Arizona Legislature
1700 West Washington, Phoenix, Arizona 85007-2844
Senate President Ken Bennett (R-1)
602-926-5584
House Speaker Jim Weiers (R-10)
602-926-4173
June 17, 2006
FOR IMMEDIATE RELEASE
Legislature Increases Funding for State Priorities, Passes
Half-Billion in Tax Relief – After getting governor’s
agreement to sign balanced budget
(State Capitol, Arizona) –
Senate President Ken Bennett and House Speaker Jim Weiers
heralded passage today of a state budget that returns more
than a half-billion dollars to Arizona’s tax payers,
accelerates statewide freeway construction, provides for substantial
teacher and correctional officers pay raises and expands school
choice.
The $9.9 billion balanced budget,
which takes affect July 1st, followed negotiations that resulted
in the governor accepting the core Republican principles of
broad-based tax relief, school choice and investment in infrastructure
and public safety. The budget/tax relief package includes
the following major provisions:
• The largest tax relief
package in Arizona history that provides $310 million of
permanent income tax reductions over two years and suspension
of the $215 million state property tax for at least the
next three years. This fuels Arizona’s vibrant economy
while returning money to the Arizonans who earned it in
the first place.
• A $345 million increase for highway and road construction
throughout the state, an investment that is critical for
a rapidly growing state.
• An 11% increase – over a half-billion dollars
-- for the K-12 education system. This includes an additional
$100 million this year to increase teachers salaries and
$160 million doled out over the next two years to fully
fund all-day kindergarten should local districts choose
to do so. There is also $18 million to expand school choice
for lower income, disabled and foster children contained
in bills to follow next week that are part of the budget
agreement.
• A $141 million bump for state universities that
allows Arizona State University to expand its Williams Gateway
campus and helps the University of Arizona retain experienced
faculty and Northern Arizona University update aging buildings.
• $128 million for investments
in public safety, including money for more meth interdiction,
hiring 46 DPS officers, a $5,300 annual pay increase for
corrections officers and prison beds.
• Nearly a half-billion dollar deposit to the “Rainy
Day Fund,” giving the state protection against hard
times with a balance of more than $600 million.
• A quarter-billion dollar boost to healthcare, including
over $10 million for cutting edge research to help combat
Autism and Alzheimer’s.
• More than a quarter-billion dollars to eliminate
accounting tricks and gimmicks used to balance previous
budgets, including the $191 million K-12 rollover and substantially
eliminating the onerous practice of forcing businesses to
make sales tax payments prior to when they would actually
be due.
• A $60 million positive ending balance, without the
aid of accounting tricks and gimmicks.
Unfortunately, Governor Janet
Napolitano refused to allow $160 million to provide critical
border security for Arizona. The comprehensive measure addressed
the funding needs for Arizona to combat illegal immigration
and its severe impact on our economy, environment and public
safety, but was vetoed by the governor.
President Bennett said, “We
do the things our government should do in this budget –build
roads, fund education, better protect the public and put more
money back into the state’s economy by putting more
money back into the pockets of taxpayers. The one missing
piece in this budget – and it’s a big one –
is addressing illegal immigration. Time after time, we just
could not get past the governor’s vetoes on this.”
Speaker Weiers said, “The
real winners this year are hard-working Arizonans who get
to keep more of their money through tax cuts. Businesses can
be assured of lowered tax rates as they look to relocate or
expand and can count on property tax relief as well. More
money for freeway construction should free up our congested
freeways and improve commerce. And our students throughout
all grades can count on increased money for public schools
and new vouchers to help special-needs children excel in school.”
President Bennett added, “We
have an agreement with the governor on this budget, I fully
expect her to fulfill that agreement and sign the bills.”
The legislature held firm to
a balanced budget despite Governor Napolitano’s original
deficit- laden spending plan.
###
For further information contact:
Nick Simonetta, Communications and Policy Advisor to the Majority
Arizona State Senate
Office: (602) 926-5418, e-mail: nsimonet@azleg.gov
OR
Barrett Marson, Director of Communications
Arizona House of Representatives
Office: (602) 926-3233, e-mail: bmarson@azleg.gov