NE Valley Times

The Goldwater Institute has filed a lawsuit on behalf of three residents of the city of Scottsdale on the basis of the city deceiving voters about the impact of a proposed tax adjustment that will be on the November 5 ballot. 

The proposed change, which the city has reported would decrease taxes, would establish a 0.15% sales tax, starting July 1, 2025, in support of city parks. The city of Scottsdale has advertised this as a decrease in taxes as an existing sales tax of 0.20% for land purchases will expire the day before, on June 30, 2025.

As the existing land purchase sales tax will expire on June 30, 2025 regardless of the outcome of the vote on the proposed 0.15% sales tax, residents do not need to vote “yes” to the new tax in order to see a decrease, and would see a greater decrease in taxes if they voted “no.”

“Our own city leaders are deceiving taxpayers so that we’ll vote to raise taxes on ourselves,” Yvonne Cahill, one of the three residents being represented by Goldwater, said. “We deserve honesty from our local officials—especially when it comes to the money hardworking Arizonans are required to fork over to the government.”

Goldwater’s lawsuit claims that the city is illegally promoting the proposed tax incorrectly, in violation of Arizona law which prohibits “bait and switch” descriptions of ballot measures. 

“Arizona law prohibits ballot measures from communicating objectively false or misleading information,” Goldwater Institute Senior Attorney Scott Freeman said. “A ballot measure may not engage in a ‘bait and switch,’ but that is what this referral does: it tells voters a ‘yes’ vote would reduce taxes, when it’s actually a ‘no’ vote that would lead to lower taxes.”

Established in 1998 and based in Phoenix, The Goldwater Institute is a nonprofit public policy research and litigation organization. It promotes free-market principles and limited government. The Institute conducts research, provides policy recommendations, and engages in litigation to protect individual rights and state sovereignty. It was named after U.S. Senator Barry Goldwater. The Institute focuses on various policy areas, including education, healthcare, and property rights.