The Round Up: Under Fire

In a tumultuous week, Arizona House Republicans accused AG Mayes of alleged abuses while the Senate narrowly passed the "Secure the Border Act."

May 31, 2024

In this week’s Round Up: Arizona Attorney General Kris Mayes remains in the news. Last week, AG Mayes joined the U.S. and state attorneys general in a lawsuit against Live Nation and Ticketmaster over alleged “anticompetitive practices.” Separately, Arizona House Republicans published a report this week accusing Mayes of various abuses including abuse of power and malfeasance.

Meanwhile, after a week-long delay, the controversial “Secure the Border Act” passed the Republican-controlled Arizona Senate on a narrow, party-line vote. Modeled after Texas law SB 4, which is currently being litigated in federal court, the Secure the Border Act would grant Arizona voters — rather than just the federal government — a say on immigration policy, provided the House vote on the bill is successful. Governor Katie Hobbs, a Democrat, commented that the bill “is not the answer to” Arizonans’ frustration at the border.

House Issues Report on AG Mayes’ Alleged Abuses

This week, the House Ad Hoc Committee on Executive Oversight released a “comprehensive investigative” report outlining alleged abuses by Attorney General Kris Mayes. The 102-page report was published following a two-month-long investigation conducted by the Committee, which was launched by House Speaker Ben Toma in March. The Ad Hoc Committee only included Republican membership, as both Democrats in the legislature, as well as AG Mayes, refused to participate.

According to the House GOP’s release, the report found that AG Mayes has “abused power, neglected legal duties, and committed malfeasance in office.” Committee Chairwoman Jacqueline Parker subsequently concluded that Mayes has “committed impeachable offenses,” including: (i) “unjustifiably threaten[ing] the Mohave County Board of Supervisors with personal criminal and civil penalties if they voted against her wishes”; (ii) “abus[ing] the legal system to attack her political opponents”; (iii) “abus[ing] her power and authority under Arizona’s Consumer Fraud Act by issuing a consumer alert filled with deception, fraud, and misrepresentations about organizations providing health care service to women”; (iv) “misus[ing] public resources and town halls to threaten public nuisance lawsuits against farmers and advocate for ballot measures relating to groundwater use”; (v) “refus[ing] to defend state laws when challenged in court, including Arizona’s Save Women’s Sports Act”; and (vi) “hinder[ing] the Committee’s work by failing to timely produce records and information and refusing to explain her actions to the Committee.”

Based on its findings, the Committee recommended that the House “adopt a resolution” to impeach Mayes. Additionally, the Committee urged the House to “appoint[] a board of managers to prosecute” Mayes in a potential Senate trial. Further, the Committee called on the House to “carefully scrutinize all appropriations made to the Attorney General’s Office, continue to exercise oversight over Attorney General Mayes’ abuses of office, and consider legislation in the next legislative session to strengthen and clarify Arizona laws aimed at preventing further weaponization of the Attorney General’s Office.” Although the House could foreseeably vote to impeach Mayes with a simple majority, any prospect of conviction and removal in the Senate is highly unlikely: Conviction requires a two-thirds majority, but Republicans only have a 16-14 advantage in the upper chamber.

What Arizona lawmakers are saying:

Committee Chairwoman Jacqueline Parker (R-AZ): “The people of Arizona deserve better from the state’s chief legal officer. I am deeply frustrated and disappointed by Attorney General Mayes’ lack of cooperation with our requests for more information and records concerning the many allegations that came to the Committee’s attention. I am also disappointed that none of my Democratic colleagues decided to participate whatsoever or learn about the proper role of the Attorney General under our state constitution. Despite the Attorney General’s lack of transparency with the Committee, we have seen and heard enough. I hope all House members will thoroughly review the Committee’s report and findings and agree to impeach Attorney General Mayes and consider other measures outlined in our report to prevent future weaponization of the AG’s office.”
Office of Attorney General Kris Mayes (D-AZ): “The investigative report released today by the sham House ad hoc oversight committee isn’t worth the paper it’s printed on. This partisan stunt by far-right members of the Legislature makes a mockery of real legislative oversight. It is based on nothing more than political and policy disagreements that legislators like Rep. Jacqueline Parker have with Attorney General Mayes.”

