Hobbs Faces Pressure Over Bipartisan Bills Targeting Chinese Influence

Hobbs Faces Pressure Over Bipartisan Bills Targeting Chinese Influence

By Ethan Faverino |

As Arizona Governor Katie Hobbs adopts a firmer rhetorical stance toward the People’s Republic of China, The Center Square states national security experts are closely monitoring whether she will sign a package of bipartisan bills designed to protect the state’s critical infrastructure, land, universities, procurement processes, and consumers from foreign adversary influence.

In previous years, Governor Hobbs vetoed several China-related measures, citing concerns over economic growth, investment portfolios, and impacts on the healthcare system. However, she now has the opportunity to act on up to seven new bills addressing these national security priorities.

In the past three years (2024-2026), Hobbs vetoed measures including:

  • HB 2504 and HB 2584: Genetic sequencing restrictions involving foreign adversary technology
  • SB 1340: Prohibiting state investments in foreign adversaries
  • HB 2542: Banning state contracts with companies domiciled in China for goods or services
  • SB 1109: Restrictions on foreign adversary land purchases near military bases and critical infrastructure

Her veto messages previously emphasized potential economic harm and described one bill as “weak and spineless.” This year, despite vetoing another genetic sequencing bill over healthcare system concerns, her office has signaled a tougher approach toward China.

The current package includes targeted protections:

  • Arizona Critical Infrastructure Protection Act (HB 2134): Prohibits Chinese companies from providing software for critical infrastructure and bars contracts granting them access. It requires annual certifications, establishes a prohibited equipment list (including Wi-Fi routers, modems, school bus cameras, smart meters, solar inverters, and IoT modules), and creates a score communications channel for emergencies. Exceptions exist for cases with no reasonable alternatives and pre-approval.
  • Land Protection Bill (SB 1683): Bars foreign adversary nations and agents from purchasing, leasing, or acquiring substantial interests (+15%) in Arizona real property. It prohibits installing surveillance or communications equipment and includes strong enforcement mechanisms, including divestiture, forfeiture, and reporting to federal authorities. Limited exceptions apply for inheritance or debt collection with prompt divestiture.
  • Higher Education Protections (SB 1327): Requires the Arizona Board of Regents to review and approve gifts, contracts, or partnerships with foreign adversary nations. Universities must adopt comprehensive research security policies and annually report significant foreign funding.
  • Procurement Safeguards (SB 2170): Prevents companies domiciled in and controlled by the Chinese government, military, or ruling party from bidding on state electronic and information technology contracts. Requires certification letters, with severe penalties for false statements.
  • Lobbyist Registration (SB 1100): Mandates foreign adversary principals to register lobbyists, disclose activities, and pay fees. Creates a public database and penalties for nondisclosures.
  • Consumer Fraud Enforcement (SB 1308): Establishes a Foreign Adversary Fraud Office in the Attorney General’s office to pursue violations involving foreign adversary technology. Creates dedicated funds for enforcement and technology replacement in critical infrastructure.

Josh Hodges, former senior director at the National Security Council under President Trump, current member of the U.S.-China Economic and Security Review Commission, and national security advisor to House Speaker Mike Johnson, described these bills as “massively impactful.”

Hodges told The Center Square, “It is important these bills are passed collectively to ‘really address the full scope’ of the Chinese threat.” He noted that Hobbs has vetoed almost every piece of legislation related to China for “specious reason” often based on claims that bills were too vague or broad, despite federal agencies identifying ongoing subnational Chinese Communist Party efforts to embed operations in key U.S. assets.

He expressed hope that Hobbs’ recent shift in rhetoric will translate into action: “Arizonans will find out quickly whether their interests are being chosen over politics.” According to Hodges, vetoing these measures without strong justification could indicate undue influence or undisclosed lobbying.

These bills represent a significant opportunity for Arizona to align with growing nationwide efforts to protect critical assets from foreign adversary risks while maintaining necessary flexibility for public safety and economic needs.

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

Biggs Introduces PROTECT Act To Strengthen Oversight Of Federal Law Enforcement Equipment Program

Biggs Introduces PROTECT Act To Strengthen Oversight Of Federal Law Enforcement Equipment Program

By Ethan Faverino |

Earlier this week, Congressman Andy Biggs (R-AZ-05) introduced the Providing Resources and Oversight for Tactical Equipment to Communities and Troops Act, also known as the PROTECT Act. This bipartisan legislation is aimed at modernizing and improving the administration of the Department of War’s Law Enforcement Support Office (LESO).

The PROTECT ACT, commonly known as the 1033 program, seeks to enhance efficiency, oversight, and effectiveness of this longstanding federal program, which provides surplus Department of War property to state and local law enforcement agencies at minimal cost.

The equipment and resources — ranging from vehicles and special tactical gear to office supplies, computers, and medical items — support critical missions including active shooter response, disaster relief, counter drug operations, and border security.

“I introduced the PROTECT Act following conversations with Arizona stakeholders who were frustrated with the growing lack of coordination between state and federal partners,” stated Congressman Biggs. “This necessary update ensures greater oversight, clearer standards, and more effective state-federal coordination to carry out the program’s mission.”

