Thompson Works To Rein In Ratepayer-Funded Incentives To Contractors

Thompson Works To Rein In Ratepayer-Funded Incentives To Contractors

By Daniel Stefanski |

A first-year Corporation Commissioner continues to fight for Arizona ratepayers.

Late last month, Republican Corporation Commissioner Kevin Thompson issued a press release to announce that he had “amended several provisions in a recent proposal for UniSource Energy’s (“UNS”) Demand Side Management (“DSM”) Energy Efficiency (“EE”) program.” The release explained that these amendments “eliminated or revised several proposals” and “reigned in ratepayer-funded incentives to contractors and sales consultants and focused on prioritizing programs that provided greater value to residential customers and target low-income customers.”

Thompson educated readers on what DSM entailed, writing that “DSM is a ratepayer-funded surcharge that finances Commission-approved EE programs, which are implemented by UNS and other utilities, with the goal of reducing energy load and promoting energy efficiency.” According to Thompson’s information, “the utility spent just over $2.7 million in ratepayer funds on DSM EE programs during 2022.”

The release revealed that the “proposal (in front of the Commission) called to vastly expand the existing UNS EE budget, with nearly $5.8 million in ratepayer-funded programs up for consideration.”

In a statement, Thompson said, “Before increasing ratepayer surcharges to blindly expand energy efficiency programs, it’s important to address inefficiencies in existing programs, eliminate financial rewards for private entities, and ensure residential and low-income customers receive adequate representation in approved programs.”

The Republican commissioner specifically looked for “ratepayer funded incentives weaved throughout the DSM EE programs.” Thompson’s announcement noted that “many of the proposed programs provided incentives and rebates to third parties with financial stakes in the adoption of certain measures or the installation of certain products.” The proposal was devoid of “several incentives and payment reward programs” after Thompson’s due diligence, including:

  • Incentives to homebuilders to install energy efficient devices in certain new homes
  • Bonus incentives to sales consultants
  • Marketing stipends for third parties to promote certain programs
  • Project incentives to contractors

The proposal had another layer to it, per Thompson, with “the majority of proposed new programs targeting commercial and industrial users.” Thompson was concerned about these programs because “the majority of UNS’s customers are residential and the proposals were of limited value to the public.”

Commissioner Thompson added, “Commissioners must look out for the ratepayer, and we can’t haphazardly spend millions of dollars in ratepayer funds when there are concerns with the way current programs are being deployed. Residential customers shouldn’t be subsidizing purchases for hotel room HVAC units, electric forklifts, appliances for new homes, and truck refrigeration units.”

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

Arizona Permanent Land Endowment Trust Fund Hits Record

Arizona Permanent Land Endowment Trust Fund Hits Record

By Daniel Stefanski |

Arizona investments continue to be in good hands under the oversight of Republican State Treasurer, Kimberly Yee.

On Tuesday, Treasurer Yee announced that the Local Government Investment Pool earned $24.49 million in July, and that the Permanent Land Endowment Trust Fund (PLETF) soared to a record high of $7.99 billion the same month.

Yee unveiled the report at the August State Board of Investment meeting, which was open to the public via an online web service. According to a press release issued from her office, “the monthly meeting reports on Arizona’s investment activity, cash flow, future market conditions, and Arizona’s Education Savings Plan.”

The August 2023 report showed that the total assets under management were $5,886,428,849, and that earnings were up 241.51% year over year.

AZ Free News reached out to Treasurer Yee for comment, and the second-term official provided the following statements:

“I am the first Treasurer in Arizona’s history to meet regularly with local government leaders throughout Arizona’s fifteen counties to go over their record performing investments with our office. That’s why we’ve seen a 74% increase in local government assets under management during my administration. My office distributed a record-high of over $212.6 million to Local Government Investment Pool participants in FY 2023. This historic number of earnings surpasses the combined earnings of the last five fiscal years. Since I took office in January 2019, I have distributed record earnings of over $3 billion to local governments, state agencies and K-12 education, among other land endowment beneficiaries. This outstanding performance is fantastic news for Arizona taxpayers as our investment team continues to outperform benchmarks and receive record setting earnings, resulting in less direct local taxes for Arizonans.”

