Last legislative session our organization led the opposition to the Maricopa Association of Governments’ (MAG) Prop 400 sales tax extension, SB1356, criticizing the plan for its massive expansion of transit spending, lack of oversight, and vague allocations of spending that amounted to a slush fund for government bureaucrats. It was astonishing the lack of answers we received to simple questions about the plan and how funds would be spent.
We suspected at the time that we weren’t being told the whole story and that ulterior motives were at play. Only now do we know how right we were.
Governor Ducey’s veto of MAG’s defective Prop 400 plan provided a reset of the Prop 400 debate. Coupled with new legislative leadership not beholden to MAG and the transit lobby, they could no longer avoid a debate of their unvetted proposal. So, after several months of legislative hearings and substantive meetings at the Capitol, what critical information has MAG been hiding from lawmakers and the public?
MAG’s Plan is a Bailout for a Bankrupt Transit System
The debate around the last extension of the Maricopa County transportation tax in 2003 hinged on the idea of shifting billions of dollars away from freeway construction and into public transit. This was a major deviation from the intent of the original tax adopted in 1985 which funded 100 percent freeways. Appeals from the transit-lobby were ultimately successful and resulted in 33.3 percent of the tax being diverted to fund expanded bus operations and a new light rail system in Phoenix, Mesa, and Tempe.
Now under their new “Momentum Plan”, MAG wants over 40 percent of the tax to go toward transit, siphoning off billions from much needed freeway and roadway projects throughout the valley. MAG and Valley Metro claimed that demand for expanded bus service was the rationale for taking a larger share of the Prop 400 pie, but that wasn’t it. Through record requests and inquiries by State lawmakers, it was discovered that (unsurprisingly) the Valley Metro bus system is bankrupt, and that billions are needed to make up the shortfall. So why is the existing system bankrupt? Two reasons: a massive decline of ridership and plummeting fare recuperation.
For a variety of demographic and socioeconomic reasons, bus ridership in Maricopa County has been in decline for over a decade. And after the Covid-19 pandemic, transit ridership fell off a cliff, dropping by over 50 percent and has yet to recover. As of today, transit ridership as a share of urban travel is lower than it was twenty years ago, despite massive population growth and record amounts of money spent on bus and light rail. And if almost empty buses and light rail weren’t bad enough, the revenue being generated by fares from the remaining customers is almost non-existent. When the current Prop 400 tax plan was being sold to voters twenty years ago, Maricopa Association of Governments included benchmarks for “farebox” recovery for the region’s transit provider, Valley Metro. They promised that fares would cover 30 percent of operational costs for local buses, 25 percent for express/Bus Rapid Transit, and 45 percent for light rail. What was fare recuperation for Maintenance and Operation in 2022? A paltry 7 percent.
This is why MAG’s 400 plan is demanding a higher share for transit. They want a taxpayer bailout.
MAG’s Plan Hid Massive Spending for Green New Deal Programs
One of the larger mysteries rolled into the MAG plan was the creation of a new “regional programs” bucket to fund an undefined list of “transportation projects that are selected through a performance-based process for arterial improvements, active transportation, air quality, emerging technologies, intelligent transportation systems, safety and transportation demand management.”
This hodgepodge list was basically carte blanche authority to spend taxpayer money on – whatever. More involved conversations with MAG have not assuaged lawmakers but instead incited more unease. With the current agenda being broadcast in plain sight to move people out of their cars, forcing them to walk, bike, and take transit instead, the inclusion of this “slush fund” and the over $2B allocated to it, has understandably raised many questions. One of those questions being what specific projects does MAG intend to finance? They have refused to provide such a list aside from paving dirt roads and buying street sweepers, neither of which require billions.
This fall it was revealed that MAG intended to use the Regional Program slush fund to pay for the region’s air quality program. This was a concerning revelation, especially after MAG rolled out their proposed recommendations in early March as remedies to contend with unrealistic EPA air quality standards. Notably, it included California-style measures to ban the sale of gas-powered cars by 2035, ban gas appliances, and ban gas-powered lawn equipment. Because MAG’s bill didn’t include any other safeguards or clarification on what “air quality” projects meant, it can be assumed it would be used in the future for such things as “cap-in-trade” like programs for carbon offsets, forced electrification, or expensive incentives or disincentives for reducing vehicle miles traveled.
