Nonprofit Behind $30 Million Medical Debt Relief Program Required To Give Credit To Hobbs

Nonprofit Behind $30 Million Medical Debt Relief Program Required To Give Credit To Hobbs

By Staff Reporter |

Governor Katie Hobbs stands to enjoy a major public relations benefit from her newly-announced $30 million medical debt relief program. 

Under the contract, the nonprofit behind the program which began earlier this month, RIP Medical Debt (RMD), must give credit to Hobbs whenever describing projects or programs within the program. That credit includes the inclusion of logos or insignia approved by the governor on all communications, like: flyers, advertisements, and press releases. 

The contract also requires RMD to have all other communications, including the letter template notifying recipients of medical debt absolution, to not only be approved by Hobbs’ office, but to double as a vessel for the governor to conduct desired content and data harvesting.

Under the contract, RMD’s notification letters must ask recipients to share their medical debt stories and any other pertinent information. Those stories — along with “related insights” gleaned from recipients by RMD’s resident anthropologist — would then be passed on to the governor’s office.

“The letters transmitted by Contractor also include a request for Program recipients to share their stories,” stated the contract. “Patient stories and related insights shall be shared with the Governor’s Office on a regular basis.”

It is unclear as to what the governor intends on using those stories and related insights, especially whether they will play a role down the road in encouraging voter turnout or ginning up support for the governor’s reelection in 2026. 

The contract also enables the governor to obtain certain information from the program: the names of medical providers who have and haven’t agreed to participate; data analysis of program impacts on factors like ZIP code, race/ethnicity, patient/guarantor insurance type, income levels; and other, unspecified data reports on a regular basis. 

Lack of specificity doesn’t just occur in the contract’s provision on all required data reports from RMD. The nonprofit must also submit an annual report containing “qualitative data” and “any other reporting reasonably requested” by Hobbs. 

The contract does limit data-gathering to comply with HIPAA requirements. 

Arizona Department of Homeland Security (AZDOHS) noted in its conclusion of a security questionnaire on RMD’s qualifications as a vendor — a pre-contract protocol — that RMD didn’t offer their department proof of certain requested information security controls. Rather, RMD offered a generic response unrelated to questions posed by AZDOHS.

“Responses appear to be copy-pasted from their information security policies, and some do not actually address the controls,” stated AZDOHS. 

Ultimately, AZDOHS passed RMD as a qualified vendor, noting that every control had a policy reference and eight information security policies were provided.

In addition to monitoring and compliance, the contract requires RMD to develop a number of distinct plans detailing program administration, budgeting and financial management, marketing and outreach to recruit medical provider participation, and performance measurement. 

The program received an initial $20 million using federal COVID-19 relief funds, with the contract allowing for another $10 million in federal relief funds at Hobbs’ discretion. The millions are estimated to cover up to $2 billion in medical debt.

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Hobbs Battles Legislators Over Future Of Arizona’s Groundwater

Hobbs Battles Legislators Over Future Of Arizona’s Groundwater

By Daniel Stefanski |

Arizona’s Democrat Governor and Republican legislators are engaged in an escalating political battle over the future of the state’s groundwater.

Last week, Arizona Governor Katie Hobbs took aim at a Republican-led solution to the state’s groundwater supply. Speaking at a conference in Tucson, Hobbs said, “I’m willing to work with any sponsors to pass legislation that’s real, effective and protects water supplies in rural areas. But should the bill remain unchanged it will not get my signature. The bill will silence rural communities and create a convoluted process that will make it nearly impossible for our communities to manage groundwater. It leaves us with the status quo where out of state corporate farmers come from around the world to take advantage of our aquifers, and small communities have their water pumped from beneath them. This is beyond unacceptable.”

The bill Hobbs attacked was SB 1221, which is sponsored by Senator Sine Kerr. The proposal would “establish a process for the designation of a basin management area (BMA) and an active BMA in any location not included in an active management area (AMA), to be initiated by petition to the Director of the Arizona Department of Water Resources, [and] outlines the goals of an active BMA, active BMA council makeup, rights to water, reporting requirements, and requirements for the continuation or termination of an active BMA” – according to the purpose provided by the Senate.

Senator Kerr responded to the Governor’s remarks, writing, “From the start, I’ve been proactive in spearheading meetings for collaboration from the Governor and her office on SB 1221, which would safeguard Arizona’s groundwater resources for generations to come. My goal has and will continue to be to reach a compromise on a solution that won’t hurt rural Arizonans’ livelihoods, their local economies, or their groundwater supply. Yet this week, Hobbs said she would veto the bill and recklessly called it a convoluted process that won’t protect our groundwater. That comment is merely a red herring meant to justify her proposal of big government overreach to regulate groundwater.”

At the conference, Governor Hobbs expressed an interest in working across the aisle to reach a compromise on the vital issue for her state. She said, “We in the state have many shared values: the desire to protect rural Arizona, protect rural water users and slow unmitigated depletion of our rural aquifers. We can and must find common ground to find a solution that works and puts politics aside.”

Kerr, who is the Senate’s Majority Whip and the Chair of the Committee on Natural Resources, clearly did not think that a Hobbs-endorsed proposal would meet the expectations or needs of her constituents and other stakeholders around the state. She added, “Energy and Water Rural Arizonans know what will and won’t benefit their local economies. I wholeheartedly support this proposal because I’ve listened and met with farmers, ranchers, and every other person, industry and organization across AZ who felt they were being alienated from the conversation. I believe in true collaboration, and will continue to work to reach a solution.”

