by Terri Jo Neff | Sep 6, 2021 | News
By Terri Jo Neff |
The former CEO of one of Arizona’s largest healthcare companies must pay nearly $774.500 before Nov. 19 to ensure his plea deal on fraudulent schemes charges stays in place, and give himself a better chance to avoid a prison sentence.
William J. Timmons, former head of Hacienda Inc, and various nursing care and health supply businesses is set to be sentenced in the Maricopa County Superior Court after pleading guilty in June to two Class 2 felonies stemming an elaborate scheme that bilked Arizona taxpayers out of millions of dollars through improper billing for services.
Timmons, 74, will have an opportunity to argue mitigating factors to Judge Timothy Ryan in an attempt to get probation instead of prison. But first, he must pay $500,000 in restitution to the Arizona Health Care Cost Containment System (AHCCCS) and $274,500 in fines to the Arizona Attorney General’s anti-racketeering revolving fund.
Failure to make the payments could lead Ryan to reconsider the plea deal.
Meanwhile, Timmons’ co-defendant Joseph O’Malley will be back in court Sept. 24 for a case management conference in advance of his March 2022 trial on similar charges. O’Malley,58, remains out of custody pending trial.
In August 2020, Arizona Attorney General Mark Brnovich announced that a grand jury had indicted Timmons and O’Malley following an investigation into allegations the two intentionally misallocated funds from AHCCCS as well as the Arizona Department of Economic Security’s Division of Developmental Disabilities.
The schemes involved manipulating costs for services; the excess funds were then used by the men to pay themselves and others inflated salaries and bonuses.
Timmons, who had been with Hacienda for nearly 30 years until 2019, faces up to 12.5 years in state prison on each of the counts. However, his plea deal did not contain a prison-mandatory stipulation, so Timmons can argue for probation. If Ryan does impose a prison sentence, the minimum would be three years.
Hacienda has already agreed to repay AHCCCS nearly $11 million in overpayments. A repayment plan calls for an initial payment of $7 million followed by monthly payments of $50,000.
In addition, the company has consented to a $1 million fine which will be allocated between the AHCCCS Inspector General and the Attorney General’s Office. In exchange, the State has agreed to not pursue criminal or civil action against Hacienda provided the company complies with the consent agreement.
The Attorney General’s Office initiated a criminal investigation into Hacienda’s finances in early January 2019 after learning the company failed to comply with its contract terms. Among the allegations is that the company engaged in improper billing from 2013-2018.
The investigation also revealed that the Hacienda board of directors did not receive accurate financial data from Timmons and O’Malley, nor had the directors inquired as to the company’s performance. A new administrative team was put into place in March 2019.
by AZ Free News | Sep 6, 2021 | News
The Arizona Attorney General’s Office (AGO) is warning Arizonans to watch out for Hurricane Ida charity scams. According to the AGO, there are already reports of fake organizations popping up asking people for money to help victims in Louisiana.
Hurricane Ida hit Louisiana on Sunday and has caused widespread catastrophic damage. While many are eager to help those in need, Attorney General Brnovich wants consumers to do their homework before donating.
The AGO offers the following tips to avoid scams:
- Never give on impulse. Don’t give in to high-pressure requests for contributions or donations. Legitimate charities will not pressure you for an immediate donation and are happy to provide information about their charity for you to review.
- Do your research about the organization and ask questions. For example, how will the funds reach those in need?
- Obtain written information (including annual reports) about a charity before you donate. Always know how much of your donation will actually go to the charity itself versus administrative costs. You can find out more about a charity through Charity Navigator‘s website or the Better Business Bureau’s www.give.org.
- Do not give donations in cash or by wire transfer.
- Make contributions directly to known organizations rather than relying on a third-party.
- Watch out for charities with names that sound similar to well-known organizations. Oftentimes, these sound-alike names are scams.
- Be cautious of individuals representing themselves as surviving victims of a disaster or as government officials asking for donations.
- Do not give unsolicited callers your credit card number or bank account information over the phone, even if the call appears to be legitimate.
- Do not click on links in unsolicited emails and text messages asking you to donate. Even if a message seems legitimate, it could be a phishing attempt. If you want to donate, contact the charity at a website or phone number you know to be valid.
- Be cautious when donating to a GoFundMe fundraiser. It is common for scammers to set up GoFundMe fundraisers after highly publicized events and then disappear with the money.
“It’s disgusting how fraudsters waste no time after a natural disaster to capitalize on people’s goodwill,” said Attorney General Mark Brnovich. “Arizonans are very generous, and I want to make sure they are donating to a legitimate charity that has experience helping victims quickly.”
