As Arizona lawmakers convened for the first day of the 2024 legislative session, Governor Hobbs delivered her second State of the State Address. In doing so, she discussed her 2023 accomplishments and how she plans to build on those accomplishments in 2024. More specifically, the Governor laid out her policy priorities for the coming year, which include two issues of great interest to all Arizona REALTORS®: (i) Water Sustainability; and (ii) Affordable Housing.

Following the State of the State Address, the Governor’s Office published talking points on these issues, which are set forth below.

Securing Our Water Future

Governor Hobbs had a historic first year addressing Arizona’s long-term water sustainability. The Governor canceled the Fondomonte Butler Valley lease and negotiated a historic Colorado River deal that saved Arizona from draconian water cuts from the federal government, conserving enough water for 9 million homes. In her speech, Governor Hobbs will look to advance the recommendations from her bipartisan Water Policy Council, including:

● Propose bipartisan legislation to close build-to-rent and wildcat development loopholes.

● Call for legislation to update our 40-year-old groundwater management laws to allow rural groundwater users to have a say in how their water is used.

● Announce she is directing ADWR to pursue an alternative path to designation to expand options for housing development within AMAs without 100–years of groundwater supply.

Messaging Guidance:

● Governor Hobbs knows our water standards are the key to our strong economy. She refuses to sacrifice them for unchecked growth. But she will continue in Arizona’s bipartisan tradition of growing our economy while protecting our state’s most precious resource.

● As Arizona’s economy thrives, with businesses big and small flocking to our state, smart water management is at the heart of keeping this momentum going.

● And that’s exactly what Governor Hobbs is proposing.

● These common sense solutions came from conversations with farmers, business owners, and local elected officials, and deserve bipartisan support in the legislature.

● Pursuing the alternative designation is a smart way to continue growing our economy and combating the housing crisis while reducing groundwater pumping and protecting essential consumer protections.

Affordable Housing for Middle Class Arizonans

In her bipartisan budget, Governor Hobbs secured historic investments to expand affordable housing options for hard-working middle class Arizonans and combat homelessness. In her State of the State, Governor Hobbs will build on this success with the Arizona is Home – Mortgage Assistance Program to assist working class Arizonans with their down payments and deliver mortgage interest rate relief. The Arizona is Home Program will:

● Expand homeownership opportunities for qualifying moderate middle-income and rural homebuyers through enhanced down payment assistance and mortgage interest rate relief.

● Expand down payment assistance and mortgage interest rate relief for families making 80% of the Area Median Income. For example, families of four making $75,000 or less in Phoenix will qualify.

● Enhance homebuyer assistance in Arizona’s rural communities by providing access to less costly home loans through collaboration with Arizona Industrial Development Authority and the Department of Housing.

Messaging Guidance:

● Governor Hobbs knows what it’s like to struggle to pay the mortgage. She will fight for Arizona families just as hard as she fought for her own. She wants to make the American Dream accessible to every Arizonan.

● Buying a home has become increasingly difficult across the country, but there are things we can do to make it easier.

● If we want to support the growth of businesses in Arizona, we need to make sure those who come here have access to the housing market.

● The Governor has already made historic investments toward ending the affordable housing crisis, and Arizona is Home will only build on that success.