The Defense Logistics Agency (DLA) is responsible for disposing of excess and obsolete property from U.S. military units worldwide. Through the 1033 program, authorized by Congress in the National Defense Authorization Act for Fiscal Years 1990 and 1991 and granted permanent authority in the 1997 NDAA, eligible law enforcement agencies can acquire this surplus property for bona fide law enforcement purposes, with a particular emphasis on counter drug and counter terrorism activities.

As of February 2025, approximately 6,300 federal, state, and local law enforcement agencies across 49 states and four U.S. territories participate in the program.

Participation requires each state to have a Governor-appointed State Coordinator responsible for oversight of the state’s participating agencies. States must sign a Memorandum of Understanding (MOA) with DLA’s LESO, and each approved agency must enter into a State Plan of Operation with the coordinator.

Once approved, law enforcement agencies can review available excess inventory online and submit requests through their State Coordinator. Agencies do not pay for the property itself but are responsible for shipping, storage, maintenance, and any costs associated with returning items when they are no longer needed. All property is also transferred “as-is.”

The PROTECT Act strengthens the role of the State Coordinator and responds to requests for greater consistency by implementing:

  • Standardized state-federal consultation procedures
  • Annual training requirement for coordinators
  • Regular program reviews by the Defense Logistics Agency
  • Transparent biennial reporting to Congress and the public

“I’m grateful for another opportunity to stand with our Arizona law enforcement community as these agencies protect our communities and respond to emergencies, natural disasters, and public safety threats,” said Biggs.

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

CD1 Candidate Jay Feely Under Fire Over Remarks On Haitian Immigrants And Trump

CD1 Candidate Jay Feely Under Fire Over Remarks On Haitian Immigrants And Trump

By Ethan Faverino |

Jay Feely, a Republican candidate for Arizona’s 1st Congressional District, is drawing scrutiny following recent comments defending Haitian immigrants amid ongoing national debates over immigration policy.

Feely, who has received an endorsement from President Donald Trump despite past criticism of Trump and reported connections to the Clinton family, faced backlash after accusing his primary opponent, former Arizona State Representative Joseph Chaplik, of racism.

The exchange stems from Chaplik’s criticism of Feely’s support for bringing large numbers of Haitian refugees into the United States.

In response to Chaplik’s concerns about mass Haitian immigration, Feely cited his personal experience helping two Haitian men he described as “family,” saying they came to the United States legally and pursued education and employment.

Chaplik rejected the accusations, saying his remarks were aimed at Feely’s broader immigration policy positions rather than the individuals themselves. He accused Feely of “playing the race card” and shared video clips he said showed Feely supporting amnesty measures and assistance for NGOs facilitating Haitian migration. Chaplik also pointed to Feely’s lack of response when asked about Temporary Protected Status extensions for Haitians.

The controversy escalated when Feely appeared on Arizona’s 12 News. During the interview, Feely addressed President Trump’s 2024 campaign remarks regarding reports of Haitian immigrants in Ohio eating pets. Feely recounted conversations with the two Haitian men he helped bring into the U.S., noting cultural practices in Haiti, “that when somebody has no food at all, they’re going to find whatever it is, whether it’s a dog, a cat.”

“I don’t want to be derogatory about people,” added Feely. “I think that’s where President Trump and I differ, is that I think you can articulate your values and your beliefs without being derogatory about others.”

When asked directly about reports of pets being eaten in Ohio, Feely responded, “I’m saying that the Haitian men that we brought here, and we talked about it, they said, ‘Yeah, I could see that happening.’ And if somebody who did that in Haiti comes here and sees a swan and says, “Oh, that might make a good meal!”

Chaplik responded sharply to the interview in a comment to The Gateway Pundit, criticizing Feely for disregarding constituents, insulting the President, and attacking candidates with a conservative legislative record. “That’s why the voters of our Congressional District, CD1, don’t trust him, and that’s why we are up 20 points.”

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

DOJ Launches West Coast Healthcare Fraud Strike Force Targeting Arizona, California, Nevada

DOJ Launches West Coast Healthcare Fraud Strike Force Targeting Arizona, California, Nevada

By Ethan Faverino |

The U.S. Department of Justice has formed the West Coast Healthcare Fraud Strike Force, a new multi-district initiative targeting the significant rise in healthcare fraud across Arizona, California, and Nevada. The effort unites federal prosecutors with law enforcement partners to protect Arizona taxpayers, patients, and legitimate healthcare services from sophisticated fraud networks.

Assistant Attorney General Colin McDonald of the DOJ’s Fraud Division cited data showing sharp increases in fraud activity in the three states. “The Fraud Division is committed to bringing that same relentless, data-driven prosecutorial force to bear across every corner of this region,” said McDonald, “making unmistakably clear that no scheme is too sophisticated, no network too large or small, and no fraudster too distant to escape federal accountability.”

