2026 Legislative Session Begins with Major Decisions Ahead on Taxes, Education, and Affordability
PHOENIX — The Arizona Center for Economic Progress released the following statement Monday from Director Joseph Palomino at the start of the 2026 legislative session and following Gov. Katie Hobbs’ State of the State address:
“As the Arizona Legislature convenes and the governor outlines priorities for the year ahead, Arizona is at a crossroads. The choices lawmakers make this session will determine whether families can afford the basics, workers can earn a living wage, and communities have the public investments they need to thrive — or whether policy decisions continue to deepen inequality.
“At the Arizona Center for Economic Progress, we believe Arizona’s success depends on investing in people through progressive tax policies: ensuring families can afford essential needs like housing, food, health care, and paid leave; protecting and strengthening state revenues through a fair tax code; fully funding public K-12 education; expanding economic opportunity; and recognizing immigrants as essential contributors to Arizona’s workforce and economy.
“This session must be about putting working families first, rejecting fear-based and inequitable policies, and making smart, sustainable investments that strengthen Arizona’s economy now and for generations to come.”
For more on how and why Arizona’s past decisions and hidden costs are coming due and making for an extremely difficult budget debate, see Karma’s a Budget, an analysis by Geraldine Miranda, AZCenter assistant director of fiscal policy.
