Grand Canyon Times

Arizona's recent legislative developments have sparked discussions around the auditing methods employed for the state's Empowerment Scholarship Accounts (ESA) program. The focus has been on a risk-based auditing approach, which is mandated by a budget statute signed by the Governor in the last session.

Tom Horne, addressing the issue, remarked: “The method we are instituting, known as risk-based auditing, is specifically provided for in the budget statute that the Governor signed last session. Maybe she should start reading what she signs."

Horne further highlighted complications arising from a bill that permits private school tuition to be reimbursed directly rather than through Class Wallet, previously required. He stated: "Equally startling, is that she herself created the problem we are trying to solve by signing a bill to permit private school tuition to be paid under the reimbursement method... This played a major role in increasing the delays and reimbursements from 30 days a year ago to over 100 days now."

The ESA program faces challenges due to these changes. Horne emphasized: "The Governor played a major role in creating a problem that we now must solve by using a method provided for in a Bill that she signed."

He also commented on operational inefficiencies within governmental offices: “Part of the problem appears to be that staff in the Governor’s office are slow learners.”

According to Arizona law A.R.S. 15-2403 (B), signed during the most recent legislative session, annual audits of ESA accounts are required to ensure compliance with specific sections of state law. The law mandates developing risk-based auditing procedures with consultation from relevant authorities.

The ESA program remains one of Arizona's most accountable initiatives, subject to scrutiny and reporting demands from various state agencies and bodies including but not limited to: Governor’s Office; Legislative Leadership; Joint Legislative Budget Committee; Attorney General’s Office; Auditor General’s Office; State Board of Education; and State Ombudsman.