Doug Ducey Research

8/10/2019 Doug Ducey Research

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TABLE OF CONTENTS

Table of Contents ...................................................................................................................... 2

Top Hits .................................................................................................................................. 16

Close Ties To Koch Brothers ...................................................................................................................... 16

Koch-Backed Groups Released Ads Attacking Duceys Opponents ............................................................................................ 16Ties With Koch Operatives.................................................................................................................................................................. 16

Views Himself As Above The Law .............................................................................................................. 17

Above The Law In Arizona ................................................................................................................................................................. 17

Mismanagement At Cold Stone ................................................................................................................... 18

Ducey Was CEO Of Cold Stone ........................................................................................................................................................ 18Ducey Claimed That He Built Cold Stone Without Subsidies, While Cold Stone Franchises Had A Long History OfDefaulting On Government-Backed Loans ...................................................................................................................................... 19Under Duceys Leadership, Cold Stones Sale Price Fell By One-Sixth After A Rapid Expansion And Concurrent Poor

Sales .......................................................................................................................................................................................................... 20Under Duceys Leadership, Cold Stone Had Poor Relations With Its Franchises ..................................................................... 22Opposed Increasing The Minimum Wage And Refused To Pay Workers More Than The Minimum Wage At Cold Stone................................................................................................................................................................................................................... 26Cold Stones Improper Filings Under Ducey.................................................................................................................................... 2Under Duceys Leadership, Cold Stone Was Investigated Eight Times And Fined Repeatedly For Child Labor LawInfractions ............................................................................................................................................................................................... 29Salmonella Poisoning ............................................................................................................................................................................ 29Under Duceys Leadership, Cold Stone Laid Off A Quarter Of Its Corporate Office, Over 50 Employees........................ 30

Pledged To Sign A Moratorium On New Regulations .............................................................................. 30

Supported Repealing Arizonas Clean Elections Law And Donated Millions To His Campaigns........... 31Supported Repealing Arizonas Clean Elections Law, Arizonas Public Campaign Finance System....................................... 312010: Ducey Said He Was Raising His Own Money, While He Donated 50.2 Percent Of His Campaign DonationsCame From Himself .............................................................................................................................................................................. 31Ducey Contributed Over $3.5 Million To His Own Campaigns ................................................................................................... 32

Supported Repealing Dedicated Funding For Child Health And Welfare Programs ............................... 33

Supported Repealing Program That Dedicated Funding To Child Health And Welfare Programs ........................................ 33Voters Rejected Repealing The Program ........................................................................................................................................... 33

Contempt For Working Families On Public Assistance ............................................................................ 34

Said Welfare System Gave People No Purpose In Life................................................................................................................... 34Supported Work Requirements For Welfare Recipients ................................................................................................................. 34Supported Drug Testing Welfare Recipients ..................................................................................................................................... 34

Supported Shifting Tax Burden From The Rich To The Poor .................................................................. 35

Supported Eliminating State Income Taxes ...................................................................................................................................... 36Acknowledged That Eliminating Income Taxes Disproportionately Benefitted The Wealthy ................................................ 36Supported Raising Federal Income Taxes On People Who Paid No Net Income Taxes ......................................................... 37Supported Eliminating State Corporate Income Taxes ................................................................................................................... 37Supported Eliminating Tax On Real Estate And Construction Contractors............................................................................... 37

Bad For Women .......................................................................................................................................... 38


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Supported Hobby Lobby Decision ..................................................................................................................................................... 38Ducey Was Pro-Life .............................................................................................................................................................................. 38Endorsed By Arizona Right To Life, Which Opposed Legal Abortion, Even In The Case Of Rape And Life Of TheMother ..................................................................................................................................................................................................... 38

Tepid And Indecisive On Anti-LGBT Bill ............................................................................................. 39

Brewer Eventually Vetoed Bill That Would Have Allowed Businesses To Deny Services To Gay And Lesbian Customers................................................................................................................................................................................................................... 39

Key Ducey Supporter And Center For Arizona Policy President Was Prime Backer Of Sb 1062...................................... 39February 21, 2014: Ducey Refused To Say Whether He Would Veto The Bill .......................................................................... 40February 22, 2014: Ducey Said He Would Veto The Bill ............................................................................................................... 40Arizona Republic Editorial: Duceys Handling Of SB 1062 Was Tepid And Indecisive...................................................... 41

Anti-Immigrant ............................................................................................................................................ 41

Supported Arizonas Anti-Immigrant Law ........................................................................................................................................ 41Supported Drivers License Ban For Dreamers With DACA Certification ................................................................................. 42Claimed Obama Encouraged Migrant Children Crisis .................................................................................................................... 42Criticized Federal Government For transporting Migrant Children To And Through Arizona .............................................. 42

Bad For Education ..................................................................................................................................... 42

Supported For-Profit Colleges Like University Of Phoenix .......................................................................................................... 42Inconsistent On Common Core .......................................................................................................................................................... 43Opposed Equally Funding All School Districts ................................................................................................................................ 44Wanted To Rely On Private Sector And Nonprofits To Fund Higher Education ..................................................................... 44Insulted Arizona High School Graduates; Said They Could Not Count Change At An Ice Cream Store ............................. 45

