Arizona Senate Bill 1271 advanced through both chambers of the Legislature with bipartisan support and was recently transmitted to Governor Katie Hobbs for her signature. The bill would prohibit Arizona cities from fining or otherwise penalizing a business based on how often it requests public safety assistance, like calling the police. This is a commonsense protection for businesses dealing with local crime and other public safety issues, and Governor Hobbs should sign it.
Arizona businesses should not be punished for calling police or emergency services when they need help. Penalizing businesses for requesting public safety assistance creates the wrong incentive. A business owner dealing with shoplifting, vandalism, or other criminal activity should be encouraged to contact law enforcement, not forced to weigh whether asking for help will result in a fine. When cities punish businesses for being victims of crime, they shift the cost of public safety failures onto private employers and property owners. That approach is unfair and is especially harmful for independent businesses that are less able to absorb repeated losses, property damage, or the added risk of operating in high-crime areas.
For several years, businesses have operated under mounting threat from theft and disorder; the U.S. Chamber of Commerce found that 56 percent of independent retail businesses said they had been victims of shoplifting, 50 percent said the problem had gotten worse, and 46 percent said they had been forced to raise prices because of it. Meanwhile, the National Retail Federation reported a 93 percent increase in shoplifting incidents in 2023 compared with 2019. Punishing businesses for calling for police or emergency help is the wrong response to the concerns.
In this environment, SB 1271 would be a sensible limit on municipal overreach. Importantly, SB 1271 still preserves an exception for businesses that abuse the system. Cities are allowed to fine requests that are malicious, knowingly false, or frivolous once the city gives written notice of the violation. This protects legitimate businesses acting in good faith while preserving tools for local governments to address actual abuse.
SB 1271 also builds on the progress Arizona voters made when they passed Proposition 312 in the 2024 election. Prop 312 allows property owners to apply for property tax refunds if a county or municipality fails to enforce public nuisance laws. As a result, Arizonans are able to recover certain costs associated with unmitigated expenses related to homelessness, vandalism and other property crime, and drug use. There are potentially billions of dollars at risk in lost property values when these laws go unenforced. Arizona voters recognized the importance of the rule of law and private property protections to our free enterprise system, and SB 1271 would do the same.
Arizona businesses should never be put in the position of choosing between protecting their employees or property and avoiding local penalties. By stopping municipalities from punishing legitimate requests for public safety assistance, SB 1271 protects independent businesses and local communities and reinforces Arizona’s reputation as open for business. The bill is a no-brainer, and Governor Hobbs should sign it.