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Arizona caregivers call blame game over $122M shortfall for disability services 'very disheartening'

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PHOENIX — Caregivers and families say they are frustrated Republican lawmakers spent time Thursday discussing the cause of a $122 million shortfall for disability services instead of passing a funding fix.

The state’s Division of Developmental Disabilities runs out of money this month, threatening services for more than 59,000 Arizonans.

“We need to ensure that we are taking care of our disabled individuals and our children with disabilities in their homes, where they belong,” said mother Brandi Coon, the founder of advocacy group Raising Voices Coalition.

Republicans, who blame Gov. Katie Hobbs for the budget hole, formed a panel – the House Ad Hoc Committee on Executive Budget Mismanagement – to dig into the DDD deficit and other budget issues, such as a much smaller shortfall in the Department of Child Safety’s funding for group homes.

“We're here to uncover the truth and to hold this administration accountable, because taxpayers deserve transparency, not surprises,” said Rep. Matt Gress, the Republican chairing the panel.

Caregivers and Arizonans with disabilities packed the hearing, which did not allow public comment. They say they’re open to having conversations about reforms but want lawmakers to solve the funding crisis first.

“For them to be investigating financial spending over prioritizing my child's ability to live at home, to not require institutionalization, is very disheartening,” Coon said.

Hobbs instructed the directors of the Department of Economic Security and the Arizona Health Care Cost Containment System not to attend the hearing, a move Republicans slammed.

“Yet 15 minutes before the committee hearing began, I received a letter from Gov. Hobbs criticizing legislative intent on providing oversight and learning exactly what happened,” Gress later said on the House floor, adding that Hobbs “fails to even acknowledge who’s responsible for this problem.”

Democrats skip hearing

The Democratic lawmakers named to the panel also boycotted it.

“I just wasn’t a part of their game,” state Rep. Quantá Crews told parents and caregivers after the hearing, saying she has been working behind the scenes on the issue.

Crews, a Democrat from District 26, has a son with disabilities who receives DDD services. She told ABC15 it hurts to hear how her Republican colleagues talk about the program, such as remarks in the hearing from one lawmaker who used an analogy about car payments.

“To hear my son compared to a car and a car note was just very, very hurtful, very hurtful, especially when Jeremiah was born special and amazing,” Crews said.

She said DDD funding should be a nonpartisan issue, saying it’s “about taking care of our families.”

The Department of Economic Security said in a statement to ABC15 that the agency has been assessing its options to reduce the risk of interrupted services or payments to providers but needs more money from the Legislature.

“However, if the supplemental funding for this fiscal year isn't approved, it will affect the Division’s capacity to pay claims in May and June,” DES said.

DES has said the sharp increases in DDD’s costs are driven by several factors, including “considerable growth” in the number of people served, more services being used, higher costs and reductions in federal funding.

Lawmakers deeply divided on solution

Both Republicans and Democrats say they hear the DDD community’s concerns and are committed to addressing the shortfall, but it’s not clear when, or how, the problem will be fixed.

The governor and Democrats in the Legislature are calling for a “supplemental” funding bill to cover the $122 million hole. Republicans blocked an effort to hear a Democrat-sponsored bill last month.

But Republican lawmakers say they do not support such a “clean supplemental,” saying any legislation must include reforms to prevent future funding deficits.

“Let me be very clear,” Gress said on the House floor Thursday, “we will not pass a financially irresponsible supplemental. It will include the reform necessary to protect families who rely on DD for their loved ones.”