STRUCTURE & KEY FUNCTIONS
Counties and county elected offices are established in the Arizona Constitution. The roles and responsibilities of each elected office, along with the 15 counties’ boundaries are outlined in statute. Voters independently elect all county officers and some county-level judges. As administrative arms of the state, counties provide state mandated services at a regional level and provide city-like services in unincorporated areas.
BOS responsible for budget & tax authority, along with daily management of county functions. Some functions overseen by BOS:
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County budget & tax rate(s)
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County infrastructure, roads & bridges
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Public & environmental health
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Indigent defense
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Emergency management and response
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Conduct elections (jointly with Recorders)
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County fair and parks
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Planning & zoning
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Medical examiner and indigent burial
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Public fiduciary
MAJOR STATE AGENCY — COUNTY PARTNERSHIPS
As administrative arms of the state, counties continually partner with state agencies to fulfill key functions of state government at the regional level.
Courts
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Independent branch of government
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Funded jointly by state & counties
Indigent Healthcare
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Counties contribute $400M+ annually to state long-term & acute care programs
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Counties no longer have an administrative role in AHCCCS
Emergency Response
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Emergency Response DEMA & County Emergency Management
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Minimize the loss of life & property during emergencies & disasters through planning, coordination, outreach, & recovery services.
Environmental & Public Health
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Implementing delegated authorities from ADHS & ADEQ
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Contact tracing, vaccine distribution
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Air quality, restaurant inspection
The county financial structure is outlined in state statute and has several statutory and constitutional limitations on how fast both revenues and expenditures can grow. The Board of Supervisors is responsible for managing the county budget and setting the tax rate, and is ultimately the entity responsible to the voters for county finances.
County general fund revenues are made up of :
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Primary Property Taxes
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State Shared Sales Taxes
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Local Excise Taxes
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Vehicle License Taxes
Reliance on each revenue source varies widely across all 15 counties. While all counties use the state tax base set in statute, industry type and strength of the tax base is different across the state.
Special Districts and Taxes
State statute provides counties the ability to establish several special taxing districts to fund specific county operations. These funds are siloed and generally cannot be spent for purposes outside of the district. Not all counties are able to create each type of district.
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Library District
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Flood Control District
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Public Health Services District
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Road Maintenance Excise Tax
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TV Improvement District
Transportation Funding
Counties maintain their local roadways primarily from state shared revenues distributed through the Highway User Revenue Fund (HURF) and Vehicle License Taxes (VLT) distributed specifically for transportation purposes. Some counties also have a voter-approved excise tax for roads, which are separate from excise taxes collected by regional transportation authorities - like the Maricopa Association of Governments (MAG).
EXPENDITURES
Counties are in the “must do” business of providing essential government services to their communities. Most county expenditures go towards public safety, courts & criminal justice, along with other state mandates, like contributions to the state’s healthcare system and other general government services provided by county elected officials.
LIMITS ON COUNTY FINANCE
Counties have limitations both on how much revenue they can generate and their level of expenditures. These restrictions, along with increasing cost drivers, put pressure on county budgets, which are required to be balanced. Once adopted, counties cannot exceed their total adopted budget, even in case of emergencies.
Explore CSA's interactive County Profiles to learn more about the finances of each of Arizona's unique counties.
