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My View: How the Legislature can support Arizona’s economic balancing act

AZ Inno

Budgets. Know anyone not thinking about theirs these days?

I can tell you that at the Capitol, the budget is on the minds of everyone. As the second regular session of the 56th Arizona Legislature commences, lawmakers are facing the job of balancing a budget that went from a surplus to an expected shortfall in less than a year.

Fortunately, this does not come as a surprise. While the first regular session of the Legislature was challenging due to budget constraints, legislators and Gov. Katie Hobbs still laid the foundation for taking our state to the next level.

In turn, many of those actions helped the Arizona Technology Council in developing recommendations for the Legislature that are highlighted in our 2024 Public Policy Guide. Our suggestions stemmed from keeping in mind that actions which ultimately stimulate the economy can help us all in the long run.

For example, the governor signed the measure that increased the aggregate cap on reimbursements to counties and municipalities for public infrastructure improvement costs that benefit manufacturing facilities. Taking matters further, the Council recommends lawmakers in the 2024 session support economic development programs that have proven to work for Arizona, including maintaining and funding programs that support manufacturing.

During the past several years, the Council has been successful in helping extend and expand these programs. Some economic development tools may need to be modernized to ensure the most effective utilization of tools that continue to spur economic growth.

Speaking of infrastructure, funding also was approved to support both the rural broadband accelerated match fund maintained by the Arizona State Broadband Office of the Arizona Commerce Authority and the broadband expansion fund. For the next step, the Council recommends seeking ways to grant equitable access to essential services such as broadband, employment and education opportunities while impacting workforce diversity, equity and inclusion.

Advancing clean energy policies

Education and workforce development were priorities in the 2023 session when funding was approved for the computer science professional development fund and Phoenix science education programs. For this session, the Council recommends developing a phased-in option for students to enroll in computer science courses offered by their schools or an online course approved by the Arizona Department of Education, as well as looking for opportunities to expand Arizona’s science, technology, engineering and math (STEM) education, including computer sciences and coding opportunities.

The Council also recommends the Arizona Corporation Commission and the Legislature work collaboratively to advance energy policy that encourages demand-side adoption of energy efficiency, prioritizes clean and renewable energy use, invests in electric vehicle infrastructure development, and supports innovation in the industry.

And last but certainly not least, the Council supports the reauthorization of the Arizona Commerce Authority. This is a no-brainer because, when it comes to methods for stimulating the economy year-round on a statewide basis, all roads lead to the ACA.

To learn more, I invite you to review the recommendations in our 11th Public Policy Guide.

In the meantime, let your state senators and representatives know how you feel about these and other matters that Arizona faces. We are definitely in this together.

Steve Zylstra is president and CEO of the Arizona Technology Council.


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