by Matthew Holloway | Oct 5, 2025 | Economy, News
By Matthew Holloway |
The White House Council of Economic Advisers (CEA) released a memo on Friday, detailing the state-level impacts of the government shutdown imposed by congressional Democrats and detailing the projected effects. The effects on Arizonans could be profound if the shutdown is not resolved quickly.
According to the Council of Economic Advisers, Arizona could face a decline of $296 million in Gross State Product each week or approximately $1.3 billion per month, and an increase in unemployment of about 1,000 people. Around 58,000 federal employees, or about 1.8 percent of Arizona’s workforce, could face furlough without pay.
For Arizona seniors and those who receive SSI disability benefits, they will be “likely delayed for those that(who) receive their Social Security benefits by check instead of direct deposit,” per the CEA. In Arizona, approximately 6,200 seniors currently receive their benefits by check.
If the shutdown extends beyond 30 days, the Supplemental Nutrition Assistance Program (SNAP) benefits of 887,000 total enrollees, including 344,000 children, could be impacted.
However, the council warned that families relying on WIC are at greater risk of disruption, saying, “Due to the government shutdown, federal funding for the Women, Infants, and Children (WIC) program stops immediately and becomes reliant on very limited local contingency funding. If the government shutdown is prolonged, those reserves are likely to run out by the end of the first week. In Arizona, there are approximately 153,000 WIC recipients who rely on the program for nutritional support for themselves and their children.. “
Seventy-six million dollars in small business loans, such as those made available to the victims of the Dragon Bravo and White Sage Fires, could also be delayed. Federal contract spending is expected to lose approximately $560 million should the shutdown persist for one month. Overall, the council warns that Arizona could lose $15 billion in GDP each week the government is shut down — a crisis that will ripple across every state.
Kush Desai, a White House Spokesperson, said in a statement emailed to AZ Free News, “President Trump and Republicans remain committed to ensuring families receive the support they deserve. Sadly, Democrats have chosen to shut down the federal government for political purposes…The Democrats’ shutdown is hurting the American people and letting millions of Americans’ livelihoods hang in the balance. Democrats need to vote on the clean, bipartisan funding extension.”
In a press release issued Thursday, Arizona Congressman Abe Hamadeh (R-AZ08) explained that Congressional Democrats are ultimately responsible for this shutdown. He stated, “This nonpartisan funding bill, passed 13 times under Biden, was rejected by Democrats solely due to their opposition to the new president. Their shutdown halts critical services like benefits for Veterans, military pay, and national security programs.”
Hamadeh added, “As the White House points out, the Democrats proposal would require Medicaid to pay more for emergency care provided to illegal aliens than it does for American patients who are disabled, elderly, or children.’ That is unacceptable. We can no longer afford to fund the results of the Biden Administration’s broken border scheme. Americans deserve a functioning government, and House Republicans delivered by voting to keep it open. Yet, Democrats voted to shut it down, prioritizing free healthcare for illegal immigrants over American citizens’ needs.”
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 | Aug 17, 2025 | Economy, News
By Jonathan Eberle |
Main Street confidence ticked upward in July, with the NFIB Small Business Optimism Index rising 1.7 points to 100.3, edging above its long-term average for the first time in months. The lift was driven largely by more owners reporting better business conditions and viewing it as a good time to expand.
The latest figures, however, paint a mixed picture. While sentiment improved, NFIB’s Uncertainty Index climbed eight points to 97, and labor quality has re-emerged as the top challenge, cited by 21% of owners, the highest share since early spring.
Survey results show growing confidence in day-to-day operations. Thirteen percent of owners rated their business health as “excellent,” up five points from June, and 52% said it was “good,” up three points. Reports of “fair” or “poor” conditions declined. Owners’ outlook on the economy also improved: the net share expecting better business conditions jumped 14 points to 36%, well above historical norms. Sixteen percent said it is a good time to expand, up from 11% last month.