This week, the Arizona House Committee on Natural Resources, Energy & Water considered the legislation and gave the bill its stamp of approval with a 6-4 party-line vote. Republican State Representative Austin Smith said, “The government picking winners and losers is bad policy. Rural Arizona in my district and across the state are facing the brunt of Hobbs draconian water restrictions. SB 1221 provides the tools necessary for everyone to be treated fairly. Thank you Senator Sine Kerr.”

House Democrats on the committee echoed the governor’s thinking on the featured bill before their panel, calling for another bipartisan piece of legislation to address their collective concerns.

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

Hobbs Sparks Bipartisan Outrage With Veto Of Housing Bill

Hobbs Sparks Bipartisan Outrage With Veto Of Housing Bill

By Daniel Stefanski |

A bipartisan housing bill from the Arizona State Legislature has met its demise.

On Monday, Democrat Governor Katie Hobbs vetoed HB 2570, which would have “create[ed] municipal prohibitions relating to home designs and single-family home lot sizes” – according to the overview provided by the state House.

In a letter explaining her veto to House Speaker Ben Toma, Hobbs said, “I was elected on a promise to bring thoughtful leadership to the Governor’s Office and always do the right thing for the people of this state, even when it’s hard. Unfortunately, this expansive bill is a step too far and I know we can strike a better balance. This is unprecedented legislation that would put Arizonans at the center of a housing reform experiment with unclear outcomes. It lacks the nuance necessary for statewide reform, and I do not believe it is in the best interest of the people in this state.”

Senate President Warren Petersen blasted the governor’s decision on the bill, writing, “Our kids can’t afford a home. Today, the Governor sided with bureaucrats, instead of our kids. Thanks to her, affordable starter homes remain illegal in Arizona. But it’s not just our kids. Every day, we hear from active-duty military, veterans, young families, young professionals, firefighters, teachers, police officers, service workers, and seniors on fixed incomes that they are either facing the grim reality of becoming homeless or are being prevented from participating in the American dream of homeownership because of outrageous prices, partly due to reckless big government regulations imposed by cities and towns.”

The Senate Republican Caucus’ press release highlighted that Hobbs became the “first Governor in the nation to block a bill removing zoning restrictions to bring housing prices down for hardworking citizens.” The release asserted that “the status quo currently limits options, which can tack on tens of thousands of dollars to the sale price of a home.”

Hobbs pointed to push back from the Department of Defense and Professional Fire Fighters of Arizona over the bill, which she claimed to take under advisement in the lead-up to her veto. She added, “The bill has unexplored, unintended consequences that are of great concern. For instance, the Department of Defense contacted my office while this bill was on my desk to state their opposition. They expressed very serious concerns that the increased density near military installations would put military operations and homeowners at risk, putting dense development within Accident Potential Zones. Firefighters shared significant public safety concerns highlighting that increased density without corresponding improvements to roads and public infrastructure could lead to traffic congestion during evacuations or delays in emergency response times. These are the examples that demonstrate the potential risks that come with the kind of sweeping reforms in this proposal.”

Petersen countered these concerns from Hobbs as part of his statement in response to the veto. He said, “The Governor has a track record of pushing red herrings to justify her vetoes against commonsense legislation, and her statement today is no different. No, this bill does not harm military operations, nor create safety issues for cities. Instead of listening to the citizens, she’s listening to the people who created the problem. This legislation had strong bipartisan support, and this veto will certainly go down as one of her biggest failures.”

Other legislative Democrats expressed their disappointment over the veto. Representative Analise Ortiz stated, “I am deeply saddened and disappointed in the Governor’s decision to veto the Arizona Starter Homes Act. HB 2570 was a historic bipartisan solution to our state’s housing crisis and it would have created a pathway to the American dream of homeownership. While other states are proactively addressing housing in an urgent, deliberate manner, AZ continues to kick the can down the road. Status quo is clearly not working and believing that things will change without policies like the Starter Homes Act is, at best, wishful thinking. I hope Governor Hobbs will support future plans to expand the state’s inventory of modest, starter homes and homes on small lots – homes that our parents & grandparents purchased years ago that allowed them to build wealth, lay roots in communities, and break cycles of poverty.”

Democrat State Senator Anna Hernandez also weighed in about the governor’s veto. She said, “I hope the Governor takes this moment to reaffirm her commitment to solving the housing crisis rather than stand as another obstacle in the way of solutions. My hope is that Governor Hobbs and her staff, learn from their mistake today, and ensure that decisions on policy are made for the betterment of all Arizonans. We must prioritize the people over the politics. The work we have begun will continue – I promise.”

HB 2570 is likely completely dead for the legislative session, with no hope for a veto override, as only 33 State Representatives and 16 State Senators supported its passage in their chambers.

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

Katie Hobbs Has Turned The Governor’s Office Into A Jobs Program For Her Political Friends

Katie Hobbs Has Turned The Governor’s Office Into A Jobs Program For Her Political Friends

By the Arizona Free Enterprise Club |

For the past three years, the people of Arizona have been forced to deal with the fallout of a struggling economy, rising prices, and an inflation rate that, at one point, was the highest in the country. With this in mind, Republicans got to work, delivering the largest tax cut in state history and following that up with a budget that included tax rebates for Arizona families.

But Governor Katie Hobbs clearly has much different priorities when it comes to your hard-earned money. True to her 10-year history of pulverizing Arizona taxpayers, Hobbs announced during her State of the State address in January her desire to—you guessed it—massively grow the size of state government. And judging by the executive staff hiring spree that Hobbs is on as governor, it’s clear that this isn’t just empty rhetoric…

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