Bad On Health Care ................................................................................................................................... 45

Supported Repealing The Affordable Care Act ................................................................................................................................ 45Supported Allowing Insurance Companies To Discriminate Against People With Pre-Existing Conditions ....................... 45Opposed Arizona Medicaid Expansion, Called It A Middle Class Entitlement..................................................................... 46

Refused To Call On Schools Superintendent To Resign After Racist And Offensive Comments ............ 46

Huppenthal Was Arizona Schools Superintendent .......................................................................................................................... 46Huppenthal Made A Series Of Racist And Offensive Anonymous Comments Online That Subsequently Came To Light................................................................................................................................................................................................................... 47Huppenthal Apologized But Refused To Resign ............................................................................................................................. 47Ducey Said That, Eventually, Irresponsible People Would Be Removed From Office ............................................................ 47Ducey Refused To Call For Huppenthal To Resign ........................................................................................................................ 48

Bio And Background ............................................................................................................... 49

Overview ..................................................................................................................................................... 49

Early Life .................................................................................................................................................... 50

Education ................................................................................................................................................... 50

Ideology ...................................................................................................................................................... 50

Believed Government Could Not Create Jobs ................................................................................................................................. 50Constitutional Conservative ................................................................................................................................................................. 50Opportunity For All .......................................................................................................................................................................... 5Electing Politicians ................................................................................................................................................................................ 51Role Of Government ............................................................................................................................................................................ 51

Gun Ownership ........................................................................................................................................... 52


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US Airways .............................................................................................................................................................................................. 85Six Flags ................................................................................................................................................................................................... 86Vs Barbershop ....................................................................................................................................................................................... 8

Business Philosophies ................................................................................................................................ 86

On Marketing ......................................................................................................................................................................................... 86On McDonalds ...................................................................................................................................................................................... 8On Jim Collins ........................................................................................................................................................................................ 87

On Hiring ................................................................................................................................................................................................ 87On Ice Cream ......................................................................................................................................................................................... 88On Transforming Ice Cream Sales ...................................................................................................................................................... 88New Vision Statement .......................................................................................................................................................................... 89On Customers ........................................................................................................................................................................................ 89On Franchisees ....................................................................................................................................................................................... 90

Expansion And Franchising ........................................................................................................................ 91

Said You Dont Want Your Franchisees To Feel Like Second-Class Citizens ........................................................................ 91Ducey Dismissed Worries That Company Was Overexpanding ................................................................................................... 912001-2006: Rapid Expansion ............................................................................................................................................................... 922006: Slower Expansion........................................................................................................................................................................ 94Credited Cold Stone Growth To 95 Percent Franchising Rate ...................................................................................................... 95Former Franchisees Accused Ducey Of Dishonest Business Practices ....................................................................................... 95

Small Business Administration Loans ....................................................................................................... 96

Cold Stone Franchises Had A Long History Of Defaulting On SBA Loans .............................................................................. 96

Wages .......................................................................................................................................................... 96

Hires And Promotions ................................................................................................................................ 97

Corporate Offices ........................................................................................................................................ 97

Salmonella Poisoning ................................................................................................................................. 98

FDAs NationWide Alert For Salmonella Poisoning Associated With Cold Stone Creamerys Products During DuceysTenure ...................................................................................................................................................................................................... 98

Layoffs ........................................................................................................................................................ 98

Kahala Merger ............................................................................................................................................ 99

Cold Stone Merged With Kahala Corp, With Ducey Maintaining The Role Of CEO .............................................................. 99Contents Of Merged Company ......................................................................................................................................................... 100Acquisitions........................................................................................................................................................................................... 100Going Public ......................................................................................................................................................................................... 101

Sales Price Dispute .................................................................................................................................... 101

Cold Stones Original Sale Price Fell By Around One-Sixth In Sale Dispute ........................................................................... 101Ducey Blamed The Recession For Cold Stones Falling Fortunes In 2007, But Recession Did Not Start Until 2008...... 102Ducey Previously Claimed That, In 2007, Cold Stone Was Trending Towards Record Profitability............................... 102Poor Sales Numbers ............................................................................................................................................................................ 102

Filings ........................................................................................................................................................ 104

2000-2005: Failed To File Annual Reports Before Deadline........................................................................................................ 1042006: Cold Stone Creamery Capital Forcibly Dissolved After Repeated Warnings To File Annual Reports ...................... 1041995-2006: Failed To File Annual Reports Before Deadline 10 Times ...................................................................................... 104Blamed Late Paperwork On Paralegals ............................................................................................................................................ 105


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Competitions ............................................................................................................................................. 105

Tax Litigation ............................................................................................................................................ 105

Government Subsidies ............................................................................................................................... 108

Termination ............................................................................................................................................... 108

Four Months After Merging, Kahala Cold Stone Ended Their Relationship With Ducey ..................................................... 108Ducey Claimed That He Left To Be With His Family .................................................................................................................. 109

Other Investments ................................................................................................................. 110

iMemories, Inc. .......................................................................................................................................... 110

Overview & Duceys Role .................................................................................................................................................................. 11

FireHost, Inc. ............................................................................................................................................ 111

