探花精选

Blacklisting companies for their gun policies will backfire on Arizona

This column by Arizona Chamber of Commerce & Industry President and CEO Danny Seiden originally appeared on

The Arizona Legislature is considering a bill that could make our regulatory environment more cumbersome, complicated and expensive, tying up private businesses in red tape and sticking taxpayers with the bill.

If it passes, Arizona鈥檚 reputation as a business-friendly state will be at risk.

The proponents of argue that private companies are discriminating against potential customers based on gun politics and thus shouldn鈥檛 be allowed to do business with the state and local governments.

They also believe that the best way to prevent such discrimination is to prohibit private entities from entering into certain contractual agreements, unless the entity鈥檚 contract includes written assurances that there will be no discrimination against any firearm entity or firearm trade association.

Private businesses of all sizes make tough decisions every day to manage risk, meet client needs and deliver returns for shareholders. All that鈥檚 hard enough to do without inserting a political agenda into the mix. 

However, the proposed remedy is far worse than the perceived problem.  

This bill is a bad deal for Arizona, replacing a market defined by supply and demand with one where politicians decide who can do business with whom.  

Other states have adopted similar blacklist policies and paid a stiff price.  

In Texas, taxpayers have been forced to shoulder鈥痠n additional municipal borrowing costs after lawmakers there pushed out a handful of bond underwriters.

Local officials in Stillwater, Okla., had to put a series of infrastructure projects on hold after borrowing costs spiked because the lender found itself on that state鈥檚 blacklist.  

It鈥檚 a predictable consequence.

After all, fewer businesses eligible to contract with state and local governments leads to fewer choices from which the government can select for projects, which leads to higher costs for taxpayers. 

State and local governments can鈥檛 print money. When costs go up in one area, it means there are fewer resources to invest in things like public safety, sanitation and other core government responsibilities.

It鈥檚 no wonder the Arizona Association of Counties has expressed concern that bringing a blacklist law to our state would cause small, rural communities to suffer due to reduced banking services and higher costs, which will ultimately affect local taxpayers.  

Arizona鈥檚 pro-business reputation has been cultivated in part by assuring job creators that our policymaking environment is predictable and stable, and that our laws and regulations are intended to encourage job growth, not stifle it. 

But SCR 1007 signals that Arizona鈥檚 business environment can shift at any moment.

What was once an acceptable business practice could suddenly fall out of favor with whoever鈥檚 in power, jeopardizing a company鈥檚 ability to operate here.

Arizona has worked hard to cultivate a business environment where businesses can succeed or fail in a free market.

The policies proposed in SCR 1007 would make government the arbiter of who wins and who loses. Lawmakers should reject it.

Danny Seiden is president and CEO of the Arizona Chamber of Commerce & Industry.

Photo Andreas Metz

Add comment

Subscribe to the Dry Heat

Get updates on the most important news delivered right to your email. Fully personalized options. No SPAM. Unsubscribe anytime.

Let’s Get Social

探花精选 wants to connect with you. Follow us, tweet, share, post, comment... however you get social is the perfect way to connect.