Ducey stands by school programs

State may have to repay $173M in COVID funds

Gov. Doug Ducey’s administration on Thursday defended its decision to send additional funding to schools that did not impose mask mandates, signaling no changes are forthcoming for two programs even after federal officials warned they were not allowed.

In standing by the programs, Ducey’s office risks the federal government could demand Arizona repay up to $173 million that the state received from the American Rescue Plan earlier this year.

Federal officials warned Ducey in early October that the programs appeared to undermine efforts to stop the spread of COVID-19, which was not allowed under the rules for federal stimulus funds. Federal officials asked for information about how Ducey would remediate the programs.

Ducey’s official response, a letter sent Thursday by Jason Mistlebauer of the governor’s Office of Strategic Planning and Budgeting, argues the programs fall within federal rules because they address educational disparities and help low-income students who are disproportionately harmed by remote learning.

“The State of Arizona is committed to keeping all Arizona students on track, closing the achievement gap, and equipping underserved students and families with the tools they need to thrive,” the letter reads. “Our goal is to empower parents to exercise their choice regarding their child’s education and COVID-19 mitigation strategies during this global pandemic and informed by CDC recommendations.”

U.S. Treasury officials did not respond late Thursday to a request about what, if any, action they would take next.

Ducey has routinely defended the programs, saying they allowed parents to have a say in their children’s education. But public health leaders and Democrats have criticized the Republican governor, saying the dollars were an incentive to avoid protective protocols that could slow the spread of the virus.

The political back-and-forth continues as Arizona struggles to contain the virus and as the state rolls out vaccinations for more school-aged children between the ages of 5 and 11. The state has the highest transmission rate in the country, according to one local expert, and the death rate, at 292 per 100,000 people, is well above the U.S. average of 225 per 100,000 people.

Just shy of 53% of Arizonans are fully vaccinated. Almost 21,300 residents who were COVID-positive have

died, and more than 1.17 million Arizonans have tested positive for the virus during the pandemic. About one-fifth of those cases were people under age 20, according to state data, an age group that includes school children.

Ducey has remained adamant that mandates requiring masks or vaccines are not on the horizon for Arizona, instead urging people to get vaccinated voluntarily.

In August, he put money behind the effort to keep mandates out of Arizona schools, leading to the current standoff with federal officials.

The governor earmarked $173 million of the state’s $4 billion share of American

Rescue Plan funds for two programs; one that gave a boost in per-pupil funding to school districts that remain open for in-person instruction and did not have mandates, and another that gave $7,000 vouchers to families that moved their students from schools with mandates.

At the time, a law prohibiting mandates was being challenged in court. It has since been deemed unconstitutional by the state Supreme Court, meaning districts can impose their own rules.

Of the $173 million, about $109.6 million has been earmarked so far, according to the Governor’s Office.

The day the governor debuted the programs, U.S. Rep. Greg Stanton, a Democrat, asked Treasury Secretary Janet Yellen to issue an opinion about the use of funds. Stanton alleged the programs did not appear to align with the goal of the massive federal stimulus program approved by Congress. Stanton represents Arizona’s 9th District, which includes parts of central Phoenix and the East Valley.

Though he has not wavered in his decision to commit the money for the education programs, Ducey has vacillated publicly on what steps he would take to defend them.

Ducey has said the Biden administration would have to go to court to get the money back and said the state could spend its own money to continue the programs. And more recently, in an interview with KTAR News (92.3 FM), he said he was considering legislation or an executive order to defend his anti-mandate agenda.