Annual Report
State Fiscal Year 2012

Janice K. Brewer, Governor

Janice K. Brewer
Governor

Clarence H. Carter
Director

The Honorable Janice K. Brewer
Governor of Arizona
1700 West Washington
Phoenix, Arizona 85007
Dear Governor Brewer:
The Arizona Department of Economic Security’s Annual Report for the period July 1, 2011, through June
30, 2012, is enclosed. This report is submitted pursuant to A.R.S. § 41-1960, which requires the
Department to make an annual report of Arizona’s economic security needs and resources; the use,
training, and placement of manpower; and recommendations for the forthcoming fiscal year for the
state’s development of relevant programs. Also included in the report is a status report and an evaluation of
the children and family services training program, as required by A.R.S. § 8-503.01.
This report provides an overview of the Department’s achievements in meeting the needs of
Arizonans over the previous fiscal year. The report highlights the Department’s actions to enhance the
safety and self-sufficiency of vulnerable individuals in our state by working toward a more person-centric
service delivery model.
The Department is committed to continue to build on the successes highlighted in this report to achieve our
mission to promote the safety, well-being, and self-sufficiency of Arizona’s children, adults, and families.
If you have any questions, please contact me at (602) 542-5757.
Sincerely,

Clarence H. Carter
Director
Enclosure
_________________________________________________________________________________________
1717 W. Jefferson, S/C 010A, Phoenix, AZ 85007  P.O. Box 6123, Phoenix, AZ 85005
Telephone (602) 542-5678  Fax (602) 542-5339  www.azdes.gov

TABLE OF CONTENTS
Section

Page

1 – Department of Economic Security Overview ........................................................................... 1
2 – Trends in Human Services and the DES Response to the State’s Economic Security Needs .. 2
3 – Use, Training, and Placement of the Department’s Workforce ................................................ 6
4 – Children and Family Services Training Program Annual Report ............................................. 9
5 – State Fiscal Year 2012 Highlights and Accomplishments ...................................................... 15
6 – Economic Conditions and Outlook ......................................................................................... 27
7 – Statistics .................................................................................................................................. 33

Section 1 – Department of Economic Security Overview
The Department of Economic Security (DES or Department) is an integrated human services
agency that provides critical protective and assistance services to Arizona’s children, adults, and
families.
The Arizona State Legislature established DES (A.R.S. § 41-1954) in 1972 by consolidating the
authority, power, and duties of five separate state agencies, followed by a sixth in 1974. The intent of the 1972 legislation and subsequent amendments was to provide an integrated approach to
human services.
The DES vision is a bold one: every child, adult, and family in the State of Arizona will be safe
and economically secure. In order for this vision to be realized, DES has established four goals:
1.
2.
3.
4.

Strengthen individuals and families.
Increase self-sufficiency.
Collaborate with communities to increase capacity.
Increase efficiency and effectiveness through innovation and accountability.

This report highlights areas of focus for DES in its efforts to provide services to Arizona’s
children, adults, and families to ensure that they have an opportunity to live safely and become
self-sufficient. These areas vary in scope, from those designed to provide families with a safety
net to meet basic needs such as housing and food, to programs intended to ensure that children
who are unable to reside with their birth parents are provided the opportunity to grow up in the
homes of relative caregivers or in other secure environments.
As of the end of State Fiscal Year (SFY) 2012, DES had approximately 9,300 utilized FTE
Positions and operated from 135 direct-service offices, 15 residential facilities, and 25
administrative and training offices. DES owns 30 of the facilities, and the remaining locations
are leased. The Department is divided into six districts with the central administration located in
Phoenix.
The Department has more than 18,000 contracts and agreements with nonprofit and for-profit
organizations, governmental agencies, Tribal governments, and other community partners
throughout Arizona. These contracts provide services to Arizonans across the human service
delivery continuum and critical operational support to the Department and its staff.
DES and its provider networks promote the safety, well-being, and self-sufficiency of Arizonans.
The broad program areas include: Child Protective Services (CPS); child welfare services to
provide families the tools they need to care for their children; foster care and adoption support;
child care assistance to help low-income parents become and remain employable; Adult
Protective Services (APS) and a range of in-home supports for older Arizonans to help them
remain independent; domestic violence and homeless shelters and supports; food and nutrition
services; utility assistance; early intervention services for infants and toddlers with
developmental delays; home- and community-based services for individuals with developmental
disabilities; unemployment insurance; employment assistance, including vocational rehabilitation
and job training; child support enforcement; refugee resettlement services; financial support; and
eligibility determination for much of the state’s Medicaid program, the Arizona Health Care Cost
Containment System (AHCCCS).
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Section 2 – Trends in Human Services and the DES Response to the
State’s Economic Security Needs
Caseloads and Budget
During SFY 2012, Arizona continued to recover from the recent economic downturn. The
economic recession continues to have a major impact on the state. This continues to fuel a
demand for the Department’s services, creating multiple challenges to meet the growing human
services needs of Arizona’s residents as more and more individuals and families are forced to
request assistance for the first time. Cuts to the Department’s budget from the beginning of SFY
2009 through the end of SFY 2011 resulted in steep reductions across the Department’s
programs and operations. Benefits were cut, waiting lists were implemented, programs and
contracts were eliminated, provider rates were reduced, and the Department and private sector
contractor agencies experienced staff reductions. In addition, in SFY 2012, the Department had
to deal with the elimination of previously available federal stimulus funds, which were used in
previous years to backfill a portion of the lost General Fund.
The Department continues to maintain high caseload levels in some critical safety net services
such as the Supplemental Nutrition Assistance Program (SNAP, formerly the Food Stamp
Program), child protective service investigations, and children’s out-of-home care. Although the
overall economy is showing signs of a comeback, these safety net servi ces provided by the
Department continue to be important to persons experiencing financial and social challenges.
During SFY 2012:


The SNAP average monthly caseload increased slightly to a total of 481,901 cases ending
June 2012. Since the beginning of SFY 2009, the SNAP monthly caseload has increased by
over 77 percent or 209,696 cases.



The number of CPS reports received for investigation increased by 16.2 percent, from 34,904
to 40,548 comparing SFY 2011 to SFY 2012.



The number of children enrolled in out-of-home care increased by 21.6 percent, from 11,011
to 13,385 comparing June 2011 to June 2012.

Department Public-Private Partnerships
The Department has been finding ways to mitigate the impact of budget reductions by promoting
administrative and programmatic efficiency. Across all aspects of the Department, changes have
been made to focus activity on the customer in an effort to provide needed services in a more
person-centric process. The purpose is to ensure that DES manages its resources so that persons
in need receive required services with as few obstacles as possible.
The Department has, over the years, examined its operating support systems to help ensure that
where it appeared that the private sector could more efficiently and cost-effectively provide
support, DES has taken advantage of that opportunity.
2



The following program services are currently outsourced by the Department through
contracts:
o Shelter and case management services for people experiencing homelessness;
o Shelter and supportive services for victims of domestic violence;
o Food and utility supports;
o Independent living and other community-based supports for elders;
o Refugee resettlement services;
o The Jobs Program;
o An array of child welfare services for children and families involved with CPS;
o Home recruitment, study, and supervision services for targeted recruitment of potential
foster families and of DES-certified family child care homes;
o Child care services through payments to contracted child care providers on behalf of
eligible families for services rendered;
o Child support payment processing;
o Employer new hire reporting, which is used to validate employment and the incomes of
child support obligors;
o Acute and long-term care services to individuals with developmental disabilities;
o Rehabilitation and vocational services for individuals with disabilities to obtain or
maintain employment and independence in the community; and
o Service coordination and therapies for children who are referred to the Arizona Early
Intervention Program.



