Arizona
Arizona man, woman indicted in embezzlement of millions from tribal health organization
TUCSON, Ariz. (AP) — A federal grand jury in southern Arizona has indicted a Tucson man and woman in an alleged conspiracy to embezzle millions of dollars from a nonprofit, federally funded tribal health care organization.
The indictment unsealed on Monday alleges that Kevin McKenzie, the chief operating officer of Apache Behavior Health Services, embezzled millions from the organization that was formed under the laws of the White Mountain Apache Tribe.
Prosecutors believe McKenzie, 47, used another organization created to help Apache youth to funnel some $15 million to himself through a backdoor financial scheme. Also named in the 40-count indictment was Corina L. Martinez, 41, the sister of McKenzie’s longtime domestic partner.
In addition to conspiracy to embezzle and embezzlement, the counts include wire fraud and conspiracy to commit money laundering.
Defense attorney Louis Fidel said in a statement that McKenzie “strongly denies the allegations against him, and we intend to vigorously defend the case.” He said McKenzie’s work on the reservation over the years had benefited many tribal members who previously were underserved.
Martinez “has spent many years providing behavioral health services to those in need,” her attorney Joshua Hamilton said in a separate statement. “We will vigorously defend Ms. Martinez in this matter and protect her reputation in the behavioral health community.”
Office phones at the White Mountain Apache Tribe rang unanswered on Friday.
Arraignment in U.S. District Court in Tucson was set on Jan. 5 for Martinez and on Jan. 12 for McKenzie.
The case appears unrelated to widespread Medicaid scams that have bilked the state of Arizona out of hundreds of millions of federal dollars. Thousands of Native Americans who traveled from reservations and even other states to seek help for alcohol and drug addictions at Phoenix area rehabilitation facilities have often been left homeless by the billing schemes.
In those cases, fraudulent charges for reimbursement were submitted mostly through the American Indian Health Program, a Medicaid health plan that allows providers to bill directly for reimbursement of services rendered to Native Americans and Alaska Natives.
Copyright 2023 The Associated Press. All rights reserved.
When was the last time you had your roof checked out by a pro? ☎️ Give us a call at (602) 314-4650 for your...Posted by American Roofing & Waterproofing, LLC on Tuesday, November 28, 2023","type":"facebook-post","version":"1.0","width":552,"_id":"https://www.facebook.com/AmericanAssetRoofing/posts/pfbid0wocmXXj5S5hV596QfxWbGigUTCFQPNggkqKWN2YkmUcayaWX6yB11q3KZFnzgmRRl","additional_properties":{"_id":"FVIT356VRJH5XOO4C7LOZ7DAVY","comments":[]},"locale":"en_US"},"referent":{"id":"https://www.facebook.com/AmericanAssetRoofing/posts/pfbid0wocmXXj5S5hV596QfxWbGigUTCFQPNggkqKWN2YkmUcayaWX6yB11q3KZFnzgmRRl","provider":"https://www.facebook.com/plugins/post/oembed.json/?url=","referent_properties":{"additional_properties":{"_id":"FVIT356VRJH5XOO4C7LOZ7DAVY","comments":[]},"locale":"en_US"},"service":"oembed","type":"facebook-post"}},{"_id":"JPUPQ4RIYNHFTFMER3PXIWLA3A","type":"header","level":3,"additional_properties":{"_id":1703179888570,"comments":[],"inline_comments":[]},"content":"The company you call matters."},{"_id":"76WUSLPHMFG7RISHIQMLB4V7HI","type":"text","additional_properties":{"_id":1703179888571,"comments":[],"inline_comments":[]},"content":"You’re trusting its employees with your home and safety. 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/cloudfront-us-east-1.images.arcpublishing.com/gray/SFOG7QSJKJDGJBX5UQMJ3JD7NY.jpeg "One police officer killed, another injured in shooting in eastern Arizona")
PHOENIX (AZFamily) — Do you know the signs and symptoms of valley fever?
Cases hit a decade-high, and doctors want to ensure you know what to look for, especially with friends and family coming into town for the holidays.
The Arizona Department of Health Services has seen more than 14,000 cases of valley fever so far this year.
Valley fever is caused by a fungal infection. It’s not contagious, but it is often misdiagnosed and can make you very sick.
