Arizona State University’s online component, ASU Online, has partnered with several California community colleges to launch a new pilot program. The initiative allows California online undergraduates and alumni to save 22% on tuition—about $130 less per credit hour than Arizona residents pay.
According to a press release issued by ASU Online, the special rate for California students comes “with no income requirements or special applications needed to receive the special tuition.”
The release added that “the pilot program helps break financial barriers and creates an accessible, seamless transfer pathway for California residents to complete a degree.”
“Our university is committed to enhancing access to high-quality education for all students capable of college-level work,” ASU President Michael Crow said in a statement. “Providing top online learning opportunities and making ASU’s world-class faculty available to the enthusiastic learners in our neighboring state will prepare more skilled graduates, strengthen our shared region and support a better future.”
In a post to X, ASU Online posted enthusiastically, “Big news! Students & alumni of our California Community College partners can now transfer to @ASUOnline and save 22% on tuition through the California Community College Achievement Plan! Who’s ready to finish their degree?”
Big news! Students & alumni of our California Community College partners can now transfer to @ASUOnline and save 22% on tuition through the California Community College Achievement Plan! Who's ready to finish their degree?@mypath2asu#TransferSuccesshttps://t.co/Os55dhgULU
The emphasis on the educational outcome of California students and the substantial discount being offered under the pilot program is striking given that the Arizona Board of Regents 2021 Financial Aid Report (the most recent available) found that 55 percent of undergraduates from ASU, 55 percent from NAU, and 47 percent from UArizona graduated in debt. The report explained that “the average debt load at graduation was $24,447 at ASU; $21,461 at NAU; and $25,343 at UArizona.” According to the Board, approximately 4.5% of ASU students are defaulting on their loans.
ASU reported in the release that it currently has approximately 15,000 California students enrolled online. Anecdotally, citing one alum’s story, they claim that these students are “making meaningful contributions to the state’s economy,” specifically California’s economy, not Arizona’s.
AZ Free News has reached out to Speaker of the Arizona House of Representatives Steve Montenegro, who sits ex officio on the Joint Legislative Auditing Committee (JLAC), which has legislative oversight over ASU, the Arizona Board of Regents, and the Superintendent of Public Instruction, Tom Horne. No comments were received before filing this story.
Financial fraud is emerging as one of Arizona’s most costly economic threats, with residents projected to lose more than $4 billion in 2025, according to a new analysis from the Common Sense Institute (CSI). The report, The Impact of Financial Fraud in Arizona, outlines how scams, identity theft, and other fraudulent activity are draining household finances and hampering economic growth. In 2024, Arizonans reported nearly 55,000 fraud cases, leading to $521 million in losses—an increase of 384 percent since 2020.
CSI economists estimate that only about 14 percent of fraud is ever reported, meaning the true cost is far higher. By next year, the institute projects that reported losses could reach $558 million, with an additional $3.4 billion in unreported incidents.
“Arizona is projected to lose over $4 billion to financial fraud in 2025. That’s nearly 1% of the state’s total GDP,” said Zachary Milne, senior economist and research analyst at CSI. “Fraud is a systemic drain on Arizona’s families and the economy. Eliminating these losses would mean billions in growth, tens of thousands more job opportunities, and lower prices for Arizonans.”
Key Findings from the Report
The average loss per incident in Arizona was $6,270—nearly 30 percent higher than the national average.
Arizona ranked 11th nationally for fraud cases, with 1,459 reports per 100,000 residents.
Older residents face the greatest impact. Adults 60 and older account for two-thirds of internet-based fraud losses, with those 70 and older suffering the highest average dollar losses.
For every dollar lost to fraud, Arizonans lose $1.06 in personal income due to broader economic effects. Families also face slightly higher prices on everyday goods and services.
Fraud contributes to reduced economic activity, costing Arizona more than 45,000 jobs.
Fraud schemes cited in the report range from identity theft and phishing to romance scams, wire transfer fraud, and elder financial abuse. As more commerce moves online, CSI researchers warn that the risks will only grow.
The study also highlights how financial crime affects more than direct victims. Lost spending power, higher security costs, and reduced consumer confidence create ripple effects across the state’s economy. CSI estimates fraud-related losses shrink Arizona’s GDP by $5.2 billion annually. Nationally, the FBI and Federal Trade Commission tracked tens of billions of dollars in fraud losses in 2024, part of a steady upward trend over the past five years. Arizona, with its above-average loss rate and older population, is particularly vulnerable.
The report concludes that combating fraud is not only a matter of protecting individuals but also of preserving Arizona’s long-term economic health.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
Arizona Superintendent of Public Instruction Tom Horne weighed in on the scandal involving Cartwright Elementary School District board members Lydia and Cassandra Hernandez. The mother-daughter duo allegedly tried to smuggle a box-cutter style knife into Maryvale High School just days after a fatal stabbing there claimed the life of a 16-year-old student. Horne called for both women to resign their public offices immediately.