Overview & Duceys Role .................................................................................................................................................................. 11Notable Projects ................................................................................................................................................................................... 112Erroneous Tax Lien Placed On FireHost, Inc. In California ....................................................................................................... 112Litigation ............................................................................................................................................................................................... 112

State Treasurer ...................................................................................................................... 113

Board Of Investment Appointments ......................................................................................................... 113

Staff ............................................................................................................................................................ 113

Local Banks Investment ............................................................................................................................ 114

Maricopa County Transportation Fund .................................................................................................... 115

School Endowment .................................................................................................................................... 115

External Management ............................................................................................................................... 115

Permanent Land Endowment Trust Fund ................................................................................................ 115

Pension Fund ............................................................................................................................................. 116

Government Transformation Office .......................................................................................................... 117

Task Force On Human Trafficking .......................................................................................................... 118

Auditing ..................................................................................................................................................... 118

AZCheckbook.com .................................................................................................................................... 118

Attendance ................................................................................................................................................. 119

Ducey Missed A State Treasurer Meeting On The Same Day That He Held A Campaign Event ........................................ 119

Campaigns and Elections ..................................................................................................... 120

2010Arizona State Treasurer .................................................................................................................. 120

Campaign............................................................................................................................................................................................... 120Attacked Democratic Opponent ....................................................................................................................................................... 124Election.................................................................................................................................................................................................. 12

2014Arizona Governor ............................................................................................................................ 125

Before Announcement ........................................................................................................................................................................ 125Filing And Campaign Launch ............................................................................................................................................................ 126Policy Advisory Group ....................................................................................................................................................................... 127


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Outreach ................................................................................................................................................................................................ 127Campaign Rhetoric .............................................................................................................................................................................. 128Christine Jones Incidents .................................................................................................................................................................... 128Cold Stone Info Request .................................................................................................................................................................... 129Outside Groups .................................................................................................................................................................................... 130Campaign And Speaking Events & Debates ................................................................................................................................... 132Ducey Ads ............................................................................................................................................................................................. 135Ducey Contributed To Many Politicians Who Later Endorsed Him ......................................................................................... 136

Plan For First 100 Days In Office .................................................................................................................................................... 137

Campaign Finance .................................................................................................................................... 138

2014 Campaign Finance ...................................................................................................................................................................... 138

Relationships With Individuals ............................................................................................ 141

Joe Arpaio .................................................................................................................................................. 141

Glenn Beck ................................................................................................................................................ 141

Jan Brewer.................................................................................................................................................. 141

Called Brewer A Strong Leader ......................................................................................................................................................... 141

Brewer Congratulated Ducey After He Won The Primary, But Previously Endorsed Smith ................................................ 141Ducey Campaign Attempted To Intimidated Brewer From Spending In Support Of Smith ................................................. 141

John Bolton ................................................................................................................................................ 142

Jeb Bush ..................................................................................................................................................... 142

2012: Said Jeb Had The Right Ideas On Education................................................................................................................... 142Criticized Jeb Bush On Undocumented Immigrants ..................................................................................................................... 142

Chris Christie ............................................................................................................................................. 143

Steve Chucri ............................................................................................................................................... 143

Ted Cruz .................................................................................................................................................... 143

Mitch Daniels ............................................................................................................................................ 143

Trent Franks .............................................................................................................................................. 143

Barry Goldwater Jr. .................................................................................................................................... 144

Gretchen Hamel ........................................................................................................................................ 144

Thanked Koch Operative For Her Support .................................................................................................................................... 144Hamel Worked As Spokeswoman For Joni Ernst ......................................................................................................................... 144Hamel Led Koch-Backed TC4 Trust And Public Notice ............................................................................................................. 144

Hugh Hewitt .............................................................................................................................................. 145

Jane Hull .................................................................................................................................................... 146

John Huppenthal ....................................................................................................................................... 146

Huppenthal Was Arizona Schools Superintendent ........................................................................................................................ 146Huppenthal Made A Series Of Racist And Offensive Anonymous Comments Online That Subsequently Came To Light................................................................................................................................................................................................................. 146Huppenthal Apologized But Refused To Resign ........................................................................................................................... 146Ducey Refused To Call For Huppenthal To Resign ...................................................................................................................... 147

Randy Johnson ........................................................................................................................................... 147


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Jon Kyl ........................................................................................................................................................ 147

Wayne LaPierre .......................................................................................................................................... 148

Mike Lee .................................................................................................................................................... 148

Josh Mandel ............................................................................................................................................... 148

Richard Mourdock ..................................................................................................................................... 148

Susana Martinez ........................................................................................................................................ 148

John McCain .............................................................................................................................................. 148

2013: Met With McCain ...................................................................................................................................................................... 1482010: Campaigned With McCain ....................................................................................................................................................... 1492008: Served On McCains Leadership And Finance Teams ....................................................................................................... 149Supported McCain In 2008 ................................................................................................................................................................ 149

Al Melvin .................................................................................................................................................... 149

Michael Monti ........................................................................................................................................... 150

Lee Munsli ................................................................................................................................................. 150

Janet Napolitano ........................................................................................................................................ 150

Sean Noble ................................................................................................................................................. 150

