Arizona Governor Katie Hobbs is the subject of major scrutiny thanks to a criminal investigation carried out by the state’s Attorney General, Kris Mayes, who uncovered evidence that the governor had potentially received $400,000 in donations through bribery and racketeering. To make matters worse, Gov. Hobbs went on to veto a bill that would have blocked similar “pay-to-play” schemes.
For background, in June 2024, Arizona Gov. Katie Hobbs became the subject of a criminal investigation after she was accused of taking part in a potential “pay-to-play” scheme that involved bribery and racketeering in the form of allegedly providing a company, Sunshine Residential Homes, with kickbacks in exchange for $400,000 in campaign donations.
In response to the investigation, Gov. Hobbs’ spokesperson, Christian Slater, told reporters, “Just like past investigations instigated by radical and partisan legislators, the administration will be cleared of wrongdoing.” Moreover, a spokesperson for Sunshine Residential Homes said that the company “continues to remain committed in caring for the population they have served for several decades in Arizona — troubled and vulnerable youth receiving the resources necessary to thrive.”
However, AZ Central reported that Sunshine Residential Homes, a for-profit company that operates several dozen group homes for children, received a “special rate increase” from the Arizona Department of Child Safety (DCS) after making its six-figure donation to Gov. Hobbs’ campaign, leading critics to suspect that the governor had entered into a “pay-to-play” agreement with the company.
Moreover, Gov. Hobbs responded to the allegations against her during a press conference on June 11, 2024, calling them “outrageous.” She told reporters, “There is an AG investigation. I’m not going to comment further except to say that I look forward to the conclusion of the investigation and finding that we acted in the best interest of Arizona.”
In addition, the governor attempted to defend herself by saying, “I’m a social worker, and it is outrageous that I would not act in the best interest of Arizona’s children in foster care. I have always and will always do what is best for Arizonans.” When asked if she thought AG Mayes would conduct the investigation well, she replied, “I’m not going to comment on something that isn’t happening at this moment.”
Furthermore, Arizona State Treasurer Kimberly Yee made the case that the attorney general’s investigation into Gov. Hobbs was “not appropriate or authorized by law” because “those entities have separate jurisdiction to investigate this matter.” The treasurer added that a “potential ethical conflict of interest” could also stop AG Mayes from being impartial.
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Nevertheless, the investigation into Gov. Hobbs’ questionable campaign donations remains open and unresolved, and on May 13, 2025, it was reported that the governor had vetoed SB 1612, a bill that would have required any business applying for grants from state agencies like DCS to disclose gifts, donations, or other forms of support provided to the current governor.
Featured image credit: Gov. Katie Hobbs via X