Hobbs’ Insurance and Finance Appointee Shot Down by Senate in Partisan Vote

In a decisive move, the Arizona Senate has rejected the nomination of Barbara Richardson to lead the Department of Insurance and Financial Institutions. This vote came nearly a month after the Senate Director Nominations Committee voted against her candidacy.

The rejection, occurring on a party-line vote, was influenced by concerns regarding Richardson’s participation in various insurance industry working groups. Republican senators accused her of fostering relationships with regulated entities that raised questions about her capability to lead the department effectively.

“There were serious flaws in the operation at DIFI that led to the rejection,” asserted Republican Sen. Jake Hoffman, chair of the nominations committee. He emphasized that many insurance companies faced undue pressure from the department, denying them due process under the regulatory framework.

Following the vote, Christian Slater, spokesperson for Governor Katie Hobbs, defended Richardson. “Barbara Richardson is a non-partisan, career public servant,” he stated, labeling the rejection a “partisan witch hunt” driven by certain Republican senators keen on undermining Hobbs’ administration.

Democratic Senators Analise Ortiz and Flavio Bravo, both members of the nominations committee, voiced their support for Richardson. They highlighted her extensive experience in the insurance field and criticized the concerns raised by Republicans as mere “excuses” to block her nomination.

Richardson has over 21 years of regulatory experience and previously served in the Army Reserves. Despite her qualifications, her nomination faced hurdles during two confirmation hearings. Senators questioned her involvement with the National Association of Insurance Commissioners and her responses to public concerns.

Issues surrounding her past affiliations, particularly with organizations promoting diversity and inclusion, became focal points. Hoffman remarked that the “DEI component” was merely “the icing on the cake,” overshadowing other concerns related to her regulatory practices.

Hoffman also critiqued Richardson’s use of electronic filing systems, alleging she issued departmental bulletins that circumvented established policy-making processes. Richardson countered that her communications aimed to clarify existing rules, but this assurance failed to alleviate concerns among committee members.

Opposition to Richardson’s nomination was bolstered by fierce advocacy from Republican activists, with some witnesses labeling her a “DEI activist.” Ortiz rebutted these claims, suggesting that many who opposed Richardson did so for partisan, rather than substantive, reasons.

This marks the second nominee to be rejected by the Arizona Senate this session, following the rejection of Joan Serviss for the Department of Housing. Richardson’s fate emerged against a backdrop of growing tensions within the Senate regarding gubernatorial appointments.