Striker Attempts to Sidestep Scottsdale Voters in Controversial Axon Zoning Move

A Republican lawmaker has put forward a bill aimed at facilitating Axon’s plans for a new global headquarters in north Scottsdale, bypassing a voter initiative on zoning approvals. Rep. Tony Rivero, R-Peoria, introduced Senate Bill 1543, which mandates that cities with populations ranging from 200,000 to 500,000 permit the construction of hotels and multifamily housing in areas designated for light industrial use without the requirement for a public hearing.

The proposal received unanimous approval from the House International Trade Committee on Wednesday, with an 8-0 vote and two members absent.

Under the bill, the developments would need to be part of a campus identified as an “international headquarters,” designed to accommodate over 2,000 employees who earn more than 125% of the local median wage. This plan aims to position Axon’s extensive headquarters near Loop 101 and Hayden Road, featuring 1,900 apartments, a hotel, and retail spaces integrated into the company’s facility. Notably, 20% of the apartments are earmarked for employees.

Axon’s representatives argue that the development will significantly boost the local economy, potentially creating 5,500 high-wage jobs and generating $3.6 billion annually in economic activity. However, they caution that failure to secure rezoning could lead to the relocation of the headquarters to another state, jeopardizing 1,000 jobs currently based in Arizona.

Opponents criticize the proposed campus’s size, suggesting it does not align with Scottsdale’s community values. Former Republican lawmaker Michelle Ugenti-Rita, now aligned with a group opposing the project, characterized the bill as an affront to the electorate, stating, “This is an election bill designed to negate the voters’ voice at the ballot box.”

The Scottsdale City Council previously approved the rezoning in November, but after gathering signatures following local opposition, it was sent to the ballot for voter consideration.

Axon CEO Rick Smith outlined the long-term vision for the headquarters, indicating that the project had been in the works for a decade. Smith explained that the pandemic prompted necessary adjustments to their strategy, with a focus on creating an environment attractive to remote workers. “I don’t have to order people to come back to the office, but a campus could be a major role in luring workers,” he noted.

Scottsdale officials have recognized Axon as a favorable partner, expressing interest in growth, yet they remain concerned about the proposed apartment complex’s scale. “Nobody has any issues with those things but, my God, 1,900 apartments,” remarked Vice Mayor Jan Dubauskas, urging respect for community voices.

Earlier in the legislative session, similar bills were introduced by Sen. David Gowan and Rep. Michael Carbone. These bills seek to prevent rezoning applications from facing referendum petitions. While the Senate variant has progressed through some committees, it has not advanced significantly, lacking sufficient support to counter potential Democratic opposition. The House bill has yet to be heard in committee.

Rivero’s striker amendment surfaced on March 24, originally proposed by Sen. Frank Carroll. Although the recent committee vote was unanimous in favor, some committee members expressed hope for a collaborative compromise between Axon and local authorities. “Axon is an amazing organization, and I’m hoping from this committee that there will be room for compromise and negotiation, consensus,” Rivero stated.