Arizona Enacts Bipartisan $17.6B Budget, Avoids Shutdown

Arizona averted its first-ever government shutdown as Governor Katie Hobbs signed a $17.6 billion bipartisan budget following prolonged negotiations and legislative standoffs. The budget, closely following the Senate's original plan, gained final approval after Hobbs vetoed two more conservative alternatives, setting a record with 169 vetoes in one session. Key provisions include pay raises for state police and firefighters, expanded child care funding, border security, public education, Medicaid for developmentally disabled residents, and major transportation initiatives. The agreement also introduces property tax exemptions for disabled veterans and reforms to combat government fraud. While both parties praised the compromise and collaboration, some conservatives voiced disappointment over the absence of larger budget cuts or ideological changes. Leaders emphasized the budget as a testament to effective bipartisan governance benefiting Arizonans.