Arizona Governor Katie Hobbs on Monday gave her State of the State address, laying out for lawmakers her priorities for the upcoming year, including affordability, water security, and job attraction.
Affordability
Hobbs emphasized the cost of housing.
āWe must further cut the red tape thatās driving up the cost of housing,ā she said. āIām proud of the progress weāve made expanding access to casitas and building duplexes and triplexes in our downtowns. But Arizonans are depending on us to find more common sense solutions that donāt expose our neighborhoods to untested experiments.ā
The governor also stressed the need to lower the financial burden of childcare, costs she called āout of control.ā She said she wants to lower the costs of childcare by two-thirds through her Working Families Child Care Act.
Itās an initiative that could have positive ramifications for employers who struggle with recruitment and retention because employees struggle to find reliable and affordable childcare.
āThe business community is ready to work with the governor and lawmakers from both parties to find ways to expand access to childcare and put downward pressure on the costs,ā Arizona 91¹ū¶³“«Ć½ of Commerce & Industry President and CEO Danny Seiden said.
Security
Hobbs emphasized her administrationās dedication to securing the border. āAt my direction, the Arizona National Guard is at our border to support U.S. Customs and Border Protection and stop the flow of dangerous drugs into our state. When I visited the Port of Nogales in November, I saw the critical work that these men and women are doing to protect us. They direct traffic through x-ray machines. They break down vehicles. They assess every potential threat coming into our state. They are Task Force SAFE.ā
Water
She also talked about the need to ensure water security for Arizonans. āSecuring our water future is essential to preserving our way of life. Whether itās our use of canals and dams to provide water to millions of peopleā¦or the passage of the visionary Groundwater Management Actā¦or the hard work of farmers, ranchers, Tribal nations and the men and women of the Arizona Department of Water Resources, we have always led the nation in water innovation and conservation.ā
Job attraction
She spoke on the necessity of working with the business community to grow Arizonaās economy, referencing the successful 2024 effort to continue the Arizona Commerce Authority, the stateās lead economic development agency. āI stood in front of you and called for the continuation of the Arizona Commerce Authority because I know it’s essential to growing business and creating jobs in this state,ā she said. āFast forward to last week: I announced a historic investment through the CHIPS and Science Act to create Arizonaās first national laboratory and one of Americaās three flagship semiconductor research and development facilities. Itās an investment made possible because of the Commerce Authority, which partnered with Arizona State University to bring this enormous opportunity to our state.ā
The business community view
Seiden says his organization will continue to focus on growing the Arizona economy.
āArizona is now a global leader in the semiconductor sector. We want to maintain that momentum,ā he said. āThe effort to bring good paying jobs to Arizona isnāt a partisan one. As always, lawmakers from both parties can count on the Arizona 91¹ū¶³“«Ć½ to work hard to shape policies that will grow our economy and enhance our competitive standing.ā






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