“Home Rule” is the option under which citizens and the city council they elect make
annual budget decision for their city “at home” rather than by using the State imposed limitation.
Home Rule is NOT...
The Home Rule Option does not empower the City Council to create new and additional taxes, nor does it enable the City to spend beyond the revenue it currently receives. The city is mandated by state law to operate with a balanced budget
Background on Homerule
In the summer of 1980 the State Legislature referred to the voters a constitutional amendment designed to limit the annual expenditures of all Arizona cities and towns by a formula. To determine the expenditure limitation, the State established 1979-1980 as a “base year.’ Added to this base year is an adjustment for population growth and inflation.