Even with the improved outlook, sales remain a point of concern. Eleven percent named poor sales as their most pressing problem — the highest since February 2021. Inflation worries held steady at 11%, the lowest level since September 2021, though 28% plan to raise prices in the months ahead, a sign that cost pressures persist.
Worker shortages remain acute. Thirty-three percent of owners reported job openings they could not fill, the lowest since December 2020 but still well above average. Of those hiring, 84% said they had few or no qualified applicants. Plans to boost pay are cooling: 27% reported raising compensation in July, down six points, and 17% plan to do so in the next three months. Labor costs were named the top concern by 9% of respondents.
Capital investment showed modest improvement. Fifty-five percent of owners reported spending in the past six months, with the largest share buying new equipment. Still, plans for future capital outlays remain below long-term averages. Borrowing conditions are relatively stable, with only 4% saying their last loan was harder to get. Interest rate concerns remain low, though 25% of owners borrow regularly — a historically small share.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
by AZ Free Enterprise Club | Aug 3, 2025 | Opinion
By the Arizona Free Enterprise Club |
This year, the tax cuts from the Trump Tax Cuts and Jobs Act of 2017 were set to expire. Failing to extend the cuts would have resulted in a 22% tax hike for the average taxpayer. For Arizonans, it would have meant an average tax increase of $2,824. And there would have been an even larger tax increase for Arizona small businesses. Thankfully, earlier this summer Congress finally passed Trump’s One Big Beautiful Bill (OBBB), not only extending the personal income tax cuts from 2017 but making them permanent.
The OBBB also included several new tax provisions as well, such as no tax on tips and overtime, an increase in the standard deduction, full expensing and special depreciation for business, just to name a few. This assortment of changes to federal tax law now leaves states like Arizona with a big decision to make: provide partial conformity tax relief, full tax relief, or do nothing and provide no conformity tax relief at all.
This should be an easy choice, as choosing the non-conformity option would leave Arizona taxpayers with one big ugly tax bill to pay.
How big of a tax bill?
>>> CONTINUE READING >>>
by Jonathan Eberle | Jul 19, 2025 | News
By Jonathan Eberle |
The Goldwater Institute has filed a federal lawsuit against the Equal Employment Opportunity Commission (EEOC), demanding answers about an ongoing government case targeting a California-based moving company with a $15 million fine for alleged age discrimination.
At the center of the dispute is Meathead Movers, a family-owned business founded in 1997. The company has grown into California’s largest independently owned moving company, employing more than 300 workers. Its business model emphasizes physical endurance and customer service, with employees jogging to and from trucks when not carrying furniture.
The EEOC launched an investigation into Meathead Movers in 2017, accusing the company of discriminating against older applicants and using marketing materials that allegedly promote age bias. The case is unusual because it is an “agency-initiated” lawsuit—meaning the EEOC filed it without an official complaint from an alleged victim. The EEOC only pursues a small number of such cases each year.
According to the Goldwater Institute, that lack of a public complaint is precisely why the group is now suing the federal government. In March, the Institute submitted a public records request asking the EEOC to disclose whether any individuals had actually filed complaints against Meathead Movers and whether similar actions had been taken against other companies. The EEOC denied the request, citing privacy concerns.
The Goldwater Institute argues that the refusal to disclose this information violates federal transparency laws. “Privacy is for individuals, not government agencies,” the Goldwater said in a statement. “Transparency is a legal requirement, especially when taxpayer-funded agencies wield their power against private businesses.”
Critics of the EEOC’s case say the lawsuit defies common sense. Moving companies, by nature, require employees capable of lifting heavy furniture and working long hours in physically demanding conditions. The Goldwater Institute points out that Meathead Movers has employed workers of all ages and argues there is no evidence of systemic discrimination.
“This isn’t just about one company,” said a spokesperson for the Goldwater Institute. “If the government can pick a successful business, launch a multimillion-dollar enforcement action without an actual complaint, and then refuse to explain why, it sets a dangerous precedent for small businesses everywhere.”
