Governor Katie Hobbs, who bedecked the Ninth Floor of the Arizona Executive Tower with the Progress Pride Flag to mark Pride Month, has chosen to also mark the month by vetoing SB 1511. The bill would have required fair treatment for one of the most marginalized groups of all: those who suffer from gender transitions and now seek to reverse the damage, known as ‘de-transitioners.’
Arizona Senator and Vice Chair of the Senate Health and Human Services Committee Janae Shamp (R-Surprise) proposed the “Detransitioner Bill of Rights” in February, which would guarantee an equality of care and medical coverage for those seeking to reverse so-called ‘gender affirming’ care. On February 22, it was passed by the Senate, and on June 12 was sent to Hobbs after passage in the House. The governor issued her veto six days later with the comment: “This bill is unnecessary and would create a privacy risk for patients,” and no further explanation.
According to Greg Scott, the Vice President of Policy at the Center for Arizona Policy, the bill was a “simple ‘good faith’ bill that levels the health care playing field for a vulnerable population of Arizonans and takes the politics out of medicine and insurance coverage.” In an Op-Ed for the AZ Capitol Times, Scott added, “The purpose of SB 1511 is not to pronounce judgment about the merits or the dangers of gender transition. And it doesn’t. Rather, it does what a law is supposed to do – solve a real problem affecting real people.”
Responding to the veto from Hobbs, Sen. Shamp wrote in a press release, “If doctors are going to block the natural puberty process of children and surgically alter the genitalia of people struggling with gender dysphoria, they must be prepared to undo the damage – as much as possible.”
“And if insurers are going to pay for gender-altering drugs and surgeries, they must also pay for any effort to regain the victim’s God-given identity. My heart goes out to the growing number of people, especially children, who are struggling with their identity and are being pushed into physically altering their bodies as a solution, instead of receiving the mental healthcare they deserve. Shame on Governor Hobbs for sending a message that the institutions tasked with protecting their health and wellbeing have turned their backs on them.”
🚨 FOR IMMEDIATE RELEASE: Hobbs Marks "Pride Month" by Denying Necessary Medical Treatment for Growing Number of Detransitioners
Shamp added, “I’m fighting for equal treatment for people like Chloe Cole, who traveled to the Capitol from out of state to share her heartbreaking experience of the irreversible damage and regret from attempting to transition into the opposite sex,” said Senator Shamp. “As a child who was confused with her gender identity, she was given puberty blockers and underwent a double mastectomy. She has since detransitioned and struggles with the severe damage left behind. It’s unfathomable that we consider mutilating an undeveloped child’s body as “healthcare,” but what’s even more horrifying is the fact that we deny them access to care when they go on to suffer the mental and physical consequences.”
WATCH:
Speaking to a press conference on February 1, Cole told reporters, “Everything that I went through did nothing to address the underlying mental health issues I had. My doctors, with their gender theories, thought all my troubles would go away as soon as I was transformed into something that vaguely resembled a boy. Their theories were wrong. I now have two giant scars across my chest that remind me every day that I was butchered by the institutions that we all thought we could trust. The drugs and surgeries changed my body, but they did not and could not change the undeniable reality that I am, and forever will be, a female.”
According to the release, SB 1511 would have “required insurers and providers of gender-altering drugs and surgeries to also provide and cover detransition procedures. This bill would have held health care providers and insurance companies accountable for the damage they cause by prescribing off-label drugs and experimenting on children and adults with irreversible surgeries.”
When asked by AZ Free News if she intends to reintroduce SB 1511 or another bill like it, Shamp said, “Absolutely. This legislation will continue until there is coverage for detransitioners.”
“Will it be run again?” she continued. “Absolutely. It might actually get more robust to include more informed consent with patients who are transitioning. Patients need to know that insurance companies will not cover detransition.”
Arizona Republicans again got the better of Governor Katie Hobbs with their second installment of a state budget amid a tenuous divided government.
On Saturday night, the Republican-led Arizona Legislature passed the 2024-2025 state budget and adjourned for the year after finishing its tasks. This latest budget was negotiated between Senate President Warren Petersen, House Speaker Ben Toma, and Democrat Governor Katie Hobbs.