As reported by Fox10, Officials with the Phoenix Union High School District (PXU) told the outlet that on August 25th, Arizona State Rep. Lydia Hernandez (D-LD24) and her daughter, Cassandra Hernandez, created a disturbance at Maryvale High School by “knowingly bringing an unauthorized weapon onto campus.” Lydia Hernandez denied the school district’s accusation in response to an inquiry from Fox10 but declined to comment further.
PXU confirmed in a statement that the two women were “attempting to circumvent our safety systems and knowingly bringing an unauthorized weapon onto campus.”
NEW: An Arizona lawmaker was escorted off Maryvale HS's campus for "testing" the school's weapon detectors with her daughter.
The school said Rep Lydia Hernandez & her daughter Cassandra (both Cartwright school board members) tried bringing a boxcutter onto campus, but it was… pic.twitter.com/vaWSonxwcz
The district stated in its announcement, “We will pursue all legal options, including pressing charges and trespassing the individuals from coming back to our campuses.”
Both women were recording the incident on their phones. At that point, “Lydia told the staff that she was video recording the interaction and that she was testing the weapon detection systems,” PXU said in a news release. Both women were then escorted from the premises.
Arizona SPI Horne released a statement condemning the women for the incident, saying, “This was an outrageous and indefensible stunt. For two school board members, one who is also a state legislator, to deliberately provoke a security disruption at a school is unconscionable. To do it at Maryvale High School where a student was tragically murdered in a classroom just a week earlier is unbelievably insensitive to the trauma that was inflicted on the students, teachers and staff of that school. These two board members should resign immediately.”
Horne continued, “The safety of our campuses is an absolute priority. Security personnel and safety officers need to do their jobs, and they cannot be diverted from protecting the campus by a juvenile and unnecessary act such as this. The actions of these board members show they do not appreciate the seriousness of ensuring campuses are safe places and the Cartwright Board must include members who are committed to school safety.”
Phoenix City Councilmembers Betty Guardado and Anna Hernandez released a joint statement similarly calling for both women to resign, according to KTAR.
“Their actions disrupted the fragile environment at Maryvale High School, were a blatant disregard for safety and school protocol, and were gravely insensitive to the students, families, and school staff still mourning the Maryvale student who died last week,” Guardado and Hernandez said. “The choice to target a school still reeling from trauma speaks volumes about their judgment and priorities as leaders. Such actions jeopardize the safety of students and staff alike, showing an alarming lack of responsibility and failure as public officials.”
From House Democratic Leadership: “Our hearts are with the family of the young man who was killed, Michael Montoya II, and with the Maryvale community that is hurting and mourning right now. Regarding the allegation involving Representative Lydia Hernandez, the incident spelled… pic.twitter.com/Rf13Pc1mAQ
Arizona House Democrat Leaders reacted with a statement saying, “The incident spelled out in the School District’s statement is serious and shocking.” The Democrat leaders noted that while they have “not yet had an opportunity to speak with Rep. Hernandez to get an explanation from her perspective…it should go without saying that nobody — elected official or otherwise — should engage in such reckless and potentially criminal behavior on a school campus.”
Arizona Senate President Warren Petersen announced on Monday several senior staff promotions and new hires within the Senate Majority office, moves he said will strengthen support for the chamber’s 17 Republican members as they pursue their legislative agenda.
Fletcher Montzingo has been elevated to Deputy Chief of Staff after more than a decade in state government, including six years staffing the Senate Finance and Appropriations Committees. In his new role, Montzingo will help oversee daily staff operations, advise on tax policy, and provide support for the newly formed Senate Committee on Appropriations & Transportation.
Brooke Huppenthal will join the staff on Sept. 15 as Deputy General Counsel. She will advise the Senate Committees on Judiciary & Elections and Military Affairs & Border Security, while also assisting the Senate Rules Committee. Huppenthal previously served as an Assistant Attorney General in Tennessee and clerked for Arizona Supreme Court Justice Clint Bolick.
Simone Westbrook Hall has been named Senior Policy Advisor for the Senate Committees on Natural Resources, Energy & Water and Public Safety. She most recently served as Arizona’s Deputy Land Commissioner and has experience in both public and private sector land use and natural resource policy.
Abigail McLain will begin on Sept. 8 as Policy Advisor for the Senate Committees on Finance and Health & Human Services. A graduate of Grand Canyon University, McLain previously worked on the government relations team at Alliance Defending Freedom, focusing on First Amendment policy.
“These new additions and promotions ensure that the Arizona Senate Majority Caucus has one of the most experienced and capable legislative staff teams in the country,” Petersen said in a statement. “They will play an important role in helping us deliver results for Arizona families.”