Barack Obama ........................................................................................................................................... 151

Attacks ................................................................................................................................................................................................... 151

Sarah Palin ................................................................................................................................................. 151

Mike Pence ................................................................................................................................................ 152

Rick Perry .................................................................................................................................................. 152

Praised His Efforts As Governor ...................................................................................................................................................... 152Defended Perry Following His Indictment ..................................................................................................................................... 153

Dennis Prager ............................................................................................................................................ 153

Michelle Rhee ............................................................................................................................................ 153

Mitt Romney .............................................................................................................................................. 153

Paul Ryan ................................................................................................................................................... 154

John Shadegg ............................................................................................................................................. 154

Eric Shinseki .............................................................................................................................................. 154

Fife Symington........................................................................................................................................... 154

Jared Taylor ............................................................................................................................................... 154

Andy Tobin ................................................................................................................................................ 155

Scott Walker ............................................................................................................................................... 155

Relationship With Groups ..................................................................................................... 156

Americans For Prosperity .......................................................................................................................... 156

Thanked AFP For Campaigning With Him Against Sales Tax .................................................................................................... 156


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America West Airlines ............................................................................................................................... 156

Arizona Free Enterprise Club .................................................................................................................... 156

Endorsement ........................................................................................................................................................................................ 156Alleged Illegal Activity ........................................................................................................................................................................ 156

Arizona Right To Life ................................................................................................................................ 157

Ducey Touted His Endorsement By Arizona Right To Life ........................................................................................................ 157Arizona Right To Life Endorsed Candidates Based On Their Commitment That Life Began At Conception .................. 157

Arizona Right To Life Opposed Legal Abortion, Even In Cases Of Rape And Life Of The Woman ................................ 157

Brian Terry Foundation ............................................................................................................................. 158

Chandler Chamber Of Commerce ............................................................................................................. 158

Chicken Soup For The Soul....................................................................................................................... 158

Colorado River Republican Women .......................................................................................................... 158

Concerned Women For America ............................................................................................................... 158

Endorsement ........................................................................................................................................................................................ 158Opposed Legal Abortion, Even In The Case Of Rape Or Incest ............................................................................................... 159

Economic Club Of Phoenix ...................................................................................................................... 159

EntrepreneurshipWeek USA ..................................................................................................................... 159

FBR Open .................................................................................................................................................. 159

FreedomWorks .......................................................................................................................................... 160

Fresh Produce Association Of America .................................................................................................... 160

Legislative District 21 Republicans ........................................................................................................... 160

National Institute For Public Finance ...................................................................................................... 160

Phoenix Business Journal .......................................................................................................................... 160

Republican National Committee .............................................................................................................. 161

Scottsdale Chamber Of Commerce ........................................................................................................... 161

Small Business Alliance ............................................................................................................................. 161

Tea Party Patriots ...................................................................................................................................... 161

Issues ..................................................................................................................................... 162

Abortion And Family Planning ............................................................................................. 162

Abortion ..................................................................................................................................................... 162

Hobby Lobby ............................................................................................................................................. 162

Banking and Finance ............................................................................................................ 163

Arizona Banking Laws .............................................................................................................................. 163

Dodd-Frank ............................................................................................................................................... 163

Export-Import Bank .................................................................................................................................. 163


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Sarbanes-Oxley .......................................................................................................................................... 163

Budget ................................................................................................................................... 164

Arizona Pension Trust ............................................................................................................................... 164

Audits ......................................................................................................................................................... 164

Bonds ......................................................................................................................................................... 164

Budget Surplus .......................................................................................................................................... 164

Debt Limit ................................................................................................................................................. 165

Pensions ..................................................................................................................................................... 165

Revenue ..................................................................................................................................................... 166

State Budget ............................................................................................................................................... 166

Debt Repayment Plan ......................................................................................................................................................................... 166

Stimulus ..................................................................................................................................................... 166

Unfunded Mandates .................................................................................................................................. 166

Business ................................................................................................................................. 167

Business Recruiting ................................................................................................................................... 167

Business Subsidies And Incentives ........................................................................................................... 167

Corporations .............................................................................................................................................. 167

Children And Families .......................................................................................................... 169

Department Of Child Safety ...................................................................................................................... 169

Foster Care And Adoption ................................................................................................................................................................. 169

Child Protective Services .................................................................................................................................................................... 169

First Things First Program ........................................................................................................................ 170

Supported Repealing Program That Dedicated Funding To Child Health And Welfare Programs ...................................... 170Voters Rejected Repealing The Program ......................................................................................................................................... 170

Crime And Public Safety ....................................................................................................... 171

Clemency ................................................................................................................................................... 171

Death Penalty ............................................................................................................................................ 171

Drug Trafficking ........................................................................................................................................ 171

State-Wide Strike Force ...................................................................................................................................................................... 171

Marijuana ................................................................................................................................................... 171

Defense And National Security ............................................................................................. 173

Arizona Military Bases ............................................................................................................................... 173

Davis-Monthan .................................................................................................................................................................................... 173

Prisoner Exchanges ................................................................................................................................... 173

Bowe BergdahlTaliban Exchange ................................................................................................................................................. 173


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Economy and Jobs ................................................................................................................ 174