“Following last year’s state budget, where Republican lawmakers provided inflationary relief to everyday Arizonans through $274 million in tax rebates distributed to struggling families, as well as a ban on the tenant-paid rental tax taking effect this January, Republicans are again successfully supporting our hardworking citizens while simultaneously reining in spending,” said Senate President Warren Petersen. “In this year’s budget, we defended more than $520 million allocated last year for much-needed transportation projects statewide. We also cut fees for Maricopa County drivers on emissions testing by 5%, and we banned fee increases on Arizonans from state boards for the next two years.”
🚨FOR IMMEDIATE RELEASE: Republicans Eliminate Deficit, Increase Border Security Spending, Fully Fund Public Safety, Protect School Choice, Shrink Government in 2024-2025 State Budget
House Speaker Ben Toma added, “At a time when Arizonans are having to tighten their financial belts, so is state government. The Arizona House of Representatives has passed a fiscally conservative, structurally balanced state budget that solves the nearly $1.5 billion deficit, without touching the rainy-day fund or using budget gimmickry. The budget trims government and protects conservative priorities. It increases funding for local border support operations and assists fentanyl interdiction efforts by law enforcement. It funds transportation and infrastructure and maintains our state’s commitment to water security.”
✅House Approves Fiscally Conservative State Budget that Trims Government and Protects School Choice
“At a time when Arizonans are having to tighten their financial belts, so is state government. The Arizona House of Representatives has passed a fiscally conservative,… pic.twitter.com/yJRtoKAZqb
— Arizona House Republicans (@AZHouseGOP) June 16, 2024
According to a press release from the Arizona Senate Republicans Caucus, some of the highlights from the agreed-upon budget included the following:
Reduction of state spending by $1.7 billion below the 2023-2024 budget (10%);
Reduction of ongoing spending by $330 million; and
Addition of $5 million for local border security support and $4 million for fentanyl interdiction and law enforcement response.
The Senate Republicans also noted that their efforts this year produced a budget that did not add any new taxes, tax increases, or debt. Additionally, the budget did not pull dollars from the rainy-day fund, ensuring that the state would have sufficient funds to draw upon should it experience more stormy weather in future years.
“We tightened the state’s belt by trimming fat from state agencies, and we reallocated unspent tax dollars to the general fund to eliminate the deficit, without irresponsibly tapping into our rainy-day fund,” said Senate Appropriations Chairman John Kavanagh. “Most government operations within the state received a healthy and manageable 3.5% reduction in spending, with a few exceptions. Safe communities free of crime and a secure border are the biggest priorities to Arizonans and Republicans alike, and we want to ensure our budget reflects that. As a result, funding for the Department of Public Safety, the Department of Corrections, and the Arizona Auditor General remains intact, while we’re also investing millions in border security, all without raising taxes or creating new debt.”
“Our budget also reflects our support for our citizens’ Second Amendment rights,” said Senator David Gowan, Chairman of the Senate Committee on Military Affairs, Public Safety & Border Security. “We’re funding two full time positions at the Department of Public Safety to address a backlog of concealed carry permit applications and renewals, with a requirement to prioritize Arizona residents first. This move can have a positive impact in our state by ultimately strengthening the safety and security of our communities as our citizens seek avenues to protect themselves, their families, and their private property. Additionally in this budget, we’re infusing crucial dollars into the Critical Access Hospitals (CAH) located in our rural communities, so these residents have convenient access to emergency care.”
Not every Republican was on board with this budget, however. State Representative Matt Gress explained his “no” vote on the most-recent edition, writing, “This year’s [budget] seems more focused on just ‘getting it done’ than ‘doing it right.’ There’s a reason there is bipartisan opposition. This is not a budget that reflects the shared priorities of Arizonans.”
Gress’ fellow Republican colleague in the chamber, Representative Jacqueline Parker, opined, “Literally the ONLY ones saying good things about this budget are Democrats…”
Literally the ONLY ones saying good things about this budget are Democrats… 🤔 pic.twitter.com/NIW1tSc4KF
— Rep. Jacqueline Parker (@electjacqparker) June 16, 2024
Senator Wendy Rogers weighed in after the vote in her chamber, posting, “This was a solid Republican budget and I voted for it.”
