by Daniel Stefanski | Oct 28, 2024 | Economy, News
By Daniel Stefanski |
Arizona home prices continue to be a major issue for people in the closing weeks of the 2024 General Election.
Last week, the Common Sense Institute Arizona unveiled its report for “Arizona Housing Affordability” for quarter 3 of 2024, sharing a “comprehensive analysis that details current challenges in Arizona’s housing market, including the ongoing housing shortage, escalating costs, and affordability issues that persist across the state.”
The report highlights that the state “is currently experiencing a housing shortfall of 65,721 units,” that “the average home price is nearly 23% higher than it would have been if prices had maintained the pre-pandemic trend,” and that “the number of building permits issued in Arizona has continued to drop, affecting the state’s ability to meet housing demand.”
“The high costs of housing in Arizona are creating significant barriers to homeownership, especially for lower-income families and first-time buyers,” said Zachary Milne, Senior Economist and Research Analyst. “While minor improvements in mortgage rates have provided some relief, the state’s overall housing deficit continues to widen, reflecting the need for housing policies that boost supply and affordability.”
CSI found that “it would take at least ten years for Arizona to resolve this [housing] deficit, that “it would still take 41 months for housing prices to fall back in line with the 2012-2019 trend if prices continued to decline at this pace [of July and August], that “new homebuyers today face nearly $500 more in monthly mortgage costs,” and that “it would take Maricopa County over 85 years to close their housing deficit.”
In a comment to AZ Free News about the report, Arizona Senate President Warren Petersen said, “It’s truly unfortunate the Governor vetoed the bipartisan Arizona Starter Homes Act and halted new home construction in two of the most booming areas in the Valley. Her actions have negatively impacted Arizona’s housing supply by contributing to the shortage, and as a result, hardworking Arizonans are having a difficult time achieving their American dream of homeownership because of skyrocketing prices. Republicans will continue to put bills on her desk to help alleviate the supply shortage next session, and we hope she will do the right thing by signing them.”
Recent polls have indicated that the issue of housing affordability is a top-three concern for many voters around the country, including in Arizona, affecting the upcoming election in November.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by Daniel Stefanski | Oct 27, 2024 | News
By Daniel Stefanksi |
Two Arizona Republicans are challenging the Environmental Protection Agency’s (EPA) increased regulation on energy policies affecting many Americans and Arizonans.
Last week, Arizona Senate President Warren Petersen and House Speaker Ben Toma joined a coalition of states and private parties in an amicus brief to the U.S. Court of Appeals for the District of Columbia Circuit in Nebraska v. Environmental Protection Agency. The petitioners are challenging the EPA’s final rule, “Greenhouse Gas Emissions Standards for Heavy-Duty Vehicles – Phase 3.”
According to the press release issued by the State Senate Republican Caucus, this newly enacted standard by the EPA would “require by 2032 nearly 70% of all new vehicles and 25% of all new semitrucks or similar heavy-duty vehicles sold in the United States to be electric, guaranteeing to raise the costs of everything Arizonans purchase, and without adequate charging infrastructure in place or the necessary power grid capacity to accommodate the transition.”
In the brief, the coalition argues that “under the Major Questions Doctrine, EPA lacks statutory authority to effectively mandate electric vehicles,” that “EPA lacks statutory authority to set standards that can be met only by averaging in electric vehicles,” and that “EPA’s rule is arbitrary and capricious.”
“Our federal government does not have the power to mandate electric vehicles, and their actions show just how out of touch the Biden-Harris Administration is by creating costly policies that will inflict more financial pain on our citizens who have already been burned by skyrocketing costs over the past three-and-a-half years,” said Senate President Warren Petersen. “The EPA egregiously overstepped its authority with these arbitrary rules, and the negative impact of forcing industries that every American consumer depends on, to make unreasonable and unattainable changes, will be detrimental to our economy. The Arizona Legislature will continue to hold this Administration accountable and defend our citizens from this big government negligence.”