The following business functions are currently outsourced within the Department:
o Mailroom services;
o Office supply delivery;
o Specialized printing;
o Office-moving services;
o Electronic Benefits Transfer (EBT) card issuance for cash assistance, nutrition assistance,
unemployment insurance benefits, and child support;
o Electronic pay card issuance for unemployment benefits and child support payments;
o Translation and interpretation services;
o Teleconferencing and digital recording of Appellate Services Administration (ASA)
hearings; and
o Telephone systems.

Meeting Needs through Technology
The Department requires a sound technological infrastructure to support person-centered service
delivery, increased demand for services, and e-government expansion to improve access to
services and facilitate improved outcomes for children, adults, and families throughout Arizona.
In an environment of diminishing resources, DES is doing its best to expand the capability and
functionality of aging Department systems to continue to meet internal and external business
needs. DES is also continuing to provide enhanced customer self-service capabilities through the
use of Internet and interactive voice response (IVR) systems and expanding its use of imaging
and document solutions in order to reduce costs and increase staff efficiency. Listed are
highlights of these efforts.
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

Since 2010, applicants and participants in Cash Assistance (CA), SNAP, and Medicaid have
been able to review ongoing case status, report family changes, and receive important help
regarding their cases via the My Family Benefits (MFB) Web site. This Web site has
become a proven tool for empowering clients to maintain and monitor benefits and activity
from the point of application forward. This process has benefited clients by making the
information they need to understand their cases more readily available. It has been effective
in reducing lobby and call center inquiries by allowing the client to submit change reports
through the Web site. During SFY 2012, there were 676,721 hits on the MFB Web site, an
increase of 26 percent over SFY 2011. These hits resulted in over seven million page views
and submittal of over 100,000 change reports by program participants.

The MFB site has also been successful with outreach by redirecting clients to additional
information such as:
o Electronic Benefit Transfer (EBT) account information;
o Updates on potential benefit overpayments;
o AHCCCS health coverage;
o Use of the online Health-e-Arizona (HEA) application; and
o Hunger Relief Program.


In February 2012, the Division of Employment and Rehabilitation Services (DERS)
successfully implemented a new AZ Job Connection Web site, a comprehensive source of
employment opportunities and resources for job seekers, employers, and training providers.
The site also provides tools for workforce development professionals to increase efficiency
and improve employment outcomes for persons seeking job-locating assistance.



In SFY 2012, the Division of Aging and Adult Services (DAAS) initiated a project to replace
three legacy applications with a new Web-based application that will streamline and
standardize statewide processes related to intake, referral, and case management for aging
services, and contract and financial management services for all programs and services
provided through the Division. The new system is scheduled to be fully implemented in SFY
2014.



The Division of Children, Youth and Families (DCYF) implemented a new Web site for
foster care parents to submit and verify their billings online. An online self-enrollment
module is planned for SFY 2013 to facilitate widespread usage. This site will expedite
payments to foster care providers and reduce the time and costs associated with paper bills
and postage.



The Department currently utilizes eight IVR telephone systems for applicant and recipient
use. The IVRs provide many of the same services that have been provided by Department
staff and allows users to receive information without staff intervention. One particular
Department IVR allows users to move from Department services to connect directly with
other state agencies such as AHCCCS. Usage of the IVR systems remains relatively high,
with 2.2 million calls going through the Division of Benefits and Medical Eligibility
(DBME) IVR system alone during SFY 2012.

4



Overall usage of DES’s self-service applications continues to increase, indicating widespread
acceptance by DES customers:
o The number of child support payments made through the Division of Child Support
Enforcement (DSCE) Payment Gateway increased by 23 percent from SFY 2011 to SFY
2012. Electronic payments may be made over the Internet, by phone, or in person using
point of sale terminals in a local office.
o The number of Unemployment Insurance (UI) tax reports filed online increased by 45
percent over SFY 2011.
o Eighty-seven percent of UI claims are consistently filed electronically via the Internet and
IVR.
o Use of the HEA application, which supports CA, SNAP, and Medicaid application
processes, increased 40 percent to 556,910 applications from SFY 2011 to SFY 2012.



DCYF partnered with a software vendor to provide training and support in the use of Dragon
Speak software. DCYF has made Dragon Speak software available for more than two-thirds
of its employees to increase documentation quality and decrease the time required to
document case information. In SFY 2013, DCYF plans to purchase another six hundred
units, which should make Dragon Speak available to any staff member wishing to use it.



Most of the Department’s programs use the OnBase document imaging process electronic
case files for Department records that must be stored electronically for easy access and for
cost effectiveness. In SFY 2012, the Department received a SNAP Process and Technology
Improvement Grant that will allow it to pilot an automated document recognition and
indexing software product in SFY 2013. The software product will be able to recognize the
type of document that is scanned and then index the document into its online document
management system, OnBase, without user input. The result of this program will save staff
time by enabling quicker access to client documentation.

5

Section 3 – Use, Training, and Placement of the Department’s Workforce
During SFY 2012, DES designed and implemented a new enterprise training function that
featured a federated model, composed of a centralized enterprise training administration, the
Training and Development Administration (TDA), working closely with division-owned training
units. The TDA is responsible for ensuring all training is developed and delivered according to
standards designed to ensure high quality; for providing training support services; and for
developing agencywide training. Divisions continue to be responsible for identifying what
training is to be developed, prioritizing projects, setting training resource levels, and developing
division-specific training. This model provides the best blend of technical training expertise and
accountability to the division. To better enable the close association of central and division
training functions, Division Training Managers report equally to the division and to the TDA
Program Administrator.
Division Training Managers and their staff were instrumental in the design and implementation
of the enterprise function. Work groups composed of staff from all division training units
determined the details of implementation; the Division Training Managers provided input and
approved the final plan, and they have moved its implementation forward. The benefits of this
collaborative approach and the impact that the division training units have had and will have on
the eventual success of the enterprise training function cannot be overstated.
One aspect of this new approach has been the adoption of a single set of quality standards for
training development, delivery, and evaluation. DES uses the widely recognized systematic
approach to curriculum design (known by the acronym “ADDIE”) for training development and
the Phillips’ Return on Investment (ROI) Methodology of Evaluation for evaluating the
effectiveness of training. Both are industry standards. The ADDIE process helps ensure that
training prepares the learner to perform the objectives set by the agency to the criteria established
by the agency. Phillips’ ROI evaluation is used to determine whether training is accomplishing
that goal and to identify improvements if training is not having the desired impact.
Training staff have been learning to use these standards by participating in certification programs
in Instructional Systems Design and Instruction. As of January 1, 2013, only certified staff will
be authorized to develop or deliver Department training. DES also hosted an evaluation
certification taught by Dr. Jack Phillips, founder of the Phillips’ ROI model. The certification
program was delivered to training professionals across the agency. Those who completed the
evaluation certification are now certified to deliver a two-day evaluation workshop to others
within DES.
Another important aspect is the recording of all training through the official learning
management systems for DES (Lawson HRIS for employees and the Event Registration and
Management Application (ERMA) for contractors and volunteers). Recording training centrally
enables better training compliance reporting and eliminates waste associated with multiple
learning management or hard copy filing systems. It also provides a control point for ensuring
the quality standards referred to above are met.

