On Tuesday, Arizona Treasurer Kimberly Yee announced she would not recognize employees of Governor Katie Hobbs’ administration during the State Board of Investment meeting due to the Governor’s failure to comply with state law.
“Due to the recent actions of the Governor, I did not recognize employees from the Arizona Department of Administration or the Arizona Department of Insurance and Financial Institutions as legally participating members at today’s State Board of Investment meeting,” said Yee in a press release. “Yesterday’s decision by the Governor to pull the nominations of these cabinet-level positions has created chaos and confusion that is contrary to the orderly administration of government business. The absence of lawfully appointed directors of these two agencies creates legal uncertainty and jeopardizes the proceedings of the State Board of Investment.”
Treasurer Yee is correct. The Governor has appointed 13 Fake Directors. They are illegitimate and should not be recognized as credible.
The Senate process was working to confirm nominees. We approved 70 percent of her nominees. But we are not a rubber stamp. 1of2. https://t.co/BSWzIX4fmj
— Warren Petersen (@votewarren) September 26, 2023
On Monday, Hobbs stunned both supporters and critics alike when she announced she would no longer be sending her nominees to lead agencies through the Senate’s statutorily prescribed nomination process.
Arizona law also requires Senate-confirmed directors to run state agencies and for agency powers to be exercised under the direction of a director.
A.R.S. 38-211 states “when it is provided by law that a state officer shall be appointed pursuant to this section, the governor shall nominate and with the consent of the Senate appoint such officer as prescribed in this section.” Additionally, “the Governor shall nominate a person who meets the requirements of law for such office and the nominee shall assume and discharge the duties of the office until rejection of the nomination or inaction of the Senate.”
“Despite the fact that the Senate has already confirmed 70 percent of Hobbs’ nominees, it is the 30 percent that failed to secure a recommendation for confirmation that has the Governor’s panties in a bunch,” one capitol insider told the Arizona Daily Independent. “No matter who would have recommended that 30 percent, they would have been rejected. They were wholly unqualified to lead.”
Petersen called Hobbs’ decision to pull her nominations from consideration “disturbing,” in a tweet:
Very disturbing to see that the governor and director of ADEQ blatantly and openly attempting to circumvent the law. Dark day for Arizona.
“This move by the Executive Branch showcases another prime example of an elected official who believes they’re above the law and will go to extreme measures to bypass the requirements of the law when they don’t get their way,” said Petersen in a press release. “The law is very specific on who is to run our state agencies. Without directors fulfilling these obligations, the legality of every decision made by these state agencies is dubious, and litigation against the state would surely prevail.”
Just last week, the bipartisan Senate Committee on Director Nominations rejected another Hobbs nominee. The Committee found Hobbs’ nominee to head up the Arizona Department of Housing, Joan Serviss, to be “unqualified” to lead the agency.
The Committee, in a 3-2 party-line vote, recommended rejecting the confirmation of Serviss to the entire Senate body.
According to Senate Republicans, they uncovered what they said was “troubling information,” related to alleged “repeated and seemingly pervasive plagiarism” by Serviss while she served as Executive Director with the Arizona Housing Coalition.
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