MAG’s Plan Prioritized Ideological Agendas Over the Interests of Motorists
Last year we failed to recognize why there was such a radical shift in the kind of transportation policy being funded by MAG’s 400 extension plan. Only after broader investigation did we realize that an ideological agenda has infiltrated all levels of transportation planning, MAG’s plan being no exception.
This multi-dimensional effort by climate alarmists, urban planning bureaucrats, corporations poised to financially benefit, and the social justice warrior academics and activists, aims to use transportation and land use to reorient the way the majority of people live. Center of that fight is the personal automobile; as this cabal of interests would love nothing more than to see people forced to walk, bike, or rely on public transit and therefore relegated to dense urban environments, not conducive to how the majority of people live in the Valley.
That is why MAG doesn’t want to build new freeways, at least not the way normal people think about freeways. The only new freeway considered in the current MAG plan is the construction of SR30 in the west valley, a project that was supposed to be built under the existing tax but was scrapped because transit funding was prioritized instead. MAG has begrudgingly included funding for the SR 30 in the new plan, but only for a portion of the freeway and only in the 25th year (all but certain to be deferred, again).
And if that isn’t bad enough, the project design that won approval from MAG is called the “State Route 30 Active Transportation Conceptual Plan.” Surveys were conducted by MAG, giving respondents design options that included integrated bike paths and pedestrian walkways then feigned to ask what might concern someone riding a bike on the freeway by which most respondents replied with the number and speed of vehicles. Choosing a freeway without these features was not an option. Obviously, the only kind of freeway MAG will consider building at this point is a bastardized version that limits capacity and slows speed, contrary to the whole point of a freeway.
Lawmakers Should Bring Back the Sanity to Prop 400
The origination of the Maricopa County half cent sales tax in 1985 was a blessing to the valley. It octupled the number of freeway miles which created an abundance of connections between communities across the county. It made the economic flourishing, influx in population growth, and diversification of businesses possible in the following two decades.
A continuation of the tax could be nearly as valuable if it focused on simply supporting the free movement and mobility choices of people and freight, instead of a costly attempt to foist ideological value judgements on the way bureaucrats wish people would live and move. The Republican majority thus far has held the line on insisting any Prop 400 extension that proceeds is good for residents, businesses, and taxpayers.
Help Protect Freedom in Arizona by Joining Our Grassroots Network
Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!
Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.
Last week, Tucson residents exercised common sense by overwhelmingly rejecting Prop 412 in a special election. And whether you live in the city or not, this is a significant win for our future.
Disguised as a new agreement between the City of Tucson and Tucson Electric Power (TEP) to renew the Franchise Agreement for another 25 years using the current 2.25% fee, the proposal included a number of Green New Deal pet projects. Had it passed, it would have added a 0.75% “Community Resilience Fee” to fund the costs associated with building underground transmission facilities—and “projects that support the City’s implementation of the City’s approved Climate Action and Adaptation Plan.”
That would have meant:
Lengthy construction projects removing driving lanes from roads (Road Diets)
Permanently inhibiting access to small businesses
Reducing personal vehicles by 40% by 2050
Establishing Tucson as a 15-minute city with local travel restrictions removing personal choice
Now, the citizens of Tucson have spoken. And it’s clear that they don’t want Green New Deal mandates that take money from their wallet and freedom from their lives.
But make no mistake about it. TEP and its leftist ally Mayor Regina Romero are committed to their “climate change” agenda. Following the resounding defeat of Prop 412, TEP put out a statement that it still plans to move forward on adopting the Green New Deal by phasing out fossil fuels. This is the same utility company that is currently seeking a 12% rate hike from the Arizona Corporation Commission (ACC) before the end of the year! They have a monopoly and are assuming that the ACC will simply rubber stamp whatever rate hike they request.
That’s why it also shouldn’t come as much of a surprise that right before the defeat of Prop 412, the Tucson City Council voted to make public transit free indefinitely despite not having funding secured beyond December. That’s right, after three years of not charging for transportation services, the government failed to listen to the people again.
Community members have complained that this three-year experiment has led to a rise in crime and public nuisances. Bus driver unions have complained that free busing threatens public safety and forces drivers to act as transit police. And other public safety activists have claimed that free busing facilitates drug sales, trafficking, and even usage.
But liberals like Mayor Romero and other members of the Tucson City Council just don’t care. The Left is committed to its agenda, but when you stay informed, when you make passionate arguments based on facts, and when you hit the streets and fight back, you can defeat them. Prop 412 is the perfect example of that. Now, we need to be prepared for the next battle.
