Phoenix, February 18, 2026
A Phoenix engineer’s licensing dispute highlights the ongoing challenges faced by small business owners in Arizona. The National Federation of Independent Business (NFIB) supports the engineer against state regulations that impede his ability to operate his consulting firm without a state-issued license. This case has broader implications for the regulatory landscape affecting small businesses across the state as it navigates the balance between public safety and economic liberty.
Phoenix, AZ – The spirit of entrepreneurship in Arizona thrives on innovation and the determination of individuals to forge their own paths. Yet, for many small business owners and Arizona AZ entrepreneurs, the journey can often involve navigating a complex landscape of regulations and licensing requirements. A recent development in the state highlights this ongoing challenge, as the National Federation of Independent Business (NFIB) has stepped in to support a Phoenix-area engineer in a critical licensing dispute that could shape future small business rules in Arizona.
This case underscores a fundamental tension: ensuring public safety through professional standards versus fostering an environment where small businesses can innovate and grow without undue governmental barriers. The NFIB’s involvement signals a significant push for what many see as a more balanced approach, one that recognizes the vital contributions of Phoenix small business to the local and state economy.
The Heart of the Matter: A Phoenix Engineer’s Licensing Battle
The core of the dispute involves engineer Greg Mills, a veteran with over thirty years of experience in designing, building, and testing electrical circuits for manufacturing companies in Arizona. In 2008, demonstrating true entrepreneurial innovation, Mr. Mills established his own firm, Southwest Engineering Concepts (SOENCO), to offer consulting services to startups and other small businesses. His services quickly became a valuable asset to Arizona’s burgeoning startup community.
However, Mr. Mills’s professional journey took an unexpected turn when the Arizona Board of Technical Registration (ABTR) threatened to shut down his company and impose fines. The ABTR’s rationale was his lack of a state-issued engineering license, asserting that any individual performing engineering work or identifying as an engineer in Arizona must first obtain such a license. This stance presents a significant hurdle for Mr. Mills, particularly due to a specific nuance in Arizona’s licensing laws. While an exemption permits unlicensed engineers to work full-time for manufacturing companies that produce products, SOENCO’s focus on creating prototypes and Mr. Mills’s consulting role mean he does not qualify for this exemption. Consequently, he faces the prospect of being unable to legally perform the same work for his own business that he previously conducted as an employee for larger entities.
NFIB Steps Up for Small Business Economic Liberty
Recognizing the broader implications for Phoenix AZ business, the NFIB, a leading advocate for small businesses nationwide, has formally entered the legal fray. The organization filed an amicus brief in the case, Greg Mills and Southwest Engineering Concepts, LLC v. State of Arizona, currently before the Arizona Supreme Court. The NFIB’s central argument is that the ABTR’s licensing requirement infringes upon economic liberty, a right they consider fundamental under Arizona law.
The NFIB contends that small business owners should not be compelled to acquire additional licensing for work they are already qualified to perform, especially when existing laws provide exemptions for larger corporations engaging in similar activities. They view this requirement as an instance of “unfair red tape” that disproportionately burdens small businesses, potentially increasing costs and contributing to inflation. This intervention highlights the NFIB’s consistent advocacy for regulatory environments that support small-business resilience and prevent unnecessary obstacles to growth.
The Broader Landscape of Regulation and Economic Growth
The challenge faced by Mr. Mills is not isolated but reflects a nationwide concern among small business advocates regarding the impact of occupational licensing. The NFIB has consistently championed initiatives to ease regulatory burdens on small enterprises across the country. They actively support legislation, such as the Small Business Regulatory Flexibility Improvement Act (SBRFIA), which mandates federal agencies to thoroughly evaluate the economic implications of their proposed regulations. This proactive approach aims to ensure that regulatory measures are carefully considered for their potential to stifle entrepreneurial activity.
The organization’s stance reflects a belief that excessive regulation can impede the ability of small businesses to operate, expand, and create jobs. For a vibrant economy like Phoenix’s, where innovation often springs from smaller, agile firms, ensuring a proportionate regulatory framework is crucial for sustained economic growth and job creation. Nationwide, NFIB has raised concerns that regulatory excess can lead to detrimental effects on small enterprises.
Weighing Public Safety Against Entrepreneurial Freedom
While advocates for reduced regulation emphasize economic liberty, it is important to acknowledge the perspective that professional licensing serves a vital role in protecting public health, safety, and welfare. Proponents of licensing argue that it establishes a baseline of competence and ensures that professionals adhere to ethical standards, particularly in fields where errors could have significant consequences, such as civil engineering projects like bridges or buildings. Licensing is viewed as a “check for the public” to guarantee that individuals performing critical work possess the necessary qualifications and are held accountable.
In this debate, the key lies in determining where the balance should be struck. The question arises whether current Arizona engineering licensing requirements are appropriately tailored to specific public safety concerns or if their broad application inadvertently restricts economic opportunity without a commensurate benefit to public protection. Nationwide, approximately 80 percent of engineers do not hold licenses, as licensure is more prevalent in construction-related fields where engineers formally approve project plans.