Its symptoms are the same as those of the flu or COVID-19, so many people brush it off as a virus – sometimes even doctors.
“That’s not an unusual situation where we have people visiting from out of state, and they go back to their home state, and then they develop an illness that ends up being diagnosed as valley fever,” said Dr. Wassim Ballan, an infectious disease specialist at Phoenix Children’s Hospital.
Ballan is encouraging Arizonans to educate visiting loved ones about the illness.
“Usually, we don’t expect that there would be this awareness of valley fever outside the state of Arizona, so it’s something we want people to keep in mind,” Ballan said.
The fungus that causes valley fever is unique to southwestern soil.
According to CDC data, valley fever cases increase during hot and dry periods. The Phoenix area has not had rain in months.
“The fungus releasing, if you want to call them spores, they hang out in the air and then they get breathed in through the lungs,” Ballan said.
Ballan says about 40% of those infected get symptoms, which can worsen over time.
“They seek medical care. They get diagnosed with pneumonia and bacterial pneumonia, so they start on antibiotics, and they don’t respond. So they get on a different course of antibiotics and so on,” said Ballan.
He says many have never even heard of valley fever, especially if they aren’t from Arizona or recently moved here.
This is the case with one Valley resident, Michael, who was hiking on Friday.
“I’ve not been here that long, maybe 18 months, so I’ve still got a lot to learn, I guess,” he said.
Ballan says it’s important to stay vigilant this holiday season.
“Because valley fever can present in a similar way to other respiratory infections, that’s a good reminder to try to prevent those other infections by making sure you’re vaccinated,” he said.
You can get valley fever from hiking or being out in the desert, but also, because it’s in the air, anyone can be exposed.
Valley fever is treated with antifungal medications.
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Southern Arizona farmer Bryan Fontes talks about the local water supply
Bryan Fontes Intro/Interview on the Douglas Active Management Area, or AMA.
The Arizona Department of Water Resources designated an Active Management Area in the Willcox groundwater basin on Friday, following a series of public hearings in which the agency presented evidence of aquifer depletion and increasing ground subsidence.
The aquifer is the only source of water for homes, farms, industries, and municipal providers.
Residents in the basin voted against such a designation two years ago. The agency used a second legal pathway to establish the AMA because it determined critical conditions in the basin meet all requirements. It was the first time since 1980 that the state used such powers.
“I think it shows that the agency has maybe learned that if you don’t take action it just gets worse. And I think it just became so apparent to everyone,” said Kathy Ferris, former state Department of Water Resources director who helped write the 1980 Groundwater Management Act.
Political pushback to create groundwater regulations in rural communities has been strong, particularly from key legislators like Rep. Gail Griffin, R-Hereford. But local leaders and domestic water users’ demand for rural groundwater protection has also grown louder across the state, calling for action against unrestricted groundwater pumping.
“Even though it is late, I applaud the department and the administration for doing this,” Ferris said.
The AMA, which is in both Graham and Cochise counties, will effectively block any agricultural expansion. Under the designation, no new lands can be farmed in the basin. Additionally, growers must prove “substantial capital investment” in lands that had not been irrigated in the past five years if they want to irrigate them in the future. About 6,500 acres of farmland would need to go through this test.
“While there is a range of views on the AMA, the urgency of addressing our water challenges cannot be overstated,” Willcox Mayor Greg Hancock said in a statement, praising Gov. Katie Hobbs’ action. “We are committed to ensuring that our community’s voice is heard throughout this process.”
Lingering concerns about agricultural rules
Hobbs’ office said in a statement that the AMA will “protect over 8,100 people and the local economies that rely on the Willcox Basin.”
Many residents who opposed the AMA see the action as a state “overreach.” Others argue that there is an urgent need to stop agricultural expansion, but the regulatory tool, as it is, would give unfair water allotments to growers using the least water, hurt numerous family operations, and leave the largest water users virtually unaffected.
Growers in the Douglas AMA, which was designated by popular vote in 2022, have raised concerns over fixed water allotments tied to the growers’ crop history. The management plan was approved on Nov. 27 with minimal changes to the proposed version.
