SB 1271 the Arizona Anti-Deficiency Law – About to be Dropped in the Gov’s Lap

SB 1271, which has not really gotten the press it deserves, was a well meant bill designed to help small Arizona banks that didn’t get any of the free government money that got tossed about as TARP funds. Unfortunately there are consequences that would seriously hurt owners of Arizona real estate who are already struggling.

 

So after seeing the big picture our legislators are seeking to repeal the new law. To do so they have added the repeal to HB 2008, a bill which just passed the Arizona senate. Of course HB 2008 is the budget bill (yes, Arizona is still operating without a budget). And this budget bill is missing one thing that is very important to Governor Jan Brewer.

 

taxesYou see, instead of having a state government that spends money wisely, our Governor wants to raise taxes. This raise in taxes, as always, would be a “temporary” one. And our Governor insists that Arizona voters want to have their taxes raised again. What? Really?

 

So since this budget bill contains no raise in taxes the writing is on the wall: Jan Brewer will likely veto this bill. That means Arizona will continue to operate without a budget. It also means that SB 1271 will survive. It kind of makes you wonder, who does Governor Jan Brewer work for?

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1 Comment »

  1. [...] anti-deficiency statutes. While the plan sounded good at first, lawmakers soon realized that SB 1271 would have had unintended yet far reaching consequences that could seriously hurt Arizona home [...]

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