Help Protect Freedom in Arizona by Joining Our Grassroots Network
Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!
Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.
Save Our Schools Arizona (SOS) and some Dem lawmakers were up in arms last week. And anytime that happens, you know you’re probably doing something right.
Last Wednesday, the Republican-led legislature passed the $17.8 billion budget, and it was a big win for students, parents, school choice, and Arizona’s taxpayers. Despite the fact that Governor Katie Hobbs made it clear that she planned to dismantle school choice for all with a full repeal of the beloved Empowerment Scholarship Accounts (ESA), Hobbs signed the budget without any cap or restrictions on the historic program. This should be cause for celebration—unless, of course, you’re SOS or certain Democrat lawmakers.
Predictably, SOS got right to work on spreading lies about the popular ESA program, claiming it would drain K-12 public schools of funding, hurt Arizona’s economy, and even bankrupt the state. That last lie is particularly absurd, but then again SOS has a history of such desperation when its back is against the wall. (Can you imagine being this bent out of shape that children from all walks of life can get an education that best fits their needs?)
The reality is that the ESA program has absolutely exploded during this fiscal year, and if you believe the lies of SOS, then you would think that Arizona would be suffering from a severe budget deficit. But the opposite occurred. According to data released last month by the nonpartisan Joint Legislative Budget Committee, Arizona’s estimated revenue surplus surged by an extra $750 million, putting the total state budget surplus this year at $2.5 billion. And all of this has taken place with more than 40,000 new students joining our state’s universal school choice program, bringing the total number of students enrolled to over 56,000.
So much for that bankruptcy talking point. But then again, SOS is the group that miscounted signatures on its ballot initiative back in September by more than 52,000. This just proves once again that there really is no math quite like “Save Our Schools” math.
The truth is that a typical ESA scholarship award is around $7,000 per student, and that is about half of the roughly $14,000 spent on average per student in a public school. This means that the ESA program serves around two students for the cost of one in a traditional public school, and the last time we checked, that means saving taxpayers money.
But don’t just take our word for it. The proof is in the budget itself. Included in this fiscal year’s budget for our state was the insertion of the Arizona Families Tax Rebate. That means Arizona taxpayers are going to get some extra cash this year thanks to Republicans giving back. You can’t do that if you have a severe budget deficit. And you certainly can’t do that if you’re heading toward bankruptcy. But for the first time in at least 30 years—and after already historic tax cuts—our lawmakers were able to provide such a rebate to Arizona’s citizens. So, while students get the education of their choice, you get more money in your wallet. And that’s a win-win for everyone.
Help Protect Freedom in Arizona by Joining Our Grassroots Network
Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!
Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.
COVID-19 brought with it unprecedented uses and abuses of emergency powers in every state, Arizona included. Businesses were arbitrarily shut down. Workers were told their jobs were nonessential. People were prevented from going to church, couldn’t visit their dying parents and grandparents in hospitals, and kids were put in masks and barred from their schools. Many questioned how these mandates were even constitutional. Lawsuits were filed, but executive emergency authorities were largely upheld – including in Arizona.
That’s why our lawmakers are currently considering a critical constitutional amendment sponsored by Representative Chaplik, HCR2039, to reign in these powers, provide proper legislative oversight, and ensure checks and balances to protect the rights of individuals.
Where These “Emergency” Powers Come From
Many have appropriately wondered where the legislature derives the authority to enact such statutes that delegate this awesome authority to the Governor and how they are even constitutional. After all, there isn’t an explicit provision in the Arizona constitution saying they can. But this is a key aspect of our system of governance. Unlike the U.S. Constitution, which consists of explicit enumerated powers for Congress, states have inherent powers, like the police powers, and state constitutions act to limit, not explicitly enumerate each one of them.
In other words, it was within the inherent authority of the legislature to enact these emergency power statutes to begin with.
However, just because they can, doesn’t mean they should. We can and ought to continue the public policy conversation about reforming and restricting current emergency powers statutes. Considering the difficulty in pulling back a power already delegated to the executive (requiring Governors to relinquish their power), another solution must be crafted, and that solution is HCR2039.
Arizona’s Emergency Powers Statutes
Our emergency powers statutes were enacted in the early 1970s, more than fifty years ago. They sat quietly on the “books” with little discussion, though many (there are currently 41 active declarations) “emergencies” have been declared under them, some even lasting for decades, including a drought emergency that has been in place since 1999. But by definition emergencies are temporary, not permanent. COVID-19, and the resultant unprecedented use of the powers granted by those statutes, spurred a necessary and overdue public policy discussion about the extent of these powers and the propensity for them to be abused.
