Arizona budget deal has 3-year moratorium on tax breaks for data centers

News Clip3:04ABC15 Arizona·AZ·6/12/2026

Arizona state lawmakers and Gov. Katie Hobbs reached an $18.29 billion budget deal, which includes a three-year moratorium on tax breaks for data centers. The governor is expected to sign the budget soon. This measure will significantly impact data center development in the state.

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Gov: Arizona state lawmakers, Gov. Katie Hobbs
After months of wrangling, state lawmakers moved swiftly on Thursday to pass an $18.29 billion budget deal Republican leaders reached with Gov. Katie Hobbs just days earlier. Hobbs is expected to sign off on the budget as early as Friday. The budget deal has a three-year moratorium on tax breaks for data centers.