“Hardworking Americans are hurting enough as it is from soaring inflation caused by the Biden-Harris Administration,” said Senator Frank Carroll, vice chairman of the Senate Committee on Transportation, Technology & Missing Children. “The last thing we need is for this Administration to prioritize expensive and scientifically baseless polices all in the name of a radical climate change agenda from Democrats that imposes unattainable goals, which will lead to soaring consumer prices. The average working-class citizen or trucking business will cripple under these mandates and the cost of just about every basic essential will increase exponentially.”
The coalition writes, “As in West Virginia, EPA cannot unilaterally reshape the energy and transportation sectors by reimagining its statutory authority. Heavy-duty vehicles transport city commuters, move consumer goods across the country, remove refuse, and harvest our food. The question of whether and how internal-combustion-engine heavy-duty vehicles should be phased out in favor of electric vehicles is hugely consequential: It involves millions of jobs, the restructuring of entire industries, and the Nation’s energy independence. If the federal government is going to require that major shift, then a Congress accountable to the American public must say so. It has not.”
Over the past two years, Petersen and Toma have led a prolific defense of state and federal laws against the Democrat administrations in both the Arizona Governor’s Office and the White House. The lawmakers have long had their sights on the Biden Administration’s environmental and energy policies that have threatened to overhaul the country’s systems.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by Daniel Stefanski | Oct 22, 2024 | News
By Daniel Stefanski |
Arizona Republicans continue to fight to protect the integrity of women’s sports.
Last week, Arizona Senate President Warren Petersen, House Speaker Ben Toma, and Superintendent of Public Instruction Tom Horne filed a cert petition at the Supreme Court of the United States, asking the nation’s high court to accept a case to decide the fate of the state’s Save Women’s Sports Act, which was signed into law in 2022.
“We cannot remain silent and allow these wrongs against women and girls to continue. We must stand up and fight to protect our daughters, nieces, sisters, and granddaughters from bigger and stronger males who are claiming their identities, their private spaces, their sports, and are putting their safety at risk,” said Petersen. “What’s even more disheartening is that we have a Democratic Governor and Attorney General that claim to support women, but they refuse to keep boys out of girls’ sports. Republicans stand in solidarity to defend women and girls, and I’m confident the U.S. Supreme Court will make it clear- Arizona’s Save Women’s Sports Act should be enforced.”
In their brief to the U.S. Supreme Court, the Republicans argue that “the Ninth Circuit decided an important question of federal law in an opinion that contradicts this Court’s precedent and splits with other circuits on multiple issues, [and that] this case presents an ideal vehicle to address these important questions.”
In July, Judge Jennifer Zipps granted a preliminary injunction against SB 1165, the Save Women’s Sports Act, which blocked the law from going into effect. Arizona’s Republican Superintendent of Public Instruction Tom Horne, the defendant in the case, promised to appeal the ruling, saying, “This will ultimately be decided by the United States Supreme Court, and they will rule in our favor. The Plaintiffs in this case claimed that this only involves pre-pubescent boys, but we presented peer-reviewed studies that show pre-pubescent boys have an advantage over girls in sports. The only expert presented by the Plaintiffs was a medical doctor who makes his money doing sex transition treatments on children and who has exactly zero peer-reviewed studies to support his opinion.”
On the other side, one of the representatives of the plaintiffs, Justin R. Rassi from Debevoise & Plimpton LLP, lauded the judge’s ruling, writing, “The Court’s well-reasoned decision exposes the lack of any legitimate justification for this discriminatory law, which inflicts severe and irreparable harm on transgender girls like Megan and Jane. We are very happy that, as a result of this ruling, Jane and Megan will be immediately able to resume playing sports with their friends.”
A panel from the Ninth Circuit Court of Appeals previously ruled that the district court’s opinion was in order, agreeing that “before puberty, there are no significant differences in athletic performance between boys and girls;” and that “Arizona’s transgender ban discriminates on its face based on transgender status.” This decision led to the appeal to the nation’s high court by the Republican petitioners.
Republican State Senator Wendy Rogers cheered on the filing at the U.S. Supreme Court, writing, “Arizona Senate Republicans protecting women!”
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by Daniel Stefanski | Oct 7, 2024 | Economy, News
By Daniel Stefanski |
Arizona voters are increasingly worried about the rising cost of housing as the November General Election approaches.
