Arizona Senate Committee Reviews Housing Department Leadership Nominee
Amid the political dynamics of Arizona’s Legislature, the state Senate is currently evaluating Gov. Katie Hobbs’ choice for the head of the Arizona Department of Housing. The Republicans, who dominate the state Legislature, have been scrutinizing the governor’s nominees, including the interim director Ruby Dhillon-Williams.
During a recent committee session, Dhillon-Williams faced tough questions from senators, particularly regarding the state’s use of low income housing tax credits (LIHTC). Sen. Jake Hoffman (R-Queen Creek) voiced concerns about the effectiveness of these credits in addressing housing affordability issues.
“It’s simply just a government handout, right? When it comes to homelessness, the grants that are being given to places like Phoenix and Mesa and Tucson and yes, even Flagstaff, which you cited earlier as a positive, right? Those grants aren’t actually solving any problems,” Hoffman remarked.
In defense, Dhillon-Williams highlighted the creation of over 10,000 housing units in the past three years through the LIHTC program, emphasizing its impact on housing availability. “And so I feel that there is an impact happening,” she stated, though she couldn’t specify the construction cost per unit.
Additionally, Dhillon-Williams was questioned about the October 2024 audit that revealed the absence of adequate fraud prevention policies in the department, leading to a $2 million fraudulent wire transfer from the State Housing Trust Fund in 2023.
This audit had previously led to the rejection of Hobbs’ earlier nominee, Joan Serviss, whose candidacy was marred by the same financial misstep. Democrats argued that Serviss shouldn’t be held accountable for all of the audit’s issues since Tom Simplot was the director until early 2023.
Dhillon-Williams reassured the panel that corrective measures are underway to address the audit’s findings and to enhance fraud prevention strategies. In a vote, Sen. T.J. Shope (R-Coolidge) aligned with Democrats, resulting in a 3-2 recommendation for the full Senate to approve Dhillon-Williams.
Support for Dhillon-Williams came from various quarters, including Ben Taylor, Vice President at Lincoln Avenue Capital. “ADOH punches well above its weight. That is a reflection of her [Dhillon-Williams’] direct leadership. … Our willingness to invest in Arizona is directly tied to our confidence with Ruby,” Taylor expressed.
The Senate’s final decision will determine whether Dhillon-Williams takes on the official role as the housing department’s leader.
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