The AGO advises consumers who believe they have been a victim of consumer fraud, to contact the Arizona Attorney General’s Office in Phoenix at (602) 542-5763, in Tucson at (520) 628-6648, or outside the metro areas at 1(800) 352-8431.
by Terri Jo Neff | Sep 5, 2021 | News
By Terri Jo Neff |
The Navajo Nation has filed a lawsuit against the U.S. Department of Interior and the Office of Navajo and Hopi Indian Relocation in an attempt to secure the proper conclusion of federal relocation for over 16,000 Navajos, something that was previously ordered to be completed in 1986.
The lawsuit filed in late August with the U.S. District Court for the District of Arizona in Prescott on behalf of the Nation and more than 50,000 of its affected citizens seeks a court order forcing the U.S. Office of Navajo and Hopi Indian Relocation (Office of Relocation) to remain open and provide the relocation assistance, and community facilities and services promised and mandated by Congress decades ago.
According to the lawsuit, the Office of Relocation established in 1988 and its predecessor, the Navajo and Hopi Indian Relocation Commission, have relocated over 3,700 households of Navajo families comprising over 16,000 Navajo citizens from their ancestral lands within the 2.5 million acres of the 1882 Reservation.
But the Nation alleges the Office of Relocation has failed to provide relocation services for many other households, and has failed to ensure the availability of community facilities and services -such as water, sewers, roads, schools, and health facilities- for households at on-reservation relocation sites.
The Relocation Act is the compilation of Congressional actions dating back to the Navajo-Hopi Settlement Act of 1974 and its subsequent amendments, including the Navajo and Hopi Indian Relocation Amendments Act of 1980 and the Navajo and Hopi Indian Relocation Amendments of 1988. It involves mandatory relocation of Navajos off some Reservation land partitioned off for members of the Hopi Tribe.
The Nation’s lawsuit puts forth claims on behalf of itself and over 50,000 of its citizens being adversely affected by the ongoing failure of the Office of Relocation to properly discharge its federal duties, which included implementing a Congressionally approved relocation plan.
The Office of Relocation traces its start to 1943 when a 642,000-acre area of the Reservation designated as District 6 was set aside for the exclusive use of the Hopi Tribe. Eventually all Navajo residents of District 6 were evicted by the U.S. government.
The remaining 1.8 million or so acres of the Reservation were for the “joint, equal, and undivided” (JUA) use of both Tribes. However, conflicts over the JUA continued for several years, and by 1974 a partition plan was enacted for the forced relocation of thousands of Navajos off what became known as Hopi Partitioned Land (HPL).
The lawsuit calls the still ongoing relocation of Navajos from HPL “the largest forced relocation of any racial group in the United States since the relocation and internment of Japanese-Americans during World War II.”
Hopis also had to leave what came known as Navajo Partitioned Land (NPL), and according to government reports that part of the relocation was completed by 2013.
The Settlement Act 1974 tasked a Navajo and Hopi Indian Relocation Commission with developing a relocation plan. It also required a reduction in livestock grazing on JUA lands, which harmed several Navajo farmers and ranchers.
In addition, the U.S. Bureau of Land Management was ordered to acquire land from the Navajo Nation within Arizona and Mexico “to be held in trust” for the Nation. Those lands would come to be known as “New Lands” and would be where many of the relocatees were placed.
Over the years, Congress passed laws related to a formal Relocation Plan under which the United States had a duty to assure schools, roads, power, and other facilities for relocation to the New Lands. Other provisions of the Settlement Act took effect in July 1981 with a five-year deadline for relocation to be completed.
However, a report by the U.S. Government Accountability Office (GAO) in 1991 noted that only 68 percent of the eligible families had been relocated. By then, the July 1986 deadline had been missed by five years.
In 2005, a Congressional hearing noted that the cost of the federal relocation program over the preceding 36 years was almost half a billion dollars, which was more than 10 times what Congress estimated in 1974. The cost was also equivalent to what the United States was spending at the time in Iraq every 36 hours, the lawsuit states.
By 2018, the Office of Relocation announced it planned to cease operations and transfer its activities to another agency, even though the Department of Interior admitted the Relocation Act did not authorize such a move. Hundreds of Navajo relocation-certified households were still awaiting services at the time. Many others had the right to pursue eligibility by filing a claim with the federal court of appeals, the Department of Interior reported.
Even so, the Office of Relocation contended it had “fulfilled the duties it was legislatively assigned by providing relocation benefits to all individuals who were found eligible and that other services such as infrastructure should be provided by another permanent agency.”