In the Arizona Treasury’s Education Endowment Report, not only did the PLETF hit a record high market value, but $424 million was to be distributed to K-12 education in Fiscal Year 2024. The Treasurer’s Office also revealed that the PLETF 10-year annualized total return approached 8%, which outperformed the average U.S. College and University endowments nine years in a row. According to the report, PLETF “is an endowment fund that the Arizona Treasurer deposits the land sales of Arizona into and invests the proceeds for education and other state beneficiaries, such as AZ K-12 education, AZ universities, AZ School for Deaf & Blind, AZ Pioneers’ Home, AZ State Hospital, and state prisons.”

The cumulative distributions for the PLETF over its history (since the 1990s) has been just under $4 billion ($3,823,070,913). When Yee took office in 2019, the market value of the PLETF appeared to be hovering around $6 billion.

Treasurer Yee’s Office also highlighted that “since taking office in January 2019, Arizona Treasurer Kimberly Yee has distributed record earnings of over $3 billion. This breaks down to $1.245 billion for the LGIP and State Agencies and $1.758 billion to beneficiaries of the PLETF as of June 30, 2023.

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

Arizona Legislator: COVID-19 “Mandates Won’t Be Happening Here In Arizona”

Arizona Legislator: COVID-19 “Mandates Won’t Be Happening Here In Arizona”

By Daniel Stefanski |

Days after an Arizona Republican Senator noted the increasing return of COVID-19 restrictions, another state legislator is doing the same for his constituents.

On Wednesday, Republican Representative Joseph Chaplik released an in-depth statement about the perceived rise in COVID-19 fears and restrictions as the fall season approaches. Chaplik attributed this to “recent media headlines panicking over the latest COVID variant, case numbers, and calls by some for the return of mask mandates.”

Chaplik assured constituents that Arizona laws afforded them more freedom than other states that might be on the verge of bringing back COVID-19 restrictions, writing, “While some states may go in that direction, the good news is that mandates won’t be happening here in Arizona. That’s due in large part to our state adopting common-sense laws to protect against government-imposed mask mandates on private businesses and requirements that children wear masks in public schools.”

The lawmaker pointed to two bills that he previously sponsored – both of which were signed into law by former Governor Doug Ducey over the past couple of years. The first was HB 2770, which empowered “businesses with the freedom to decide whether or not to observe and enforce any mask mandate imposed by government politicians from the state, county, city/town or other jurisdiction in Arizona.” The second was HB 2616, which prohibited “school districts and local governments from requiring minors to wear a mask or face covering without parental consent.” Chaplik called this enacted policy “a victory for parents’ rights and our children’s health.”

HB 2770 was signed into law in April 2021, while HB 2616 received Governor Ducey’s signature in April 2022.

In December 2021, Governor Ducey pointed to HB 2770 to counter reports that the Pima County Board of Supervisors were considering an implementation of a county-wide indoor mask mandate. Ducey tweeted, “Arizona law clearly states businesses are NOT REQUIRED to enforce mask mandates that any city, town, county or other jurisdiction in this state established. Rest assured, this law will not change. It took effect in September, following the signing of House Bill 2770 which echoed an Executive Order.”

Representative Chaplik ended his statement, adding, “Masking mandates imposed on the public didn’t work and certainly weren’t effective at preventing the spread of COVID. Mandates were especially unnecessary for children, the least at-risk population. If an individual chooses to wear a mask, that remains their personal choice, but it should never be mandated by the government. And, thankfully, the public won’t need to contend with new mandates in Arizona because of the action we’ve taken at the state capitol.”

Last week, freshman Senator Janae Shamp sent out a press release, “reminding Arizonans of the safeguards put in place by Republicans at the Legislature to protect against future outrageous overreach and scientifically baseless restrictions.” Shamp referenced both of Chaplik’s aforementioned bills – in addition to two other laws enacted in 2022: A.R.S. 36-681 and A.R.S. 26-303.

Reports have surged about an increase in COVID-19 cases with the spread of the EG.5 (“Eris”), FL.1.5.1 (“Fornax”), and BA.2.86 (“Pirola”). These developments have led to the return of some masking requirements around the nation. In Atlanta, Morris Brown College sent an email to its faculty, staff, and students, announcing the reinstatement of its COVID-19 mask mandate because of “reports of positive cases among students in the Atlanta University Center.” The college also reimposed physical distancing and gathering restrictions on campus.

