If Democrats Want to Stop Fraud, They Should Start with Public School Districts

If Democrats Want to Stop Fraud, They Should Start with Public School Districts

With the new year here and the 2025 legislative session officially underway, Democrats are already proving they can’t learn a lesson. Led by Governor Katie Hobbs, one of their primary targets is once again…you guessed it…Arizona’s Empowerment Scholarship Account (ESA) program. Stop us if you’ve heard this before.

You would think that Democrats would find a different target after getting trounced in an election where teachers’ unions and other anti-school choice groups made it a referendum on school choice. But no. After 2 ½ years and multiple failures trying to overturn school choice, they’d rather double down on their same tired and out-of-touch policies.

This time, Hobbs and the Dems say they want to roll back ESAs because of all the supposed “fraud” in the program. Never mind the fact that the rate of waste, fraud, and abuse in the ESA program is extremely low. Never mind the fact that ESAs have proven to be far more financially accountable than other government programs. Democrats don’t care about facts. Instead, they want to regulate this popular program while Arizona’s Democrat Attorney General Kris Mayes asks for more funding to investigate ESA fraud.

But here’s a message for Hobbs, Mayes, and the rest of the Democrats:

If you care so much about fraud, why not investigate Arizona’s public school districts?

They could start with Isaac Elementary School District (IESD).

Earlier this week, IESD was placed under a state receivership after it was determined that it had a budget shortfall of over $12 million! And this didn’t come as a surprise. The Auditor General has been trying to stop the mismanagement of funds in this school district for five years!

A $12 million budget shortfall in just one school district is mind-blowing, but IESD is certainly not alone. School districts throughout our state have been mismanaging millions, going into default, and committing fraud for years.

Back in 2022, Mesa Public Schools (MPS) failed to explain where $32.3 million of their federal emergency funds slated for COVID expenses went. The investigation came after reports that MPS teachers were asking parents to donate basic school supplies they were running out of because the district wouldn’t cover them. But instead of having a clear explanation for the money that was buried under expenses listed as “other,” “indirect costs,” and “etc.,” MPS officials dodged the question and claimed no records existed for those categories.

Also, in 2022, a former superintendent and another employee from Toltec Elementary School District were indicted for fraudulent schemes, misuse of public monies, and theft. This came after the employees secretly used their personal monies to fraudulently inflate their Arizona State Retirement System benefits.

Then, there’s Higley Unified School District (HUSD). Back in 2021, HUSD’s now-former superintendent, Dr. Denise Birdwell, was indicted on 18 counts related to procurement fraud, misuse of public monies, fraudulent schemes and practices, and more. This came after the Auditor General found that Dr. Birdwell conspired with employees of Education Facilities Development Services (EFDS) to circumvent school district procurement rules to improperly award the group with a $2.5 million project development service contract for the construction of two new schools. On top of that, the Auditor General also found that Dr. Birdwell misused public monies when she authorized the unlawful use of $6 million in restricted public funds toward the construction of the schools.

And let’s not forget what happened in Yuma County toward the end of last year when a former superintendent secretary with the Hyder Elementary School District was indicted for theft, misuse of public monies, and forgery. The indictment came just eight weeks after the same woman was arrested in Scottsdale in connection with an elaborate scheme against the Cocopah Middle School Association of Parents and Teachers.

You won’t hear about any of this type of fraud from Hobbs, Mayes, or other Democrats because this isn’t about fraud. It never was. They just want to find any way they can to regulate our state’s historic school choice program—all to protect their buddies in the teachers’ unions.

But here’s a message for Hobbs and Mayes. Whether you like it or not, school choice is here to stay in Arizona. And we will keep fighting back with this winning message because every student in our state deserves the best education possible and the funding to make it happen. Instead of griping about ESAs, which have way more oversight than the typical school district, show us that you really care about fraud and start investigating our public schools.

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Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!

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Arizona Free Enterprise Club Statement on Governor Hobbs’ State of the State Address

Arizona Free Enterprise Club Statement on Governor Hobbs’ State of the State Address

PHOENIX, ARIZONA – This week, the Arizona Legislature commenced its 57th Regular Session with Opening Day ceremonies for both the state House and Senate and the State of the State from Governor Katie Hobbs. Scot Mussi, President of the Arizona Free Enterprise Club, issued the following statement:

“It’s another year, but Governor Katie Hobbs continues to push her tired and out-of-touch policies on hardworking taxpayers of this state. During her address on Monday, Hobbs discussed her relentless desire to regulate the state’s historic school choice program and to waste funds on housing tax credits that we cannot afford. Our organization is again committed to being the tip of the spear in opposition to the governor’s radical agenda as we stand with state legislators at the Arizona Capitol. Future generations are depending on our efforts to stand for freedom, prosperity, and opportunity for all Arizonans.”

Help Protect Freedom in Arizona by Joining Our Grassroots Network

Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!

Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.

Arizona Free Enterprise Club Mourns Passing of Chairman Dean Riesen

Arizona Free Enterprise Club Mourns Passing of Chairman Dean Riesen

PHOENIX, ARIZONA – The Arizona Free Enterprise Club is saddened to announce the passing of Dean Riesen. Dean was a founder of the organization and served as Chairman for over a decade.

Dean Riesen

Scot Mussi, President of the Arizona Free Enterprise Club, issued the following statement:

“Our organization and the state of Arizona suffered a great loss with the passing of our Chairman Dean Riesen. As one of the founders of the Arizona Free Enterprise Club, Dean was instrumental in building one of the most influential and effective policy organizations in the state. Our countless legislative and ballot box victories over the last 20 years would not have been possible without Dean’s guidance and unwavering commitment to limited government and pro-growth policies. He will be sorely missed.”

Riesen began his life in the State of Iowa and commenced a fulfilling journey of learning, leadership, and service that took him to Cornell College for education. It was here at this institution that he met his love of his life – his wife of 42 years, Bambi Hull Riesen. They had three children together and now three grandchildren. Dean rose to prominence with the Carlson Real Estate Company – even helping to negotiate a multi-billion-dollar, international merger.

After the turn of the century, Riesen and his family moved to Scottsdale, Arizona, and he helped lead a commercial real estate investment and development firm, Rimrock Partners. He then founded, what is described as his biggest philanthropic project, the Tanzania Water Fund, which provided clean water to over 200,000 individuals. Dean was highly involved in a number of other private and public efforts and organizations throughout his life, including the Arizona Free Enterprise Club, where he sacrificed countless hours to strengthen Arizona’s standing as one of the most free-market and conservative states in the union.

Our members, supporters and activists at the Arizona Free Enterprise Club will forever be grateful for Dean Riesen and his life of service to this state, our nation, and the world. He will be missed, and his work will live on for future generations of Arizonans and Americans.

Read the official obituary of Dean Riesen here.

Help Protect Freedom in Arizona by Joining Our Grassroots Network

Arizona needs to have a unified voice promoting economic freedom and prosperity, and the Free Enterprise Club is committed to making that happen. But we can’t do it alone. We need YOU!

Join our FREE Grassroots Action List to stay up to date on the latest battles against big government and how YOU can help influence crucial bills at the Arizona State Legislature.