The updated Majority Staff roster includes:
Josh Kredit, Chief of Staff
Fletcher Montzingo, Deputy Chief of Staff; Policy Advisor for Appropriations & Transportation, Finance
Rusty Crandall, General Counsel; Policy Advisor for Director Nominations, Ethics, Judiciary & Elections, Rules
Brooke Huppenthal, Deputy General Counsel; Policy Advisor for Judiciary & Elections, Military Affairs & Border Security
Kim Quintero, Director of Communications
Alayna Kowaleski, Deputy Director of Communications; Policy Advisor for Federalism, Joint Legislative Audit
Blaze Baggs, Senior Policy Advisor for Health & Human Services, Government
Simone Westbrook Hall, Senior Policy Advisor for Natural Resources, Energy & Water, Public Safety
Emma Blair, Policy Advisor for Education, Appropriations & Transportation, Regulatory Affairs & Government Efficiency
Abigail McLain, Policy Advisor for Health & Human Services, Finance, Government
Gina Jenkins, Senior Executive Assistant
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
The legacy media seem to be on a mission: tear down Arizona’s groundbreaking school choice program with false accusations and inaccurate reporting.
Fortunately, facts don’t lie, even if the media does.
The Arizona Capitol Times declared this week in astonishing terms, “Education department under fire for approving $124M in improper ESA [education savings account] purchases.”
Such astronomical levels of fraud would seem to threaten the very foundations of the historic school choice revolution that has swept the nation. There was just one problem, the headline was completely false.
Not only were the supposed dollar amounts exaggerated up to 100 times greater than the amounts of improper spending actually reported by the department, but these purchases weren’t even approved in the first place.
Here’s the story the media won’t tell: Arizona’s 2022 adoption of a fully universal ESA program has been a nation-leading success, allowing parents across the state to give their children an education best suited to their needs.
To its credit, the Times quickly retracted its original headline and issued a formal correction admitting “an inaccurate dollar amount” in its first draft and eliminating the suggestion that the purchases were “approved.” Unfortunately, such journalistic ethics appear not to be shared by the Times’ more ideological media counterparts in Arizona, particularly those of the teachers’ union-aligned 12News team, who have resolutely declined to correct or retract their false reporting.
12News’ Craig Harris, for instance, has repeatedly and falsely declared that the state has “approved” ESA purchases for iPhones, televisions, and other non-educational items over the past year.
But all those purchases haven’t been approved, as the State Board of Education’s ESA Handbook—ratified by members appointed by both former Gov. Doug Ducey and Gov. Katie Hobbs—makes clear. The document expressly states that while families’ ESA purchases under $2,000 are promptly reimbursed by the state, these items “are not deemed ‘approved’ by the Department, until they are audited OR the timeframe to audit the orders has passed [2 fiscal years].” Just like their tax returns filed with the IRS, these families’ ESA purchases are processed up front and subject to enforcement afterwards.
Yet, 12News either knowingly misrepresented the status of these orders or else incompetently failed to perform basic due diligence to learn how the program operates.
By 12News’ anti-ESA logic, the IRS should apparently also withhold refunds to taxpayers until their tax returns have been audited potentially years later, rather than promptly when the returns are filed.
Unfortunately, this is not the first time that 12News’ anti-school choice reporters have been exposed in such light. In 2018, Harris (then with the Arizona Republic) falsely reported that Arizona charter schools produced worse student graduation rates and worse outcomes on the state A-F letter grade system than district schools. Both claims turned out to have been fabricated results stemming from a faulty, agenda-driven data analysis by Harris’ team.
In 2024, 12News’ Joe Dana likewise doubled down on false claims that ESAs cost state taxpayers more than the public school system per student by conveniently ignoring major sources of public school funding. The state’s Classroom Site Fund, for example, allocates over $1,000 for every public school student in the state and gives not a penny to ESA families.
Undeterred by journalistic standards, Dana’s 12News team also went further, deceptively extracting a fragment of a statement given by the state’s budget director (given in response to a completely different question) to suggest the ESA program had created unprecedented strain on the state budget.
The Heritage Foundation’s Matt Ladner and Jason Bedrick have already exposed a litany of deceptive claims flowing from outlets like 12News, while more prestigious national news organizations like The Washington Post have seen their recent anti-ESA narratives similarly debunked. Yet none of these outlets have expressed any contrition for their deceptive coverage.
Indeed, in perhaps the richest of ironies, Harris’ 12News team recently attacked ESAs for “hurting” high-performing schools like Arizona charter network BASIS by competing with it for students. Never mind that Harris previously attacked BASIS for its alleged poor stewardship of taxpayer funds. Now that it is clear he and the media were on the wrong side of that school choice debate as well, they have simply shifted to a new enemy in their war on parents.
Looking at the whole of Arizona’s education landscape, there is no question that those who seek to defraud the state—whether via the traditional public school system or its competitors—should be prosecuted to the full extent of the law. But if there is a scandal in our education system, it is the dishonest reporting by journalists who are more disturbed by parental empowerment than by the tens of billions of dollars squandered year after year in chronically poor performing public schools.
Matt Beienburg is the Director of Education Policy at the Goldwater Institute.
