State Speaker of the House Steve Montenegro (R-29) has announced the organization of an advisory team to investigate claims of Governor Katie Hobbs (D-AZ) partaking in a pay-to-play scheme within the Arizona Department of Child Services (DCS).
Sunshine Residential Homes, a group home organization that is a significant donor to Governor Hobbs's election campaign and the state Democratic Party, received a 30% rate increase compared to other organizations.
Notably, the rate increase request was granted despite DCS already being in a budget shortfall and seeking to reduce reliance on private group homes.
Sunshine Residential Homes claimed they were suffering financial losses themselves when they made the request, although internal records indicate they were operating with an operating income of $440,000.
"The facts reported raise serious questions the House cannot ignore," said Speaker Montenegro in a statement. "Arizona's children, families, and taxpayers deserve a system that is clean, fair, and focused on care, not political access or donations."
Additionally, he vowed that the State House will "secure the records, ask the hard questions, and, if necessary, change the law to ensure it never happens again." "We will work with the Auditor General, the Maricopa County Attorney, and the Attorney General while respecting any ongoing investigations," he added, "directing all relevant agencies and contractors to preserve records and cooperate fully with the Legislature."
In May, State Representative Alexander Kolodin (R-3) revealed evidence that Gov. Hobbs and Attorney General Kris Mayes were supposedly partnering with the organization States United Democracy Center (SUDC) to target political opposition.
"Governor Hobbs and Attorney General Mayes have betrayed Arizonans by allowing radical, dark-money activists to infiltrate and weaponize Arizona's government," said Rep. Kolodin.
In June, State Senator Jake Hoffman (R-15) highlighted an apparent case of government cronyism practiced by Hobbs, in which she allegedly selected Dana Allmond, a Democratic official, to head the Arizona Department of Veterans Affairs.
However, Gov. Hobbs withdrew Allmond as her nominee, placing her in the same position as deputy director at the same $170,000 annual salary. She then allegedly transferred Allmond to the Department of Economic Security (DES) as a "senior executive consultant," ostensibly so she could connect veterans to services, even though DES Director Michael Wisehart had not hired her.