Last month, Noble Predictive Insights (NPI) released the findings of a poll, showing that “affordable housing has officially cemented its status as a top-tier issue for Arizona voters.”
In the top issues facing Arizona for this survey, “Affordable Housing” registered third in importance. “Inflation” and “Immigration” were the top two issues on the minds of Arizonans.
Affordable Housing was ranked as the third-highest issue for Republicans, Democrats, and Independents alike. Inflation was also a top three issue for all three voter demographics.
“Immigration, abortion, inflation – when these issues come up, the parties know what they’re talking about. And voters know who they trust. Housing is a different animal. Housing costs are just too high, and it’s becoming a bipartisan concern,” stated David Byler, NPI Chief of Research. “This is a rare opportunity for both parties – an important issue where neither side has a pre-existing advantage or even a defined message. The party that figures out how to win on housing will benefit hugely.”
The survey conducted by NPI occurred in mid-August with just over 1,000 registered voters.
According to Zillow, the average home value in the State of Arizona is $431,492 as of August 31, which is up 2.4% over one year. Meanwhile, the average United States home value, per Zillow, is $361,282, which is up 2.9% over the past year.
Arizona Senate President Warren Petersen addressed the poll’s findings with AZ Free News, saying, “The American dream of homeownership has become unattainable for the working-class under the Biden-Harris Administration. We attempted to make homes more affordable last year for our citizens with the Arizona Starter Homes Act, but unfortunately, the Governor vetoed the bill after caving to pressure from special interests and the Biden-Harris Administration’s Department of Defense. To add insult to injury, the Governor halted home construction in two of the most booming areas of the Valley, worsening Arizona’s supply shortage. Republicans at the Legislature will continue to draft commonsense solutions to get government out of the way, and to speed up home construction, so prices can come down. We’re hopeful the Governor will do the right thing by signing those bills into law.”
In a piece for The Heritage Foundation this summer, EJ Antoni, a Research Fellow, wrote about the reasons for skyrocketing home values and costs in Arizona. He said, “Over the last four years, the federal government spent trillions of dollars it didn’t have and far more than it was capable of even borrowing. To cover the shortfall, the Federal Reserve created money for the Treasury to borrow and spend. While that solved the federal finance problem, it also unleashed the worst inflation in four decades and spawned a cost-of-living crisis. While inflation causes prices everywhere to rise, the housing market in particular has seen stratospheric increases in sales prices. Part of the Fed’s plan of creating trillions of dollars for the Treasury was keeping interest rates artificially low, and that made borrowing extremely inexpensive, including borrowing for a home.”
Antoni added, “Potential home buyers had access to so much cheap credit that they collectively bid up the prices of homes to never-before-seen levels. After the Fed’s low interests and easy credit created inflation, however, the central bank swung the monetary levers in the other direction and initiated fast interest rate hikes. That suddenly made borrowing prohibitively expensive for countless Americans.”
As Antoni concluded his piece, he stated that “in Arizona, it has reached the point where a single working adult needs to earn $97,000 to live comfortably. That’s over 50 percent higher than the median income for a single full-time worker. If you want to comfortably support a family of four in Arizona, you’ll need to earn $231,000. Even with two working adults, they’d need to each earn almost twice the median income of a full-time worker to hit that annual income.”
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by Daniel Stefanski | Oct 5, 2024 | News
By Daniel Stefanksi |
Arizonans looking for more information about a ballot measure that addresses the state’s growing homelessness issues can access vital research from a local think tank organization.
Late last month, the Common Sense Institute Arizona (CSI) released a report “on the economic and fiscal impact of Proposition 312, finding that there is indeed a link between the increase in homelessness and declining property values.”
According to CSI, “Proposition 312 is aimed at tackling Arizona’s growing homelessness crisis, offering property owners the opportunity to receive tax relief for costs incurred due to unmitigated public nuisances, such as homelessness, vandalism, property crime, and drug use.”
The report from CSI found “that under the status quo, property owners in areas with unmitigated public nuisances are seeing their values decrease in real value [while] homelessness is on the rise.”