Emergency Powers Are Not, Nor Should They Be, Unlimited
The Governor cannot operate outside of statute or other constitutional protections of individual liberties. If he or she does, people can and should sue, and the courts will consider the specifics of the case to determine if the violation of an individual’s liberty was outweighed by a legitimate and compelling state interest. That judicial check will remain the same under HCR2039.
Emergency Powers Are Necessary
It is true that our emergency powers statutes currently hand over broad authority to the Governor, including “all police powers” of the state. Statutory reforms are necessary to more narrowly tailor these delegated powers. But the fact is emergencies do exist, such as wildfires and floods, which require quick, executive action – something a deliberative body, such as the legislature, is not designed to handle.
Just look at Gila Bend, which in 2021 was completely overcome with monsoon rains resulting in the death of two and the injury of 30. Governor Ducey quickly declared a state of emergency to expend $200,000 and deploy necessary resources to help the community recover. The quick action was critical, but these emergency declarations must be limited, they must be temporary, and there must be adequate legislative oversight to protect the liberties of individuals.
HCR2039 Is the Solution to Protect the Rights of Arizonans
While reforms are necessary, it’s crucial to have a mechanism in place now that ensures proper checks and balances of the delegated authority no matter what current or future statutes on emergency powers look like. The most appropriate place to resolve these fundamental questions of how our government functions and how to employ checks and balances is within the framework of the constitution. Right now, it is entirely devoid of a process for the legislature to check executive authority.
That’s why it’s critical that the legislature send HCR2039 to the voters. If passed, it answers this question in the Arizona Constitution to restrict the power of the Governor during a declared emergency. After the declaration, the Governor would be required to call the legislature into a special session by the tenth day and it would automatically terminate after 30 days unless extended by a concurrent resolution of the legislature.
HCR2039 does not expand, confer, or endorse the existing breadth of emergency powers in the constitution. The legislature could (and should) now, and after passage of HCR2039, place more statutory restrictions on the powers it delegates in times of emergencies. They could even repeal them altogether.
Critically, HCR2039 enshrines meaningful legislative oversight in the constitution to ensure proper checks and balances to protect individual liberties. That’s why it is supported as an essential measure by pro-liberty groups like the Arizona Free Enterprise Club, Goldwater Institute, Republican Liberty Caucus of Arizona, EZAZ, and Arizona Freedom Caucus legislators. It’s also why the Democrat caucus is unanimously opposed, as are groups like the Arizona Public Health Association who wish to maintain the status quo, and not restrict the rule-by-one powers of the Governor.
Help Protect Freedom in Arizona by Joining Our Grassroots Network
Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!
Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.
A special election is taking place right now in Tucson, and even if you’re not from the city, you should pay attention. At first glance, Prop 412 appears to be nothing more than a new agreement between the City of Tucson and Tucson Electric Power (TEP) to renew the Franchise Agreement for another 25 years using the current 2.25% fee. But just like anything government bureaucrats put out there nowadays, you need to keep reading.
Along with the renewed agreement, Prop 412 would add a 0.75% “Community Resilience Fee” to fund the costs associated with building underground transmission facilities—and projects that support the City’s implementation of its Climate Action Plan. Ahhh, there it is. The agenda behind Prop 412 finally comes out. This isn’t about renewing a franchise agreement. It’s about forcing hardworking taxpayers to start funding the estimated $326 million it’s going to need to address Mayor Regina Romero’s so-called “climate emergency.”
According to TEP, it plans to use this “Resiliency” Slush Fund to:
decarbonize city-owned and operated buildings and facilities.
promote distributed energy resources such as rooftop solar to provide local renewable energy and enhance energy resilience.
pursue additional local sources of renewable energy, including resource recovery and heat exchange.
promote electric vehicles via charging infrastructure expansion.
transition public agency fleets to zero-emission and net-zero-emission vehicles.
establish accessible resilience hubs across all City Wards to provide information and resources related to climate preparedness and response.
bolster City-owned and community-wide heat mitigation resources to reduce urban heat island effect and protect vulnerable individuals and communities.
deploy and maintain equitable nature-based solutions that reduce or sequester emissions, improve ecosystem health, and bolster climate resilience.
bolster community and regional networks to improve community-wide emergency response and resource-sharing.
