Home Rule

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Price Corridor Viridian

Local Alternative Expenditure Limitation

Chandler voters will have the opportunity to vote on the Local Alternative Expenditure Limitation – Home Rule on the November 3 election.

Background 

The state imposes a constitutional cap on the annual spending of all Arizona cities and towns.

The old formula:

  • Is based on service levels from FY 1979–80
  • Adjusts for population growth and inflation
  • Does not accommodate for residents adding service levels, faster growth of infrastructure and amenities, and the increased revenue.

Without voter approval of another option, Chandler must follow this state formula.

Local Alternative Expenditure Limitation - Home Rule Option

The state offers cities alternatives to adjust the state’s annual expenditure limit with voter approval, of which all but 8 communities have opted for. One of those options is the Local Expenditure Limitation - Home Rule. It gives Chandler control over its own finances, bypassing a state-imposed limit rooted in 1979-80 service levels.

What the Home Rule Does

  • Allows the Council to set budget through a public process based on local community needs and anticipated revenue.
  • Uses the adopted annual budget as the city’s spending limit versus the state formula set in 1980

What the Home Rule Does NOT Do

  • Does not increase taxes
  • Does not allow the city to spend more than it collects in revenue
  • Does not allow the city to spend more than its legally adopted annual budget

How the Home Rule Gets Approved

The Home Rule spending limit is re-established every four years and requires a majority vote of the public at the Primary or General Election.

For over four decades Chandler voters have approved the city’s Home Rule option, renewing the four-year budgetary authorization eleven consecutive times since 1982. Most recently in August 2022 covering Fiscal Year (FY) 2022-23 to FY 2026-27.

On November 3, 2026, at the Geneal Election, Chandler voters will consider extending the city’s Home Rule for the FY 2027-28 to FY 2030-31 period

What Happens if Home Rule is Not Approved

If Home Rule is not approved, the City of Chandler will operate under the state-imposed expenditure limit, continue to collect revenue, but will not be able to spend much of the revenues it collects to provide all the programs and services needed by the residents.

As a result:

  • The city’s annual budget would be reduced by approximately $232 million, as shown
  • Areas such as public safety, water recreation, aquatics, and library programs, as well as other services would be impacted
2025 Home Rule Financial Implications Graphic
2026 Opción de la Regla de Autogobierno

Key Dates

  • February 23 & 26 – Public hearings held
  • February 26 – Council approved Resolution No. 5988 to place Home Rule on the November 3 ballot
  • May – Finalize FY 2027–28 Home Rule limit
  • June 17 & 24 – Public Notice of Argument Filing Period
  • July 6 – August 5 – Argument Filing Period
  • July 6 – August 5 – Argument Filing Period
  • July 21 – Submit financial worksheets and voting pamphlet to the Auditor General
  • July – October – Public outreach
  • September 22 – 29 – Distribute pamphlets to the public
  • November 3 – Election Day

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