No Movement on State Budget as Prop. 123 Stalls

Discussions surrounding Arizona’s budget remain stalled as lawmakers navigate the complexities of Proposition 123, a critical education funding ballot referral. Governor Katie Hobbs has not engaged with legislative Republicans on budget matters, citing the need to finalize Proposition 123 first.

Senate Appropriations Committee Chairman John Kavanagh, a Republican, revealed that an internal agreement has been reached among Republican members. However, discussions with the Governor’s office have not occurred. “She has been refusing to meet with us since the beginning of the session,” Kavanagh stated. “She will not meet until Prop. 123 is passed, which is unprecedented.”

With the majority of legislative tasks completed, Republicans in both chambers have taken a mid-session break. House members are set to reconvene on May 20, while the Senate will return on May 28. This timeline leaves lawmakers with little more than a month to finalize a budget before the fiscal year ends on June 30.

Following the break, Hobbs’ spokesman, Christian Slater, criticized Republican lawmakers for prioritizing time off over critical education funding. He expressed disappointment, saying, “Their inaction is a dereliction of their duty to serve the public and an affront to Arizona students, parents, and teachers who want stability and certainty.”

Kavanagh countered Slater’s remarks, stating that the mid-session break was due to the completion of most bills rather than a lack of effort. “If you’re going to do political spin, at least make it believable and credible,” he continued, emphasizing the need for honest dialogue.

Political consultant Chuck Coughlin attributed the communication breakdown to broader partisanship issues that have emerged nationally. He lamented the lack of cooperation, noting, “Everyone is elected to represent the people of Arizona, and that requires talking and getting along.”

Despite current challenges, both Coughlin and Kavanagh remain optimistic about reaching a budget agreement before the fiscal deadline. “We could knock the budget out in a few days,” Kavanagh mentioned, indicating that a resolution is feasible.

Mid-session recesses have become increasingly common in Arizona’s legislative calendar. Last year saw similar breaks before a budget was finalized on June 15. In instances like these, lawmakers have historically engaged in more transparent budget discussions, contrasting sharply with the current opaque process.

Coughlin noted that the current budgeting approach lacks public accessibility. “They get into these very small rooms with leadership and a few other people,” he said. “That’s just not a healthy way to do business.”

Slater has also accused Republicans of concealing their budget plans and holding public education funding hostage. “They need to come clean and show Arizonans their secret budget,” he asserted, calling for bipartisan collaboration on Proposition 123.