Growth in Arizona’s big cities, like Tucson, mostly stalled

There are also some areas of growth in the rest of the state.

Marana posted a 5.7 growth rate by adding more than 3,500 residents in the one-year period, enough to make it the fourth-fastest growing city in Arizona on a year-over-year basis. And Sahuarita, on the other edge of the Tucson area, posted a 1.3% gain.

At the other extreme, population in landlocked Paradise Valley dropped by 250 — a 2.0% decrease, which was the largest recorded on a percentage basis. Also at the top of the negative growth chart, according to the Census Bureau, are Patagonia, Guadalupe, Litchfield Park, Winkelman and Winslow.

The numbers are about more than just bragging rights.

First, they show where people want to live, though the Census Bureau doesn’t get into the reasons, whether they be affordable housing, municipal amenities, or even climate.

But there are real fiscal implications.

Population growth means new housing. And that means sales taxes from construction activities and property taxes from homeowners.

More residents generally lead to more commercial centers and the sales and property taxes they generate.

But what’s also important is that cities also get shared revenues from the state. And those are largely dependent on population. And there’s a lot of money at stake.

It starts with what is known as “urban revenue sharing.”

That stems from a change in law in 1972 when voters approved a deal: cities would give up their right to levy their own income taxes in exchange for an 18% share of what the state collects. That annual figure, according to the League of Arizona Cities and Towns, now tops $1.26 billion.