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Expert Says Arizona Budget Aligns with Prior Hobbs Budgets

MARICOPA COUNTY, ARIZONA, JUL 2 – The bipartisan $17.6 billion budget boosts K-12 education by $600 million and expands Medicaid while incorporating far-right Project 2025 bills, balancing priorities in divided government.

  • The Arizona Legislature concluded its 57th session at the end of June with Gov. Katie Hobbs signing a $17.6 billion bipartisan budget into law.
  • The Democratic governor worked with a Republican-controlled Legislature that lacked votes to override her vetoes, leading to record 174 vetoes this year amid budget negotiations.
  • The budget reflects Hobbs' approach to fund more items with moderate allocations, prioritizing K-12 education, Medicaid, homelessness services, and first responders while excluding new funding for the state Low-Income Housing Tax Credit program.
  • Glenn Farley, policy director at Common Sense Institute and former chief economist to Gov. Ducey, called the 2025 budget "very large" with a 9.3% expenditure increase and said it remains "very consistent" with Hobbs' past budgets.
  • While the budget averted a government shutdown and includes $200 million reserves, housing advocates express disappointment over the loss of the state’s Low-Income Housing Tax Credit program, signaling ongoing challenges in affordable housing policy.
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Expert says Arizona budget aligns with prior Hobbs budgets

(The Center Square) — The bipartisan budget signed by Arizona Gov. Katie Hobbs is “very consistent” with previous budgets passed during her administration, according to Glenn Farley, director of policy and research at Common Sense Institute Arizona.

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Arizona Mirror broke the news in on Tuesday, July 1, 2025.
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