Arizona Economy ...................................................................................................................................... 174

Fiscal Situation...................................................................................................................................................................................... 174

Education .............................................................................................................................. 175

Proposition 118 ........................................................................................................................................... 175

Proposition 118 Stabilized Endowment Funding .......................................................................................................................... 175

Ducey Came Up With The Idea And Was The Lead Promoter .................................................................................................. 175Proposition 118 Was Approved By REferendum .......................................................................................................................... 176

Catholic Schools ........................................................................................................................................ 176

Charter Schools .......................................................................................................................................... 176

Supported Charter Schools ................................................................................................................................................................ 176Wait Lists ............................................................................................................................................................................................... 177

Education Funding.................................................................................................................................... 178

Supported Reforming Education Funding Formulas .................................................................................................................... 178Opposed Equally Funding All School Districts .............................................................................................................................. 178

Supported Repealing Court Decision Requiring Arizona To Increase Education Funding By $300 Million ...................... 179Common Core ............................................................................................................................................ 179

July, 2014: Ducey Said He Would Stop Common Core ................................................................................................................ 179March, 2014: Opposed Common Core ............................................................................................................................................ 179March, 2014: Refused To Say What He Would Do About Common Core .............................................................................. 1802012: Supported Using Rainy Day Fund To Train Teachers In Common Core Standards .................................................... 180

Education Standards ................................................................................................................................. 180

Civics ...................................................................................................................................................................................................... 180Grading Schools ................................................................................................................................................................................... 181Reading .................................................................................................................................................................................................. 181

Reading Tests For Third Grade ......................................................................................................................................................... 181

University Funding .................................................................................................................................... 182

Said Administrators Need To Cut Their Own Budgets ................................................................................................................ 182Wanted To Rely On Private Sector And Nonprofits To Fund Higher Education ................................................................... 182

For-Profit Higher Education ..................................................................................................................... 182

Supported For-Profit Colleges Like The University Of Phoenix ................................................................................................ 1822004: University Of Phoenix Paid $9.8 Million Settlement For Illegal Compensation Schemes ........................................... 1822008: Students Of For-Profits Were Responsible For Almost Half Of Loan Defaults........................................................... 183Study: Ninety Five Percent Of Students AT For-Profits Used Federal Loans.......................................................................... 183

Received Donations From Corporate Owner Of University Of Phoenix ................................................................................. 183Teacher Tenure ......................................................................................................................................... 183

Energy and the Environment................................................................................................ 184

Alternative Energy ..................................................................................................................................... 184

Coal ............................................................................................................................................................ 184

Fracking ..................................................................................................................................................... 184

Kyoto Protocol ........................................................................................................................................... 185


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Land Management .................................................................................................................................... 185

Privatization .......................................................................................................................................................................................... 185

Mining ....................................................................................................................................................... 185

Foreign Policy ....................................................................................................................... 186

Israel .......................................................................................................................................................... 186

Iran ............................................................................................................................................................. 186

Divestment ............................................................................................................................................................................................ 186

Guns ....................................................................................................................................... 187

Gun Control ............................................................................................................................................... 187

Mass Shootings .......................................................................................................................................... 187

Tuscon Shooting .................................................................................................................................................................................. 187

Second Amendment ................................................................................................................................... 187

Hunting ..................................................................................................................................................... 187

Government Reform .............................................................................................................. 188

Campaign Finance .................................................................................................................................... 188

Arizona Clean Elections Law ............................................................................................................................................................. 188

Independent Redistricting Commission ................................................................................................... 189

Lobbying .................................................................................................................................................... 189

Lobbying Complaint ............................................................................................................................................................................ 189

Privatization ............................................................................................................................................... 189

Regulations ................................................................................................................................................ 190

Pledged To Sign A Moratorium On New Regulations .................................................................................................................. 190Supported Some Regulations ............................................................................................................................................................. 190

State Employees ........................................................................................................................................ 191

Technology ................................................................................................................................................ 191

Tort Reform ............................................................................................................................................... 191

Working Hours .......................................................................................................................................... 191

Health Care ........................................................................................................................... 192

Affordable Care Act ................................................................................................................................... 192Supported Repealing The ACA ......................................................................................................................................................... 192Medicaid Expansion ............................................................................................................................................................................ 192Criticized Supreme Court Upholding ACA As Constitutional .................................................................................................... 193Mandate Opt Out ................................................................................................................................................................................ 194

Health Care Reform Alternatives .............................................................................................................. 194

Medical Marijuana ..................................................................................................................................... 195

Opposed Legalized Medical Marijuana ............................................................................................................................................ 195

Immigration........................................................................................................................... 196


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Undocumented Immigrants ...................................................................................................................... 196

Drivers License Ban ........................................................................................................................................................................... 19SB 1070 .................................................................................................................................................................................................. 196Opposed Amnesty ........................................................................................................................................................................... 19Opposed Chain Migration .............................................................................................................................................................. 19Supported Deputizing Churches And Nonprofits To Care For Detained Immigrants ........................................................... 197

Border Security .......................................................................................................................................... 197

