What is permanent base adjustment (Proposition 423) and why is it on the ballot?

Apache Junction voters are being asked to consider a Permanent Base Adjustment option on the August 28, 2018 ballot.  This option would adjust the base dollar amount used under the state formula to calculate the City’s expenditure limitation.

In 1979/80, the Arizona State Constitution imposed expenditure limitations on all cities and towns in Arizona based on their 1978 actual expenditures and population (with an allowance for inflation).  This action by the State took effect the first fiscal year after Apache Junction incorporated establishing itself as a city. At that time, the expenditure limitation provided Apache Junction with the financial means to adequately serve the community’s needs during the city’s infancy stage.

Like most cities and towns in the Phoenix metropolitan area, Apache Junction has seen significant growth since 1978. When the state-imposed formula was originally developed, Apache Junction had a population of less than 10,000. Today, Apache Junction more than 39,000 residents and is poised for more growth. The City now provides many services it did not provide in 1979, such as its many parks and recreation facilities and programs, library services and programs, a full-time police department, water treatment and distribution, municipal court system, new streets, sidewalks, and trails, as well as additional parks.  As Apache Junction has grown, so too have revenues and operating costs.  The City’s budget needs to grow in step with the community in order to maintain service levels and to plan for growth and improvements where

Show All Answers

1. Will Proposition 423 increase my taxes?
2. What is the difference between an alternative expenditure limitation (home rule) and permanent base adjustment?
3. May a city or town under home rule adopt a permanent base adjustment?
4. What is permanent base adjustment (Proposition 423) and why is it on the ballot?
5. If Apache Junction already uses the Home Rule option, why is the Permanent Base Adjustment being brought before voters now?
6. A “No” vote on Proposition 423 means?
7. A “Yes” vote on Proposition 423 means?