State Representative John Gillette agreed with Rogers’ sentiments, saying, “After a hard fight and two days of voting, we finally passed the 2024-2025 budget with tax cuts and NO new debt. Fiscal responsibility and conservative values prevailed.”
After a hard fight and two days of voting, we finally passed the 2024-2025 budget with tax cuts and NO new debt!
Fiscal responsibility and conservative values prevailed.
Republicans will now have to make the case to Arizona voters in the all-important November General Election about why they should return to power in the state legislature for another two years in a divided government with Governor Hobbs. Throughout the past two years, Republicans have been mostly united and focused on protecting several of their priorities from the clutches of Democrats eager to dismantle values and principles. That balance of power, though, hangs on a knife’s edge as fall awaits.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
June has been off to a brutal start for Arizona Governor Katie Hobbs. She kicked off the month by breaking her own hiring freeze to bring in a new press secretary. Then, a few days later, a Maricopa County Superior Court judge ruled that Hobbs violated the law when she sidestepped the Senate’s confirmation process for agency directors. And to top it all off, an eye-opening report was released uncovering an alleged pay-to-play scheme between Hobbs and an Arizona group home.
This shouldn’t come as much of a surprise. After all, this is the same Katie Hobbs who broke the law to take credit for the Republican tax rebate. And it’s the same Katie Hobbs who required the nonprofit behind her $30 million medical debt relief program to give her credit. But this latest scandal shows that Hobbs’ corruption has reached a new level.
According to the report, Sunshine Residential Homes has donated approximately $400,000 toward the Arizona Democratic Party, Hobbs’ gubernatorial campaign, and her inaugural fund. And what did the group home receive in return? A nearly 60 percent rate increase! And this was at a time when the Arizona Department of Child Safety (DCS) cut loose 16 providers, and no other standard group home provider received a rate increase.
That’s convenient.
Sunshine Residential Homes could potentially receive millions of dollars more at the taxpayers’ expense from their investment (sorry…donation). And that must have their CEO—who also happened to serve on Hobbs’ inaugural committee—excited.
Hmmm…Hobbs’ inauguration fund. Do you remember that?
This entire saga began when Hobbs set up a shady inaugural slush fund to provide donors with a conduit to buy political favor from her administration…
Governor Katie Hobbs is under investigation for an alleged “pay-to-play” scheme with a group home that donated to her inaugural fund and the Arizona Democratic Party.
Last May, following the donations, the Arizona Department of Child Services (DCS) drastically increased the rates for the for-profit, state-contracted group home operator and major Democratic Party contributor, Sunshine Residential Homes (formerly Sunshine Group Homes). The nearly-60 percent rate increase was approved several months after the company gave $100,000 to Hobbs’ “dark money” inaugural fund. That $100,000 rendered to them by the second-largest donor after Arizona Public Service (APS). The governor raised nearly $2 million.
As the Arizona Republicreported, that $100,000 to the fund came several days after the group home operator was denied a rate increase in December 2022. No other group homes have been awarded rate increases under Hobbs, and none came close to the rate granted to Sunshine Residential Homes: over $230 a day, where the average was about $170.
The governor’s fund earned the unofficial “dark money” pejorative following reports that Hobbs pushed for $250,000 donations to her inaugural event, though the event itself only cost around $200,000.
Sunshine Residential Homes also donated $200,000 to the Arizona Democratic Party in September and October of 2022, and another $100,000 to the party in August 2023.
The group home operator’s CEO and founder, Simon Kottoor, and his wife, Elizabeth, also donated $10,000 collectively to Hobbs’ campaign.
Hobbs appointed the Kottoors to her inaugural committee.
Last year, the group home operator received a nearly 60 percent increase in rates: much higher than the rates awarded to other group homes, and unique given DCS choosing to cut contracts with dozensother group homes: 16, to be exact.
