REFERENCE TITLE: urban growth boundaries; prohibition

 

 

 

 

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

 

 

 

HB 2492

 

Introduced by

Representative Taylor

 

 

 

 

 

 

 

 

AN ACT

 

Amending title 9, chapter 4, article 8, Arizona Revised Statutes, by adding section 9-500.54; Amending title 11, chapter 2, article 4, Arizona Revised Statutes, by adding section 11-269.31; Amending title 41, chapter 4, article 1, Arizona Revised Statutes, by adding section 41-710.04; relating to urban growth boundaries.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 9, chapter 4, article 8, Arizona Revised Statutes, is amended by adding section 9-500.54, to read:

START_STATUTE9-500.54. Laws, rules, ordinances and contracts; implementation; urban growth boundaries prohibited

Notwithstanding any other law, a law, rule, ordinance or contract that is adopted or entered into by a city or town is not effective if the implementation or enforcement of the law, rule, ordinance or contract establishes, recognizes or maintains, formally or informally, any urban growth boundaries in this state, however denominated, that effectively prevent new urban or suburban development, restrain trade or commerce or prevent the extension of public services outside of those boundaries. Any law, rule, ordinance or contract in violation of this section is void. END_STATUTE

Sec. 2. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 11, chapter 2, article 4, Arizona Revised Statutes, is amended by adding section 11-269.31, to read:

START_STATUTE11-269.31. Laws, rules, ordinances and contracts; implementation; urban growth boundaries prohibited

Notwithstanding any other law, a law, rule, ordinance or contract that is adopted or entered into by a county is not effective if the implementation or enforcement of the law, rule, ordinance or contract establishes, recognizes or maintains, formally or informally, any urban growth boundaries in this state, however denominated, that effectively prevent new urban or suburban development, restrain trade or commerce or prevent the extension of public services outside of those boundaries.  Any law, rule, ordinance or contract in violation of this section is void. END_STATUTE

Sec. 3. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 41, chapter 4, article 1, Arizona Revised Statutes, is amended by adding section 41-710.04, to read:

START_STATUTE41-710.04. Rules and contracts; implementation; urban growth boundaries prohibited

Notwithstanding any other law, a rule or contract that is adopted or entered into by this state or an agency in this state is not effective if the implementation or enforcement of the rule or contract establishes, recognizes or maintains, formally or informally, any urban growth boundaries in this state, however denominated, that effectively prevent new urban or suburban development, restrain trade or commerce or prevent the extension of public services outside of those boundaries.  Any rule or contract in violation of this section is void. END_STATUTE

Sec. 4. Legislative findings

The legislature finds that:

1. In 1998, the voters of Arizona passed Proposition 303, the Growing Smarter Act, adopting section 9-461.13, Arizona Revised Statutes, and specifically prohibiting this state from mandating cities and towns to adopt urban growth boundaries that prevent urban development and the extension of public services outside of those boundaries.

2. In 2000, proponents of urban growth boundaries attempted to undo the provisions of Proposition 303 by introducing Proposition 202, the Citizens Growth Management Initiative, which would have repealed section 9-461.13, Arizona Revised Statutes, and required cities and towns with populations over two thousand five hundred people to adopt urban growth boundaries that prevent urban development and the extension of public services outside of those boundaries.

3. In 2000, the voters of Arizona resoundingly rejected Proposition 202, voting two to one against the measure and demonstrating for a second time that Arizona voters overwhelmingly oppose the establishment of urban growth boundaries in this state. As a result, the prohibition on the establishment of urban growth boundaries remains voter-protected to this day.

4. Since the establishment of urban growth boundaries in other states, like Oregon, multiple studies have found that urban growth boundaries reduce housing affordability and supply by artificially limiting the availability of affordable land to develop.  In cities like Portland, Oregon, lot prices doubled as a result of the establishment of urban growth boundaries around that city.  Numerous commentators have urged policymakers in Oregon to repeal its urban growth boundaries, and Portland has had to expand or modify its urban growth boundaries several times to relieve pressure on housing affordability and availability in the area.

5. Since 2023, several policies have been adopted or proposed in this state that have had the effect of establishing urban growth boundaries without the consent of the voters.  These policies and their effects conflict directly with the voter-protected successes and defeats of the measures that were placed on the ballot in 1998 and 2000.

6. To uphold the will of the voters and ensure that Arizona remains an affordable place to live and work, all policies adopted or proposed in this state that seek to establish or that have the effect of establishing urban growth boundaries in this state must be made void as to the portion of such policies that result in such boundaries.

Sec. 5. Requirements for enactment; three-fourths vote

Pursuant to article IV, part 1, section 1, Constitution of Arizona, sections 9-500.54, 11-269.31 and 41-710.04, Arizona Revised Statutes, as added by this act, are effective only on the affirmative vote of at least three-fourths of the members of each house of the legislature.