6

A related component is the establishment of a centralized Training Support Center, which is
responsible for training support and record keeping functions. The new unit began operations
July 2, 2012.
The new standards, processes, and the enterprise function itself are being evaluated to determine
success and to identify improvements.
As in previous years, DES maintained training-related relationships with several state agencies
and academic institutions. The relationship with the Arizona Learning Center (AzLC) continues
with DES representation on the state’s training leaders committee hosted by AzLC. TDA also
works with the Arizona Department of Administration’s (ADOA) Information Services Division,
Department of Emergency and Military Affairs, and the Fire Marshal’s training units regarding
the ERMA system. DES was also part of a team led by the Department of Health Services that
produced an award-winning computer-based training regarding suspicious packages and mail
(DES provided content input and developed the computer-based assessment for the course).
Division training units maintain relationships with Arizona State University (ASU) and the
University of Arizona (U of A) to provide training unique to those divisions.
Training units continue to look for methods to enhance while streamlining program-specific
training. Computer-based formats—while not appropriate in every case—are being utilized
more frequently. The establishment of a central resource for computer-based training
programming (one of the components of the enterprise approach to training) is assisting in this
effort. Work is underway to revise and improve much of the agency’s mandatory training,
primarily in response to changing agency and workforce needs. As an added benefit, these
revisions give DES the opportunity to redesign training using new quality standards and to
evaluate the effectiveness of the training.
In addition, during SFY 2012, the Department, in collaboration with AHCCCS and contracted
providers, launched two major training curricula. Department staff developed several computerbased trainings and a two-day “Interviewing and Assessment” training that was delivered to all
support coordinator staff, supervisors, and managers who serve persons with developmental
disabilities.
Top priorities for the coming year include allowing the new enterprise training function and its
related policies and procedures to mature and creating and revising training in response to
agency needs such as the Address Confidentiality Program and the Affordable Care Act. Other
high priorities are pursuing a supervisor development program in coordination with ADOA and
establishing an onboarding program inclusive of a “New Employee Welcome.”
Recruitment Activities
During SFY 2012, the Department used a wide variety of recruitment tools to identify and select
qualified staff. These tools included the state government Web site www.azstatejobs.com, job
fairs, the Department’s Job Service offices, and local area newspaper advertising. Specialized
positions, many of which are in specific health care professions, are recruited through trade
associations and national publications relevant to the credentialed profession.
7

Within DCYF, the Department continued to focus on a strategy that began in SFY 2010. This
effort partners the Department’s Human Resources Administration (HRA) and TDA with DCYF
to develop competency-based hiring and selection techniques for the CPS classification series
with the goal of improving retention in DCYF. Another effort, initiated in SFY 2012, involved
hiring a Staff Recruitment Manager. This individual streamlined hiring practices statewide and
changed the format of CPS job postings so they better reflect the duties of the positions. Finally,
the Staff Recruitment Manager implemented new outreach methodologies to rural communities
to fill those critical vacant positions.
Realignment to Meet Identified Needs
A new part of the Division of Developmental Disabilities (DDD) workforce includes the Office
of Consumer and Family Support Services (OCFSS). Beginning operations in May 2012,
OCFSS handles all questions, concerns, and complaints that the Division receives by phone or
electronically through the DDD Web site. Complaints may originate from an individual served
by the Division, a family member, advocates, community members, providers, the Office of the
Governor, the DES Director’s office, the Ombudsman’s office, and anonymously. All
complaints that are considered urgent or moderately urgent are entered into the Consumer
Resolution System (CRS) by Division staff throughout the state. All activity in the complaint is
entered into the CRS and remains until the complaint is resolved and closed. All complaints are
reviewed for trends to further identify areas for systemic change, such as additional training for
support coordinators simplifying procedures, removing barriers, and opening lines of
communication.
The OCFSS also provides advocacy services for individuals and families as requested. Should a
family member feel that they would like an individual knowledgeable of the various systems,
policies, and procedures to accompany them to an Individual Support Plan (ISP), or any other
type of meeting, OCFSS is available.
Community outreach and presentations regarding DDD, as well as OCFSS, are conducted
regularly by staff in this unit. Some recent recipients include: Raising Special Kids, Touchstone
Behavioral Health, Developmental Disabilities Advisory Committee, Arizona Consortium for
Children with Chronic Illness, West Valley Human Services Alliance, Maricopa Association of
Governments, and National Adult Protective Services Association. Presentations to various
Division staff throughout the state are also made.
Web Conferencing
During SFY 2012, the Department used iLinc online meeting software in over 1,200 sessions.
The avoidance of travel costs related to meetings and training in SFY 2012 was approximately
$190,500.

8

Section 4 – Children and Family Services Training Program Annual Report
Staff Training
DCYF’s Child Welfare Training Institute (CWTI) offers a comprehensive child welfare training
program in support of the state’s commitment to providing quality services to Arizona’s children
and families. Initial and ongoing training for child welfare staff are provided through a variety
of methods and opportunities, including:


Pre-core/New Employee Orientation training;



CPS Specialist Core training;



On-the-job/field training and support;



Supervisor Core training and advanced courses for supervisors and managers;



Parent Aide and Case Aide Core training;



Specialized one-on-one training refreshers on the Children's Information Library and Data
Source (CHILDS) and the Child Safety Assessment-Strengths and Risk Assessment-Case
Planning (CSA-SRA-Case planning) process;



Specialized and advanced training, including workshops and conferences on topics such as
gangs, mental health issues, and methamphetamine abuse;



CHILDS training;



Policy training;



Region-offered training;



Out-service training (conferences and seminars in the community);



The ASU School of Social Work MSW stipend and BSW scholarship programs;



The part-time MSW program for permanent status agency employees residing in Maricopa
County or Pinal County; and



Training to other child welfare community partners, including the Foster Care Review Board,
Juvenile Court, contracted service providers, and American Indian tribes.

Throughout SFY 2012, the CWTI has provided staff and supervisors with updated user guides
and hands-on CHILDS training, as needed. Each significant migration in the CHILDS system
has been accompanied by a clearly written user guide so that staff and supervisors can
understand and use the new functions in CHILDS. The CWTI CHILDS Training Supervisor is
9

heavily involved in the development of changes to CHILDS to ensure his understanding of the
changes and his ability to write user guides in clear and understandable language for field staff.
Training in accurate and relevant social work documentation for child welfare is a regularly
provided segment of the CPS Specialist core training and is available upon request to all staff.
During SFY 2012, DCYF contracted with Change and Innovation Agency to work directly with
field staff and supervisors to identify ways to streamline the work of child safety assessment, to
create efficiencies in time expenditure, and to improve meaningful documentation of
assessments. A format was created and piloted in SFY 2012, and the statewide rollout was
completed. An additional work group has been making a similar assessment to streamline
ongoing case management and case planning. Enhancements to the CHILDS system are being
made to accommodate the recommended changes to practice and documentation.
In SFY 2011, the CWTI received approval to hire staff for an enhanced Field Training Program.
This program is matrix-managed by the CWTI and regional Program Managers, and it provides
one to two field training officers (FTOs) for each region. The FTOs’ primary function is to
support newly hired CPS Specialists during the approximately 22 weeks in training status,
including the pre-core period, field week, and post-core period. This program was fully
implemented during SFY 2012. The Field Training Program makes a local trainer accessible to
all newly hired staff to provide support and enhance transfer of learning during this critical
learning period. A part-time position dedicated to coaching and mentoring CPS Supervisors was
added in SFY 2012. ASU is helping DCYF to formally assess these activities. If successful, the
coaching and mentoring position may expand to full-time.
During SFY 2012, in collaboration with its partnership at ASU, DCYF’s CWTI continued to
augment the computer-based training (CBT) available to staff, using this resource to introduce
the new employee evaluation method to all staff. Feedback from the surveys remains very
positive, indicating that 96 percent of staff feel positive about this mode of delivery for selected
courses and believe they learned skills they can apply to their job. During SFY 2013, DCYF will
be transferring its CBT to the statewide Knowledge-Presenter system, and future CBT modules
will be produced through that method. This is attached to a formal learning management system
for state employee training and will improve DCYF’s ability to track and evaluate all training.
In SFY 2012, 10 BSW students and 20 MSW students were interviewed for selection for the
Title IV-E child welfare specialization programs. DCYF expects to hire 27 MSW graduates and
7 BSW graduates from these programs. Twenty MSW students are currently still enrolled in the
two year program.
A committee of DCYF and ASU staff collaborated to create a part-time MSW program for
employees, using eligible Title IV-E funds. Through a partnership with ASU, the Division is
continuing a part-time, long-term training program for selected full-time employees to strengthen
the agency’s child welfare practice. This program uses Title IV-E funds to support a part-time
course of study in an MSW program for permanent status agency employees who reside in
Maricopa County or Pinal County. Staff can complete the program in either three or four years.
Initially, 15 staff members began studies in the fall of 2011. An additional 15 staff members
10

were added in the spring of 2012, and the program was made available to four Pima County staff
members in 2012. The intent is to add staff members to the program annually.
All CWTI training is currently accompanied by a Level 1 evaluation. Evaluations are completed
online following CPS Specialist Core training and all computer-based training. Survey Monkey
is also used to gather feedback about some training. During SFY 2012, the CWTI began to
implement Level 2 evaluations in its CPS Specialist Core training. Evaluations for the CPS
Specialist core, CPS Supervisor Core, and Case Aide Core are created, tallied, and managed
through the Web site shared by ASU and DCYF via a contract with an ASU professor. In SFY
2013, these functions will be transferred to the learning management system, centrally operated
for all Department employees.
Throughout SFY 2012, DCYF continued to develop, update, and deliver curricula with
assistance from university partners:


