by WorldTribune Staff, June 10, 2024 Contract With Our Readers
The Arizona Attorney General’s office said it investigating a $100,000 donation from a government-funded children’s group home to Democrat Gov. Katie Hobbs in an alleged “pay to play” scheme.
The investigation comes after a report revealed that after making the donation the group home was then given more funding from the Arizona government after previously being denied the increase.
According to the office of Arizona Attorney General Kris Mayes, Sunshine Residential Homes donated $100,000 to Hobbs’s inaugural fund in December 2022, though the inaugural fund’s records dated the contribution in February 2023.
Sunshine also gave $200,000 to the Arizona Democrat Party shortly before the 2022 election, Axios reported. Additionally, the outlet reported that Sunshine CEO Simon Kottoor was on Hobbs’s inaugural committee and contributed to her campaign, and his company gave her an award about a month before her election.
Sunshine is a for-profit company but is funded entirely by state contracts. Prior to the letter from Mayes’s office, Republican state Senator TJ Shope called for an investigation to “determine if conduct by any of the involved parties warrants a criminal or civil investigation.”
AZ Central reported that, in February 2023, the Arizona Department of Child Safety (DCS) denied a 20 percent rate increase to Sunshine Residential Homes. Days later, Sunshine Residential Homes donated $100,000 to Hobbs’s “dark money” group, per the outlet. After three months went by, Sunshine got a 30 percent rate increase from DCS, even though Arizona is putting fewer children in group homes.
This year, Sunshine got a 20 percent rate increase. Other group home services have since gotten rate hikes, but only Sunshine had one outside of the normal schedule, Axios reported.
“Just like past investigations instigated by radical and partisan legislators, the administration will be cleared of wrongdoing,” Hobbs spokesperson Christian Slater told Axios in response to the allegations. “It would be outrageous to suggest her administration would not do what’s right for children in foster care.”