Arizona is setting up a high-stakes education fight for November, with lawmakers asking voters to decide whether big school districts in the state's two largest counties must spend at least 60% of their operating budgets on direct classroom instruction. The move comes as a statewide spending review shows the share of dollars labeled as "instruction" has dipped and as a separate court battle over long-neglected school facilities barrels toward a hard deadline. Between the audit and a judge's order on capital funding, this 60% proposal is quickly becoming the main event in a broader brawl over teacher pay and crumbling campuses.
On March 24, the Senate approved the ballot referral on a party-line vote. The measure would require districts above a certain size in Maricopa and Pima counties to direct at least 60% of every operating dollar to "direct instructional expenses," a category that includes teacher salaries. The referral, advanced under SCR 1032 and backed by Sen. Jake Hoffman, is being sold as a way for voters to force "funded classrooms" and boost teacher pay. As Arizona Capitol Times reported, the Senate vote is not the end of the line; the House still has to act, and the language could shift before it lands in front of voters.
According to the Arizona Auditor General's fiscal year 2025 analysis, districts statewide now spend an average of 52.1 cents of every dollar on instruction, the lowest share since the state started tracking the number. The instruction category covers teacher pay, classroom aides, supplies, field trips and athletics, and the office publishes district-by-district breakdowns. The Arizona Auditor General released the latest report in late February.
Critics argue that simply carving up existing dollars will not fix Arizona's deeper education funding problems. "There are not enough state dollars to both increase teacher pay and fund other required school expenses," Senate Minority Leader Priya Sundareshan said, pointing to a separate court case in which a judge found lawmakers are not meeting constitutional obligations for school facilities. The court has given the Legislature until early November to produce a plan to address capital funding shortfalls, a deadline that raises the stakes for any ballot measure that touches school budgets. That ruling was reported by Tucson.com, and coverage of lawmakers' response appeared in Arizona Capitol Times.
How the proposal would work
The Senate version does not apply statewide. Instead, it targets public school districts with at least 7,500 students in Maricopa and Pima counties, and it would phase in the 60% requirement over several years while the Auditor General tracks compliance. Under the House packet language that has been circulated, districts that fall short could see state aid withheld and would be required to create a dedicated direct-instruction fund to document how they shift dollars. Staff summaries and the statutory language are included in the legislative packet from the Arizona Legislature.
Supporters and critics
Backers of the referral say it is a blunt but necessary way to make sure money reaches classrooms instead of getting stuck at district headquarters. They point to modest year-over-year growth of roughly 0.5% in classroom spending, compared with about 2.7% growth in administrative spending, and argue that districts can reprioritize to put teachers first. Opponents, including the Arizona Education Association, counter that the proposal's definition of "instruction" leaves out counselors, audiologists and nurses, and they warn that a rigid percentage could pull money away from legally required services. Those concerns have been detailed in local coverage, including reporting from KJZZ and KOLD/13News.
Legal timeline and what's next
The combination of the judge's order on facilities and the Auditor General's spending metrics means the 60% fight could be shaped as much by legal deadlines as by campaign mailers. The House still needs to take up companion legislation, and the governor's office has signaled interest in other approaches to raise teacher pay, leaving several possible paths between now and November. The court's timetable and the possibility of appeals were reported by Tucson.com.
What to watch before November
Between now and Election Day, watch whether the House advances a matching resolution, how district leaders prepare for any phase-in rules and whether advocacy groups pour their energy into teacher pay, facilities or both. If voters approve the referral, the Auditor General and the Arizona Department of Education would be responsible for measuring whether districts hit the 60% mark and for carrying out any penalties the Legislature writes into law. For the bill text and staff analysis, see the packet from the Arizona Legislature.
