PHOENIX, ARIZ. (Jan. 20, 2022) — BOMA Greater Phoenix, the industry group that advances the commercial real estate industry through advocacy, influence, and knowledge, has named Arizona Sen. J.D. Mesnard and Arizona Rep. Ben Toma as its 2021 Legislators of the Year for their work on a flat income tax rate that affects commercial property owners.
Mesnard, (R) Dist. 17, and Toma, (R) Dist. 22, were the architects of the $1.3 billion tax cut package in the 2021 Arizona Legislative session that will move Arizona to a 2.5% flat income tax rate and for BOMA/commercial property owners, reduced the commercial property tax assessment ratio from 18% to 16% over four years.
This property tax change will make Arizona more competitive regionally for large businesses/employers relocating. Changes were needed as Arizona has one of the highest commercial property tax rates regionally and across the country.
“The whole idea in trying to lower the commercial property tax rate is to make us more competitive as we see businesses fleeing California for some of our competitor states,” said BOMA Greater Phoenix Executive Director Farrell Quinlan. “We need to make our rates more competitive and make Arizona more attractive. We really don’t have the kinds of incentives that a state like Texas offers. This legislation is extremely important to the state’s commercial real estate industry.”
The awards were presented by BOMA Greater Phoenix Advocacy Committee Chair and Board Governor Susan Engstrom.
The Advocacy Committee monitors, studies, and recommends policy and advocacy strategies on legislative and regulatory matters that affect the commercial real estate industry. A key driver of these policy determinations is to find ways to make Arizona more economically competitive.
Usually, that is in the form of pursuing policies to reduce uncompetitive high property tax rates, supporting incentive tools for job recruitment, supporting efforts to lessen onerous regulation and litigation to our members, and opposing mandated cost increases on the industry.
The Building Owners and Managers Association (BOMA) International is a federation of 93 BOMA U.S. associations, BOMA Canada and its 11 regional associations and 13 BOMA international affiliates. Founded in 1907, BOMA represents the owners and managers of all commercial property types including nearly 10 billion square feet of U.S. office space that supports 3.7 million jobs and contributes $205 billion to the U.S. GDP. Its mission is to advance the interests of the entire commercial real estate industry through advocacy, education, research, standards and information. BOMA Greater Phoenix has been federated with BOMA International since 1940. Find BOMA International online at www.boma.org