A Supervisor Core class in clinical supervision, which was created through the University
Partnership, continued to be offered throughout SFY 2012 as a regular part of Supervisor
core.



DCYF contracted with the University Partnership to help the CWTI create an Advanced
Training Academy. This project will continue to develop a menu of advanced training
courses for CPS Specialists, CPS Supervisors, and Assistant Program Managers (APM). The
first advanced course was a two-day class on Secondary Trauma for Supervisors. Two
classes were provided in May 2011, and nine more were delivered during SFY 2012. The
project also created a Leadership Academy for regional Assistant Program Managers in
cooperation with ASU’s Certified Public Manager program. Fifteen APMs attended in SFY
2012. The second class began in September 2012, with 15 managers attending training.



During SFY 2012, the University Partnership has assisted DCYF in an extensive review of
the content and structure of all three core trainings. ASU will make recommendations for
changes in content and/or structure in early SFY 2013.



During SFYs 2010 and 2011, the CWTI revised its entire Case Aide Core curriculum. The
initial module has been delivered to all new Case Aides, and to existing Case Aides upon
request. Modules two and three were delivered during SFY 2012 and will continue on a
regular basis for all new Case Aides in CPS. When resources and space are available, DCYF
will also make these training modules available to contracted provider parent-aides.



In SFY 2012, DCYF and the University Partnership created a Web site to serve as a portal to
internal and external training resources, the child welfare training schedule, a list of available
classes, and other information. This site has been created and is currently in the
implementation stage. Content and use of the site may be linked with ASU’s overall
recommendations for DCYF training.

To increase cultural competency, DCYF collaborated with Casey Family Programs in SFY 2010
to train DCYF staff as certified facilitators and provide staff training on “Knowing Who You
11

Are: Helping Youth in Care Develop Their Racial and Ethnic Identity.” The training helps staff
understand the challenges faced by youth of color who are in care, how the youth experience
disparate outcomes, and what child welfare staff can do to support them. Delivery of this
training by CWTI was temporarily suspended in SFY 2011 because of high vacancy rates and
caseloads. In SFY 2012, CWTI provided two sessions. Maricopa County staff and CASA
program volunteers continue to participate in workshops that are a pre-requisite for becoming a
“Knowing Who You Are” certified facilitator. Potential facilitators attended a workshop in April
2012, and another session was held in July. These workshops focus on institutional racism,
understanding a healthy racial and ethnic identity, the influences on racial and ethnic identity,
and the building blocks to help youths’ well-being for a successful transition into adulthood. The
workshops help participants begin to have courageous conversations when confronted with
stereotypes and institutional racism, and they ask participants to write down how they will bring
this new information into their day-to-day practice with youth and families on their caseloads.
As the pool of certified facilitators grows, DCYF is hopeful that “Knowing Who You Are”
training will fully resume in SFY 2013.
To routinely deliver advanced and targeted skills training, DCYF began its Advanced Training
Academy during SFY 2011, in collaboration with its ASU partnership. The initial target
audience was APMs and CPS Unit Supervisors, statewide. Training for all CPS Supervisors and
APMs on secondary trauma was delivered in SFY 2012. Additional advanced trainings will be
provided following a needs assessment and the comprehensive assessment of all DCYF training.
In October 2011, DCYF held a two-day supervision conference for all CPS Unit Supervisors and
APMs. Topics included sibling connections in child welfare, working with lesbian, gay,
bisexual, transgender, and queer (LGBTQ) youth in CPS care, working with families affected by
incarceration, working with fathers involved in the child welfare system, workplace violence,
human trafficking, and assessing and managing regional performance measures and outcomes.
In addition, ASU partnered with DCYF to deliver training at the Supervisor’s Learning Summit
in May 2012. The topics for this summit were identified through DCYF’s recent extensive selfevaluation. Topics included joint investigations, assessing chronic neglect, enhanced clinical
supervision, and workload management.
DCYF has implemented the provision of the Fostering Connections Act that allows access to
Title IV-E funding for eligible short-term training by entering into an Interagency Service
Agreement with the CASA program at the Administrative Office of the Courts and by
developing a form that those eligible for the reimbursement can complete and submit to DCYF’s
Contracts Unit for reimbursement. Reimbursement is limited to training specific to Title IV-Erelated activities.
An initial CBT for all staff on the Fostering Connections Act and related Arizona legislation was
released in the summer of 2010. In SFY 2012, the CWTI implemented this same training as part
of its CPS Specialist Core. DCYF has held regular meetings with the Arizona Association of
Human Service Providers, quarterly meetings with Home Recruitment Study and Supervision
(HRSS) Licensing Agencies, and periodic meetings with the Court Improvement Program
Manager regarding the provisions in Fostering Connections. Within these meetings, information
is provided about foster home licensing standard waivers for relatives who wish to become
12

licensed foster parents, the new windows of eligibility for Title IV-E Adoption Subsidy
Agreements, and increased use of geographic information system (GIS) mapping to address the
educational stability of children entering foster care.
Foster and Adoptive Parent Training
Foster and adoptive parent pre-service training is provided in Arizona by certified leaders
through contracted provider agencies using a nationally recognized and standardized curriculum:
PS-MAPP Partnering for Safety and Permanence—Model Approach to Partnerships in Parenting
(PS-MAPP) or Partnering for Safety and Permanence—Deciding Together (PS-DT). PS-MAPP
was modified in 2009 to better reflect Arizona’s needs. Arizona PS-MAPP Certified Leaders
must complete an eight-day, 54-hour training session led by two of the state’s four Arizona PSMAPP Trainers. Completion of Arizona PS-MAPP or PS-DT training is required prior to
licensure and prior to placement of a child (aside from court-ordered placement with unlicensed
kin or significant others). A brief version of this training has been part of the CPS Specialist
core training to ensure that all staff are exposed to the program philosophy. During 2012, a more
extensive version of the Arizona PS-MAPP and content on effective partnership was added to the
CPS Specialist core training as an in-service module.
The Arizona PS-MAPP curriculum stresses shared parenting and family-centered practice, which
has resulted in significant role and practice changes within the Department’s foster care and
adoption programs. The curricula are structured around 5 core abilities and 12 critical skills for
success.
The five core abilities are:
1.
2.
3.
4.
5.

Meet the developmental and well-being needs of children and youth.
Meet the safety needs of children and youth.
Share parenting with a child’s family.
Support concurrent planning.
Meet their own family’s needs.

