The Arizona Republican House Whip sided with Democratic lawmakers and Governor Katie Hobbs against the codification of a key emergency funding bill for disability services in the state.
Most House and Senate Republicans support removing over $100 million in emergency funding from the Housing Trust Fund and the Prescription Drug Rebate Fund and giving it to the Division of Developmental Disabilities (DD). Several Republican lawmakers along with their Democratic counterparts and Hobbs reject the legislation (House Bill 2945 and Senate Bill 1734). Democrats want to pull funding from the general fund instead.
Governor Hobbs issued a moratorium on all legislation until Republicans agreed to find another avenue for funding DD. Hobbs expressed gratitude for the existence of “bipartisan opposition” enabling Democrats to retain a negotiations foothold.
Hobbs called Republicans “extreme” and accused them of “political theater.”
It’s shameful that a few, extreme Republican legislators are holding funding for Arizonans with disabilities hostage to their political theater.
Business as usual cannot continue until Arizonans with developmental disabilities and their caregivers have the certainty they need.
Hobbs would be alluding to House Majority Whip Julie Willoughby. Willoughby joined Reps. Justin Olson and Jeff Weninger as the sole “no” votes on House Bill 2945 against majority Republican support within the House Appropriations Committee.
Willoughby introduced an amendment to House Bill 2945 that drew Democratic support. Willoughby said in her presentation of the amendment that she worked with Democrats to craft it.
Willougby’s amendment would have dropped the original bill’s requirement for the Arizona Healthcare Cost Containment System Administration (“Administration”) to obtain legislative approval via statute for any Centers for Medicare and Medicaid Services (CMS) renewal request or termination request for any waiver or waiver amendment. Willoughby said the legislative approval was overly burdensome and would require the legislature to convene for every waiver request, even for simple extensions.
It would have also eliminated the original intent to have the Administration submit a waiver amendment request to CMS to reduce parents as paid caregivers program care services per week per child limit to 20 hours. It would have limited the new federal money reporting requirements to only the Department of Economic Security (DES) and Access rather than all state agencies. Additionally, it would have not pulled $10 million from the Arizona Competes Fund but instead increased by $10 million the funding pulled from the Prescription Drug Rebate Fund.
House Appropriations Chair Steve Livingston said he liked some aspects of Willoughby’s amendment, but suggested it would be better suited for consideration in a Committee of the Whole (COW) amendment.
In Willoughby’s closing explanation of her “no” vote on House Bill 2945, Willoughby said she would continue to fight for the Democrat-supported changes in her amendment and apologized extensively for the bill.
“People have continuously asked me to not move this amendment. What hill do you die on? And I choose you as my hill to die on,” said Willoughby. “I’m sorry this is happening to you. With my whole heart I’m sorry.”
Willoughby said she opposed the bill as against her pro-life beliefs as a Republican.
“I’m pro-life, and I’m pro-life through the entire spectrum of life, from the moment of conception until the last breath you take, and this is my moment to help support you in a way I haven’t had to before,” said Willoughby.
The House Appropriations Committee rejected Willougby’s amendment during its hearing on Tuesday.
Supporters of Willoughby’s olive branch to Democrats sent flowers to the lawmaker.
Thank you to every person who sent flowers, cards, and emails. I'm truly thankful for all the support and love. pic.twitter.com/QAKV4BQu0h
Where Willoughby sought compromise, other Arizona House Republican leaders took Hobbs to task for her administration’s management of DD that ultimately led to its budget shortfall. House Speaker Steve Montenegro said Hobbs’ desired funding pathway would ensure “no oversight, no reforms, and no accountability” for DD administration.
“Governor Hobbs’ decision to hold every bill hostage because she didn’t get her way on a blank check is not leadership—it’s political blackmail,” said Montenegro. “She created this crisis by foolishly expanding the DD program without legislative approval or funding in place, and now she’s throwing a tantrum because the Legislature is doing the responsible thing: funding services while putting guardrails in place to keep the program from collapsing.”
🚨🚨Governor Hobbs Holding Arizona Bills Hostage to Cover Her Own Budget Failures
“Governor Hobbs’ decision to hold every bill hostage because she didn’t get her way on a blank check is not leadership—it’s political blackmail. She created this crisis by foolishly expanding the… pic.twitter.com/4u3WFpEb8U
— Arizona House Republicans (@AZHouseGOP) April 17, 2025
Without approval of emergency funding by the end of this month, DD won’t be able to pay caregivers and services will cease.
