Governor Katie Hobbs Vetoes Partisan Budget That Would Force Chaotic and Dysfunctional Washington-Style Budgeting on Arizona

Phoenix, AZ - Today, Governor Katie Hobbs released the following statement after vetoing the Republican budget package:

"This budget is unbalanced and reckless. With it, Arizona would default on our debt obligations, endanger vulnerable children, slash critical public safety funding, and pay for tax breaks to billionaires, data centers and special interests by kicking Arizonans off their healthcare and taking food off their tables. Arizonans cannot afford chaotic and dysfunctional Washington-style budgeting in our state government.

"This budget has a long list of problems, but to name a few, it:

• Delivers over $600M in tax breaks to billionaires, data centers and special interests while kicking up to 200,000 Arizonans off their healthcare and taking food off their table;
• Ends funding for the Rio Nuevo project, eliminating good-paying jobs and defaulting on the state's debt obligations;
• Cuts $16 million from DCS, potentially forcing the agency to cut spending on social workers and putting vulnerable kids in harms way;
• Cuts $1.8 million in SUN Bucks, leaving 640,000 children to go hungry during the summer and forfeiting $79 million in federal funds;
• No funding for the Colorado River Litigation Fund or the Colorado River Protection Fund, undermining our ability to fight for our fair share of water;
• Sweeps money from the Arizona Competes Fund, risking 21,000 jobs and kneecapping our ability to compete with other states for business investments;
• Cuts $2.2 million from the Department of Forestry and Fire Management and invests nothing in wildfire suppression, putting Arizonans at risk during wildfire season;
• Sweeps the Border Security Fund, yanking critical resources away from local law enforcement who keep illicit activity out of our communities;
• Includes previously vetoed bills that kick Arizonans off their healthcare and take food off their tables.

"While forcing devastating cuts on Arizonans, the legislature has refused to sweep their own $28 million slush fund, including $6 million that may be used to replace their carpets, upgrade their media studio, and renovate their offices. I have made it clear that I will engage in good-faith negotiation. But I will not sign a budget that brings Washington-style chaos and dysfunction to Arizona's budget. Let's get back to the negotiating table and get serious about delivering for Arizonans. I am ready when you are."

Read the veto letter here.
Read a fact sheet on the reckless and unbalanced budget here.

Additionally, the following organizations spoke out about the legislature's devastating attacks on housing and food assistance for Arizona's working families:

"Funding the Department of Economic Security and nutrition programs means a stronger Arizona," said April Bradham, President and CEO of the Arizona Food Bank Network. "The budget bill on the Governor's desk funds neither of these things, and will hurt the most vulnerable families in our state. Food banks are already serving record numbers of people, and, for the first time ever, food bank visits each month are outpacing the number of people who access help from SNAP. This will only get worse if this budget, with mandates for excessive and duplicative verification work by DES without funding for that work, passes into law. While food banks will always be there to help as much as possible, filling this ever-widening gap is becoming a monumental task. It is critical we fund programs that support families that need help getting food."

"The May 4 budget fails to reflect the bipartisan consensus that has emerged around lowering Arizona's cost of living and expanding affordable housing supply - priorities that remain among the most pressing concerns for Arizona residents and voters," said Nicole Newhouse, Executive Director, Arizona Housing Coalition. "Most critically, the proposed $14 million transfer from the Housing Trust Fund (HTF) undermines essential investments in housing and shelter infrastructure. This diversion puts at risk projects that have already been allocated HTF dollars, threatening to disrupt commitments the state has already made to communities across Arizona."