Supported Increased Border Security Spending ............................................................................................................................. 197Supported Charging The Federal Government For Detaining Undocumented Immigrants ................................................. 198Supported Deploying Fences, Satellites And Drones To The Border ........................................................................................ 198Criticized Obama On Border Security ............................................................................................................................................. 199Supported More Harshly Prosecuting Violent Crimes Committed By Undocumented Immigrants .................................... 199Claimed His Immigration Rhetoric Would Not Hurt His Standing With Hispanics ............................................................... 199Border Security And Illegal Immigration Were Not At The Forefront Of Duceys Agenda............................................. 200

Migrant Children ....................................................................................................................................... 200

Claimed Obama Encouraged Migrant Children Crisis .................................................................................................................. 200Criticized Federal Government For transporting Migrant Children To And Through Arizona ............................................ 200

Criticized Federal Government For Supposedly Abandoning Children At Bus Stations In ARizona .................................. 201Judicial Affairs ....................................................................................................................... 202

Judge Appointments .................................................................................................................................. 202

LGBT ..................................................................................................................................... 203

Discrimination ........................................................................................................................................... 203

Brewer Eventually Vetoed Bill That Would Have Allowed Businesses To Deny Services To Gay And Lesbian Customers................................................................................................................................................................................................................. 203Key Ducey Supporter And Center For Arizona Policy President Was Prime Backer Of Sb 1062.................................... 203February 21, 2014: Ducey Refused To Say Whether He Would Veto The Bill ........................................................................ 204

February 22, 2014: Ducey Said He Would Veto The Bill ............................................................................................................. 204Arizona Republic Editorial: Duceys Handling Of SB 1062 Was Tepid And Indecisive.................................................... 205

Labor ...................................................................................................................................... 206

Child Labor ................................................................................................................................................ 206

Minimum Wage ......................................................................................................................................... 206

Paid Vacation ............................................................................................................................................. 207

Minorities............................................................................................................................... 208

Racial Preferences ..................................................................................................................................... 208Opposed Racial Or Gender Prefernces In State Employment, Education Or Contracting ................................................... 208

Public Assistance ................................................................................................................... 209

Social Justice .............................................................................................................................................. 209

Supported Claim That Social Justice Was Corruption ................................................................................................................... 209

Welfare System ........................................................................................................................................... 209

Said Welfare System Gave People No Purpose In Life................................................................................................................. 209

Work Requirements ................................................................................................................................... 209


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Supported Work Requirements For Welfare Recipients ............................................................................................................... 209

Drug Testing ............................................................................................................................................. 209

Supported Drug Testing Public Assistance Recipients .................................................................................................................. 209Tennessees Drug Testing Program Found 1.2 Percent Of Welfare Applicants Did Not Pass The Drug Test.................. 210Floridas Drug Testing Program Found 2.6 Percent Of Welfare Applicants Tested Positive For Drug Use...................... 211

Child Poverty ............................................................................................................................................. 211

Said His Solution To Child Poverty Was Growing Small Business ............................................................................................. 211

Science and Technology ....................................................................................................... 212

Research And Development ...................................................................................................................... 212

Said Being Governor Would Help Funnel Money To Research And Development ............................................................... 212

Seniors ................................................................................................................................... 213

Social Security ............................................................................................................................................ 213

Taxes ...................................................................................................................................... 214

Contractors Tax ......................................................................................................................................... 214

Proposition 204 .......................................................................................................................................... 214

Opposed Proposition 204, Which Would Have Made A Temporary Sales Tax Increase Permanent ................................... 214Ducey Chaired The Opposition To Prop 204 Committee, Which Raised Hundreds Of Thousands From RepublicanDonors ................................................................................................................................................................................................... 214Ad ........................................................................................................................................................................................................... 216Duceys Official Calendar Did Not Include Any No On Prop. 204 Events ............................................................................. 216Press Reaction: Duceys Claim That Prop. 204 Would Raise Taxes Was Misleading.............................................................. 217Prop 204 Was Defeated ...................................................................................................................................................................... 217

Tax Reform ................................................................................................................................................ 218

Supported Reforming State Taxes .................................................................................................................................................... 218

Sales Tax .................................................................................................................................................... 218

HB 2111 ................................................................................................................................................................................................ 218

Individual Income Taxes .......................................................................................................................... 219

Supported Eliminating State Income Taxes .................................................................................................................................... 219Acknowledged That Eliminating Income Taxes Disproportionately Benefitted The Wealthy .............................................. 220Supported Raising Federal Income Taxes On People Who Paid No Net Income Taxes ....................................................... 220

Corporate Income Taxes ........................................................................................................................... 221

Supported Eliminating State Corporate Income Taxes ................................................................................................................. 221Federal Corporate Income Taxes ...................................................................................................................................................... 221

Tax Increases ............................................................................................................................................. 222

Municipal Bond Investments .................................................................................................................... 222

Special Taxing District System ................................................................................................................. 222

Transportation ....................................................................................................................... 223

Uber ........................................................................................................................................................... 223

Veterans ................................................................................................................................. 224


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Department Of Veterans Affairs ................................................................................................................ 224

Women ................................................................................................................................... 225

Gender Preferences .................................................................................................................................... 225

Opposed Racial Or Gender Prefernces In State Employment, Education Or Contracting ................................................... 225