The movie studio Lionsgate in Los Angeles also brought back its mask mandate for the office, as did Kaiser Permanente for its Santa Rosa (California) hospital and medical offices.

Author and one-time New York Times reporter, Alex Berenson, has also noted the increased attention for the newest wave of COVID-19 cases across the country, pointing to a headline in his former paper about the predictions for rising hospitalizations. Berenson said, “OMG this is the lead headline on the NYT right now. They really are not going to let it go ever ever EVER. I do not understand the game here, truly.”

Another Republican freshman representative at the Legislature, Austin Smith, has also been focused on the potential return of COVID-19 restrictions. Earlier this week, Smith tweeted, “We are not doing the mask thing again. Refuse.”

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

ASU Survey Reveals Majority Of Arizonans, Californians, Texans Oppose ‘Trans Rights’

ASU Survey Reveals Majority Of Arizonans, Californians, Texans Oppose ‘Trans Rights’

By Corinne Murdock |

A survey conducted in part by Arizona State University (ASU) researchers revealed that a majority of Arizonans, Californians, and Texans oppose “trans rights.”  

The survey is the latest from a joint polling project among researchers from ASU, Stanford University, and the University of Houston.

According to the survey, a majority of Arizonans opposed the idea of gender identity dictating bathroom usage by 54 percent, women’s sports participation by 63 percent, and minors receiving gender transition surgery and drugs by 51 percent. 

The researchers remarked that this pattern of majority opposition to gender ideology dictating bathroom usage, sports participation, and medical procedures existed from the blue state of California, the purple state of Arizona, to the red state of Texas. 

Independents in Arizona — now the largest voting population — opposed gender ideology dictating bathroom usage by 48 percent, women’s sports participation by 65 percent, and minors receiving gender transition surgery and drugs by 46 percent. 

Most Democrats in Arizona, as well as Texas and California, believed gender ideology should dictate bathroom usage, but were more evenly divided when it came to participation in women’s sports. Most Democrats opposed bans on gender transition procedures for minors, though there were a higher percentage of those unsure on the issue than their Republican counterparts. 

The study also reflected that women were more likely than men to support gender ideology determining bathroom usage, women’s sports participation, and minors receiving gender transition procedures across all three states. 

Additionally, those with higher levels of education were more likely to support gender ideology determining bathroom usage across all three states: those with high school degrees were less supportive than those with some college education, and those with some college education were less supportive than those with four years of college education or a postgraduate degree. However, for women’s sports and minors receiving gender transition procedures, no significant differences were noted.

The researchers also reported that the presence or absence of religious beliefs served as a strong indicator whether an individual supported or opposed gender ideology.

“Across the red, purple and blue states of Texas, Arizona and California, residents who regularly attend religious services are significantly more likely than those residents who never attend religious services to support policies that restrict the ability of transgender people to choose which bathroom to use, participate in women’s sporting events, and (for children) receive gender-affirming medical treatment,” stated the survey report. 

Over 1,000 Arizonans participated in the survey: the second in a series of five surveys, the first of which was on abortion. There, a majority across all three states expressed support for abortion with little or no restrictions (62 percent of Arizonans, 69 percent of Californians, and 54 percent of Texans). 

Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.

Equitable Tuition Program Favoring Native Americans Boosted NAU Enrollment

Equitable Tuition Program Favoring Native Americans Boosted NAU Enrollment

By Corinne Murdock |

Northern Arizona University (NAU) is crediting their largest first-year undergraduate class ever to its equitable tuition program favoring Native American students. NAU reported a 47 percent increase in new Native American undergraduate students, its largest ever.

As AZ Free News reported in February, the tuition program provides free tuition regardless of family income to Native Americans from Arizona’s 22 federally-recognized tribes but requires students of all other races to fall below a certain financial threshold to qualify.

In a press release issued on Monday, NAU President José Luis Cruz Rivera said the admissions boost afforded by the tuition program reflected the university’s ability to spur economic and social mobility. 

“The accomplishments and backgrounds of our fall 2023 entering class demonstrates the life-changing opportunity for upward economic and social mobility that NAU’s exceptional academic programs offer, and I am pleased to see so many Arizonans from all walks of life entrust their educational futures to this great university,” said Cruz Rivera.