Arizona Senate Passes Border Bill

Last Wednesday, the Arizona Senate voted 16-13 along party lines to send HCR 2060 to the state House. Known as the “Secure the Border Act,” the legislation, which provides law enforcement the “authority to arrest individuals who are non-U.S. citizens entering Arizona from Mexico outside of a lawful port of entry,” passed the lower chamber following a brief delay the week prior. Should the bill pass the Republican-controlled House without amendments, Arizona voters would decide whether to approve the ballot measure in November.

According to the Senate GOP’s release, the bill “include[s] harsher penalties for drug dealers trafficking fentanyl across the border that leads to an overdose death of a person.” Also, HCR 2060 seeks to “establish a state crime of any individuals living in Arizona illegally who knowingly submit false information or documents to apply for government benefits or apply for employment.” Finally, the legislation would “require state agencies administering benefits to use the federal Systematic Alien Verification for Entitlements program, in addition to current state verification systems when determining eligibility of non-U.S. citizens.”

In response to the bill’s passage in the Senate, Arizona Sheriffs emphasized the need for more resources to implement the policy should it become law. For example, Cochise County Sheriff Mark Dannels commented that while he’s “not against the bill,” law enforcement agencies must be “funded and resource allocated.” “Otherwise,” said Dannels, “it’s not going to work.” San Luis Police Chief Nigel Reynoso was even more critical of the legislation, calling it “a huge burden on [his] agency.”

What Arizona lawmakers and enforcers are saying:

Senate President Warren Petersen (R-AZ): “The Governor’s reckless disregard for the safety and well-being of our citizens during this open border crisis our state is currently enduring at the hands of Joe Biden has left us no other option than to send the Secure the Border Act to the ballot. She’s blocked numerous attempts by Republican lawmakers to pass legislation addressing this issue, so we want to empower Arizonans to take matters into their own hands to protect their communities and support our law enforcement. . . . Sadly, all Senate Democrats voted against the measure. Illegal immigration cost Arizona taxpayers more than $3 billion dollars last year. We’re confident we can offset future losses, reduce crime, and save lives with HCR 2060.”
Governor Katie Hobbs (D-AZ): “[HCR 2060] will demonize communities. It will drive businesses out of the state and send jobs to Texas and California. After we fought so hard to remove the black eye from Senate Bill 1070, we’re going to end up right back in that same place. . . . I understand Arizona’s frustration with the lack of federal action on the border and the failure to secure the border. [HCR] 2060 is not the answer to that.”
Senator Janae Shamp (R-AZ): “The people of Arizona have had enough with Democrats turning a blind eye to the border invasion. The chaos Governor Hobbs and Democrat lawmakers are perpetuating from Biden’s open border fiasco needs to stop, and I’m confident it will when voters make their voices heard in November.”
Senator David Gowan (R-AZ): “Democrats touting dangerous and misleading rhetoric about the Secure the Border Act, as well as the border crisis as a whole, is reckless for many reasons. They would like citizens to believe the only people entering our country are innocent asylum seekers. . . . According to the most recent federal data, the number of suspected terrorists who have entered our country illegally has spiked over 2,500% during the Biden Administration. Border Patrol agents have apprehended nearly 400 illegal aliens between fiscal years 2021 and 2024 whose names appeared on the terror watch list. This includes Afghan, Pakistani, and Chinese nationals, among many others.”
Cochise County Sheriff Mark Dannels: “What we need is the federal government to do their job. . . . What’s scary about this and what the sheriffs are very guarded on and that’s why we’re announcing it now is, if this passes this year in a few months, that the unfunded mandate behind this bill is going to collapse local governments. . . . Again, I’m not against the bill, I have to be an advocate along with my fellow sheriffs to make sure we’re funded and resource allocated otherwise it’s not going to work.”
San Luis Police Chief Nigel Reynoso: “If the law will come into effect, it will create a huge burden on our agency, because we don’t have the staffing to support that law. . . . If the law will come into effect, it will create a huge burden on our agency, because we don’t have the staffing to support that law.”
Pima County Sheriff Chris Nanos: “I need a lot of things. . . . What I don’t need is, I don’t need the state Senate telling me what I need.”
Arizona Sheriffs Association President and Yavapai County Sheriff David Rhodes: “If this is put on the ballot, and if the majority passes this bill, then the elected leaders at the state need to prioritize funding for law enforcement to have any impact whatsoever. . . . Without funding, the ability of the sheriffs to have really any impact is going to be greatly diminished.”