DCS blamed budget constraints coupled with a desire to scale back on the reliance of group homes for the contract denials.
Hobbs’ spokesman, Christian Slater, claimed the allegations came from a place of unsubstantiated scrutiny similar to other attacks by “radical and partisan legislators.”
“Governor Hobbs is a social worker who has been a champion for Arizona families and kids,” said Slater “It is outrageous to suggest her administration would not do what’s right for children in foster care.”
Some have questioned whether Sunshine Residential Homes wired additional funds to Hobbs’ inaugural fund after their $100,000 donation cleared in February 2023, or whether the group home operator or its executives issued donations to other groups operated by Hobbs, like the “An Arizona For Everyone” entity.
An Arizona For Everyone, a nonprofit, was activated in December 2022 and voluntarily dissolved in September 2023. No tax filings exist for the nonprofit on the IRS public search portal of tax-exempt entities.
Last Thursday, Attorney General Kris Mayes announced an investigation into the matter. On Friday, Mayes also ordered Maricopa County Attorney Rachel Mitchell to back off her investigation and for Auditor General Lindsey Perry to stay away.
“It would not be appropriate or in the best interest of the state to conduct parallel investigations into the same matter. Furthermore, a separate process conducted by the MCAO could jeopardize the integrity of the criminal investigation that my office will now proceed with,” wrote Mayes.
However, Treasurer Kimberly Yee urged Mitchell to continue her own investigation into Hobbs to complement Mayes’ investigation. In a press release on Monday, Yee announced request letters to both Mitchell and Mayes.
“Arizona taxpayers deserve financial accountability. Giving state dollars to political donors is a grave misuse of public funds,” posted Yee on X.
I requested an investigation by the Maricopa County Attorney into Governor Hobbs' alleged "pay to play" scheme. Arizona taxpayers deserve financial accountability. Giving state dollars to political donors is a grave misuse of public funds.
— Arizona Treasurer Kimberly Yee (@AZTreasurerYee) June 10, 2024
In her letter to Mitchell, Yee advised that Mitchell continue her investigation over Mayes’ conflict of interest.
“Pursuant to these legal authorities and due to concerns related to Attorney General Mayes’ ethical conflict of interests because her office is required to provide legal services to the agencies at issue and the fact that her representatives have personal and professional relationships with those individuals potentially involved in any alleged wrong-doing, I respectfully request that you investigate the allegations that have occurred in your jurisdiction, Maricopa County,” wrote Yee.
In Yee’s letter to Mayes, the treasurer advised the attorney general that her assertion of singular control over any investigation — especially one involving the state agencies she represents — was inappropriate and unlawful. Yee suggested that Mayes transfer the investigation wholly to Mitchell or another independent county attorney.
“[T]hat is the only action that will ensure the integrity of the investigation and avoid the duplication of efforts you raise as a concern in asserting sole jurisdiction,” wrote Yee.
Sunshine Group Homes was recognized as a nonprofit by the IRS until 2022, when they were placed on the auto-revocation list that August (EIN: 86-0815254).
According to the latest publicized tax filings from a decade ago, the Kottoors received a collective $623,500 annually in reportable compensation from related organizations.
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There are plenty of problems with the Arizona Commerce Authority. Since its inception in 2011, criticisms were raised concerning its freewheeling powers to dole out taxpayer money with practically no legislative oversight and broad exemptions from important guardrails such as the prohibition of using outside counsel (rather than the Attorney General’s office.) These issues have resurfaced over the years in critical Auditor General reports that have highlighted the insufficient reporting and record keeping for the administration of grants and awards provided by the agency to private businesses. This led to a mere 2-year extension of the agency in 2016, and a controversial reauthorization in 2018 when Republicans and Democrats alike banged the table for reforms. And most recently, the agency has come under fire by the Attorney General herself, for unconstitutional gifts in the way of wining and dining and Super Bowl tickets for CEOs.
Despite consistent criticism across the aisle and over the years, the ACA has evaded any real substantial reforms. That could very well change this year.
There now seems to be bipartisan interest in reining in an unaccountable agency with a $226M budget and a multi-million-dollar slush fund…