangerous precedent.” The city emphasized that the referendum effort was not a protest against development, but rather a call for public input on a high-impact zoning change.
The controversy began after the Scottsdale City Council voted in November 2024 to approve Axon’s expanded development plans. While the company’s previously approved headquarters from 2020 remains intact, the new proposal includes nearly 2,000 multifamily residential units; over 400 hotel rooms; and approximately 47,000 square feet of retail and restaurant space.
Many residents argued that the expansion warranted broader community input, prompting a grassroots petition drive that garnered tens of thousands of signatures. However, with SB 1543 now law, the referendum effort has been invalidated, and Scottsdale voters will not have the opportunity to decide on the matter at the ballot box.
SB 1543 removes the ability of residents in cities of certain sizes—including Scottsdale—to challenge zoning decisions. Supporters, including Republican legislative leaders, say the law clears the way for large-scale development projects and reduces delays caused by ballot initiatives. Critics, however, argue it silences community voices and weakens the checks and balances that local governments rely on.
City leaders have expressed concern that the legislation fails to address critical issues related to growth, including increased traffic and infrastructure strain. “These are not abstract issues—they impact the daily lives of our residents,” the city wrote in its plea to the Governor.
With the law now enacted, Scottsdale is weighing legal and procedural responses to preserve local authority, while other municipalities watch closely to see how the law will be implemented and challenged.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
“Drain the swamp” is fun to say, and it makes for a great slogan for an election campaign. But too often, that’s where it stops. How many times have you heard politician after politician use such a phrase only to be elected and leave the swamp intact—or make it murkier? But now, it’s 2025. President Trump is back in office, and he is setting a standard of excellence when it comes to draining the swamp—especially on some key issues. And Scottsdale’s newly elected city council is following his lead.
President Trump unleashed a torrent of Executive Orders that have unleashed fossil fuel production in America, rolled back the Green New Deal climate cult fantasy, ended DEI and other race-based hiring and employment practices, and is taking a sledgehammer to the administrative state by letting Elon Musk identify and eliminate billions in wasteful spending.
As we have watched the Trump team move at warp speed to deliver on their campaign promises, we were curious to see if any other state or local governments would follow Trump’s lead at plowing ahead with DOGE-style meaningful reform. Here in Arizona one city has: Scottsdale…
On Tuesday, the Scottsdale City Council voted 5-2 to ensure that merit-based hiring, evaluation, and promotion replaces “unlawful and anti-meritocratic forms of discrimination,” and that the use of city funds for diversity, equity, and inclusion (DEI) cease.
Despite the protests of 45 activists, along with current and former city employees, the vote carried with the newly elected council members and mayor acting on the mandate voters gave them in November.
The council also voted 5-2 to enact an ordinance requiring all city employees to return to in-person work. In both votes, Councilwomen Maryann McAllen and Solange Whitehead dissented. Mayor Lisa Borowsky voted with the majority. According to the text of the City Council Meeting Agenda, the new Ordinance No. 4662 will:
“1. Ensure city employees are hired, evaluated, and promoted based on merit, protecting City of Scottsdale employees from unlawful and anti-meritocratic forms of discrimination, and ensuring that residents and taxpayers are served by the most qualified city employees.
2. Discontinue the use of city funds for Diversity, Equity, and Inclusion (DEI) systemic programming, to include the Office of DEI, DEI programming and trainings, and other initiatives that could arguably violate A.R.S. § 41-1494. Training and prevention of unlawful discrimination remains encouraged and shall continue.
3. Direct the City Manager, or designee, to reassign the Diversity Program Director and ADA/Title VI Compliance Coordinator to an appropriate department and position; reflect these changes in the city’s organizational chart; and make the necessary budget transfers and amendments necessary to carry out the intent of this Ordinance.”
Councilman Adam Kwasman, a supporter of the ordinances, stated that equity needs to be removed from government because “it infers that equal justice under the law cannot exist. … It imposes a racial hierarchy predicated upon a narrative of past injury at the cost of equality.” Kwasman has been a prominent voice decrying the public being “bombarded with DEI” by the city.
You can’t walk into Scottsdale City Hall without being bombarded with DEI. This poison will be rooted-out of our beautiful city. No matter one’s race, orientation or creed, we value content of character. pic.twitter.com/dho2n4OU7a
Two members of the council attempted to forestall the vote by calling for a work study to be completed, examining the city’s DEI practices. However, this attempt was voted down.
Kwasman addressed the City Council and the activists in attendance by pointing out that the city’s compliance with the Americans with Disabilities Act would not be affected nor would the city’s stance on anti-discrimination practices,
“Tonight, there is a purposeful conflation between intentions of those who do not believe in certain government programs and those who have a heart that’s aimed true and caring toward a diverse crowd. Toward somebody, toward a diverse community, to belief in equity, to a belief in inclusion because the definitions of diversity, equity, and inclusion are wonderful. They’re wonderful. Nobody questions it. Diversity brings together people from different backgrounds and different viewpoints. It enhances decision-making. It prevents group think.
“Equity is a centuries-old concept of law. It boils down to treating people fairly. And who could object to making people feel welcome where they live and work? You’re doing a good job. The problem, the problem is where the rubber meets the road. The problem is that DEI, as practiced here and elsewhere, it runs policies through the lens of race and sex and other identity categories. It actively prevents… it actively prevents diversity of viewpoint. It subverts equal opportunity in favor of an artificial equality of outcome. It excludes those believe whose beliefs diverge from a narrow orthodoxy.
“Companies, as of today, that have moved away from DEI include the following, as of today: Disney, GE, PayPal, Comcast, Amazon, Bloomberg, McDonald’s, Walmart, Lowe’s, Ford, Jack Daniels, which I think we all need one after tonight, Harley-Davidson, and John Deere.