“The rising rates of crime, homelessness, and drug activity in key areas of Phoenix appear to have taken a toll on property values and overall economic activity,” said Glenn Farley, Director of Policy & Research for CSI. “In this kind of environment of declining relative property values and higher crime rates, there are ongoing problems requiring mitigation – like security and cleanup costs. In practice, though, the real impact is likely to be preventive: local governments may ultimately be more proactive about mitigating these nuisances if this proposal is enacted than they are today.”
The Arizona-based Goldwater Institute took a position in support of Proposition 312 ahead of the November General Election. On its website, the influential organization wrote, “We saw it in Phoenix’s homeless Zone when the city allowed lawlessness to run wild. We saw it in Tucson, too. Amid rampant homelessness, hardworking Arizona taxpayers are being forced to bear the burden of a city’s refusal to do its duty to protect public health and safety, paying out of pocket to install fences, hire security, clean up garbage, human waste, and other hazardous materials themselves. Prop 312 ensures that when government fails to enforce existing laws regarding illegal camping, loitering, pollution, and other nuisances, taxpayers will no longer be forced to foot the bill.”
Proposition 312 was made possible by the Arizona State Legislature earlier this year, when Republicans led the way to pass HCR 2023, which, if eventually passed by state voters in November, would “allow a property owner to apply for a primary property tax refund if the owner documents expenses caused by a city, town or county adopting a policy, pattern or practice which declines to enforce existing laws or the maintaining of a public nuisance” – according to the overview provided by the state House.
In a statement after the successful passage of the bill out of his chamber, Senate President Warren Petersen said, “There are instances where local governments routinely and repeatedly fail their citizens by not enforcing laws. An example of this would be the City of Phoenix’s handling of the former homeless encampment known as ‘The Zone.’ This area was not only a public safety and public health disaster for those who camped there, but it was also a detriment to the livelihoods of small business owners who set up their shops in the area.”
Petersen added, “Money talks, and as a way to encourage municipalities to enforce the law, Speaker Toma and I teamed up to sponsor HCR 2023/SCR 1006. This measure is a ballot referral that would protect law-abiding citizens. If approved by voters, property owners would be allowed to request a refund for expenses incurred to mitigate the problem, up to the amount of their property tax liability. The funds would be deducted from the local government’s state shared revenue.”
The chamber’s president also noted that “all Senate Democrats voted ‘no’” on the referral.
The key findings from CSI about Proposition 312 are as follows:
- “Problem increasing: Crime, drug overdoses, unsheltered homelessness, and other public nuisances have risen dramatically in Arizona and the greater Phoenix area since 2019. But the impacts are disproportionate: the problem has become more visible in certain parts of the city. This creates a negative economic impact for those parts of the city where local officials have failed to enforce existing laws
- “Property Value Loss: Commercial properties in Phoenix affected by unmitigated public nuisances have seen market rent appreciation fall to just 15.7% between 2019 and 2023, compared to the citywide rate of 30.2%. This represents up to $2.1 billion in lost property value due to slower appreciation in areas with high levels of homelessness, crime, and public nuisances.
- “Increased Crime: In areas with high public nuisance activity, the average crime rates for drug offenses, burglaries, robberies, and arson were between 3 to 5 times higher than the Phoenix average, driving up costs for property owners due to increased security measures and property damage.
- “Impact on Businesses: Businesses located in areas with elevated public nuisance levels experience significantly lower property appreciation and higher vacancy rates. The economic toll of unmitigated public nuisances has made it harder for businesses to thrive in these areas.”
During the legislative process this year, representatives from Barry Goldwater Institute for Public Policy Research, QuikTrip, Arizona Free Enterprise Club, Arizona Chamber of Commerce, Arizona Food Marketing Alliance, and the National Federation of Independent Business, indicated their support for the proposal on the Arizona Legislature’s Request to Speak system. Representatives from the League of Arizona Cities & Towns, Living United for Change in Arizona, Arizona Coalition to End Sexual and Domestic Violence, Professional Fire Fighters of Arizona, Arizona Association of Counties, County Supervisors Association of Arizona, Arizona Housing Coalition, and several state cities and towns, signed in to oppose the measure.
Interested voters can read the full CSI report regarding Prop 312 here.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
