More than 1 in 4 Arizonans Thinking of Leaving - Phoenix New Times
When we hear people talking about how expensive life is now, that is largely contributed to housing costs that are eating up more and more of people’s monthly budgets. At this point in session we have a limited number of state wide solutions taking shape.
Financial based:
Extending and expanding the Low Income Housing Tax Credit. This bill has not been given a hearing but looks like it will be negotiated in the budget. This tax credit is how long term affordable housing gets built, and in the past two years it has funded 30 projects statewide. Without this credit, affordable projects will not get built, especially in rural areas.
Creation of a fund for workforce housing gap financing. This idea is one I have been working with stakeholders that will help bring additional sources of low cost capital to our state to help projects get built that are priced between market rate and low income.
Republicans are playing a game of partisan politics that puts our housing future at risk. They voted to continue the Arizona Department of Housing for only one year, while also refusing to confirm Joan Serviss, the acting Director for the past two years. This is dangerous to our housing future as it sends the message that Arizona taking the crisis serious while also signaling uncertainty for investors and builders that may pull out of our state in favor of other states that support housing.
Supply based:
There are three bills moving right now that will address the supply shortage in our state- the dominant factor pushing prices up. Why supply based solutions? It is estimated that a continued 200 people a day are moving to Maricopa County and that we are short 150,000 - 270,000 housing units statewide. Research consistently shows that for every unit that is built, regardless of price point, it puts a downward pressure on prices. A study found that for every 100 existing rental units, one new market-rate unit created lowers rents across the board by 0.4 - 0.7 percent.
Starter Homes bill SB 1229 made it out of the Senate and is in the House. This bill would allow homes to be built on 3,000 sf lots on new home developments 5-acres or larger. States like Montana, Texas, Oregon, California, Washington, and Connecticut are working on similar legislation.
This bill continues to be negotiated by many stakeholders, including the Governor’s office, so the policy may continue to change.
Two bills address incremental development, the notion that smaller, community-driven projects are faster to build, more affordable, and tailored to local needs.
Helping increase supply of ADU’s, counties can allow at least one attached and one detached ADU on any lot where a single-family dwelling is permitted. HB 2928 passed out of the House and now awaits a hearing in the Senate.
Faith communities are at the front line of the the housing crisis, witnessing firsthand the struggle so many in their congregation are facing to stay housed. This is why faith leaders have stepped up to align policy with their faith based mission to support Yes In God’s Back Yard (YIGBY) HB 2191.
YIGBY allows places of worship to turn underutilized land into permanently affordable, single-family, for-sale workforce housing, creating real solutions for families to find stable housing as homeowners and build equity. This approach reflects core faith values—localism, quality, and civic pride.
Last year, a bipartisan YIGBY bill passed the Arizona House but never received a Senate hearing. This year’s version is significantly narrowed in scope, with recent amendments from the League of Cities and Towns, legislators, and community members that constrict the positive supply impact the bill would have.
Across the country, states and cities are moving forward with YIGBY policies—California enacted it in 2023, while Hawaii, Colorado, New York, Virginia, San Antonio, Detroit, and Atlanta are working on similar efforts. Even at the federal level, Senator Sherrod Brown introduced YIGBY funding legislation last year.
The momentum is growing—Arizona has the opportunity to listen and lead. As we continue to hone these pieces of legislation, it is vital that we keep the people we are trying to help in mind. We must shift our mindset from a place of scarcity and fear, into one of abundance that benefits all . As Nicole Newhouse, Executive Director of the Arizona Housing Coalition states, housing work isn’t about ‘those people’, it is about all of us. “Let’s replace ‘not in my backyard’ with ‘yes, in our community.’ The crisis isn’t coming – it’s here. The time to act is now.”
ICYMI
Arizona just landed two massive investments that will shape the future of our state, but you might have only heard about one of them. While the TSMC semiconductor expansion made headlines with its additional $100 billion investment, Mayo Clinic is making a transformative $1.9 billion investment in Phoenix—and it deserves just as much attention. This expansion will add 1.2 million square feet to the campus, including a new six-story patient tower, eight more operating rooms, and a doubling of laboratory space to expand cutting-edge medical care. Even more, it’s expected to create 3,500 new jobs, boosting our economy while strengthening Arizona’s role as a leader in healthcare innovation. With these two projects, Arizona is cementing itself as a powerhouse in both advanced healthcare and tech manufacturing—investments that will impact our communities for decades to come.
WITH A HEAVY HEART
Tough news came this week on the local level as we found out Congressman Raul Grijalva passed. Born the son of immigrants, Grijalva graduated from University of Arizona and served on the Tucson Unified School District Board for over a decade. Elected to Congress in 2002, Grijalva was known for his advocacy for health care, Native American rights, and immigration reform. As a Tucson native, I see the lasting impact his work has made on the shape of our state. May his spirit and legacy live on during this time where environmental protections, healthcare defunding, and immigrant communities are under attack.
I also send my condolences to those families who’s homes and communities were destroyed from the cross country tornado outbreak, especially to those who lost their lives and those that lost loved ones.
With Kindness,
Sarah