“Scottsdale must be a city where all are welcome…to build a future and a flourishing future for themselves and their families, a place where everyone is treated equally and fairly under the law. This ordinance does not get rid of our ADA compliance, nor does it get rid of our anti-discrimination ordinance. And I stand with the Mayor when she stated that if there is ever an instance of discrimination in this city, I will stand shoulder to shoulder along with everybody on this dais to fight discrimination.”
WATCH THE MEETING:
The ordinance will directly impact two city roles: the city ADA coordinator, whose office would be relocated, and the Diversity Director, who may be reassigned.
The outgoing Scottsdale City Council has busied itself with passing certain left-leaning priorities.
The election of several new faces to the Scottsdale City Council ensured what effectively amounted to an overhaul of the status quo, which was a council in favor of more progressive policymaking such as sustainability plans aligning with those proposals put forth by the Green New Deal.
The incumbent council members lost their seats, several to more conservative challengers. Mayor Dave Ortega lost to Lisa Borowsky, though he beat her previously in 2020. Adam Kwasman and Maryann McAllen were newly elected, ousting incumbents Tammy Caputi and Tom Durham.
Kwasman said in a post on X that the outgoing “lame duck” council was focusing its last weeks in office on “slamming through” action items on apartments, appointments to citizens’ commissions, and a sustainability plan. Kwasman said the current council has exhibited “extremely regrettable” behavior.
“We will do all we can to reverse the damage done,” said Kwasman.
It is extremely regrettable to see what is likely to come out of the Scottsdale City Council over the next few weeks.
Rather than create a smooth transition with the newly-mandated council majority, the lame duck council is slamming through thousands of apartments, appointing…
Earlier this month, the council worked on the nominations for 14 committee vacancies across the Environmental Advisory Commission, Historic Preservation Commision, Library Board, McDowell Sonoran Preserve Commission, Neighborhood Advisory Commission, Paths and Trails Subcommittee, and Veterans Advisory Commission.
Scottsdale Vice Mayor Barry Graham claimed that the outgoing council majority and city staff were working to limit public opposition to the lineup of more progressive policymaking in the works.
Graham asserted that city staff had “misrepresented” one of Tuesday night’s contested agenda items as a discussion-only item — a rezoning and development agreement to establish headquarters and housing for the Scottsdale-based weapons defense company Axon — but then agendized it as an action item.
“[City staff] are warning that residents may be turned away at the door and sent across the street to an ‘overflow’ waiting area… a strategy that may favor the applicant,” said Graham.
Tonight, Scottsdale City Council Votes on Axon's Apartment Application.
City staff—who misrepresented the item as a "discussion" when it's agendized for "action"—are warning that residents may be turned away at the door and sent across the street to an "overflow" waiting area… pic.twitter.com/Wn1q172KG4
Last week, Graham addressed the outgoing councilmembers’ commitment to assigning their preferred committee members.
“Because commission terms last for years, I requested that my colleagues postpone their lame duck December appointments of commissioners by two weeks as a good-faith gesture toward the newly-elected council,” said Graham. “Even though you chose not to re-elect any of them, the outgoing members insist on pushing through their midnight appointments.”
Later this month, the council plans to review a sustainability plan to implement “extreme heat” strategies.
Although council seats are nonpartisan, most of the incoming council members have Republican backgrounds. McAllen was the only registered Democrat in the group and received backing from Democratic groups.
Kwasman formerly served as a Republican lawmaker in the Arizona House from 2013 to 2015, and ran for Congress in 2014.
Jan Dubauskas, who won through her primary victory in August, has been an active member in local Republican organizations, serving as a precinct committeewoman as well as Palo Verde Republican Women vice chair of community outreach.
Mayor-elect Borowsky has advocated for fiscal conservatism to complement and boost Scottsdale’s economy. Borowsky previously served on the council from 2009 to 2013, and ran for Congress as a Republican in 2012.
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We are in the middle of an election season, having just completed a primary election with the general election coming in November. With many important and highly contested races, emotions run high on both sides of the political aisle, sometimes leading people to do dumb things.
Most people want an honest, fair election process with all candidates given the same opportunity to get their name out in front of the voters and make their case as to why people should vote for them.
The Scottsdale city elections, including the mayor and city council, are non-partisan. The election for the Scottsdale Unified School District Governing Board is also non-partisan. Name recognition becomes more critical in those races. Candidates for those offices rely on signs to create name recognition with the voters. The idea is that when people cast their votes, they will see a familiar name on the ballot.
Removing political signs not only interferes with the election process, but it is also illegal.
Those who continue to remove political signs in Scottsdale need to be aware that under Arizona Revised Statute 16-1019, it is a class 2 misdemeanor for any person to knowingly remove, alter, deface, or cover any political sign of any candidate for public office. This includes school board candidates.
In Arizona, a class 2 misdemeanor is a serious charge resulting in up to four months in jail and a $750 fine for a first-time offense. The second conviction could result in six months in jail, a $2,500 fine, and up to three years’ probation.
Think you won’t get caught? Remember there are cameras everywhere, and a sign could very well come with a tracking device that could lead right back to you.
During this political season, there has been a lot of talk about protecting our democracy. No matter which side you are on, removing political signs is a bad idea. Let the candidates get their names and policies in front of the voters, without interference, and may the best candidates and ideas win.
If you think the only way your candidate can win is to silence the other candidates, then maybe you are supporting the wrong candidate.
Mike Bengert is a husband, father, grandfather, and Scottsdale resident advocating for quality education in SUSD for over 30 years.