The Arizona legislature convened this week and there are a number issues that will impact the outcome of the session. Empowerment Scholarship Accounts (ESAs), water and the budget are front and center. Currently the republicans control the house and senate by one vote and the governor’s office is controlled by democrat Katie Hobbs. This dynamic will paly a role in what legislation passes and is signed or vetoed.
Seven hundred and fifty bills have been filed to date. AZAGC is tracking 242 with 97 on our high priority list. Below are few AZAGC is keeping its eye on.
HB2037 department of transportation continuation (Representative Cook) – The Arizona Department of Transportation (ADOT) will sunset or terminate on July 1, 2024. This bill extends the termination date to July 1, 2032.
HB2190 prohibited agreements; public works contracts (Representative Cook) – If a city or county decides to do so, allows them to require mandatory project labor agreements for public works construction.
HB2412 appropriations; highway and road projects (Representative Cook) – appropriates $384,227,354 for 75 projects around the state. The funding includes money for rural airports, rural pavement rehabilitation and striping, flood control, road improvements and expansion, bus maintenance facilities, and vehicle charging stations.
HB2594 TPT; prime contracting; exemption; alterations (Representative Carbone) – Redefines alteration I the transaction privilege tax for prime contracting to include residential structures that do not increase the square footage of the residential structure.
SB1005 public monies; ideology training; prohibition (Senator Hoffman) – A public entity (state, political subdivision or public university) in Arizona is prohibited from requiring its employees to engage in diversity, equity and inclusion (DEI) programs, spend public money on DEI programs, enter into a contract (all) with companies that have a DEI program and outlaws state funding to go to an office or individual supporting these programs.
SB1054 state construction project delivery methods (Senator Carroll) – Alternate Project Deliver Methods (APDM) for horizontal construction will expire in 2025. This bill extends the expiration to 2030.
Local Update
AZAGC Takes Strong Stand Against Phoenix and Tucson Prevailing Wage Ordinance
Previously, AZAGC issued a press release promising we will engage counsel if Phoenix, Tucson or Tempe passed a prevailing wage ordinance. As you may be aware, Phoenix and Tucson passed their ordinances this week, and AZAGC promised to challenge the legality of them. We will be teaming up with the Goldwater Institute, the Arizona Builders Alliance and Associated Minority Contractors of Arizona to explore the best legal path to challenge illegal prevailing wage ordinances. More to come as things unfold.
Great news!!! Proposition 400e has name – Proposition 479
On November 1, 2023 the Maricopa County Board of Supervisors passed a resolution where they
called for the placement of the measure for the continuation of the county transportation excise tax on the ballot for the November 5, 2024 General Election. The measure will be called PROPOSITION 479 and the County Elections Director shall prepare the final ballot text and publicity pamphlet for the measure.
The resolution included the following ballot description:
A measure continuing the current transportation excise (sales) tax to address the regional transportation system by building new freeways, expanding existing freeways with additional access and capacity, constructing streets and intersections, expanding transit by increasing the frequency of bus service, providing additional bus, dial-a-ride and vanpool services and providing for capital rehabilitation of light rail. Revenues will be allocated as follows:
(a) 40.5 percent to freeways and other routes in the state highway system.
(b) 37 percent to public transportation.
(c) 22.5 percent to arterial streets, intersection improvements and regional transportation infrastructure.
The tax will fund the unanimously approved plan adopted by the Maricopa Association of Governments in 2022.
The AZAGC will be involved in the campaign and AZAGC’s 2007 chair Mike Hoover, CEO of Sundt Construction will serve on the campaign’s executive committee along with Pam Kehaly, CEO of Blue Cross Blue Shield of Arizona; Mesa Mayor John Giles; Maricopa County Supervisor Jack Sellers; and Jim Kenny, CEO of El Dorado Holdings.