Arizona’s History of Regulatory Innovation
It is worth noting that Arizona has previously distinguished itself as a leader in occupational licensing reform. In 2019, the state became the first nationwide to adopt universal recognition for occupational licenses. This landmark legislation allows individuals already licensed in other states and practicing in good standing for at least one year to obtain an Arizona license more readily. Furthermore, Arizona enacted the “Right to Earn a Living Act,” which mandates that licensing regulations must be demonstrably necessary to fulfill specific public health, safety, or welfare concerns.
These past reforms illustrate Arizona’s capacity for progressive policy-making aimed at reducing barriers to entry and fostering economic opportunity. The current legal challenge involving Mr. Mills and the NFIB can be seen as a continuation of this ongoing effort to refine and optimize the state’s regulatory framework, ensuring it remains conducive to a thriving business environment for Arizona AZ entrepreneurs.
Fostering a Pro-Growth Environment for Arizona Entrepreneurs
The ongoing legal challenge regarding engineering licenses in Arizona highlights the intricate balance between necessary regulation and promoting a robust entrepreneurial ecosystem. For Phoenix AZ business owners and those aspiring to launch new ventures, the outcome of this case could significantly influence the regulatory landscape, either by streamlining processes or by reinforcing existing hurdles.
The NFIB’s support for Mr. Mills underscores a consistent message: that a vibrant economy is often fueled by the freedom of individuals to pursue their professions and contribute to their communities without unnecessary governmental overreach. As Arizona continues to experience economic growth, supporting small-business resilience and fostering an environment that encourages innovation and personal achievement remains paramount. Staying engaged in these discussions helps ensure that Arizona’s regulatory framework continues to evolve in a way that benefits both its citizens and its dynamic business community.
Frequently Asked Questions
What is the current legal case involving Greg Mills and the NFIB about?
The case involves engineer Greg Mills and his company, Southwest Engineering Concepts, LLC, against the State of Arizona. The National Federation of Independent Business (NFIB) has filed an amicus brief in support of Mr. Mills. The dispute concerns Arizona’s registration requirements for small engineering businesses, specifically the demand for Mr. Mills to obtain a state-issued engineering license to continue operating his consulting firm, despite his extensive experience and the nature of his work.
Why is the NFIB involved in this Arizona licensing dispute?
The NFIB is involved because it believes the Arizona Board of Technical Registration’s licensing requirement for small engineering businesses is unconstitutional, as it restricts economic liberty. They argue that this requirement disproportionately harms small businesses by imposing burdensome and arbitrary registration processes that larger companies are exempt from.
What is the “manufacturer exemption” in Arizona’s engineering licensing law?
Arizona’s engineering licensing law includes an exemption that allows unlicensed engineers to work full-time for companies that manufacture products. However, Mr. Mills does not qualify for this exemption because his company, Southwest Engineering Concepts (SOENCO), focuses on creating prototypes, and he operates as a consultant rather than a full-time employee for manufacturing clients.
What are the broader implications of this case for small businesses in Arizona?
This case could set a precedent for future small business rules in Arizona, particularly concerning occupational licensing. The NFIB argues that the current requirements create unfair “red tape” that hinders Phoenix small business growth and contributes to increased costs for Arizona AZ entrepreneurs.
Does Arizona have a history of occupational licensing reform?
Yes, Arizona has been a leader in occupational licensing reform, becoming the first state to adopt universal recognition for occupational licenses in 2019. This law allows individuals licensed in other states and practicing for at least one year to obtain an Arizona license more easily. The state also enacted the “Right to Earn a Living Act,” which requires licensing regulations to be justified by specific public health, safety, or welfare concerns.
Key Features of the Arizona Engineering Licensing Debate
| Feature | Description | Scope |
|---|---|---|
| Parties Involved | Greg Mills (engineer) and Southwest Engineering Concepts, LLC vs. State of Arizona; NFIB as amicus curiae. | State-level |
| Core Issue | State registration requirements for small engineering businesses and the demand for a state-issued engineering license for consulting work. | State-level |
| NFIB’s Stance | Challenges the licensing requirement as unconstitutional, restricting economic liberty, and creating disproportionate burdens on small businesses compared to larger companies. | State-level (case specific), Nationwide (general stance on regulation) |
| “Manufacturer Exemption” | Allows unlicensed engineers to work full-time for manufacturing companies, but does not apply to consultants or prototype developers like Mr. Mills. | State-level |
| Broader NFIB Advocacy | Nationwide efforts to reduce regulatory burdens and ensure federal agencies assess the economic implications of regulations (e.g., supporting the Small Business Regulatory Flexibility Improvement Act). | Nationwide |
| Proponents of Licensing Argument | Licensing ensures professional competence, upholds ethical standards, and protects public health, safety, and welfare, particularly in fields with high public impact. | State-level |
| Arizona’s Past Reforms | First state to adopt universal recognition for occupational licenses (2019) and pass the “Right to Earn a Living Act.” | State-level |
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Author: STAFF HERE PHOENIX WRITER
The PHOENIX STAFF WRITER represents the experienced team at HEREPhoenix.com, your go-to source for actionable local news and information in Phoenix, Maricopa County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Waste Management Phoenix Open, Cactus League Spring Training, and Arizona State Fair. Our coverage extends to key organizations like the Greater Phoenix Chamber of Commerce and Visit Phoenix, plus leading businesses in technology and healthcare that power the local economy such as Intel and Banner Health. As part of the broader HERE network, including HERETucson.com, we provide comprehensive, credible insights into Arizona's dynamic landscape.
