FOR IMMEDIATE RELEASE

Success of Republican majority initiatives makes session great success for Arizona taxpayers, families and businesses

PHOENIX -- At the outset of the 47^th Legislature’s 1^st Regular Session, the Republican majority set out an aggressive agenda to move Arizona forward in many critical areas. With the end of the legislative session today, Senate Majority Leader Tim Bee and House Majority Leader Steve Tully announce the great success of the joint legislative majority program.

Republicans began the session intent on producing a fiscally responsible, balanced budget that addressed Arizona’s needs and priorities. The end product embodied those principles and included significant tax relief, an expansion of school choice and strengthening public safety. The Republican-led Legislature substantially eliminated the long standing structural deficit and funded Arizona’s priorities – particularly in K-12 education where Republicans assured there would be an additional $45 million for teacher pay increases.

In the challenging and productive session, Republicans were successful in passing numerous bills designed to promote public safety, promote forest health, protect the rights of Arizona’s residents and help families and businesses, including a major tax cut / economic stimulus package. A document highlighting key measures advancing the majority’s program is attached.

Senate Majority Leader Tim Bee (R-Tucson) said, “This session has far exceeded all expectations in the magnitude and breadth of our accomplishments. We produced a balanced budget that did not rely on borrowing for new schools and enacted policies for the betterment of Arizona families, businesses, taxpayers, and the brave men and women who protect us at home and abroad.” Senator Bee added, “In line with the program outlined in January, Republicans worked hard to strengthen Arizona’s education system and enhance public safety, including a measure to better deal with the human traffickers who violate our borders. I am proud of the substantial improvements made for the long term future of all Arizonans.”

House Majority Leader Steve Tully (R-Phoenix) said, "Arizona's newest laws seek to reduce government burdens, help businesses, address illegal immigration and promote a healthy lifestyle. We accomplished much during this session that will bear fruit for years to come."

Senate President Ken Bennett (R-Prescott) said, “There was terrific work done in this legislative session to move Arizona forward in positive and tangible ways. In a session of great accomplishments, we produced a budget built on solid Republican principles that passed with broad support. We also enacted a major tax relief package, expanded school choice and further enhanced the efforts to restore the health of our irreplaceable forests.”

Speaker Jim Weiers (R-Phoenix) said, "We wrapped up an exciting session that will positively impact the lives of all the residents in our state. Four months of intense work from dedicated lawmakers will help produce a better Arizona."

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For further information contact:

Nick Simonetta, Communications and Policy Advisor to the Majority

Arizona State Senate

Office: (602) 926-5418, e-mail: nsimonet@azleg.state.az.us

Barrett Marson, Director of Communications

Arizona House of Representatives

Office: (602) 926-3233, e-mail: bmarson@azleg.state.az.us

Accomplishments of the 47^th Legislature

First Regular Session

Majority Program Pledge: Promote tax reforms that ensure all businesses and individuals in Arizona are treated fairly.

The Republican caucuses championed the first major tax relief for Arizona residents and businesses in five years with the following measures.

Reduced business taxes by 20 percent over the next 10 years while holding homeowners harmless.
Eliminated the marriage penalty on tax credits.
Added indexing for inflation for personal deductions in the state income tax code.
Cut corporate income taxes for high-tech manufacturing companies that export most of their products.
Created a corporate tuition tax credit to fund scholarships for Arizona children to attend the school of their choice.
Conformed Arizona law to take advantage of President Bush’s tax cuts, including Tsunami Relief deductions.
Provided $20 million over five years for venture capital tax credits for small businesses in Arizona.
Enacted movie production tax credits over five years that provide up to a $5 million per film income tax credit to entice movie production in Arizona.

· Approved a measure that streamlines and provides uniformity on how businesses process city sales tax refunds across the state.

· Provided active duty military from Arizona a one-year income tax exemption in 2006.

· Increased the income qualifications for widows, widowers and the disabled to receive a property tax exemption.

· Prohibited taxpayer money from being used for any type of human cloning.

Majority Program Pledge: Our priority is to spend tax dollars wisely and to balance the state’s budget.

The Republican Majority enacted a fiscally responsible plan. Our $8.3 billion balanced budget contains the following elements:

· Eliminates the use of school construction financing methods that incur additional long-term debt and provides $250 million in cash for new schools.

· $156.5 million was added to the state’s rainy day fund for emergencies and requires any additional fiscal year 2006 revenues to be deposited in the rainy day fund.

· It does not increase or establish new taxes to balance the budget.

· An additional $32 million for a 1.7% pay raise for state employees starting July 1, 2005.

Majority Program Pledge: We will address pressing healthcare concerns including medical malpractice reform and healthcare provider shortages.

In order to preserve Arizona’s ability to attract and retain a qualified healthcare workforce, the Legislature passed a measure to address medical liability and procedural reform. We also restored balance to the elder abuse laws that caused undue exposure to nursing care providers for seniors.
Established the Arizona partnership for the Nursing Education Demonstration Project to increase the capacity of Arizona nursing education programs.
Provided an additional $4 million for Alzheimer’s research.
Expanded the Newborn Screening Program in the Department of Health Services to include testing for up to 29 treatable congenital disorders and newborn and infant hearing loss.
Fully funded AHCCCS and mental health services
Provided additional funding for child care caseload growth.
Provided additional funding for CPS caseworker growth.
Provided more funding for developmental disability providers and for caseload growth for DD long term care.
Adopted measures to encourage adoption and improve foster care.
Provided funding for abstinence programs and marriage skills training.
Provided an additional $1.5 million for beds for victims of domestic violence.