Arizona has been particularly hard-hit and is already on the front lines of enforcement. U.S. Attorney Timothy Courchaine for the District of Arizona noted that federal law enforcement and his office have already disrupted fraud schemes worth over a billion dollars of taxpayer money in the state. “Our mission as part of the West Coast Health Care Fraud Strike Force is to ensure Americans who need critical services are not used as pawns to make bad actors rich,” Courchaine stated. “Through excellent investigations, trial work, and seizures of ill-gotten gains, the District of Arizona will continue safeguarding those services.”

Arizona Attorney General Kris Mayes told The Center Square, “Arizona has been on the front lines of fighting Medicaid fraud for the past several years, and we welcome the federal government’s help in combatting this problem.” Mayes also highlighted that since 2023, her office has indicted 166 individuals and entities and recovered or seized more than $139 million in cash and assets.

Recent Arizona cases underscore the scale of the threat. In one scheme, Farrukh Jarar Ali, a 41 year old Pakistan-based operator, was charged with conspiracy to commit healthcare fraud and related offenses after allegedly submitting approximately $650 million in false and fraudulent claims to Arizona’s Medicaid program (AHCCCS) through at least 41 substance abuse treatment clinics.

Many patients were recruited from homeless populations or Native American reservations, and clinics often provided little or no legitimate care. AHCCCS paid out roughly $564 million before the scene was uncovered. Ali personally received about $24.5 million and used some proceeds to purchase luxury real estate in Dubai.

In another prosecution, Phoenix residents Alexandra Gehrke and her husband Jeffery King were sentenced to 15.5 years and 14 years in prison, for orchestrating a massive wound graft fraud scheme. Between November 2022 and May 2024, they and co-conspirators submitted over $1.2 billion in false or fraudulent claims to Medicare and other insurers for medically unnecessary bioengineered skin substitutes applied to elderly and terminally ill patients — often through illegal kickbacks and regardless of medical need.

Federal programs paid out nearly $615 million. Authorities seized substantial assets from the couple, including $97 million from bank accounts, luxury vehicles, life insurance annuities, cash, and gold and silver.

Mayes also referenced a prior $2.5 billion Medicaid fraud scheme involving fraudulent sober living homes targeting Native Americans, from which the state recovered only about 5% of losses. Her office has since launched a $6 million grant program to assist affected tribal nations.

The new Strike Force builds on these successes and addresses emerging threats identified by Scott Lampert, Acting Deputy Inspector General for Investigations at the U.S. Department of Health and Human Services. Lampert pointed to “sham operations designed to appear legitimate while exploiting patients and inflating claims through increasingly sophisticated methods.”

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

Senate Republicans Continue Budget Negotiations After Hobbs Lifts Moratorium

Senate Republicans Continue Budget Negotiations After Hobbs Lifts Moratorium

By Ethan Faverino |

Budget negotiations between Arizona Senate Republicans and Governor Katie Hobbs’ administration are continuing at the Capitol after the Governor vetoed the Senate Republican budget proposal on May 5th.

The Republican plan included one of the largest tax cuts in Arizona history while fully funding education and public safety priorities.

Hobbs described the budget as “unbalanced and reckless.”

In her veto letter she stated, “This budget is unbalanced and reckless. With it, Arizona would default on our debt obligations, endanger vulnerable children, slash critical public safety funding, and pay for tax breaks to billionaires, data centers and special interests by kicking Arizonans off their healthcare and taking food off their tables. Arizonans cannot afford chaotic and dysfunctional Washington-style budgeting in our state government. I have made it clear that I will engage in good-faith negotiation. But I will not sign a budget that brings Washington-style chaos and dysfunction to Arizona’s budget. Let’s get back to the negotiating table and get serious about delivering for Arizonans. I am ready when you are.”

Despite the Governor’s public criticism, her team returned to negotiations almost immediately. On Thursday, May 14th, Governor Hobbs lifted the month-long bill signing moratorium she had imposed on April 13th.

The moratorium had been conditioned on Republicans publicly releasing a budget proposal and engaging in what she described as “good-faith” negotiations. It has severely limited the Senate’s ability to conduct normal floor business for weeks, stalling progress on unrelated legislation and disrupting the regular legislative process.

Senate Republicans noted that work never stopped despite the moratorium and recent media reports. Members have continued meeting with stakeholders, addressing constituent issues, reviewing legislation, and participating in budget discussions nearly every day.

This last week, the Senate Committee on Director Nominations convened to consider Governor Hobbs’ nominee, Brig. Gen. John Conley, to lead the Department of Emergency and Military Affairs.

The Republican budget proposal, unveiled on April 27, fully conformed Arizona’s tax code with federal changes made through President Trump’s “One Big Beautiful Bill.” It funded the tax relief through targeted fund sweeps and reductions to most state agencies outside of core priorities.

Senate Republicans remain focused on completing a responsible budget that controls spending, protects core priorities such as education and public safety, and delivers historic tax relief for Arizona families facing affordability challenges.

The Senate returned last week for additional floor work, committee activity, and ongoing budget negotiations. With the moratorium now lifted, Senate leaders expressed optimism that both the budget process and the broader work of the Legislature can move forward without further delays.

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.