The Navajo Nation and the Hope Tribe oppose the transfer, which even the Bureau of Indian Affairs admits “could further delay relocation.” The GAO worries that transferring relocation to another agency “likely would increase” program costs and delay completion of relocation.
“July 2021 was the 35th anniversary of the statutory deadline to complete relocation,” the Nation’s lawsuit states. “However, relocation still has not yet been completed and significant issues and work remain outstanding to complete relocation.” In addition, not all of the 400,000 acres of New Lands has been acquired and transferred as required under the Relocation Act, the lawsuit points out.
But it isn’t just direct relocation services to families that the Office of Relocation is accused of failing to provide.
The Office of Relocation is also responsible for developing community facilities and services, such as water, sewers, roads, schools, and health facilities, as well as power, telephone, and other utilities, at the relocation sites, many of which are on the New Lands, which is wholly populated by Navajo relocatees and their families.
According to the lawsuit, many relocatees and their communities (known as Chapters) rely on extensive unpaved roads that are in poor condition, live in homes with no indoor plumbing or easy-access potable water supplies, and do not have proper watering systems for livestock.
“Many communities with many relocatees lack sufficient electricity or appropriate septic or sewer systems,” the lawsuit contends. “These issues are especially problematic for elders during cold winters. There also are inadequate schools in many relocate areas,” which require students to commute hours each way to school.
“Finally, many Chapters seriously impacted by relocation lack adequate access to health and emergency facilities, which places all lives there at greater risk,” the lawsuit alleges. “This extreme delay is also unreasonable because it fundamentally concerns human health and welfare.”
The Nation is asking for an injunction prohibiting the Office of Relocation from shutting down. The lawsuit also seeks an order compelling the Department of Interior to ensure all Relocation Act services and benefits are made available without further delay.
An answer is expected to the filed by the U.S. Government later this month.
by Corinne Murdock | Sep 4, 2021 | News
By Corinne Murdock |
Phoenix Police Department Chief Jeri Williams determined that police who die off-duty won’t have formal funeral arrangements. The police chief issued the policy announcement through a memo letter to city staff on Monday.
Phoenix City Council member Sal DiCiccio criticized the policy last week, days prior to Williams issuing the memo.
“DISTURBING: Chief Williams has really lost her way with the rank and file to placate the crazy anti-police crowd,” wrote DiCiccio. “We were notified early this morning that funerals for our brave police officers who die on duty are treated differently than those that are off duty. Seriously?”
https://twitter.com/Sal_DiCiccio/status/1431290208029274114
DiCiccio told AZ Free News that this latest decision was yet another mistreatment of officers.
“What Phoenix is doing is BS. We have rising crime rates, can’t patrol our streets effectively – all because we don’t have enough cops – and Phoenix politicians are making it worse by constantly attacking Phoenix PD. They don’t even want to honor them with a proper funeral. It’s absurd,” stated DiCiccio.
The memo is reproduced in its entirety below:
The following memo addresses recent concerns related to notification of Police non-line of duty deaths. Based on research conducted by the Phoenix Police Department it has been determined that no written policy exists regarding non-line of duty death notifications. Instead, it has been the department’s longstanding practice to only formally notify City Council and City Management of line-of-duty deaths. Non-line of duty death notifications have been much less formal and not consistent. Therefore, I am establishing a formal written process from this point forward to ensure that information is provided consistently to all members of management and elected leadership for both line of duty and non-line of duty deaths and funeral services.
To effectively address the concerns referenced above, I am instructing the City Manager Liaison (Commander) to notify the Mayor, City Councilmembers, City Manager, and Assistant City Manager upon learning of a current police employee’s death.
Line of Duty Death: Line of Duty deaths have very formal programs for involvement of Police and City leadership. The City Manager Liaison will work with the Police Department’s Employee Assistance Unit (EAU) and provide funeral arrangement notification to the Mayor, City Councilmembers, and City management for Line of Duty deaths of current police employees as soon as possible. This will include funeral and viewing information, dignitary seating, and logistics notifications.
Non-Line of Duty Deaths: The Police Department’s Employee Assistance Unit often assists with Non-Line of Duty deaths of current police employees. Once advised by EAU, the City Manager will notify the Mayor, City Councilmembers, and City management of the non-line of duty death. Recognizing that each funeral service is different, the Department will make every attempt to support the wishes of a deceased employee’s family for public involvement in the funeral services.
Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.
by Corinne Murdock | Sep 4, 2021 | News
By Corinne Murdock |
Within 24 hours of the Gila Bend flooding tragedy, Republican governor-hopeful Matt Salmon organized relief efforts to flood victims. Salmon helped raise over $6,000 in cash and filled a gymnasium with resources like water, food, and clothes.
In an interview with AZ Free News, Salmon explained that he and his team sprung into action immediately. They appeared on local radio stations and sent out tweets, emails, and a variety of other messages to pool resources. Their team also received help from the Mesa Republican Women’s Club and community members.
“It was really wonderful. We had a lot of the college Republicans that came and helped us out, sitting there in the hot sun all day collecting both money and equipment,” recounted Salmon.
Salmon then drove a U-haul truck to the Silver Star Theatre in Mesa to gather the donations; his wife, Nancy, assisted them all day. Gila Bend Mayor Chris Riggs told Salmon that cash would be more helpful to many families, since the flooding had left them without a place to sleep.
“It was really wonderful. We had a lot of the college Republicans that came and helped us out, sitting there in the hot sun all day collecting both money and equipment,” recounted Salmon. “It was really a team effort.”
In addition to cash donations, they also collected cleanup equipment like shovels, wheelbarrows, mops, plastic bags, and gloves. As the donations were collected, Salmon shared that one of the city council members showed him around to observe the devastation up close.
Salmon told AZ Free News that he was glad that they could offer immediate assistance to the many families affected by the historic flood.
“It really did my heart good that we could do something to help give back and help these folks. There were over 100 homes that were flooded out and destroyed,” explained Salmon. “Many lost everything they had.”
According to reports, two individuals perished as a result of the flash flood.
Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.
by Terri Jo Neff | Sep 4, 2021 | News
By Terri Jo Neff |
Fresh off a trip to Atlanta for the annual conference of the Association for Unmanned Vehicle Systems International (AUVSI), the president of Aerospace Arizona Association says the UVS industry in Arizona continues to grow, as a South Korea recently opened a subsidiary in Maricopa County. A UVS is often referred to as a drone.
According to Mignonne Hollis, Aerospace Arizona promotes the aerospace industry throughout the State of Arizona. The organization informs its members on legislative, regulatory, safety and technical issues, while also educating federal, state, county, and local elected officials on the importance and necessity of policies that facilitate a thriving aerospace industry in Arizona.
Businesses and groups with Arizona ties which attended AUVSI’s conference in Atlanta included Darling Geomatics, GoTenna, HFE International, Hydronalix, and Prime Solutions Group. The Arizona Commerce Authority also had a representative in Atlanta for the AUVSI gathering.
In addition, several Aerospace Arizona representatives were in attendance, including Hollis, Lorie Grabham of American Airlines, Steve Latino with ASURE, Adam Hawkins of Global External Relations, and an official of PABLO AIR, a South Korea company which recently filed incorporation papers with the Arizona Secretary of State for a subsidiary, PABLO AIR International.
“While the conference was much smaller than it has been in previous years, we were able to make solid contacts and connections for Arizona – particularly the Benson Airport as it truly is a prime location for testing unmanned systems,” Hollis told AZ Free News.
One company that has already committed to using Benson’s municipal airport as a test site is PABLO AIR, which recently announced an MOU with three Arizona-based businesses to advance its proprietary unmanned drone delivery system platform into the United States.
The companies working with PABLO AIR are NGL Transportation, a Phoenix-based logistics company whose customers include Walmart and Amazon, as well as Delivery-EZ, a developer of unmanned home-delivery box systems also based in Phoenix. Hollis said Aerospace Arizona is the third business in the MOU, providing PABLO AIR a local test bed and institutional support, including information on FAA flight regulations.
PABLO AIR was announced as a 2021 finalist for AUVSI’s Excellence in Operations award which honors innovators who have shown a demonstrated commitment to advancing autonomy, leading and promoting safe adoption of unmanned systems, and developing programs which use UVS technologies to save lives and improve the human condition.
“We plan to demonstrate PABLO AIR’s unique technology in the global market by implementing practical commercialization along with demonstration of delivery in the United States, for the first time as a Korean drone startup,” said Kim Young-Joon, CEO of PABLO AIR.
Young-Joon added that the company has long-term goals to help resolve issues with the efficiency of various mobility vehicles, such as self-driving trucks, unmanned ground robots, and delivery drones.
Hollis said the aerospace industry is one of the largest economic sectors in Arizona. There are more than 1,200 companies engaged in the market in Arizona, which ranks the state as 5th in the U.S. for aerospace employment.
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