Retroactive to July 1, 2004, re-established the military pay differential program for all state employees called to active military service.

Majority Program Pledge: We will promote policies to improve education for Arizona’s families.

Provided an additional $45 million for teacher salaries or smaller class sizes.
Fully funded K-12 education.
Adopted a measure to allow high school students to augment their AIMS score with course work.
Passed a measure to ensure that non english speaking students are provided a comprehensive, efficient and research-based program to aid in learning english.
Provided second year funding for full-day kindergarten for low-income school districts including reforms.
Established a Joint Legislative Study Committee to review statewide medical training needs. Requires the Joint Legislative Budget Committee to review the operational and capital plans for the Phoenix Medical Campus prior to providing funding for phase I.
Increased funding for college and university tuition grants to members of the National Guard.
Fully funded the State Land Department for planning, sale, and leasing of State Trust Land to increase the Trust’s income for public K-12 education.

Majority Program Pledge: Public safety is a core function of government and must always be a top priority. We will ensure law enforcement has the tools necessary to provide public safety. We will establish measures to protect against identity theft. We will strengthen penalties against those who commit human trafficking violations.

Established felony crimes for human trafficking including sex trafficking, smuggling of persons and forced labor. Cracks down on illegal activities of "coyotes" who smuggle illegal aliens into the U.S. and force them to work or into prostitution.
Enhanced penalties for ID theft and created a new Class 2 felony for aggravated ID theft, which includes trafficking and multiple ID thefts.
Referred to the voters, a measure that created a non-bailable offense if the defendant is charged with a serious felony offense and the person has entered or remained in the United States illegally.
To address the threat of methamphetamine (meth) use on the safety of our communities, the Republican majority strengthened laws on the sale, manufacturing and trafficking of meth. We made it a crime to manufacture meth under circumstances that cause physical injury to a minor less than 15 years of age.
Required anyone who is required to register as a sex offender in another jurisdiction to register in Arizona as a sex offender within 10 days of arrival.
Expanded victims’ rights to include notification by the prosecutor of any charges that the prosecutor intends to dismiss against the defendant.

We enacted legislation prohibiting public entities from accepting identification documents unless they are issued by an authorized governmental authority.
Provided a pay raise for DPS and correctional officers and added 28 new highway patrol officers.
Added $1.6 million to begin multi-year upgrades of DPS’s communication system.
Made it easier to obtain and renew a Concealed Carry Weapons permit.
Enacted legislation that recognizes an unborn child as a separate victim in homicide cases in which the mother is murdered and provides for enhanced punishment for the negligent or premeditated murder of the child.
Required notification to the victim of a juvenile crime similar to that required in adult court: Provided that juvenile restitution to victims be ordered by the court and that payments be made even after the juvenile turns 18.
Classified criminal trespass on a nuclear facility as a Class 4 felony and allows nuclear facility security to use deadly force if necessary to protect the facility from terrorists.

Majority Program Pledge: We will promote economic development and continue consumer protection measures.

Outlawed spyware by making it unlawful for a person to transmit computer software to a computer they do not own or operate in order to modify, through intentionally deceptive means, computer software or settings or to collect personally identifiable information.
We increased consumer protection by requiring the Registrar of Contractors to publish a list of persons, on the Registrar’s website, that have been found to be contracting without a license under specified circumstances and established a civil penalty for contracting while under a suspended license.
We protected the rights of homeowners by establishing board member removal procedures, replacing voting proxies with absentee ballots, outlining payment of assessments and fees regarding homeowners’ associations and modifying the disclosure statement given to a purchaser regarding the homestead exemption.
To prevent the practice of inclusionary zoning, we enacted legislation prohibiting a county or municipality from requiring that certain housing be designated for sale or lease to a specific class of purchasers.
We passed legislation requiring the disclosure of the expiration date, fees and fee dates of a gift card to a consumer at the time of purchase.
Ensured taxpayer money is not wasted by limiting the ability of municipalities to use taxpayer dollars to induce businesses to locate to specific cities.

To promote economic development across Arizona, we established a Joint Theme Park and Vehicle Support Facility District to build theme parks in northern Arizona and western Phoenix.
Modified provisions related to last year’s Healthy Forest Initiative by providing additional economic incentives.

Majority Program Pledge: We will assess long-term water planning and management policies.

Fully restored past budget cuts to the Department of Water Resources.
Created a rural water study commission to examine new data about water supplies and to formulate ways to improve reuse and conservation.
To resolve all of the Zuni Indian Tribe’s water rights claims in the Little Colorado Rivers basin, Congress passed the 2003 Zuni Indian Tribe Water Rights Settlement Act. To settle the state’s obligation under this act, the legislature provided $1.6 million over the next two years for wetland restoration purposes.
Provided for administration and funding for the Lower Colorado River Multispecies Conservation Program.
Instituted programs for meeting the state’s obligation pertaining to the water settlements of the Gila River Indian Community and San Xavier Reservation.