All licensed foster parents complete a minimum of six hours of in-service training annually.
Foster parents with a professional foster home license must complete an additional six hours of
in-service training annually related to the special needs of the children for whom they are
providing care. Foster parents who will care for children with diagnosed behavioral health needs
or developmental disabilities or a medically fragile child complete an additional 12 to 18 hours
of advanced pre-service training. An annual individualized initial training plan is created with
each foster parent to identify needs and in-service training for the next year. The number of
licensed foster and kinship parents trained is between 5,800 and 6,300, with approximately 65
percent of the foster homes headed by married couples. In-service training is conducted by the
provider agencies or through alternative means such as the Internet, conferences, video
presentations, or community workshops. Alternative training is approved by the provider
agencies when they determine it is relevant to the needs of the foster parent or the children that
are or will be placed in the home. During 2011, an 18-hour advanced pre-service curriculum on
caring for medically fragile children, developed in collaboration between DCYF and provider
13

agency staff, became available to the provider agencies. The provider agencies have the option
to use this curriculum.
The Arizona PS-MAPP initial preparation curriculum is revised and updated as needed to meet
Arizona’s foster and adoptive parent training needs. The Arizona PS-MAPP curriculum, as
revised in 2009, is not required under the existing contract with the contract providers; however,
most contracted providers desired and requested the content change and now use the Arizona PSMAPP curriculum. All agencies will be required to use the updated Arizona-approved training
curriculum after the next HRSS contract renegotiation, which should occur in 2013. The
Spanish-language Arizona PS-MAPP curriculum materials that are used by the potential resource
parents were given to the provider agencies in June 2012.
In 2012, the Go-To Guide, which is now part of the Arizona PS-MAPP curriculum, was updated,
revised, and delivered to current PS-MAPP Certified Leaders. The Go-To Guide contains
specific information related to Arizona’s child welfare system. The Go-To Guide is provided to
most currently licensed foster parents by the contract providers. In March 2012, a workshop on
anger and behavior management was presented by two Arizona PS-MAPP trainers to foster
parents at the Maricopa County KIDS training blitz.
In September and October 2012, DCYF held three one-day conferences for resource parents in
three geographic areas of the state. At each conference, Arizona PS-MAPP trainers offered a
three-hour workshop to resource parents on managing the anger of children in their care. Linked
to the three conferences, Arizona PS-MAPP Trainers offered a workshop to current Arizona PSMAPP and PS-DT Certified Leaders to provide training updates and obtain feedback on training
needs.

14

Section 5 – State Fiscal Year 2012 Highlights and Accomplishments
The following describes selected agency accomplishments during SFY 2012, in accordance with
each of the agency’s four goals:
Strengthen Individuals and Families
 Adoptions of foster children continue to increase, resulting in a bonus from the U.S.
Department of Health and Human Services. Comparing SFY 2011 to SFY 2012, the number
of adoptions finalized increased by 2.4 percent, from 2,195 to 2,248.


DAAS provides many services to the community. As part of the Older Americans Act
Nutrition Program, 1,421,954 home-delivered meals and 1,084,366 congregate meals were
served in SFY 2012.

 During SFY 2012, Arizona emergency domestic violence shelters contracting with the
Department provided 359,727 nights of safety, resulting in 9,569 women and children finding
safe refuge.
 In SFY 2012, the Department contracted with 36 providers of services to the homeless
throughout the state for emergency crisis shelter and transitional housing services. During
SFY 2012, the number of individuals housed by DES-contracted emergency shelters was
13,188, and the total number of individuals housed by DES contracted transitional programs
was 1,729, for a total of 14,917. Of those, 72 percent served were in Maricopa County, 17
percent were in Pima County, and 11 percent were in the balance of state.


During SFY 2012, Community Action Programs and Services contracted with 12 agencies to
provide comprehensive case management services through funding from the Community
Services Block Grant (CSBG). The contracted agencies were then able to leverage this
funding with other resources at a ratio of 35:1. In 2012, the Community Action Network
provided emergency services to 291,150 low-income individuals and families. These
services included utility assistance, emergency cash assistance, rental deposit, and food
assistance. In SFY 2012, 69,053 low-income vulnerable individuals received services that
secured or maintained an independent living situation.

 The Senior Medicare Patrol provides education and assistance to resolve health care fraud,
abuse, and errors and to reduce costs to the Medicare/Medicaid systems resulting from these
problems. During SFY 2012, 411 contacts (one-on-one counseling sessions) were made.


The State Health Insurance Assistance Program (SHIP) is a federally funded state program
that provides free help to Medicare beneficiaries who have problems with or questions about
their health insurance, including: Medicare benefits and rights, complaints about medical care
or treatment, billing problems, health plan and prescription drug coverage options, and health
plan application and enrollment assistance to people with Medicare. The SHIP helps to
educate the community about Medicare and related programs by hosting enrollment events
and providing an array of information and materials. SHIP volunteer counselors are trained
15

to assist Medicare beneficiaries with enrolling in programs and plans and apply for the Extra
Help and Medicare Savings Programs. During SFY 2012, over 30,400 Medicare/Medicaid
clients were assisted.
 The Family Caregiver Support Program (FCSP) strengthens families by providing services
that assist family and informal caregivers to care for their loved ones at home for as long as
possible. With more than 855,000 caregivers in Arizona, families are the major provider of
long-term care, but research has shown that providing this care exacts a heavy emotional,
physical, and financial toll.
In SFY 2012, the FCSP served 23,704 caregivers with support services, including respite
care, support groups, stress management training, and other supplemental services that
complement the care of the caregiver. According to the AARP-sponsored 2011 study,
Raising Expectations: A State Scorecard on Long-Term Services and Supports for Older
Adults, People with Physical Disabilities, and Family Caregivers, Arizona ranked third
nationally in support of family caregivers.


Non-Medical Home- and Community-Based Services provide the necessary support services
to help individuals remain in their homes and communities. The Department contracts with
eight Area Agencies on Aging to identify eligible recipients and provide services such as
personal care, homemaker services, and case management. In SFY 2012, DES provided
services to 15,559 older adults to help maintain their independence and avoid premature and
costly institutionalization.



In SFY 2012, the Department received 8,781 allegations of abuse, neglect, and exploitation
of vulnerable adults. Allegations investigated showed reports of abuse at 23 percent, neglect
at 69 percent, and exploitation at 28 percent (a case may have multiple allegations). All
allegations of abuse, neglect, and exploitation were investigated. Staff also provided the
needed resources and protective services in a timely manner.

 In SFY 2012, over 1,293 homeless and at-risk veterans participated in the 2012 Arizona
StandDown. This was a 23 percent increase in the number of veterans seeking services over
last year. The three-day event was again the largest veteran outreach event in the nation. Of
the participants attending, 12 percent were living on the streets, 6.4 percent were residing in
emergency shelters, and 22.5 percent were living in transitional housing. Chronically
homeless veterans declined from 22 percent to 17 percent whereas participants residing in
permanent housing increased to 56 percent. Seven percent of participants were female, 43
percent had been treated for substance abuse, 44 percent had been diagnosed with mental
health issues, and 42 percent had been in jail or prison. Nearly 36 percent reported suffering
from Post-traumatic stress disorder. More than 50 state and federal agencies participated in
this event. Service providers included the Phoenix Veterans Administration Health Care
System, the Arizona Department of Transportation’s Motor Vehicle Division, City of
Phoenix municipal and other court systems, the Social Security Administration, and DES.
Department staff provided one-on-one case management services, including veteran’s
registrations, job referrals, referrals to support services, resume assistance, assistance with
requesting forms, and accessing benefits.
16

Increase Self-Sufficiency


Each year, the National United Cerebral Palsy Association (UPCA) conducts and publishes a
study called “The Case for Inclusion,” which analyzes the provision of Medicaid services for
Americans with intellectual and developmental disabilities across the country. The report
tracks states’ progress in the percentage of people with disabilities living in the family home,
the degree to which services are community based, and how people with disabilities live and
participate in their communities. According to the UCPA report, Arizona took the top spot
for its continued success through DDD in helping residents with disabilities live
independently, whether with a family member or on their own with assistance. Arizona is
one of only seven states that serve at least 90 percent of consumers in home-like settings.
Arizona also scores well in working to keep families together through family support.
Among the best performing states, Arizona ranks first while ranking 47th in total spending
per consumer. In spite of recent economic challenges, in SFY 2012, DDD continues to work
with consumers, families, the provider community, and stakeholders to provide much-needed
services to over 32,354 consumers. This compares to 31,441 consumers served in SFY 2011.