Appendix................................................................................................................................ 226

Labor Practices .......................................................................................................................................... 226


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TOP HITS

Close Ties To Koch Brothers

KOCH-BACKED GROUPS RELEASED ADS ATTACKING DUCEYS OPPONENTS

Tucson Weekly: Unofficially In Duceys Corner: Sean Noble, A Dark-Money Kingpin Who Moved $137 Million

Through Various Political Enterprises Controlled By The Koch Brothers In 2012.According to Tucson Weekly, Alsounofficially in Duceys corner: Sean Noble, a dark-money kingpin who moved $137 million through various politicalenterprises controlled by the Koch Brothers in 2012, according to a Pro Publica investigation published earlier this year. Noblehas been linked to groups that have targeted other Republicans in the race, including Scott Smith and Christine Jones, as beingtoo close to President Barack Obama or Hillary Clinton. [Tucson Weekly, 7/3/14]

Ducey Ally Sean Nobles Firm DC London Ran An Ad Attacking Christine Jones. According to the Arizona CapitolTimes, A conservative veterans group is running ads attacking GOP gubernatorial hopeful Christine Jones for praisingformer Secretary of State Hillary Clinton just months after 2012 terrorist attack on the U.S. consulate in Benghazi that hasbecome a cause celebre among Republicans. [] The ad was produced by consulting firm DC London, which is run by SeanNoble, an ally of Jones rival Doug Ducey. [Arizona Capitol Times, 5/29/14]

Ducey Denied Involvement With The Ad.According to the Arizona Republic, A Ducey spokeswoman says he hadnothing to do with either of the dark-money ads targeting his opponents or a third one by Conservative Leadership forArizona, a pro-Ducey group that ran ads accusing Jones of lying about her resume. Frankly, I have a hard timeunderstanding how any of the ads you mention exclusively benefit Doug when there are six other candidates in this race,said Duceys spokeswoman, Melissa DeLaney. [Arizona Republic, 6/2/14]

Ducey Ally Sean Nobles 60 Plus Association RanAds Attacking Scott Smith On Global Warming.According to theArizona Capitol Times, A Virginia-based conservative group is airing ads in Phoenix and Tucson attacking Republicangubernatorial candidate Scott Smith for supporting an international agreement to combat global warming. [] 60 PlusAssociation has strong ties to Phoenix political consultant Sean Noble, an ally of Republican state Treasurer Doug Ducey, whois also running for governor. One non-profit group Noble founded sent the Virginia-based 60 Plus Association nearly $11million in the run up to the 2010 elections. [Arizona Capitol Times, 7/1/14]

TIES WITH KOCH OPERATIVES

Ducey Thanked Koch Operative Gretchen Hamel For Her Support. According to Doug DuceyTwitter, ThxGretchen! @DCgretchen: .@dougducey named one of the Arizonians that could change the state [Doug Ducey Twitter,12/26/13]

Hamel Was Listed As Program Leader For Koch Brothers Group TC4 Trust. According to the Washington Post,The Washington Post and the Center for Responsive Politics identified a coalition of allied conservative groups active inthe 2012 elections that together raised at least $407 million, backed by a donor network organized by the industrialistsCharles and David Koch. Most of the funds originated with two groups, the Freedom Partners Chamber of Commerceand TC4 Trust, both of which routed some of the money through a Phoenix-based nonprofit group called the Center toProtect Patient Rights (CPPR). The makeup of the coalition may change going forward, but in 2012 the network consistedof: [] Public Notice, a policy nonprofit that highlights the impacts of government spending. Its executive director,Gretchen Hamel, was listed as a program leader for TC4 on the groups first tax filing. [Washington Post,1/5/14]

Charles And David Kochs Political Network Received More Funding Than Other Independent Groups On TheRight As Well As Labor, Channeled Through A Number Of Politically Active Nonprofit Groups And A MazeOf Groups That Hid Its Donors.According to the Washington Post, The political network spearheaded byconservative billionaires Charles and David Koch has expanded into a far-reaching operation of unrivaled complexity,built around a maze of groups that cloaks its donors, according to an analysis of new tax returns and other documents.The filings show that the network of politically active nonprofit groups backed by the Kochs and fellow donors in the2012 elections financially outpaced other independent groups on the right and, on its own, matched the long-established
https://twitter.com/dougducey/status/416346685388771328https://twitter.com/dougducey/status/416346685388771328http://www.washingtonpost.com/politics/the-players-in-the-koch-backed-400-million-political-donor-network/2014/01/05/714451a8-74b5-11e3-8b3f-b1666705ca3b_story.htmlhttp://www.washingtonpost.com/politics/the-players-in-the-koch-backed-400-million-political-donor-network/2014/01/05/714451a8-74b5-11e3-8b3f-b1666705ca3b_story.htmlhttp://www.washingtonpost.com/politics/the-players-in-the-koch-backed-400-million-political-donor-network/2014/01/05/714451a8-74b5-11e3-8b3f-b1666705ca3b_story.htmlhttp://www.washingtonpost.com/politics/the-players-in-the-koch-backed-400-million-political-donor-network/2014/01/05/714451a8-74b5-11e3-8b3f-b1666705ca3b_story.htmlhttps://twitter.com/dougducey/status/416346685388771328


