Photo by Gage Skidmore | Flickr CC BY-SA 2.0
By Reagan Priest | State Affairs
Gov. Katie Hobbs is proposing a state government version of the controversial federal Department of Government Efficiency, saying it’ll save the state $100 million by the end of fiscal year 2029.
Hobbs’ Arizona Capacity and Efficiency initiative was rolled out on Friday as part of her executive budget proposal and includes several projects which can be implemented without legislative approval. Notably, the executive budget also does not rely on revenue savings from Hobbs’ ACE initiative.
The program will focus on streamlining the state’s procurement process, reducing the amount of state-owned property and vehicles, utilizing technology and artificial intelligence to automate certain government functions and increasing oversight of the state’s Medicaid program. Christian Slater, Hobbs’ communications director, told reporters on Friday that the ACE initiative will not “slash and burn” the way President Donald Trump’s DOGE did in 2025.
“I think it just reflects the governor’s ongoing commitment to efficiency in state government, and … we’re going to do it very differently from the federal government, we’re going to show the federal government how to do it right,” Slater said.





