Recent cost of living data show Bullhead City is the most affordable place to live in Arizona, according to city officials.

Cost of living is calculated by comparing the change in a price of specific items in one city with variations in others. Items include groceries, housing, utilities, transportation, healthcare and miscellaneous services.

Bullhead City Manager Toby Cotter said low fuel prices, cheap electricity, available housing and food costs make living there a bargain. He credits the private sector for Bullhead City edging out Tucson as the most affordable place in Arizona.

“We’ve got some gas stations that really compete hard and they drive the price down,” Cotter said. “We’ve got a great distribution system with Walmart.”

Bullhead City’s economy is rooted in tourism, construction and retail, Cotter said. Casinos across the river in Laughlin, Nevada, are its biggest employer. But its status as Arizona’s most affordable place to live is helping attract more retirees.

“We’ve used it as tool to recruit Baby Boomers to our region, especially those that are looking to get out of Southern California,” Cotter said.

There are about 300 U.S. cities participating in the cost-of-living index, Cotter said. Recent data show Flagstaff had the highest cost of living among seven Arizona cities.