Scottsdale leaders defer decision on suing state over Axon expansion

SCOTTSDALE, Ariz. - The Scottsdale City Council has tabled a vote on whether to sue the state of Arizona over new legislation that blocked a citizen referendum on an expansion by the company Axon.

What we know:

The council voted to table a decision on Senate Bill 1543, also known as the "Axon Bill," which was signed by Gov. Katie Hobbs. Only three of the seven council members voted to move forward with a decision on the lawsuit.

The legislation allows Axon, a company that makes police body cameras, to bypass a referendum by Scottsdale residents on its planned headquarters expansion.

The decision has left some residents frustrated with city leaders.

"There were too many unanswered questions about the next steps," said Scottsdale Mayor Lisa Borowsky, who said the vote was simply postponed. "This story is not over, unfortunately, and for now, it's a 'we're not going to make a decision on this agenda item.'"

Resident Bob Littlefield, who organized the referendum, said the decision sends a clear message.

"They’re afraid of Axon," Littlefield said. "I was glad to see that Barry and Kathleen and Jan stood up for the residents. Now we know who’s on the residents’ side and who’s on Axon’s side."

Councilmembers Barry Graham and Kathy Littlefield, along with Vice Mayor Jan Dubauskas, are the people he's referring to.

Dig deeper:

Councilman Graham echoed that sentiment during the meeting.

"Fundamentally, a vote to vacate is a vote for 2,000 apartments, 1,900 apartments in North Scottsdale," Graham remarked. "There is no guarantee, there is no promise that this is going to return to the council."

An Axon spokesperson, David Leibowitz, agreed with the council's decision.

"It’s gratifying to see the council taking careful approach to something that’s this important," Leibowitz said. "We’re talking about 5,500 jobs, millions of dollars a year in tax revenues for the city, we’re also talking about the potential of the city spending $3 million on an ill-advised lawsuit that they’d almost certainly lose."

Littlefield said the issue at hand goes beyond the Axon expansion itself.

"This is about the state law that took away the right of referendum for Scottsdale citizens, that’s it. This should’ve been 7-0," he said.

What's next:

Littlefield added that the citizen-led group behind the referendum plans to sue the state, but hopes the city will eventually do so instead, as he says the municipality has better legal standing.

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