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Progressive groups to Arizona lawmakers: Repeal data-center tax breaks in state budget

Progressive coalition rallies at Arizona Senate over state budget
People First Economy Arizona projection.jpg
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PHOENIX — A coalition of progressive groups are calling on the Arizona Legislature to leave funding for corporate tax breaks and immigration enforcement out of the state budget.

Republican lawmakers and Gov. Katie Hobbs, a Democrat, have been negotiating for weeks on a budget. A deal could come next week.

“Our message tonight is simple: Arizona isn’t broke, it’s being robbed,” said Amber Rivera, Our Voice Our Vote Arizona’s political director.

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The People First Economy Arizona, a coalition of community groups, gathered outside the Arizona Senate on Thursday night, projecting “Arizona isn’t broke, it’s being robbed,” and other phrases on the Senate building. They say lawmakers need to pass a budget that prioritizes families.

“That means protecting housing, health care, education, food assistance, heat relief, water and basic services families need to survive,” said Stephanie Maldonado, Arizona Center for Empowerment political director.

Members of the groups say Arizona must repeal state tax incentives for data centers. Yolanda Landeros told ABC15 the $40 million in tax breaks angers her.

“For so long, I always hear there's no funding, not enough money for things that we actually want in the community,” she said.

Landeros, who lives in Buckeye, said she wants more of a say in whether the projects should be built in her community.

“Buckeye used to be a quiet natural environment,” she said. “Like, when I first moved there, it was all desert. Now they're building data centers, and they're building an airport next to the data center.”

Javena Gittens, of Tempe, helps people find rental assistance. A bipartisan proposal to create a state rental assistance program failed to advance earlier this legislative session.

“We got to start prioritizing where our money is going,” she said. “And these people that are making these decisions, they need to start thinking of the people, not just them.”

Republicans say they are addressing affordability by cutting taxes for Arizona families, putting more money in their pockets.

“There has been a permanent placement of tax cuts to middle-class families,” said Jonathan Soto of the LIBRE Initiative, a conservative group that works with Latino communities.

Republican lawmakers have proposed adding President Donald Trump’s tax credits for individuals and businesses in the state tax code. Hobbs vetoed two tax-conformity bills earlier this year, and also nixed a Republican budget proposal that included full conformity.

Lawmakers must pass a budget by June 30.