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Monday, November 4, 2024

Superintendent Horne responds to Gov. Hobbs' recommendation for manual review of ESA purchases

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Superintendent of Public Instruction Tom Horne | azed.gov

Superintendent of Public Instruction Tom Horne | azed.gov

Tom Horne, the Superintendent of Public Instruction of the Arizona Department of Education, has responded to Governor Hobbs' proposal to alter the Empowerment Scholarship Account (ESA) program. He asserts that his role is to manage the Education Savings Accounts program in accordance with state law.

Horne states, "My job is to administer the ESA program in line with state law, and if changes are made the Department of Education will follow them." He further notes a particular proposal that he says is already implemented: "However, one proposal stands out because it’s already in place: The governor recommends a manual review of ESA purchases over $500." Horne adds that unlike his predecessor who approved many unnecessary requests, his office scrutinizes all expense requests regardless of their amount. In 2023, he reveals, several thousand ESA applications were rejected due to insufficient documentation and nearly 2,200 accounts totaling $21 million were suspended because students were enrolled in public schools. Additionally, more than 12,000 ESA purchase order requests were declined.

On March 7th, according to the Arizona Department of Education, Superintendent Horne declared: "The mission of the Arizona Department of Education is a service organization committed to raising academic outcomes and empowering parents. The four updates that I am asking the State Board of Education to consider for the operation of the ESA program ensure compliance with the original ESA law." These updates encompass allowable education-related expenses, accreditation for tutors and teaching services, access to ESA funds and debit card use, and changes to Third Party payment vendors.

As per Arizona ESA's explanation, the Empowerment Scholarship Account is a mechanism for tax dollars paid by students' parents to assist them in funding their chosen school. This money can be utilized for tuition fees, textbooks, tutoring services, uniforms among other expenses. The program aims at enabling students to attend schools they might otherwise not afford.

12 News reports that on November 7th, Eric Butler, Horne's original investigator for the ESA program, was dismissed from his position due to dishonesty during two grand jury trials. Upon learning this, Horne removed Butler and vowed to eliminate fraud in the extensive ESA program. It was later discovered that no background check had been conducted on Butler prior to his employment.

The Center Square reports that the Hobbs administration accuses Horne of withholding a report on the Empowerment Scholarship Account program. Sarah Brown, Director of the Office of Strategic Planning and Budgeting, argues that this delayed report is preventing people from understanding the program's expenditure and its enrollees. She expresses concern about unnecessary spending on items such as "ski passes and luxury car driving lessons." Brown states in an interview: "Despite being only halfway through the school year, the program has exceeded FY 2024 budget estimates by 3,673 students and approximately $59.3 million."

In response to Brown's allegations, The Center Square reports that Horne counters by stating that his Democratic predecessor had issues with the program which necessitated spending to rectify these problems. He asserts: "The frivolous ESA spending approvals occurred under the administration of the Governor’s friend, Kathy Hoffman. By contrast in the first quarter of Fiscal 2024 alone, this department reviewed more than 15,000 ESA applications, rejecting thousands that were incomplete," said Horne. "We also suspended 2,200 accounts because the child was enrolled in public school, saving $21 million. Also, the latest figures show that current overall public education spending has a surplus of no less than $57 million, proving the ESA program has not impacted the state budget."

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