Hearing concerns from local growers, Ethan Orr, associate director of the University of Arizona Cooperative Extension, said he expects ADWR to consider changes to how water allotments and irrigated grandfathered rights are determined, making sure they are “not punishing growers who have invested in greater water efficiency or reduced water-usage crops.”
“ADWR staff is really competent and they are trying incredibly hard to do the right thing in this implementation,” he said. “It’s just making sure they have the right guidance and guidelines, legislatively and scientifically.”
Some of this guidance is tied to finding the right data sources and scientific evidence for things like crops’ water use, but also from the need to narrow guidelines to determine “substantial capital investment” because the statute for it is very broad, he added.
Special programs and funding could help growers save more water and adapt to some of the Douglas and Willcox AMA rules. Orr said he expects the Water Irrigation Efficiency Program, run by the university, could help. The initial $64 million in funding has all been allocated and the program is not taking new applications, but there is talk in the state Legislature to approve more funding the next session, he said.
Having lawmakers modify rules on how those funds are distributed by giving priority to growers on “emerging AMAs” could help.
Compared with other parts of the state, there is not much room for water efficiency in the Sulphur Springs Valley. Groundwater pumping has ramped up due to agricultural expansion, which the AMA can’t undo, and many farmers grow water-intensive crops, though they mostly use center pivots and drip irrigation.
“There’s marginal gains to make there,” Orr said. Programs could still focus on helping some growers transition and make the best use of these technologies by installing new tools like soil moisture sensors and weather trackers.
Locals still hope for amendments
The Sulphur Springs Water Alliance, which holds a wide range of views and brings together farmers, ranchers, homeowners, utility companies, and city and county staff, didn’t take a position on the AMA designation.
The alliance acknowledged that “groundwater declines at current rates threaten the long-term economies and well-being of residents and agricultural operations.” The group added that water use reductions “must be enacted at a sufficient pace, ranging typically from 20 to 50 years” to have real results, yet sustain a viable agricultural economy.
In a letter to ADWR, the alliance wrote that if an AMA were enacted, it should be followed by amendments or a future redesignation to a regulatory tool “specific to the nuances of the Willcox Basin.”
The alliance believes the standards of any groundwater management plan should give authority to local stakeholders who “represent the values and well-being of the local community,” have adaptive and flexible agricultural programs that don’t penalize farms that have taken steps to reduce water use, allow the transfer of water allotments and irrigation rights, and seek state and federal funding to support research and incentives to reduce water use.
Any changes to modify AMA statutes or create new regulation frameworks for rural Arizona would need to happen in the Legislature, Ferris said.
“It’s not very realistic unless legislative leaders in the Republican Party want to work toward that goal,” she said. “But they really haven’t been showing that. The idea has been to pass something that wouldn’t do anything.”
Clara Migoya covers agriculture and water issues for The Arizona Republic and azcentral. Send tips or questions to clara.migoya@arizonarepublic.com.
Big Lots store closures: What you should know
Big Lots plans to close more than 340 stores, highlighting economic challenges facing large retailers.
After months of store closures and filing for Chapter 11 bankruptcy protection, Big Lots is preparing to close all of its locations, according to a news release issued by the company on Thursday.
More than 400 stores have already been closed by the retailer in 2024 with the remaining ones set to hold “going out of business” sales. The company said it would continue to serve customers in-store and online and did not specify how long the sales would last.
“The Company is preparing to commence going out of business sales at all remaining Big Lots store locations in the coming days to protect the value of its estate,” Big Lots said in the news release.
CEO Bruce Thorn said the closures could be reversed if a company sale is completed.
The announcement comes as the company has already announced the closures of 24 locations in Arizona since July. Here’s the remaining Big Lots that are now closing.
Which Big Lots in Arizona are closing?
- Bullhead City: 2350 Miracle Mile
- Casa Grande: 1346 E. Florence Blvd.
- Glendale: 6660 W. Cactus Road
- Kingman: 3320 N. Stockton Hills Road
- Lake Havasu City: 1799 Kiowa Ave.
- Mesa: 1110 W. Southern Ave.
- Show Low: 4421 S. White Mountain Road
- Sierra Vista: 135 S. Highway 92
- Surprise: 14537 W. Grand Ave.
- Yuma: 1625 S. Fourth Ave.
Reach the reporter at reia.li@gannett.com. Follow @Reialirui on X, formerly Twitter.
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