What Arizona Gets
Healthcare
Paid by GRT. No out-of-pocket costs.
No premiums. No deductibles. No copays. State pays providers directly. Repaid through Stability Account at maturity (capped at $400K).
Education
Lifetime access. 6 AM - 7 PM. Year-round.
Nordic-style development focus. STEM, Arts, Athletics included. Meals included. No student debt. Repaid through Stability Account.
Water Security
Phoenix terminus on Columbia River pipeline.
Arizona has been exploring water augmentation for years. WIFA has $445M allocated. The Alliance pipeline delivers 4+ million acre-feet annually — solving the Colorado River crisis permanently.
Jobs
Pipeline terminus means massive employment.
Vegas to Phoenix segment, pumping stations, treatment facilities, distribution infrastructure, green energy — Arizona becomes the southern anchor of the Alliance with decades of job growth.
No Income Tax Filing
Arizona recently cut income tax to flat 2.5%. AIP eliminates it entirely.
No annual filing. No tax prep. GRT collected automatically at point of purchase.
Family Impact
Median Arizona family of 4, two children in childcare, household income ~$78,000
| Category | Current Cost | Under AIP |
|---|---|---|
| Health insurance premiums | $14,500/year | Paid by GRT |
| Healthcare out-of-pocket | $4,500/year | Paid by GRT |
| Childcare (2 kids) | $18,000/year | Paid by GRT |
| State income tax (2.5%) | $1,950/year | Eliminated |
| Before/after school care | $3,000/year | Included |
| Summer programs | $2,500/year | Included |
| Meals (school) | $2,000/year | Included |
| New GRT cost | -$15,000/year |
Employer Impact
Per employee
GRT Calculation
| Current state sales tax | 5.6% |
| Current state income tax | 2.5% |
| Healthcare funding needed | +3% |
| Education expansion | +1% |
| Water/infrastructure | +0.5% |
| Total GRT Rate | ~12% |
Rate is dynamic and declines as Stability Accounts mature and repay the system.
Arizona Stability Account
| Initial deposit (at birth) | $25,000 |
| Investment | Domestic dividend stocks (DRIP) |
| Value at age 65 (6.88% avg) | ~$1,890,000 |
| Repay: 2x principal | -$50,000 |
| Repay: Healthcare (capped) | -$400,000 |
| Repay: Education (typical) | -$200,000 |
| Keep at retirement | ~$1,240,000 |
Why Arizona in the Alliance
🚰 Water Urgency
- Colorado River cuts imminent
- WIFA already seeking solutions
- Pipeline answers the question
📊 Scale
- 7.4M people — largest Alliance state
- $450B GDP — biggest economy
- Provides scale for infrastructure
🏛️ Political Window
- Gov. Hobbs up for re-election 2026
- AIP = re-election platform
- "I delivered healthcare, childcare, water"
👷 Jobs Terminus
- Phoenix = pipeline endpoint
- Treatment facilities
- Distribution infrastructure
WIFA & Water Augmentation
Arizona's Water Infrastructure Finance Authority (WIFA) has ~$445 million allocated for long-term water augmentation, with 75% designated for out-of-state sources.
WIFA is currently evaluating desalination and exchange proposals. The Alliance pipeline offers an alternative: Columbia River water delivered directly to Phoenix via Salt Lake City and Las Vegas.
| WIFA allocation | $445M |
| Out-of-state requirement | 75% |
| Pipeline water delivery | 4+ MAF/year |
| Timeline | WIFA targeting early 2030s |
Arizona Housing Affordability Zones
Arizona has state trust land available for HAZ development, especially around Phoenix metro. Under AIP:
| Land cost to builders | 50% of market value |
| Builder requirement | Meet state cost-per-sq-ft cap |
| Buyer down payment | Deferred (20% at move-out) |
| Interest rate | 3% Fannie Mae |
| Eligibility | Arizona resident 2+ years |