Arizona Governor Katie Hobbs recently vetoed a bipartisan bill, the Arizona Starter Homes Act (HB 2570), aimed at reducing housing costs and cutting red tape. The bill sought to eliminate minimum lot and home size requirements for single-family houses in cities with over 70,000 residents, end mandatory homeowners' associations, and relax distance regulations from the street to facilitate the construction of more affordable starter homes.
Despite the bill's intentions to address Arizona's pressing need for affordable housing, Governor Hobbs deemed it unproven and overly expansive. This decision comes at a time when the state is grappling with a significant increase in housing costs, with rents surging by 50% and home prices rising by 60% over the past six years. The unhoused population in Arizona has also grown by 30% between 2020 and 2023 due in part to escalating housing expenses.
While pro-housing policies have garnered support from both Democratic and Republican lawmakers in various states, the veto of the Arizona bill contradicts President Joe Biden's recent emphasis on tackling the nation's housing crisis. Biden's proposed policies aim to allocate federal funds to states to subsidize new housing construction, reduce costs, and assist low-income renters and homebuyers.
The veto has drawn criticism from state legislators who championed the bill, with Democratic State Rep. Analise Ortiz expressing disappointment over the missed opportunity to address the housing crisis. On the other hand, the League of Arizona Cities and Towns, advocating for municipal power, viewed the bill as favoring developers. Concerns were also raised by the US Department of Defense regarding potential disruptions to military facilities and by the Professional Fire Fighters Association of Arizona citing challenges to emergency services with increased housing density.
Pro-housing advocates nationwide have condemned the veto, citing research that suggests loosening zoning laws and land-use regulations can spur construction and enhance housing affordability. A Pew report from December 2023 highlighted how restrictive zoning policies in Arizona have inflated housing costs and exacerbated homelessness in the state.
The veto of the Arizona Starter Homes Act has sparked debate and highlighted the complexities surrounding housing policy, particularly in the face of escalating housing costs and a growing need for affordable housing solutions.