As the lawsuit moves forward, the Goldwater Institute says it will continue to press for the release of records, arguing that public accountability is at stake.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
by Matthew Holloway | May 9, 2025 | Economy, News
By Matthew Holloway |
Kelly Loeffler, Administrator of the U.S. Small Business Administration (SBA), stopped in Arizona as part of her nationwide tour for National Small Business Week.
During an interview with Arizona’s James T. Harris on KFYI, Loeffler described the disastrous state of the SBA as she took office following her confirmation, and her efforts alongside President Donald Trump to get both the SBA and the small businesses it supports back to work.
Asked by Harris what happened when the SBA building went from a “ghost town,” to “workers actually show up and do the job,” she said, “It’s incredible. And it’s great to be part of President Trump’s restoration of main street across every corner of this great nation. He believes in the American worker. He believes in American industry. And he believes in getting the government back to work. And that’s what I did on my first day when 90% of the office was empty. We got people back to work real quick, and that’s thanks to President Trump’s leadership. And also, thanks to the fact that we have a lot of work to do getting back to working for the American people on main street not the globalists. Working for our job creators and not bureaucrats.”
Posting to X, Loeffler wrote, “Our job creators have endured endless challenges over the last four years. It’s great to see the optimism returning to Main Streets across America – including here in Arizona.”
Asked how American small businesses are driving the revival of the U.S. economy, Loeffler was fulsome in her praise:
“Well, it’s been incredible. I’ve been out across the country visiting our manufacturers of which there are thousands in this country, and they all tell me we have been fighting for two decades to make sure that people understand we can make it in America. And they’ve been hiring, they’ve been building. And now that President Trump is back in, they’re investing because reassuring and onshoring our supply chains is absolutely critical. It creates tremendous economic opportunity. If you think about the towns, the small towns, the urban areas that were just left behind. And I’ve seen it from Gary, Indiana, to you know out west everywhere. We had 70,000 factories closed in the last 30 years that cost us 5 million jobs that were exported out of Detroit to Beijing. And we have to make sure that we’re restoring American strength and job creators.”
“You know small businesses, let’s just level set here what are small businesses? Well, they represent 99% of all businesses in this great nation, and also of the manufacturers most of them, 99% of them, also are small businesses,” continued Loeffler. “And so, what they’re seeing is a president who wants to cut regulation. He wants to cut taxes, and he’s doing it. And he wants to make sure that we stand up to our allies and adversaries alike and say, ‘We’re not gonna be taken advantage of any longer. We’re gonna have fair trade.'”
Loeffler detailed the “Made in America” Manufacturing Initiative as well, telling Harris that the administration is working to make lending capital more available for American small businesses.
“What we are doing is focusing on, first of all, delivering access to capital is what I’m hearing from manufacturers across this country. That if they can just get a little bit larger loan size, then they can invest in that new CMC machine. They can hire more people. They can build out parts for their factory. What’s happening in these factories is incredible. It’s next generation smart manufacturing, and the investment in the equipment is, you know, you need computers you need people to run them. So we’re going to make sure the capital access is there, so our loans are doubling up from 5 million to 10 million.”
Loeffler also laid the blame firmly on the Biden administration for dropping stifling regulations on American businesses.
She said, “We’re working on deregulating because unfortunately under Joe Biden, he imposed about $1.7 trillion of excessive regulation. Most of that fell on the backs of our small businesses and our manufacturers. So, we’re working hard to deregulate. And then we’re also just advocating for developing a skilled workforce that doesn’t necessarily need a four-year degree. This is just helping have those on ramps into the modern economyfor these great blue collar or new-collar jobs and made in America.
Loeffler concluded, “That’s a tremendous opportunity. Only 9% of our country is involved in manufacturing of today. I used to be 35% in the 1950s. So somewhere in the middle is probably where we need to get back to. Because we don’t even make our fasteners anymore, nuts and bolts and screws. We’re dependent on China for that. We’ve… that can’t persist. We can’t become dependent on China for anything ever again. We saw that during COVID, so we’re helping turn that around, and President Trump understands that. It’s his job to fight for the American people. He’s the only one with the backbone to do it.”
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.