That’s right. It’s just another long list of Green New Deal pet projects all at the expense of taxpayers who are already overburdened by Bidenflation and exorbitant gas prices.
But there has to be some kind of benefit, right? Nope.
If Prop 412 passes, Tucson residents can expect to be on road diets through lengthy construction projects that remove driving lanes from roads. This will cause small businesses—many of which are still recovering from ill-advised COVID shutdowns—to suffer as lane reductions create a permanent inconvenience for customers. On top of that, it will reduce personal vehicles by 40% by 2050, and ultimately lead to what Mayor Romero really wants: establishing Tucson as a 15-minute city with local travel restrictions that remove personal choice.
Even if you don’t live in Tucson, that last one should concern you. Liberals around the world are pushing the 15-minute city concept more and more. In Barcelona, the city is limiting personal car vehicles only to residents or delivery services. And speed limits are a maximum of 6 miles per hour. In Oxford in the UK, the government has adopted an $86 fee for driving past the 15-minute filter in a personal vehicle.
But perhaps the biggest question of all is why does TEP even need more taxpayer dollars to begin with? Its reported profits from the last three years are:
2020 – $191 million
2021 – $201 million
2022 – $217 million
In addition to these profits and the 0.75% Community Resilience Fee, TEP has already requested that the Arizona Corporation Commission approve a 12% rate increase before the end of the year. That would bring the total average impact between Prop 412 and the proposed rate increases to be about $180 per year for customers. This is outrageous! TEP and the City of Tucson don’t care about residents. They are just looking for another money grab to push a Green New Deal agenda that restricts freedom with no real positive impact on the environment. Now, it’s up to the citizens of Tucson to push back and vote NO on Prop 412.
Help Protect Freedom in Arizona by Joining Our Grassroots Network
Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!
Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.
Democrats like to believe they are the party of compassion and kindness, but the reality in most blue cities says otherwise. For years, homeless encampments have been springing up in liberal-run cities like Seattle, Portland, San Francisco, and Los Angeles. And in recent years, this trend made its way into Phoenix.
Just blocks from the state capitol, amidst what was once a thriving business district, a sprawling encampment of around 1,000 homeless has come to be known as “The Zone.” It’s a place where drug use, drug deals, defecation, urination, sexual acts, assaults, rape, and murder are frequently committed out in the open—often with little to no consequences. The problem has even gotten so bad that the Phoenix Fire Department won’t respond to calls inside The Zone without assistance from the Phoenix Police Department and assurance that the scene of the incident is secure.
But crime within The Zone is only one part of the problem.
Rotting garbage and human waste have created sanitation issues and turned the area into a biohazardous slum that’s affecting the rest of Arizona. Photographic evidence submitted in court showed that this unmanaged sewage and trash ends up in storm drains which discharges into our rivers, washes, and retention bases. That’s right. It’s polluting our water on a daily basis!
You would think that the Green New Deal activists in Phoenix’s leadership who are so concerned with providing clean water would be horrified. But they’d rather hike water rates and cut allowances on their residents all while using tax dollars to build a $12 million community center. And if you think our statewide leadership cares, Governor Katie Hobbs recently vetoed a bill to ban tents in public places while Secretary of State Adrian Fontes called the situation in The Zone “not great” and recommended his favorite lunch order from a local sandwich shop.
This is the party of compassion?
The only answer to Phoenix’s homeless problem from most Democrat leaders has been to demand more money from taxpayers while they conveniently turn a blind eye to the problem. That’s why several property and business owners located within The Zone took matters into their own hands by filing a lawsuit against the City of Phoenix. Not only have they faced safety issues while operating their businesses in the area, but many of them have dealt with stolen property, exposure to drugs in the air, damage to their buildings, plummeting property values, and more.
Finally, a couple weeks after AZ Free News published its first investigative piece on The Zone, city leaders in Phoenix said they plan to come together to take action on the problem. But just like most of the business owners in The Zone have become accustomed to, it’s been crickets since.
Thankfully, the Maricopa County Superior Court recently ruled that the City of Phoenix was at fault for The Zone, which is a good first step to solving the problem. But it can’t stop there. The local business owners deserve to receive damages. The homeless deserve the treatment they need. And Phoenix’s elected leaders deserve accountability for their flat-out failures. It’s time to vote them out, so that all who reside in this great city can experience true compassion.
Help Protect Freedom in Arizona by Joining Our Grassroots Network
Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!
Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.
Recent Comments