Voters in Tucson, Ariz., on Tuesday will consider boosting the minimum wage to $15 an hour by 2025, but the legal question of whether the state could charge the city for the increase remains unanswered.
The campaign for the proposal—a citizen initiative known as Prop. 206—coincides with a court battle to determine whether lawmakers can penalize cities that go above Arizona’s statewide hourly rate, which is $12.15 this year and increases annually based on the cost of living. The city of Flagstaff is suing over a roughly $1.1 million assessment levied by the state seeking compensation for ...