The Arizona Long Term Care Services (ALTCS) serves more individuals per 100,000
population than all but six other states, continues to expand the number of individuals served
each year, and has no waiting list attributable to budget concerns. The percentage of people
living in settings of six or fewer and the significant percent of people living in their own or
their family’s home further demonstrate the state’s commitment to consumer choice,
community inclusion, and support for families. Arizona is one of the most cost-effective
programs in the country because of people living at home with their families or on their own,
with only one state in the nation spending less per capita.
The Department continues to participate in the National Core Indicators Project, a project
that outlines approximately 100 consumer, family, systemic, cost, and health and safety
outcomes. A variety of tools, including consumer surveys, measure areas such as the
satisfaction with supports and services provided to people with developmental disabilities
and their families. Preliminary data for SFY 2012 show a consistent level of satisfaction
since 2000. With the information generated by this survey, DDD will determine areas to
focus on when developing ALTCS implementation plans, such as the Network Plan and the
Support Coordination Plan.



The Refugee Resettlement Program provides, under direct contracts with voluntary agencies,
culturally and linguistically appropriate employability and employment services. This assists
refugees and other eligible beneficiaries with achieving economic self-sufficiency as quickly
as possible after arrival in the United States. During SFY 2012, 946 refugees entered
employment through this program, compared to 1,426 in SFY 2011.



Through Community Action Programs and Services, 21,448 low-income households
participated in asset development programs, receiving financial skills counseling in SFY
2012. During this same time frame, 62,689 low-income participants in employment
initiatives obtained supports that reduced barriers to obtaining and maintaining employment,

17

acquired employment, obtained an increase in employment income, or achieved a “living
wage” that included benefits.


The Comprehensive Blind Adjustment Contracts have significantly improved the quality of
services to individuals who are blind or visually impaired. The Rehabilitation Services
Administration (RSA) has partnered with community providers to coordinate blind
adjustment services, which has resulted in reducing the time required for clients to complete
adjustment services and has improved the communication and partnering among individuals
with a visual impairment, providers, and staff. The programs provide rehabilitation
adjustment services for individuals who are blind or visually impaired. These services
include Rehabilitation Teaching, Orientation and Adjustment to Disability, Orientation and
Mobility, Assistive Technology Training, Assistive Technology Devices, Technology
Installation and Configuration, Low Vision Assessment, Aids and Devices, and Training
Services. The programs also provide many varieties of employment-related services,
including Career Exploration, Job Readiness, Resume Writing and Interviewing, Job
Development and Placement, Work Station Assessment, Post-Employment Retention
Services, and many varieties of specific skill training such as Braille Instruction, English as a
Second Language, and On-Site Life Coaches for managing life on one’s own.



DCYF Independent Living Subsidy Program (ILSP) continues to be a valuable resource by
providing monthly stipends to older youth in care who are living on their own. This program
provides eligible youth aged 17 through 20 with a monthly stipend to help pay for living
expenses. Program youth continued to benefit from the ILSP with the total number of
participants decreasing from 522 in SFY 2010 to 496 in SFY 2011. The number of
participants for the first ten months of SFY 2012, the most recent data available, was 473,
with expectations for it to increase prior to closure of the state fiscal year.

Collaborate with Communities to Increase Capacity


On April 6, 2012, DDD, along with other community agencies, was a part of the Eighth
Annual American Indian Disabilities Summit, sponsored by the Arizona Bridge to
Independent Living (ABIL). Its theme was “Gather Native Voices to Transition Individuals
with Disabilities toward Employment and Recreation.” Its purpose was to facilitate training,
outreach, and technical assistance for American Indians with disabilities residing in urban
and rural areas, with attendees gaining an awareness of support services and becoming
empowered to improve their lifestyles by learning strategies to eliminate barriers to service
delivery. Other participants included United Cerebral Palsy, Raising Special Kids, Autism
Arizona, Native Health, Phoenix Indian Center, Driving to Independence, the Brain Injury
Association of Arizona, Goodwill-Youth with Disabilities, the Office for Children with
Special Healthcare Needs, DES RSA, and the Social Security Administration.
Approximately 100 individuals attended the event.



Since 1988, the DDD Adaptation Station in the Southern Region has designed and
constructed adaptive equipment for children and adults with developmental disabilities. This
year the Adaptation Station was supported by more than 30 volunteers and 123 helpers
contributing a total of 4,178 volunteer hours. The volunteers produced and adapted more
18

than 1,005 items to assist over 212 consumers by adapting such items as battery-operated
toys with homemade switches, therapy positioning devices and furniture; sewing weighted
vests, blankets and upholstery; designing other adaptations for home and work; and teaching
University of Arizona students. Materials used to construct these items cost $16,428.54,
where comparable catalog items would have been between $49,315.62 and $98,631.24. In
addition, most items made are custom tailored to the individual and are not available on the
market.


Maricopa Workforce Connections has invited DCSE to refer unemployed parents to them.
DCSE Outreach and Community Initiatives has developed the process of establishing
noncustodial parent employment referral procedures. Selection of the target population
began in late January 2012.



DDD volunteer services in the southern region has over 70 active volunteers as well as many
community helpers contributing 10,209 hours this past year. In Maricopa County, over 300
volunteers contributed approximately 18,000 hours. Trained volunteers assist in many areas,
ranging from the Human Rights Committee, the Adaptation Station, staffing a donations
room, to helping with office and clerical tasks. The value of a volunteer’s time and talent is
calculated each year by the Independent Sector. Although the volunteer contribution to DDD
is immeasurable, the value of their commitment, effort, and participation as calculated by
industry standards amounted to $649,472. Volunteers also give more than their time. Last
year, DDD received community donations valued at over $34,798. The combined value of
donations and volunteer contribution is $684,270.



Governor Brewer signed a proclamation declaring the week of September l2–16, 2011, as
Direct Support Professionals Appreciation Week. Arizona joined other states in recognizing
caregivers who provide professional services to their citizens with developmental disabilities.
Direct support professionals, also known as direct care workers, in-home support workers, or
caregivers, support people with developmental disabilities to live independently in
communities of their choosing. They are everyday heroes who make a positive impact on the
lives of people with developmental disabilities, they promote greater inclusion in their
community and better quality of life for those they work with and are integral to the
economic fabric of our community and state.
As part of the week’s activities, DDD recognized four outstanding direct support
professionals. Nominations from people with developmental disabilities, their families,
support coordinators, and peers were received from all over the state. The event was held on
Wednesday, September 14, 2011, at the Disability Empowerment Center in Phoenix.
Approximately 100 friends, co-workers, and family members attended the event to honor the
winners.



DDD contracts with Raising Special Kids and Pilot Parents of Southern Arizona to provide
peer counseling services throughout Arizona. Their services include offering self-help
opportunities through education; training; information-sharing; encouragement; and support
to individuals, families, and other caregivers. They also match trained peer support staff or
volunteers with individuals, family members, or caregivers of individuals with
19

developmental disabilities. This service also communicates with professionals in fields such
as education, healthcare, child protection, and law enforcement to increase awareness and
understanding of developmental disabilities. During SFY 2012, these contractors provided
more than 150 unique training opportunities, 2,000 hours of outreach and support, and 400
individual peer support matches for individuals with disabilities and their families.


