Capitol roundup: Budget talks restart between Hobbs and GOP lawmakers
Add Axios as your preferred source to
see more of our stories on Google.

Illustration: Brendan Lynch/Axios
Just when it looked like the stalemate might drag on indefinitely, Gov. Katie Hobbs and Republican legislative leaders restarted their stalled budget talks.
👀 The intrigue: Senate President Warren Petersen (R-Gilbert) said on KTAR Thursday morning that legislative leaders and the Hobbs administration would meet to discuss the budget later that day.
- It was the first budget meeting between the two sides since Hobbs ended negotiations in late March.
- Petersen said he believes the budget is "97% of the way there" but "we're going to have to find some compromise" to get Hobbs on board.
- Hobbs told KTAR later that day that the two sides had met, "so hopefully we're going to see that moving forward."
🥊 Inside the fight: Hobbs ended budget talks over Republicans' refusal to negotiate the renewal of Proposition 123.
- In mid-April, she announced that she'd veto new bills until Republicans publicly presented a new budget plan.
- Senate Republicans on Monday gave final approval to their $17.9 billion budget plan — about $800 million less than the governor's proposal — which Hobbs vetoed Tuesday.
👋 The House adjourned until June 1 after sending Hobbs its budget, and Senate Republicans will do the same Monday, Petersen said.
- Senate GOP spokesperson Kim Quintero noted there's little point in voting on legislation unless Hobbs lifts her bill moratorium.
- The chambers can be called back anytime with 72 hours notice if a budget deal is reached.
What we're watching: Hobbs didn't actually end the moratorium when Republicans unveiled the budget she'd asked for, and it's unclear when or under what conditions she will.
- Spokesperson Christian Slater didn't respond to a message from Axios.
