Arizona

DALLAS — For the first time since it became a state in 1912, Arizona could lift its constitutional debt limit from the original $350,000 — an amount so small that the state issues no general obligation bonds — to $3.9 billion under a measure in the Legislature.

DALLAS — A proposed sale of the National Hockey League’s Phoenix Coyotes to Chicago sports entrepreneur Jerry Reinsdorf is contingent on creation of a bond district backed by tax revenue.

DALLAS — The Arizona Department of Transportation is developing a $4 billion plan to reduce congestion on freeways in Maricopa County with bonds backed by sales tax revenue.

DALLAS — Arizona’s drastic $1.1 billion of budget cuts approved last week could grow by nearly $1 billion if voters do not approve a temporary sales tax increase in May and refuse to repeal ballot initiatives from previous years.

DALLAS — With higher education at the center of Arizona’s debate over how to revive its struggling economy, two of its major state universities will issue $237 million of revenue bonds to upgrade their flagship campuses.

DALLAS — Arizona’s plan to build an $84 million, bond-financed spring training facility for the Chicago Cubs in Mesa faces stiff opposition, including a challenge to the constitutionality of using public funds for debt service.

DALLAS — Starved for revenue to fund critical city services, Phoenix is looking at which programs to preserve when a controversial tax on food goes into effect April 1.

DALLAS — Amid growing financial pressure on sports and tourism tax revenue, Arizona is hoping to seal an $84 million deal to keep the Chicago Cubs spring training facility in the Phoenix suburb of Mesa.

The Flagstaff City Council this week may consider a proposed agreement with developers of a resort complex that calls for the city to acquire part of the site after the project failed to make a debt-service payment in December.

DALLAS — Last week’s downgrades of Arizona’s debt by two rating agencies will have its most immediate impact on the sale of $735 million of certificates of participation to raise cash for the financially strapped state early next month.

Voters in Scottsdale will decide whether to increase the city's hotel tax by two percentage points to 13.92% on March 9. Officials said the increased tax would raise an additional $5.5 million in revenue.

Arizona lawmakers are preparing to meet in a special session tomorrow to consider calling for a temporary sales-tax increase and $200 million in spending cuts to ease an estimated $1.6 billion deficit.

Local school districts are expected to take advantage of a new Arizona law signed by Gov. Jan Brewer in September that will allow districts to ask voters for a 15% property tax override, for up to seven years, on March 9.

DALLAS — On the verge of its fifth special legislative session of the year to reduce an ongoing budget deficit, Arizona plans to issue lease-purchase bonds to buy state buildings next month to avoid issuing IOUs to state employees in February.

DALLAS — Arizona has used an entire $700 million line of credit advanced two weeks ago by Bank of America, forcing the state to borrow $73 million from itself to make a scheduled payment of aid to local school districts.

DALLAS — For the first time in its history, Arizona is turning to outside lenders for up to $700 million to cover operating costs, Treasurer Dean Martin said yesterday.

DALLAS — For the fourth time this year, Arizona Gov. Jan Brewer is calling the Legislature back into special session to reduce the nearly $2 billion budget deficit.

Arizona Gov. Jan Brewer said last week that any new source of revenue to stem the state’s estimated $2 billion budget deficit in fiscal 2010 must be quick, simple, and effective.

Arizona collected taxes totaling $1.8 billion in the first quarter of fiscal 2010 but spent $2.8 billion over the same period, according to the latest monthly revenue report from the Joint Legislative Budget Committee.

DALLAS — For the second time in four months, Arizona Gov. Jan Brewer is preparing to call a special session of the Legislature to deal with a budget deficit that has grown to $1.75 billion.