Gov. Katie Hobbs signs $18.29B budget, signaling bipartisan win

Gov. Katie Hobbs signed a bipartisan $18.29 billion state budget Saturday, delivering what she called the largest tax cut for working families in her four years in office.

The budget includes $1.4 billion in tax relief, raising the standard deduction and eliminating taxes on tips and overtime. It also expands the child tax credit and adds a tax deduction for seniors.

On public safety, the budget allocates $7 million for sheriffs and border security, continues Operation Desert Guardian to disrupt cartel activity and adds $6 million for Colorado River litigation.

In education, the budget funds free school meals, $37 million being allocated for low-income school funding and $183.3 million for school facilities.

“My bipartisan Arizona First budget will make our state stronger, safer and more prosperous,” Hobbs said.

Senate President Warren Petersen, who helped broker the deal, called it a Republican victory, saying the $18.29 billion plan is “99% what we put on.”

“The big win is for Arizona, but it’s also for families, kids,” Petersen told KTAR News 92.3 FM’s The Mike Broomhead Show. “We protected school choice. We didn’t do any of the tax increases or fees that the governor wanted.”

The budget also includes a three-year moratorium on data center tax incentives, saving the state an estimated $57 million.

Related

Arizona Republicans, Democratic Gov. Katie Hobbs announce deal on $18.29B state budgetWarren Petersen says $18.29B budget is '99%' what Republicans wantedState budget deal lacks Prop 123 funding mechanism, additional ESA program staffScottsdale City Council runoff narrows as candidate exits to fight Axon apartmentsArizona’s Democratic superintendent nominee wants public schools to get stockpiled ESA fundsDemocrat Katie Hobbs reportedly taps Republican John Giles as her Lt. Gov. running mate