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On Monday, Arizona House Republicans revealed that the Department of Child Safety’s (DCS) Congregate Care program is bound for bankruptcy in a week’s time and announced the creation of a House Ad Hoc Committee to investigate the responsibility of Democrat Governor Katie Hobbs for a series of fiscal failures.
Arizona House Speaker Steve Montenegro, joined by Majority Leader Michael Carbone, Majority Whip Julie Willoughby, Speaker Pro Tempore Neal Carter, and members of the House Republican Majority called out the governor directly. “This is not a simple oversight—it is gross financial mismanagement at the highest level,” said Speaker Montenegro. “Governor Hobbs has made a habit of overspending, ignoring reality, and then sounding the alarm only when disaster strikes. The difference here is that Arizona’s children will be the ones to suffer for her failures. That’s why I’m taking immediate action.”
The Speaker continued, “This is a pattern. Congregate Care is set to go bankrupt next week. The Governor’s mismanaged Developmental Disabilities program will collapse by the end of April. Her administration failed to budget for formula growth in AHCCCS for two years straight—racking up hundreds of millions in unaccounted costs. The list goes on. This is not leadership. This is incompetence.”
“The people of Arizona didn’t elect us to stand by while the Governor manufactures crisis after crisis. House Republicans will ensure accountability and enforce responsible budgeting, but we expect the Governor to take ownership of her failures. That starts with making her staff available to the Legislature so we can fully understand the depth of this mismanagement and pursue the right solutions. Governor Hobbs may be comfortable with chaos, but we are not.”
As reported by AZ Free News in February, Treasurer Kimberly Yee reported on the allegations against the Hobbs administration in a letter to Chairman of the Arizona House Appropriations Committee, Rep. David Livingston.
In a statement at the time, Livingston said, “I appreciate Treasurer Yee’s clarity in addressing the financial mess Governor Hobbs has created. The issue isn’t ‘missing money’—it’s blatant mismanagement.”
“Under the Governor’s feckless leadership, state agencies are making massive spending decisions with zero legislative oversight, ballooning costs, and expecting taxpayers to foot the bill. This kind of incompetence cannot stand.”
The release from Montenegro detailed that the House Ad Hoc Committee on Executive Budget Mismanagement will examine “how the Governor has consistently mismanaged the budget, ignored financial reality, and allowed critical services to reach the brink of collapse before taking action.”
The Speaker also directed the Chairman of the Joint Legislative Budget Committee to summon the Committee to order and instruct Governor Hobbs to redirect existing funds to handle the crisis and prevent harm to the children in DCS custody noting, “The Governor’s administration failed to spend wisely, and it is their responsibility to fix this situation—not the Legislature’s job to bail them out.”
Arizona’s House Republican leadership has issued a strong condemnation of Governor Katie Hobbs’ handling of the state’s Developmental Disabilities (DDD) program, citing a $122 million budget shortfall and accusing the administration of gross mismanagement. The joint statement, released last week, criticized the governor for reckless spending decisions and a lack of consultation with the legislature, which they say has contributed to a financial crisis in the program.
House Speaker Steve Montenegro, Majority Leader Michael Carbone, Majority Whip Julie Willoughby, and Speaker Pro Tempore Neal Carter joined forces to decry what they called Hobbs’ failure to take responsibility for the growing issues facing the program. The DDD program, which serves Arizona’s most vulnerable citizens—those with developmental disabilities—has seen its financial situation worsen due to an unsustainable increase in costs.
The Arizona Developmental Disabilities program is a $4 billion initiative that provides essential services and care for individuals with developmental disabilities. According to the House Republicans, the program is on track to double in cost from fiscal year 2023 to fiscal year 2026, creating a serious budget shortfall that the governor’s office has failed to adequately address.
Republican leaders were especially vocal in their criticism of Governor Hobbs’ management of the program, accusing her of making “reckless spending decisions” that have led to the current crisis. The lawmakers pointed out that the governor’s administration had failed to work collaboratively with the legislature to develop solutions, instead opting for unilateral actions that have only exacerbated the problem.
“Governor Hobbs’ gross mismanagement puts Arizona’s most vulnerable citizens at risk,” the joint statement reads. “Her administration’s reckless spending decisions—made without consulting the Legislature—have bankrupted the DDD program, creating an avoidable crisis. Now, she’s demanding a taxpayer bailout without accountability or reforms.”