AG Mayes Joins Lawsuit Against Live Nation

Last week, Arizona Attorney General Kris Mayes joined the U.S. Department of Justice (DOJ), twenty-eight states, and the District of Columbia in suing Live Nation Entertainment, Inc. Filed in the U.S. District Court for the Southern District of New York, the lawsuit alleges that Live Nation — which owns Ticketmaster — has: (i) “[h]armed fans through higher fees and limited the amount of information fans have regarding the ultimate cost to see a show”; (ii) “[m]aintained its monopoly in ticketing markets by locking up venues through restrictive long-term, exclusive agreements and threats that venues will lose access to Live Nation-controlled tours and artists if they sign with a rival ticketing company”; and (iii) “[l]everaged its extensive network of venues to force artists to select Live Nation as a promoter instead of its rivals, maintaining its promotions monopoly.” Moving forward, the lawsuit urges the court to “restore competition in the live entertainment industry” by “[p]rohibiting Live Nation from engaging in its anticompetitive practices” and “[o]rdering Live Nation to divest Ticketmaster.”

According to the Justice Department, the lawsuit finds that Live Nation-Ticketmaster has “unlawfully exercise[d] its monopoly power in violation of Section 2 of the Sherman Act.” The DOJ argues that U.S. consumers have been “deprived of ticketing innovation and forced to use outdated technology while paying more for tickets than fans in other countries,” in addition to criticizing Live Nation-Ticketmaster for “exercis[ing] its power over performers, venues, and independent promoters in ways that harm competition.” The DOJ’s press release highlights the following tactics, among others, employed by Live Nation-Ticketmaster to “eliminate competition and monopolize markets”: (i) “Retaliating Against Potential Entrants”; (ii) “Threatening and Retaliating Against Venues that Work with Rivals”; (iii) “Locking Out Competition with Exclusionary Contracts”; (iv) “Blocking Venues from Using Multiple Ticketers”; (v) “Restricting Artists’ Access to Venues”; and (vi) “Acquiring Competitors and Competitive Threats.”

The lawsuit is a bipartisan effort, featuring not only Arizona and California but also Oklahoma and Texas.

What people are saying:

