Goldwater lawsuit hinges upon language of November ballot question
By Terrance Thornton | Digital Free Press
The Arizona Court of Appeals today reversed the Maricopa County Superior Court dismissal earlier this summer of lawsuit filed by the Goldwater Institute claiming the city of Scottsdale is using ‘objectively false or misleading information’ while using public resources to influence the outcome of the .15% sales tax question set to appear on the November 2024 general election ballot.
The Goldwater Institute lawsuit, which was filed on behalf of former Scottsdale Mayor Jim Lane and residents Susan Wood and Yvonne Cahill, began earlier this summer with the most recent legal opinion stemming from a July 22 appeal. Read the ruling for yourself HERE.
In little over a year, the sales tax in question — originally meant to fund land purchases and the creation of new trailheads within the McDowell Sonoran Preserve — will sunset within municipal bounds, but city leaders have come to terms on a November ballot question asking voters to replace the expiring sales tax with a .15% sales tax to be installed for the next 30 years.
The city of Scottsdale did not immediately comment on the ruling Monday or the fate of the November ballot question.
Joe Seyton, senior communications manager at the Goldwater Institute, says the recent ruling is a vindication of taxpayer rights.
“Today’s decision vindicates the rights of taxpayers who deserve honesty from their local officials — especially when it comes to the money hardworking Arizonans are required to fork over to the government. Local leaders in Scottsdale and across Arizona should consider themselves warned: public officials should not be in the business of deceiving taxpayers so they’ll vote to raise taxes on ourselves.”
Vote Yes-Yes Chairwoman Mary Manross, a former mayor of the community, has a different point of view.
“Our citizens have a right to vote on this issue,” she said in a prepared statement. “I remain hopeful we can settle this issue at the ballot box as the city of Scottsdale explores its options. But regardless of the outcome we still need to move ahead on Prop 491 to safeguard Scottsdale’s quality of life.”
Of note: A separate, unrelated measure is a permanent rate base adjustment asking voters for an permanent base adjustment of $22 million allowing the municipality to spend existing
funds — going from $634.6 million to $884.4 — beyond the state-imposed expenditure limitation, will appear on the November ballot.
In its original notice of claim, the Goldwater Institute alleges, the city of Scottsdale is:
- Communicating ‘objectively false or misleading information’ as the Goldwater Institute alleges the municipality cannot describe the new sales tax as a continuation of the an expiring tax meant for a different purpose set by voter approval; and
- The Goldwater Institute alleges the city of Scottsdale is seeking to influence the outcome of the November 2024 vote because certain published election FAQs ‘omit key information and use rhetorical strategy designed to influence the election outcome.’
Arizona Court of Appeals reverses Superior Court dismissal of Goldwater Scottsdale .15% preserve tax lawsuit
The remedy? The Goldwater Institute is asking for the city of Scottsdale to remove the .15% sales tax ballot question from the slate of November election items for voters to decide at the upcoming general election.
Scottsdale Councilman Barry Graham, who has been a vocal critic of the ballot language, says the appeal ruling is in tune what his concerns forced earlier in the process.
“Today’s court decision on Scottsdale’s Prop 490 confirms some of the doubts that Councilwoman Littlefield and I shared, which is why we voted not to refer the measure to the ballot,” he said in a written statement to the Digital Free Press.
City leaders estimate if voters approve the new sales tax measure city coffers could see an influx of $25 million on an annual basis for the next 30 years, which they say will go to pay for unfunded needs citywide meanwhile paying for WestWorld of Scottsdale infrastructure improvements.
In 1995 and in 2004, Scottsdale voters approved a 0.20% tax — the 0.20% preserve tax today in question — to fund land acquisition only and a 0.15% tax to fund land acquisition and improvements in the McDowell Sonoran Preserve. Revenues from the 0.20% preserve tax and the 0.15% land and improvement tax were used to acquire over 30,000 acres of land now knows as the McDowell Sonoran Preserve that entailed constructing 12 trailheads and 235 miles of trails in the preserve.
Today, the McDowell Sonoran Preserve is a beloved amenity known the world over as the single largest municipal land preserve in the United States, officials at City Hall say.
“Our parks and preserve need attention and resources,” Vote Yes-Yes Campaign Coordinator Carla said, in a prepared statement. “Prop 490 doesn’t succeed it will be a profound loss for our community. If Prop 491 loses at the ballot box, disastrous repercussions to essential city services would be felt for years.”
