PHOENIX — Axon’s proposal for a massive new headquarters is supposed to go before Scottsdale voters in 2026, but a bill passed Thursday by the Arizona House would block the election.
Scottsdale-based Axon Enterprise, which manufactures Tasers and body cameras, wants to build a 400,000-square-foot corporate campus off the Loop 101 that would include restaurants, a hotel and 1,900 apartments.
The Scottsdale City Council approved the project in November, but residents who oppose the development gathered enough signatures to force a public vote.
But Senate Bill 1543 would block that referendum.
“Let's face it, this is nakedly a special interest bill for one company,” said Bob Littlefield, who led the petition drive.
SB 1543 requires municipalities with a population of 200,000 and 500,000 – like Scottsdale – to allow hotels and apartments on “an international headquarters campus” owned by a company with at least 1,000 employees who earn more than 125% of the county’s median wage.
According to 2020 census numbers, only four cities in Arizona have populations between 200,000 and 500,000 people: Chandler, Gilbert, Glendale, and Scottsdale.
“This is a city issue,” State Rep. Joseph Chaplik said during Thursday’s vote. “This is not the proper role of government down here at the Capitol, in my opinion.”
Chaplik, a Scottsdale Republican who represents District 3, said he was standing with his voters and would not be intimidated.
“My first interaction with the CEO, he came up to me in the lobby, threatened me, said my political career will end for opposing this bill. Hi, Rick,” he said, waving to Axon CEO Rick Smith, who sat watching the proceedings in the House gallery.
SB 1543 passed the House, 40-19. While a mix of Republicans and Democrats voted against SB 1543, the support for the bill was also bipartisan.
The bill’s sponsor, State Rep. Tony Rivero, said local leadership in Scottsdale had failed Axon.
“My goal in carrying this legislation is to do everything I could to keep this company here,” said Rivero, a Republican who represents District 27, which includes parts of Peoria and Glendale. “There's a lot at stake.”
Several lawmakers said they wanted to make sure Axon stayed in Arizona instead of moving to Texas or Florida.
“We all know what this can bring to many cities, and with that, Mr. Speaker, I don't need an election to stifle my Arizona economy,” State Rep. Junelle Cavero said. “Arizona is open for business, and I vote yes for this bill.”
Cavero, a Democrat from Phoenix, represents District 11.
Littlefield said his group, Taxpayers Against Awful Apartment Zoning Exemptions, had expected SB 1543 to pass the House. But Scottsdale voters, he said, have “said over and over” that they don’t want more apartment projects.
“They certainly don't want the Axon development, which would be the largest apartment development in the history of Arizona,” he said.
Because bill's provisions on zoning were added through a strike-everything amendment, SB 1543 now moves back to the state Senate for a final vote.
Gov. Katie Hobbs has not indicated where she stands on the bill.
“Governor Hobbs is committed to keeping and bringing in businesses that create jobs and boost our economy,” her spokesperson said Thursday. “We are closely watching SB 1543 and are actively working with stakeholders and legislators to ensure the best outcomes for all Arizonans.”
Even if Hobbs were to sign the bill, the fight wouldn't be over.
Littlefield said he doesn’t believe SB 1543 is constitutional, adding that his group is exploring legal options in case the bill becomes law.
“We believe that the bill is legally flawed, and we're going to fight it in the courts,” he said.