Adding fuel to the fire, the House Republicans also highlighted the recent shake-up within the governor’s administration. Governor Hobbs’ budget director resigned, she demoted the director of the Department of Economic Security (DES), and removed her health policy advisor—all actions that Republican lawmakers argue signal a lack of leadership and accountability within the administration.
Instead of collaborating with lawmakers to address the growing concerns, House Republicans claim that Governor Hobbs has deflected blame, choosing to focus on political tactics rather than on solving the issue at hand. They argue that these leadership changes are a direct result of the administration’s inability to manage the program effectively.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
Arizona legislators continue to be proactive in passing legislation that would protect children around the state.
Last week, the Arizona House Commerce Committee approved HB 2195, which would “prevent children from being exposed to inappropriate and mature advertisements on apps marketed for kids [by] hold[ing] digital platforms accountable by requiring monitoring systems to block harmful content and enforce[ing] penalties for violations.”
In a statement that accompanied the announcement of the bills’ progress, House Majority Whip Julie Willoughby, the sponsor of the legislation, said, “As a mother, I’ve seen firsthand how apps labeled as ‘child-friendly’ can still display advertisements that are entirely inappropriate for kids. In fact, some of these ads can be disturbing and should have no place in a child’s digital experience. This bill ensures that children can safely use digital spaces without being targeted with content that doesn’t belong in their world. I’m proud to sponsor legislation that will keep kids safe online and ensure that digital platforms uphold appropriate standards. HB 2195 protects kids, supports parents, and makes sure Arizona families come first.”
Representative Willoughby added, “Parents shouldn’t have to constantly shield their children from harmful content on apps designed for kids. Arizona is stepping up where tech giants have failed, and we’re making sure these companies face real consequences when they violate that trust.”
According to the press release shared by the Arizona House Republicans, key provisions of the legislative proposal include the following:
“Upholds rights of Arizona parents to protect their children.
“Prohibits inappropriate and mature advertisements on child-directed apps.
“Requires platforms to implement monitoring systems.
“Imposes penalties of up to $10,000 per violation.”
The bill passed out of the House Commerce Committee with a party-line 6-3 vote. All six Republicans voted in favor of the legislation, while all three Democrats were opposed.
On the Arizona Legislature’s Request to Speak system, a representative from the American Academy of Pediatrics – Arizona Chapter signed in to support the bill. A representative from the American Civil Liberties Union of Arizona signed in to oppose the proposal.
HB 2195 will now face an up-or-down vote from the full Arizona House of Representatives in the near future.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
A bill to help bolster communications between law enforcement officials and Arizonans with disabilities is advancing through the state legislature.
Earlier this week, the Arizona House of Representatives Committee on Public Safety & Law Enforcement passed HB 2330, which was sponsored by State Representative Julie Willoughby. If signed into law, this proposal would “direct the Arizona Department of Transportation (ADOT) to allow individuals to voluntarily disclose if they or their vehicle have a communication disability, ensuring that this information is accessible to law enforcement officers during traffic stops and other interactions.”
In a statement that accompanied a press release to announce the bill’s progress, Willoughby said, “Public safety means making sure all Arizonans – especially those with unique needs – are understood and protected in interactions with law enforcement. HB 2330 is a commonsense step to give officers the tools they need to respond appropriately while giving individuals with communication disabilities the opportunity to self-identify in a way that can help de-escalate situations.”
Representative Willoughby added, “This bill aligns with the House Republican Majority’s commitment to secure communities, ensuring law enforcement has the resources and information they need to do their jobs effectively and safely.”
According to Willoughby’s release, “Under current law, ADOT provides a medical code designation on a driver’s license but does not retain it in records unless specifically requested.” This bill “improves on this by allowing individuals to voluntarily disclose communication disabilities in both driver and vehicle records, ensuring that first responders have timely access to this critical information.”
On the Arizona Legislature’s Request to Speak system, representatives from the Town of Gilbert, City of Goodyear, Pinal County Sheriff’s Office, League of Arizona Cities & Towns, City of Chandler, and Arizona Association of Chiefs of Police, endorsed the proposal from Representative Willoughby.
HB 2330 sailed through the House committee with an overwhelmingly bipartisan 15-0 vote. It will soon be considered by the full chamber.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.