Hobbs Puts ESA Program in Spotlight During State of the State Address

By Daniel Stefanski |

The Arizona Legislature has reconvened, placing school choice at the center of its discussions. Governor Katie Hobbs launched the 57th Regular Session with a State of the State address on Monday, in which she strongly criticized the Empowerment Scholarship Accounts (ESA) program.

Hobbs labeled the ESA initiative as “unchecked” and “flawed,” asserting that it had diverged from its original aim of assisting children with special needs and military families. She described the program as a “billion-dollar boondoggle” open to abuse, highlighting a lack of accountability compared to other taxpayer-funded entitlements that have stricter oversight. “My executive budget offers a balanced solution that supports families and finally brings real and effective guardrails to ESAs,” Hobbs stressed.

The governor’s proposed changes involve implementing income caps, ensuring transparency in how taxpayer money is utilized, and enhancing accountability. However, her remarks were met with swift pushback from Republican lawmakers and ESA advocates. Superintendent of Public Instruction Tom Horne countered that his office had made strides against waste and fraud within the program, hiring an auditor and investigator for the first time. “The Governor needs to pay more attention to what is going on. She gets an ‘F,’” Horne stated.

Senate President Pro Tempore T.J. Shope emphasized the need to protect parental choice, asserting that every child should have the opportunity to succeed in school, irrespective of their zip code or financial background. In response to Hobbs’ comments on accountability, Common Sense Institute Arizona noted that improper payment rates in the ESA program are significantly lower than in programs like Medicaid and SNAP.

Jason Bedrick expressed concerns over the potential impact of Hobbs’ proposed income caps, stating that the recent re-election of ESA supporters indicates a clear mandate from voters. “The legislature should reject Gov. Hobbs’ attempts to undermine ESA families,” he urged.

Conversely, Hobbs’ allies welcomed her push for reform. Beth Lewis, Executive Director of Save Our Schools Arizona, praised the governor’s stand against what she termed “rampant waste, fraud, and abuse” within the ESA program. She called for legislators to implement necessary regulations to protect public funds.

The ongoing debate over school choice in Arizona is expected to intensify as the year progresses. While Hobbs advocates for more stringent regulations, Senate President Warren Petersen and other Republican leaders have historically defended the ESA program against legislative challenges. Their continued efforts will play a crucial role in shaping the future of school choice in the state.

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