House Republican leaders propose $10.6 billion state budget

PHOENIX -- House Republican leaders on Monday proposed a $10.6 billion state budget for the fiscal year that begins July 1, with funds included for tax cuts, law-and-order initiatives and education.


Highlights of the House Republicans' proposal include $62 million of new tax relief, including a reduction in the corporate income tax and a new tax deduction for college savings plans.

The proposed budget also includes approximately $60 million for a 2.5 percent state employee pay raise and $15 million for as-yet-undetermined efforts to combat illegal immigration.

Other elements include dollars to pay for enrollment growth in K-12 schools, expand the Phoenix campus of the University of Arizona medical school and accommodate more prisoners.

"Arizona is a growing state and this recognizes Arizona's priorities," said Barrett Marson, a spokesman for House Republicans.

According to papers released by House Republicans, their budget would spend just over $10.6 billion, a 2.3 percent spending increase from the current fiscal year once proposed midyear adjustments are made.

The House Republicans' proposed budget does not include dollars sought by Gov. Janet Napolitano to raise teacher pay or increase a health care program for children, and House Democratic leaders said they had no meaningful input into the Republicans' offering.

"This is a House leadership mentality and it has to stop," said Rep. Steve Gallardo, D-Phoenix.

A bipartisan proposal is in the works in the Senate.

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