Supporting Document (bcb5c49a...)

Item 14
CITY^NCIl
REPORT
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Meeting Date: 
February 24,2026
General Plan Element: 
Fiiblic Servic^ & Facilities
General Plan Goal: 
Efficiently plan and manage infrastructure, facilities, and public
service operations
ACTION
Legislative update presentation by the Ci^'s state lobbying services contractor, Dr. Marc Osborn of 
Kutak Rock LLP.
BACKGROUND
The 57*^ Arizona State Legislature convened for the Second Regular Session on January 12,2026. 
On January 13, 2026, the City Council received a preview olf the legislative environment, state 
budget outlook, and major policy issues expected to be considered by the Legislature. This 
presentation will provide the City Council with a legislative update as to how the session is 
progressing.
ANALYSIS & ASSESSMENT
Dr. Marc Osborn of Kutak Rock LLP, the City’s state lobbying services contractor, will provide a 
legislative update of the 2026 legislative session, including:
• 
An update on the FY2027 State Budget outlookj which is projected to be extremely 
coristrained, with lirnited discretionary funding available,
• 
Stotos of key legislative issues that may impad the city.
• 
Key legislative dynamics and timelines relevant to the City’s state advocacy efforts
This briefing will asdst City Council in understanding the fiscal and policy context of the 2026 
session and ongoing direction related to the City’s legislative priorities.
RESOURCE IMPACTS
There are no fiscal impads associated v#i this presentation.
OPTIONS & STAFF RECOMMENDATION
Recornmended Approach
Provide direction for staff, as appropriate.
Action Taksn.
Blueink Bundle ID: NnSdWpUJVm

City Council Report I February 2026 Legislative Update 
RESPONSIBLE DEPARTMENT 
Government Relations, City Manager's Office 
STAFF CONTACTS 
Sara Sparman, Government Relations Manager, 480-312-2511, SSparman@ScottsdaleAZ.gov 
APPROVED BY 
Will Brooks, Assistant to the City Manager 
(480) 312-7826, WBrooks@ScottsdaleAZ.gov
Jeff Walther, Assistant City Manager 
(480) 312-7954, JWalther@ScottsdaleAZ.gov
ATTACHMENTS 
1.
2026 Legislative Agenda
Bluelnk Bundle ID: Nn3dWpUJVm 
2/10/26 
Date 
2/10/26 
Date 
Page 2of2

CITY OF
City of Scottsdale 
2026 Legislative Agenda
CrnTTCnAI F Arizona Legislature - Second Regular Session 
I lOUALC United States Congress
CORE PRINCIPLES
RESPECT SCOTTSDALE’S UNIQUE CHARACTER AND CULTURE
Safeguard the attributes that define Scottsdale’s voter-approved comrhunity vision, including exceptional 
experiences, outstanding livability, community prosperity, public engagement, and a distinctive character that 
sets the City apart.
PRESERVE LOCAL FUNDING
Preserve stable and diversified local revenue sources that sustain essential city services, long-term 
infrastructure investment, and the high-quality of community amenities that define Scottsdale’s expectational 
livability.
SUPPORT LOCAL AUTHORITY
Champion local decision-making and collaborative governance that empower Scottsdale to address community 
needs, uphold resident priorities, and maintain flexibility in implementing locally responsive solutions.
POLICY STATEMENTS 
COMMUNITY PROSPERITY
The City of Scottsdale fosters a diverse and resilient ecoriomy by advancing initiatives that attract investment, 
create quality jobs, and sustain the City’s distinctive character while supporting tourisrri, aviation, and long-term 
economic vitality.
• Advance initiatives that drive job Creation, innovation, and balanced growth.
Encourage state and regional policies that attract and retain high-quality employers, 
o Strengthen Arizona’s competitive position as a host for major events and tourism.
Advocate for federal and state aviation funding and reauthorization policies that support Scottsdale 
Airport’s infrastructure needs and operational growth.
o Support revitalization and upgrades to information technology systems and infrastructure that improve 
reliability while decreasing costs and maintaining confidentiality, privacy, and security.
FINANCE
The City of Scottsdale promotes fiscal stability and local financial autonomy by endorsing initiatives that protect 
and maintain critical revenue streams, and ensure the City retains the resources necessary to provide 
essential services and sustain long-term financial health.
• 
Preserve local taxing and fee authority, including transaction privilege tax (TPT), tourism/bed taxes, and 
user fees, and oppose preemption of local revenue tools.
• 
Maintain state-Shared revenues from sales, income, and other taxes, opposing any action that would 
reduce these revenues, whether directly or indirectly.
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ATTACHMENT 1

