Arizona Senate Passes $17.6B Bipartisan Budget Amid Deadline Tensions

The Arizona Senate approved a $17.6 billion state budget for 2025-26 after bipartisan negotiations involving Republican leaders and Democratic Gov. Katie Hobbs, despite opposition from some members of both parties. The budget includes $180 million for health and welfare, funding for transportation projects, and provisions to support K-12 education without raising taxes, but it has faced criticism for not sufficiently addressing affordable housing or increasing public school funding. Senate Democrats such as Minority Leader Priya Sundareshan opposed the plan for omitting key Democratic priorities, while several Republicans criticized it for excessive spending and leaving a small budget surplus. The Senate also passed legislation allowing the Arizona Diamondbacks to divert $500 million in tax revenue for Chase Field renovations and voted to expand animal cruelty laws and limit municipal grocery sales taxes. The House of Representatives adopted its own $17.3 billion budget plan along party lines but has yet to approve the Senate version, which is necessary for Gov. Hobbs's signature before the June 30 deadline. With the House adjourning until Monday, lawmakers face a tight timeline to reconcile the budget differences and finalize the state spending plan.