DDD asked the Sonoran University Center on Excellence in Developmental Disabilities
(UCEDD) to partner on a project to improve outcomes for foster youth with developmental
disabilities (DD). DDD then met with the Arizona DD Planning Council about collaborating
on the project. The Arizona DD Planning Council has funded the UCEDD to carry out the
project, “Creating a “Picture of a Life” for Transitioning Youth with DD in Foster Care.”
The project intends to improve transition outcomes for these youth, which include the
following desired outcomes: a safe and stable home, self-determination and self-advocacy,
framing a vision for their future, a support system to help with decision making, an ongoing
circle of natural/informal support, and employment exploration and opportunities.
Ultimately, the project will help improve services for individuals with DD exiting foster care
in Arizona by offering a mechanism for youth to exercise meaningful choices about their
living arrangements, work life, social networks, and services.



The Department continues its partnership with two of Arizona’s Centers for Independent
Living to provide free training and support on self-determination and self-advocacy for adults
with developmental disabilities. The training and support is offered by two community
agencies: the Arizona Bridge to Independent Living (ABIL) located in Phoenix and serving
Maricopa County and DIRECT Center for Independence located in Tucson and serving Pima
County. The program, also known as “This is My Life,” encourages and teaches adults to
speak up so they can make more life choices and choose the direction in their own lives.



DDD and its Office of Consumer and Family Support (OCSF) provides staff support to the
Developmental Disability Advisory Council (DDAC) with meetings, public forums, and the
Client Services Trust Fund. The DDAC was initially established in 1976 and re-established
in 1992, 1997, and again in 2000. The statutory mandate (A.R.S. § 36-533) requires the
council to review and make recommendations to the Assistant Director of the Division of
Developmental Disabilities regarding the provision of services to people with developmental
disabilities. DDAC membership is composed of 17 members, including persons with
developmental disabilities who receive services from the Division; parents/guardians of
children with developmental disabilities, including one whose child serviced through the
Arizona Early Intervention Program (AzEIP); private sector agency providers of in-home
services, residential services, and adult day services; a Human Rights Committee member;
representatives from developmental disability advocacy organizations; the Director (or
designee) of the AHCCCS; the Assistant Director of DDD; a member from the DDPC; and a
foster parent representative. The mission of the DDAC is to provide, in partnership with
DDD, advisory oversight on behalf of consumers, families, and providers by defining
appropriate services from the consumer’s perspective; providing realistic and practical
recommendations for implementation of the duties in Arizona Revised Statutes; and assisting

20

in the design of a clear and responsive system that promotes access to service delivery and
matches the needs of the consumer and serving as a forum for public input.


DDD became a member of the State Employment Leadership Network (SELN) in January
2012. The SELN is a joint initiative of the National Association of State Directors of
Developmental Disability Services and the Institute for Community Inclusion (ICI) at the
University of Massachusetts, Boston. Its project teams support states in their efforts to
improve integrated employment outcomes for their constituents. Since becoming a member,
DDD has completed its comprehensive self-evaluation; distributed a Strategic Employment
Assessment Supplemental Survey to a wide range of Division staff, consumers, family
members, advocates, other state agency representatives, and stakeholders; and conducted
focus groups. Using the project team’s findings, observations, and recommendations, the
Division is developing a detailed work plan to improve the employment outcomes for its
program participants.



Working with AHCCCS as the manager of a national Medicaid Infrastructure Grant, the
Division assisted in the development of DB101, which are online tools that help individuals
with disabilities make informed decisions about going to work by assisting them with
planning for employment, learning how work and benefits (cash, medical, etc.) go together,
and understanding how their individual benefits might be affected by work income. Each
DDD Employment Specialist has been trained as a trainer to promote use of the tool by
families and consumers interested in becoming employed.



As a “community of practice,” AzCOPT is a collaborative of state agencies and stakeholder
groups that have come together around the shared interest of improving school and postschool outcomes for youth and young adults with disabilities. Currently chaired by the
DDD’s Director of Program Services, the AzCOPT Leadership Team includes DDD; the
Arizona Department of Education, Exceptional Student Services; DERS Vocational
Rehabilitation Services (VR); the Arizona Department of Health Services, Office of Children
with Special Health Care Needs; the Arizona Department of Health Services, Division of
Behavioral Health Services; the Youth Action Council of Arizona family support services,
and the Tribal 121 VR programs. The overall purpose is to facilitate collaboration among the
various supports and services available to students and young adults as they move into their
adult lives. More specifically, AzCOPT provides guidance to all staff across the
collaborative working with transitioning students to better create “linkages” through and after
transition. The collaborative also introduces parents and students to what they might expect
during and after transition. The statewide group has supported the development of local
communities of practice and has begun to look at the state’s Indicator 14, Post-School
Outcome (PSO) data to determine barriers to better outcomes and assist local groups in
examining the same at their local level.



In 2006, Personally Delivered, LLC, a Tucson-based home health and incontinent distributor,
approached DDD with a proposal of creating a diaper bank for adults with developmental
disabilities. Managed by the Division’s staff and volunteers, the diaper bank is now in its
sixth year of operation by providing emergency supplies to low-income individuals with

21

disabilities. Referrals for undergarments are made by support coordinators. Personally
Delivered, LLC actively encourages their suppliers to assist as well.


DDD began partnering with ADOA’s Interns-In-Action program in March 2012. Through
June 2012, six students have participated in DDD internships statewide, from ASU, the U of
A, and the Phoenix College of Law. They are assisting with legislative research, policies and
procedures research and refinement, developing self-study courses for individual/families,
and expediting the DDD intake process. Some students will resume their studies in the fall,
having received credit for the internship; others might be available for part-time employment
as they resume their studies, or possibly full-time work upon graduation. The DDD plan is to
continue, as well as expand our participation in the Interns-In-Action program.



DDD developed an e-learning course called “Aspiration and Asphyxiation Refresher,” which
is placed on its Web site to raise awareness about the increased risks of choking experienced
by people with developmental disabilities. After viewing the online training, New York
State’s Office of People with Developmental Disabilities (OPWDD) sought permission from
DDD to use its training and acknowledged DDD for allowing OPWDD to adapt their elearning course on Choking Prevention based on the Arizona model.



DES partners with faith-based organizations to engage, connect, and support them as partners
in Arizona’s economic recovery and safety net efforts. The needs of our communities are
rising, and traditional places for help are overwhelmed. Government resources are scarce,
and faith partners continue to offer to help meet the needs of our communities. Each partner
has a unique talent, capability, or gift that compliments one another to help those in need.
DES provides staffing resources for the Arizona Council on Faith-Based and Community
Initiatives. The council is dedicated to engaging and mobilizing all faith communities to
improve the quality of life for the most vulnerable and impoverished people through a
statewide, action-oriented collaboration of faith-based, community, and governmental
organizations.



CommunityConnect, an e-newsletter for community leaders and community members across
Arizona that is produced by the Department, provides those who deliver human services with
resources and information and provides a platform for sharing community successes among
groups and geographically dispersed communities. The e-newsletter reaches over 9,800
Arizonans.



DES convenes statewide roundtables for municipal human service professionals for
education and networking. The purpose of these roundtables is to allow municipal human
services managers and staff the opportunity to meet their peers and to share ideas, concerns,
solutions, and stories with one another. Attendees unanimously agree that the roundtables
are of high value to them, and attendees especially appreciate being in direct contact with
others who face the same issues that they grapple with every day. Twenty municipalities,
mostly from the greater Phoenix area, participated in SFY 2012.



The Volunteer Services Program was established in 1988 and continues to work to identify
volunteer opportunities within the Department to ensure the successful integration as well as
22

positive contributions of volunteers. Annually, hundreds of volunteers assist the Department
and contribute thousands of hours of work. During SFY 2012, volunteers contributed more
than 90,000 hours to help ensure that DES families received needed services. They assisted
with everything from administrative support and transporting children and vulnerable adults
to medical and court-ordered appointments and providing quality federal and state-mandated
services for Arizona’s families in need.