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national coalition of labor unions that serves as one of the biggest sources of support for Democrats. [Washington Post,1/5/14]

Views Himself As Above The Law

ABOVE THE LAW IN ARIZONA

Ducey Had A $15,000 Lien On His Home Because He Did Not Pay Property Taxes In 2008 And 2009

Ducey Had A $15,000 Lien Placed On His Paradise Valley Home After The Non-Payment Of Property Taxes In2008 And 2009.According to Arizona Republic, A leading Republican candidate for state treasurer failed to pay taxes on hisParadise Valley home for more than two years, risking the loss of his property until he paid up. Doug Ducey, former CEO ofCold Stone Creamery, had a $15,000 lien placed on his property after the non-payment of property taxes in 2008 and 2009.[Arizona Republic, 8/8/10]

Ducey Said A Person He Had Hired To Oversee His Taxes Had Mishandled The Bills For 2006, 2008 And 2009.According to the Arizona Republic, Doug Ducey, a leading Republican candidate for the office, said a person he hadhired to oversee his taxes had mishandled the bills for 2006, 2008 and 2009. He declined to identify the individual, sayinghe didnt want to make excuses. At the end of the day, its my responsibility, said Ducey, 46, the former CEO of Cold

Stone Creamery. Im admitting to this mistake and I can commit that it wont happen again. [Arizona Republic,8/10/10]

Ducey Campaign Admitted That Ducey Was Late To Pay His Property Taxes In 2008 And 2009, But Said That HeWas Current On His Taxes.According to Ducey 2014, HERES THE TRUTH [] MYTH: Doug failed to pay hisproperty taxes in 2008 and 2009. FACT: This attack suggests that Doug currently has outstanding tax bills, which is not true.Doug paid any outstanding taxes on his property more than four years ago. It was an accounting oversight that has beenremedied, and there have been no outstanding tax issues since. [Ducey 2014, Accessed8/22/14]

Ducey Said There Was Some Confusion In The Billing But Would Not Elaborate On What Led To TheConfusion.According to Arizona Republic, There was some confusion in the billing, he said. As soon as we were awaremoney was owed, we paid it. Ducey, 46, would not elaborate on what led to the confusion. [Arizona Republic, 8/8/10]

Ducey Had Multiple Traffic Tickets

Ducey Was Cited Four Times For Speeding.Ducey and his wife has been cited for speeding six times in Arizona. Detailsof the speeding citations are provided in the table below:

Case Name CaseNumber

Date Filed Location PartyRole

Nature

Maricopa Countyv. DouglasAnthony Ducey

CT2009-678062

11/23/2009 Maricopa County JusticeCourtArrowhead,Arizona

Defendant Traffic citation. Case details wereunavailable from electronicrecords. Case is adjudicated.

State of Arizona v.Douglas AnthonyDucey

J-1302-TR-20074106

07/13/2007 Verde Valley Justice,Arizona

Defendant Local traffic charge. Depositforfeited on 07/31/2007.


0724TR-0500307

06/15/2005 Maricopa County JusticeCourtNorth Valley,Arizona

Defendant Traffic citation. Case details wereunavailable from electronicrecords. The case is terminated.


0711TR-0102377

11/21/2001 Maricopa County JusticeCourtMcDowellMountain, Arizona

Defendant Traffic citation. Case details wereunavailable from electronicrecords.

[Public Access to Court Electronic Records, Doug Ducey,http://pacer.psc.uscourts.gov;Arizona Judicial Branch, DougDucey, Angela Ducey,https://apps.supremecourt.az.gov;Maricopa County Justice Court, Ducey, Douglas, Angela,http://justicecourts.maricopa.gov]
http://www.washingtonpost.com/politics/koch-backed-political-network-built-to-shield-donors-raised-400-million-in-2012-elections/2014/01/05/9e7cfd9a-719b-11e3-9389-09ef9944065e_story.htmlhttp://www.washingtonpost.com/politics/koch-backed-political-network-built-to-shield-donors-raised-400-million-in-2012-elections/2014/01/05/9e7cfd9a-719b-11e3-9389-09ef9944065e_story.htmlhttp://dougducey.com/truth/http://dougducey.com/truth/http://dougducey.com/truth/http://pacer.psc.uscourts.gov/http://pacer.psc.uscourts.gov/http://pacer.psc.uscourts.gov/https://apps.supremecourt.az.gov/publicaccess/caselookup.aspxhttps://apps.supremecourt.az.gov/publicaccess/caselookup.aspxhttps://apps.supremecourt.az.gov/publicaccess/caselookup.aspxhttp://justicecourts.maricopa.gov/FindACase/casehistory.aspxhttp://justicecourts.maricopa.gov/FindACase/casehistory.aspxhttp://justicecourts.maricopa.gov/FindACase/casehistory.aspxhttps://apps.supremecourt.az.gov/publicaccess/caselookup.aspxhttp://pacer.psc.uscourts.gov/http://dougducey.com/truth/http://www.washingtonpost.com/politics/koch-backed-political-network-built-to-shield-donors-raised-400-million-in

Documents

Doug Ducey Research