The program falls under the university’s financial aid program, Access2Excellence (A2E), which launched last April and initially was designed to only provide free tuition for Arizona residents with a household income below $65,000. It wasn’t until last November that the special exception for Native Americans from Arizona tribes came, at the behest of NAU’s Native American Advisory Board. 

Cruz Rivera announced the special exception to the program during Native American Heritage Month.

At the time, the university explained the program’s special attention to Native American students was part of a “strategic priority” for serving Indigenous people nationwide. The vice president of the Office for Native American Initiatives, Ann Marie Chischilly, confirmed this equity focus for the free tuition program. 

“We are dedicated to being the nation’s leading institution serving the indigenous peoples and providing a clear and affordable pathway to an exceptional education,” said Chischilly.

This fall’s undergraduate class also represented NAU’s largest number of Arizona resident students and Hispanic or Latino students. 

The Arizona Board of Regents (ABOR) praised the success of NAU’s free tuition program. 

ABOR also highlighted the program in their latest annual report, released last week, as well as NAU’s $5 million pledge to prioritize indigenous people in curriculum and recruitment. The university’s pledge matches the $5 million from the Mellon Foundation.

According to NAU’s fall 2022 enrollment data, there were approximately 1,500 students identifying as American Indian or Alaskan Native.

Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.

Senate President Pro Tempore Requests Investigation Into ASU Athletic Department

Senate President Pro Tempore Requests Investigation Into ASU Athletic Department

By Corinne Murdock |

State Senate President Pro Tempore T.J. Shope (R-LD16) requested an investigation into the Arizona State University (ASU) athletic department. 

In a letter to Arizona Board of Regents (ABOR) Chairman Fred DuVal on Wednesday, Shope said that an investigation is warranted into ASU Vice President for University Athletics and Athletics Director Ray Anderson due to years of improprieties and embarrassments.

“Whether looking at the questionable hiring of Mr. Anderson’s friend and former client Herm Edwards as the head football coach, to the multimillion-dollar buyout of Mr. Edwards, to the now self-imposed bowl ban, the raft of improprieties and frankly embarrassing issues that have occurred during Mr. Anderson’s tenure lead one to wonder just what is next and whether anyone is holding anyone accountable,” wrote Shope. 

Shope said that student-athletes and coaches have suffered greatly under Anderson’s administration.

“These series of events have become insults to the hardworking student-athletes who are desperate to prove themselves this season, as well as the new coaching staff who are trying to resurrect the program, and ultimately, the Arizonans who wish to take pride in their local universities,” said Shope. 

Anderson denied that his office controlled the timing of the Sun Devils’ Sunday announcement of their self-imposed ban over the upcoming bowl, issued five days before the season opener. The ban followed an investigation into allegations that former football coach Herm Edwards had committed multiple recruiting violations. 

Back in 2021, The Athletic issued a breaking report that the NCAA was investigating ASU’s football program for hosting high school prospects during the COVID-19 dead period, which lasted from March 2020 to June 2021. That investigation remains ongoing. In a press release announcing the self-imposed bowl ban, Anderson cited the investigation as the reason for their preemptive action.

“In light of the ongoing investigation and our membership obligation to maintain the confidentiality of the matter, we will not be commenting further at this time,” said Anderson.

Shope asked ABOR to look into why ASU paid Edwards $4.4 million in a buyout agreement rather than firing him, and why that buyout, if justified, prompted ASU to wait until this week to impose the bowl ban. Shope also asked ABOR to determine whether ASU intentionally announced the bowl ban after the April 2023 undergraduate transfer portal deadline in order to prevent players from leaving the university. 

After Edwards got his ASU buyout, he rejoined ESPN as an NFL and college football analyst. 

As noted by Sports Illustrated, ASU issued its self-imposed ban about six weeks after the NCAA Committee on Infractions indicated it would avoid revoking postseason competition for any colleges or universities that break their rules. 

The ban also comes several weeks after ASU announced its move to the Big 12 Conference next year, along with University of Arizona and University of Utah. ASU has been part of the Pac-12 Conference since 1978. 

Initial celebration over ASU’s move to the Big 12 was promptly clouded by a remark from Anderson that left a bad taste in fellow conferees’ mouths. Anderson said he had no desire to travel to Morgantown, West Virginia for competitions; he later apologized for the remark. 

ASU fans and students have also called for Anderson’s firing.

Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.