Attorney General Kris Mayes (D-AZ): “For years, Live Nation’s anti-competitive and monopolistic practices have resulted in Arizonans paying more to see their favorite artists than they otherwise would have. The uncompetitive live entertainment market created by Live Nation has also left artists and venues without any real choice but to use Live Nation. This lack of competition hurts everyone, from fans to performers — and it’s time to hold Live Nation accountable for its violations of the law.”
U.S. Attorney General Merrick Garland: “We allege that Live Nation relies on unlawful, anticompetitive conduct to exercise its monopolistic control over the live events industry in the United States at the cost of fans, artists, smaller promoters, and venue operators. The result is that fans pay more in fees, artists have fewer opportunities to play concerts, smaller promoters get squeezed out, and venues have fewer real choices for ticketing services. It is time to break up Live Nation-Ticketmaster.”
Deputy Attorney General Lisa Monaco: “Today’s announcement reflects the latest efforts by the Justice Department to combat corporate misconduct. Our fight against corporate wrongdoing includes an intense focus on anticompetitive conduct — which disadvantages consumers, workers, and businesses of all kinds. Today’s complaint alleges that Live Nation-Ticketmaster has engaged in anticompetitive conduct to cement their dominance of the live concert market and act as the gatekeeper for an entire industry. Today’s action is a step forward in making this era of live music more accessible for the fans, the artists, and the industry that supports them.”
Acting Associate Attorney General Benjamin Mizer: “The Department is committed to competition throughout the economy, including in live music. As our complaint alleges, Live Nation-Ticketmaster monopolizes the markets for concerts and other live events at the expense of fans, venues, and artists across the country. The Department is proud to bring this case to restore competition to this industry.”
Assistant Attorney General Jonathan Kanter: “The live music industry in America is broken because Live Nation-Ticketmaster has an illegal monopoly. Our antitrust lawsuit seeks to break up Live Nation-Ticketmaster’s monopoly and restore competition for the benefit of fans and artists.”

Other Relevant Headlines

Navajo leaders ratify historic Colorado River water settlement, await action by Congress (May 25, 2024) — “Navajo Nation President Buu Nygren signed a historic water settlement with the federal government on Friday, the day after the Navajo Nation Council approved it unanimously. Speaker Crystalyne Curley said she believes Congress will support the measure, finally bringing the promise of water for thousands of people. The Northeastern Arizona Indian Water Rights Settlement Agreement, once passed by Congress, will settle the Navajo Nation’s claims to water rights to all Colorado River water in Arizona. . . . The settlement would end long years of legal disputes among the tribes and the state and federal governments and offer certainty for all sides as the rights to water resources are finally resolved.”
Mexico chooses a new president in June. Here's why Arizonans should care (May 27, 2024) — “On Sunday, June 2, Mexican voters will head to the polls to choose a new president to lead the country for the next six years. Current President Andrés Manuel López Obrador is termed out, and the top two candidates are women so Mexico’s next leader is likely to become the country’s first-ever female president. . . . This year, for the first time, Mexican citizens will be able to vote for president in person at designated polling sites outside of Mexico. The Mexican consulate in Phoenix is one of 20 approved sites in the United States and will have 1,500 ballots available for Mexican citizens with a valid electoral ID who did not register to vote abroad by the February deadline.”
New Canada trade office unveiled in Arizona (May 28, 2024) — “A Canadian trade office is opening in the Valley to bolster ties between Arizona and its second-largest trading partner behind Mexico. The office will be established by the Canadian government and staff about four people, adding to the country’s existing trade office footprint in Southern California. . . . Total trade between Arizona and Canada surpassed $5.3 billion in 2023, according to the Arizona Commerce Authority. Canada businesses and residents have also greatly contributed to the state’s economy — about 100,000 Canadian snowbirds live in Arizona while Canadians add an estimated $2.5 billion to the state’s economy every year.”
Phoenix council votes to ban people from sleeping near schools, parks (May 29, 2024) — “The Phoenix City Council passed an ordinance Wednesday banning encampments near schools and public parks. In an 8-0 vote, the council approved a policy that declares it unlawful to camp within 500 feet of any local school, daycare facility, transitional living shelter, or park. A violation of the ordinance could result in getting charged with a Class 3 misdemeanor and a fine of $100. . . . Phoenix Mayor Kate Gallego said it is not safe for individuals to be living in these areas and the city will continue to help unsheltered individuals with social services. Other members of the council emphasized that the ordinance was not intended to criminalize the homeless population. . . . The ordinance takes effect in September 2024.”

This round-up was written by Jared (JJ) Cichoke. He currently works as a Policy Analyst after previously holding various roles with Senator Martha McSally (R-AZ) and the Senate Committee on Indian Affairs. A graduate of Vanderbilt University, he recently moved to Arizona after spending nearly his entire life in Portland, Oregon.