Taylor Seely
Maritza Dominguez
Alexandra Hardle
Sam Kmack
Arizona Republic
Arizona mayors from the East Valley to the West Valley are railing against a new ban on residential rental sales tax and asking lawmakers to help them fill the funding gap that will start in 2025.
Gov. Katie Hobbs, a Democrat, signed the Republican-backed Legislation on Aug. 1 in exchange for GOP support of Proposition 400, a ballot measure that asks Maricopa County voters to approve a half-cent sales tax to fund regional highways, public transit and roadways. Valley constituents will vote on the sales tax this November.
The rent tax ban will prevent cities from collecting tax revenue from apartment renters — a move supporters say will help residents during the state’s affordable housing crisis. Detractors say action in the Capitol will only curtail cities’ abilities to adequately fund municipal services like police and fire.