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Home Rule Prop 400 Information:
Arizona’s Constitutional Spending Limits
Arizona’s constitutional spending limits are designed to cap how much local governments can spend each year, preventing unchecked growth in expenditures. AZ Constitution Article 9 Sec. 20, Cities & Towns
Key Information the city not telling you
54% of cities & towns in Arizona do NOT use Home Rule
Our neighbors City of Cottonwood, Clarkdale, and the town of Camp Verde do not use home rule.
The state of Arizona laws have a seamless method to transition from a NO-HOME-Rule Providing a safe transition from a no-home-rule. NO services or nonprofits will not be interrupted.
Four Budget Options for Cities & Towns
State-Imposed Expenditure Limit
No voter approval needed
Permanent Base Adjustment (PBA), a permanent increase in the expenditure limit.
Requires voter approval
Alternative Expenditure Limitation (Home Rule), a temporary four-year approval of an unspecified limit.
Requires voter approval
Annual One-time Overrides * Required in May.
Requires voter approval
Expenditure limits apply only to expenditures of local revenues.
Exemptions added to the expenditure limit:
Debt payments, grants, donations, pass-through funding, HURF in excess of 1980 levels, investment earning, and more.
What Happens if Home Rule Fails:
· The city has home rule funding until June 30, 2027.
· In May 2027, voters can approve a one-time override budget to fund the city through June 30, 2028.
· The city can put on the ballot as early as FY27 a Permanent Base Adjustment (PBA) to establish a new, locally-set expenditure limit for the city.
Permanent Base Adjustment = A set budget cap that does not change every year and only increases with explicit direction from the residents. It is a permanent budgetary solution.
Permanent base adjustment can bring transparency and resident involvement back to local government to determine the future of Sedona. More cities and towns in Arizona are moving to PBA. It offers both stability and voter accountability.
Just imagine not having to go through a home rule vote every four years.
Auditor General, Government Finance Officers Association of Arizona (GFOAz) City of Sedona, City of Yuma Research by Donna Joy Varney donna@donnajoys.com
Paid for by Small-Town Sedona PAC with 0% from out-of-state-contributors.
Not authorized by any candidate. See ARS 16-925(B)