• Support solutions that offset lost federal, state, or local revenues from state or federal actions, and 
restore or replace impacted revenue streams.
• Strengthen the stability of public retirement systems and reduce unfunded liabilities by coordinating with 
state partners to maintain prior pension reforms.
Protect municipal utility rate-setting authority;
o Preserve state and local government ability to use tax-exempt bonds as a primary tool for providing 
infrastructure, opposing any actions that eliminate tax-exemption and increase borrowing costs.
OUTSTANDING LIVABILITY
The City of Scottsdale promotes outstanding livability by endorsing initiatives that protect community character, 
preserve local authority, and enhance the quality of life for residents.
O
Oppose efforts to limit municipal authority and affirm the right of local governments to control land use, 
zoning, design review, permitting, historic preservation, and fiscally responsible development.
• 
Oppose actions that negatively alter or remove the City’s important and long-established ordinances 
and design standards in the natural environment and the McDowell Sonoran Preserve.
• 
Strengthen local government tools to manage the impacts of short-term rentals, safeguarding long-term 
housing availability and neighborhood livability through locally tailored regulation and effective 
enforcement.
• 
Preserve effective and efficient approaches to public transparency and community engagement that 
embrace innovation, reduce administrative barriers, and timely access to information for residents and 
stakeholders.
• 
Ensure the City actively engages in aviation policy and technology improvements that enhance air 
traffic efficiency while minimizing community impacts.
PUBLIC SAFETY
The City of Scottsdale advances public safety and criminal justice as a collaborative partner, endorsing 
initiatives that protect residents, enhance operation, integrity and effectiveness, and promote trust and well­
being in the community.
o Advance public safety and criminal justice initiatives that protect residents from crime, leverage 
technology, and uphold the City’s Public Safety Plan Ordinance.
Promote the resporisible and transparent use of emerging technologies.
• 
Prioritize and invest in the mental, physical and erhotional well-being of public safety employees 
through access to counseling, peer support, and wellness resources.
• 
Maintain a highly qualified public safety workforce through policies that support competitive 
Compensation, modern training, and access to current equipment and resources.
• 
Support policies that protect and enhance the City’s ability to provide emergency medical services and 
pre-hospital transportation services for residents and visitors.
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o Preseh/e strong local authority over building and fire codes and fireworks regulation to reduce fire risk 
and protect neighborhoods, businesses, and preserved open spaces.
P
Support coordinated wildfire prevention and emergency response strategies that integrate technology, 
expand interagency preparedness, and strengthen protection of neighborhoods, open spaces, and 
natural resources.
TRANSPORTATION
The City of Scottsdale engages in transportation policy and planning as a collaborative partner, endorsing and 
aligning with initiatives that enhance safety, mobility, and ecbnoinic vitality, while preserving local input and 
oversight.
o Endorse initiatives that maintain and improve roads, bridges, and related infrastructure to ensure safe, 
efficient, and reliable travel for residents, businesses and visitors.
Advocate for responsible innovation and funding of trahsportation tools, technologies, and projects that 
enhance traffic management, safety, and connectivity.
O
P
P
Align with regional and state transportation planning efforts that complement the City’s priorities, while 
preserving Scottsdale’s ability to exercise input and oversight.
Facilitate collaboration on projects that support economic competitiveness, including infrastructure 
improvements that promote commerce, tourism, and essential services.
Engage in regional, state, and federal transportation coordination efforts to advocate balanced funding, 
multimodal connectivity, and infrastructure investments that enhance safety, mobility, and economic 
vitality.
WATER
The City of Scottsdale is committed to ensuring a sustainable and resilient water future by endorsing policies 
that enhance water conservation, support innovative water management practices and preserves local 
authority to manage and plan water resources effectively.
m
Promote policies that encourage water conservation, recycling and augmentation strategies, while 
enhancing tools for reliable local water management.
• Support initiatives that protect Arizona’s Colorado River entitlements, contractual rights, and priority 
usage through coordinated water-management actions, while integrating Scottsdale’s water priorities 
into state, regional and federal Colorado River policy frameworks.
Promote funding, incentives and statutory tools to reduce reliance on groundwater, bolster supply 
resilience, and encourage participation in water-saving programs.
Oppose initiatives that weaken water supply safeguards.
Approved by Scottsdale City Council on November 17, 2025.
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Item 14
2026 Arizona Legislative Update
February 24, 2026
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KUTAKROCK
kutakrock.com

57* Arizona State Legislature, 2^^ Regular Session
. Today marks the 44^^ day of session.
. Last week was the last week to hear bills in their committee of origin.
. Arizona set a record for most bills introduced in a single session with 
1,967 bills (243 more than last session) and 150 resolutions/memorials 
(12 more than last session).
. 12 bills have been sent to the Governor and 2 have been vetoed.
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KUTAKROCK

First Time Ever - HB 4001
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REFERENCE TITLE: alternative nicotine products: regulation.
State of Arizona 
House of Representatives 
Fifty-seventh Legislature 
Second Regular Session 
2026
HB 4001
Introduced by 
Representative Weninger
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KUTAKROCK

Key Session Dates & Deadlines
January 2026
*—Monday, 1/12—Legislative Session Regins
*—Thursday 1/15—House 7-biH Introduction Limit Begiirs at 5:00 p.m^ 
*—Tuesday 1/20—Senate Bill Request Deadline (5:00 p.m.)
February 2026
»—Monday, ^2—Senate Bill Introduction Deadline (5:00 p.m.)
»—Friday ^6—House Bill Intro SetT^reparation Deadline (5:00 p.m.)
*—Monday 2f^—House Bill Introduction-Deadline (5:60-p-.m;)
*—Friday ^26—Last-E>ay-to Hear Senate Bills in Senate Committees/ Last Day to Hear House Bills in House Committees
March 2026
• 
Friday 3/27- Last Day to Hear Senate Bills in House Committees / Last Day to Hear House Bills in Senate Committees 
April 2026
• 
Friday 4^7 - Last Day for Conference Committees (By House and Senate Rule)
• 
Saturday ^jl5 - Saturday of the week of the 100“' Day of Session (Target Sine Die Date)
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KUTAKROCK

Tax Conformity & FY 2027 Budget Update
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KUTAKROCK

Key Legislative Issues
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KUTAKROCK

Photo Radar
7
KUTAKROCK

License Plate Readers
8
KUTAKROCK

Short-Term Rentals
9
KUTAKROCK

Water
10
KUTAKROCK

Local Control & Zoning Authority
11
KUTAKROCK

J
Public Safety
12
KUTAKROCK

Transportation & Infrastructure
13
KUTAKROCK

Fiscal Stability & Revenue
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KUTAKROCK

Questions and Discussion
Marcus Osborn, Senior Director of Government Relations, Kutak Rock LLP 
602-791-7957 or marc.osborn@kutakrock.com
KUTAKROCK

KUTAKROCK
kutakrock.com