Gov. Hobbs Dismisses Controversial ‘Continuation Budget’ Plan from House

Hobbs Rejects GOP’s Budget Delay Amid Looming State Shutdown

Governor Katie Hobbs has dismissed House Speaker Steven Montenegro’s proposal for a “continuation budget,” branding it as “political grandstanding.” This request comes as a critical budget deadline approaches; without an agreement by July 1, a significant portion of state government operations could come to a halt.

Hobbs noted that discussions had been taking place for months, resulting in a bipartisan $17.6 billion budget plan, which the Senate approved on June 19. However, Montenegro claimed he could not secure the necessary 31 votes in the House, prompting his call for an extension to negotiate an alternative proposal.

The urgency of the situation is clear. Should a new budget not be approved, only core functions, such as prisons, can continue operating. Other state services, including public school funding, would be unsupported. Montenegro’s suggestion, an unprecedented interim budget, has yet to gain traction in Arizona.

“I remain committed to having conversations about improving our bipartisan budget,” Hobbs replied, emphasizing her commitment to the approved plan. She added that any partisan budget attempt would face her veto. According to Hobbs, the ongoing gridlock is largely the fault of House GOP leaders who did not engage fully in negotiations.

The proposal put forth by House Republicans, presenting a $17.3 billion budget, has been criticized for being $300 million short and lacking input from Democrats. Montenegro, however, insists that their plan is balanced and prioritizes public safety, infrastructure, and governmental accountability.

Discontent isn’t limited to one party. In the Senate, even some Democrats opposed the compromise budget for not sufficiently addressing educational priorities. Minority Leader Priya Sundareshan said her concerns were echoed by at least seven House Democrats. However, Rep. Oscar De Los Santos asserted that bipartisan support exists for the current Senate-approved budget plan.

Calls for a vote are growing louder. De Los Santos believes a simple vote could clarify support in the House, while Rep. David Livingston mentioned the potential for at least 40 votes in favor of the Senate compromise. This sentiment is echoed by other Senate Republicans who question the logic behind a proposed government shutdown.

Senator John Kavanagh remarked, “It takes three to tango,” referring to the collaborative nature required in negotiations. He noted the reality that Hobbs has the veto power. Concerns persist about the effectiveness of delaying tactics, with some legislators questioning what could be gained from extending negotiations post-deadline.

Moreover, much is at stake beyond financial figures. The House GOP’s proposal would introduce significant changes to state law that diverge from the compromise, including a proposed 2.5% cut in university tuition and restrictions on pursuing criminal charges related to elections.

As the budget deadline looms, the words of both sides reiterate the complexities of the negotiations. With differing priorities and a divided legislature, the path forward remains uncertain.