The Phoenix South Mountain Step Down Group Home has been in operation since
September 2004. This home was a collaborative effort between DDD and the behavioral
health entity, Magellan. Both groups continue to work collaboratively to support individuals
who are transitioned through this setting from psychiatric hospitalization or crisis centers
back into long-term placement in the community. This past year, the home has supported
eight individuals with developmental disabilities or mental health challenges with an average
length of stay of 90–120 days. The individuals who have transitioned out of the program
have been successful in their long-term community placements.



The RSA began conducting outreach and solidifying partnership agreements with community
Employment Networks within the Partnership Plus model for Ticket to Work holders. These
partnership agreements are designed to enhance the stability of employment for individuals
with disabilities by creating a seamless transition through the state’s VR Program to, upon
successful employment of the client, less intensive supports provided by community agencies
following the completion of state-sponsored services. These collaborative partnerships are
being pursued with the 12 active Employment Networks in Arizona. The RSA is committed
to strengthening the partnerships with current and future Employment Networks.

Increase Efficiency and Effectiveness through Innovation and Accountability


The Department has formed the Office of Accountability (OA) that will help DES develop an
enterprise approach to performance management and accountability. The Office encourages
coordination of DES programs, unifying management, employees, stakeholders, and
customers through a shared understanding of the agency’s goals and objectives. Specifically,
the office measures individual, team, organizational, and stakeholder accountability. This
includes risk management and early warning and prevention of issues that may affect
program quality. It recommends steps to mitigate and prevent fraud, waste, and abuse and
seeks timely measures to resolve problems. Where necessary, it helps to develop corrective
and preventive action plans, and it seeks measures that enable continual improvement of key
business functions.
OA is developing a performance management system that is integrated vertically and
horizontally. Vertical integration will align employee efforts with the agency’s goals and
promote improvement through cascading goals and objectives to each level of the agency.
Horizontal integration optimizes work flows across programs. This helps DES deliver
customer-focused services and assesses individual processes from the customer’s
perspective.

23

OA is developing tools for forecasting, monitoring, and measuring performance at each level
of the agency, including:
o Quality control process that can be used by individuals and their supervisors.
o Self-assessment. This is an ongoing process, used by each program and function, to
monitor its own performance, evaluate its capacity, and find improvements.
o Third-party reviews conducted by OA. These reviews will compare performance against
projections, identify opportunities for improvement, and develop action plans.
o Outcome evaluations are also conducted by OA. These evaluations will assess the extent
to which programs contribute to outcome-oriented objectives for the entire agency.
o Audits of programs and contractors performed by OA. Audits will be selected on the
basis of an annual risk assessment. The assessment will concentrate audit efforts on areas
with the biggest opportunities for improvement and will address several risk factors,
including inability to meet objectives, fraud, waste, and abuse.


DCSE focuses on making child support services more personal for customers. DCSE is
continually striving to help customers by looking for opportunities to improve processes and
procedures. DCSE wants to ensure that its customers are provided opportunities to become
more financially secure and able to provide for their families. This is accomplished through
outreach and education with the employer, community, and customers, early intervention
with customers, increased collaboration with other state Title IV-D agencies to gain valuable
assistance for improved enforcement of support obligations, and through the use of system
tools and technology. DCSE has developed and implemented standards of operation in all of
these areas to improve outcomes for the families DCSE serves. In addition, DCSE has
centralized its financial units for consistency and improved debt efficiency. In the area of
paternity establishment, DCSE continues to have the highest paternity establishment
percentage among 54 national child support programs. DCSE seeks national best practices
and research to maintain this upward climb.

 DCSE was invited to present information at this year’s Western Interstate Child Support
Enforcement Council (WICSEC). The presentation focused on the improvements to DES’s
modification process, along with ideas on processes to improve DCSE’s overall business
practices. DES continues to be consulted on issues of national relevance to the child support
community.


Since March 2009, the Department has been engaged in consolidating office space
throughout Arizona to assist in reducing costs to mitigate the effects of the budget reductions
on staff and clients. These efforts have resulted in 45 office closures since inception. The
office consolidations have resulted in savings of approximately $12.5 million over the last
three fiscal years and an expected $4.5 million for SFY 2013.



Approximately one in six Arizonans received benefits administered by DBME during SFY
2011 and SFY 2012.1 With such rapid and sustained caseload growth, the Department
needed to address the underlying issues of caseload volume and limited staff before it
completely overwhelmed the benefit programs. DBME began implementation of a new

1

2010 U.S. Census Bureau Data for Arizona.
24

process management model during SFY 2011 and completed the statewide implementation in
DBME offices during January 2012. The new model focuses on streamlining eligibility
practices and processes for applications and interviews, verification and eligibility decisions,
and maintenance and recertification of cases. DBME has improved its lobby management
with a FAST tracker system to capture, assign, and track client lobby and phone traffic. This
allows management to track “time in” and “time out” of applicants and allows management
to direct staff resources to areas of the greatest volume. Furthermore, in conjunction with the
electronic application process through HEA, emphasis is placed on completing the entire
application and authorization process in one visit. This emphasis has allowed DBME to
dramatically reduce the number of repeat office visits and phone calls, thereby minimizing
lobby traffic while providing timely and more accurate eligibility determinations. The
timeliness rate for SNAP applications in October 2010 was 79.6 percent. In March 2012, the
timeliness rate for SNAP applications increased to 94.1 percent. In addition, the application
processing backlog has been reduced by 75 percent from SFY 2011 through SFY 2012.
DBME also implemented comprehensive supervisor academies as part of the new process
management model. These academy sessions focus on strengthening all supervisors’ and
managers’ analytical skills by reinforcing the most effective use of tools and reports offered
through the new FAST Tracker reporting system. All supervisors and managers will attend
the academies by December 2012.


Using the new process management model and the HEA application process, DBME has
begun migrating from a labor-intensive and inefficient caseload assignment process to a team
approach allowing greater collaboration between offices to manage the workload statewide.
DBME has utilized current technology and is working to improve its telephony and computer
network infrastructure to manage its workload. Staff may shift work from one office to
another in order to reduce backlogs and maintain timeliness. The new process and
technology improvements will allow DBME to manage and maintain an increasing workload
while minimizing the need to maintain a proportionally increasing workforce.



During SFY 2012, the Office of Special Investigations (OSI) began a review of all units and
processes in an effort to increase efficiency and realign staff to better accomplish its mission.
In addition, six field investigators have been assigned to coordinate with several narcotics
and violent felony task forces in effort to identify individuals with specific drug convictions
and outstanding arrest warrants from obtaining Cash and Nutritional Assistance benefits. In
coordination with the U.S. Department of Agriculture, Office of Inspector General, Arizona
Attorney General’s Office, and the South Mountain Precinct of the Phoenix Police
Department, the OSI Trafficking Detection Unit conducted an investigation by producing
multiple Grand Jury indictments and arrest warrants for 18 people. Felony charges consisted
of unlawful use of food stamps, unlawful use of a credit card, fraudulent schemes and
artifices, and illegal control of an enterprise.



In January 2012, DCYF established the Performance Improvement and Accountability (PIA)
Section to ensure compliance and accountability for the Division’s Title IV-E Foster Care
and Adoption Assistance Program, contract management system, and provider payment
operations. Although in its beginning stages, the PIA group has been able to:
25

o Develop an internal audit tracking tool to monitor federal and state audit outcomes and
corrective actions;
o Assign tasks and duties related to recent Auditor General performance reviews to ensure
implementation of corrective measures within required timelines;
o Identify, recommend, and coordinate access of locate tools and processes to reduce
Division costs, expedite actions, and improve outcomes (i.e., Facebook, Accurint,
internal DES systems); and
o Develop a Title IV-E pre-audit work plan that will assist in achieving consistent
compliance with IV-E foster care requirements.

26

Section 6 – Economic Conditions and Outlook 2
Introduction
The Office of Employment and Population Statistics (EPS) within the Arizona Department of
Administration (ADOA) is forecasting gradual gains in nonfarm employment in Arizona for the
2012–2013 projections time period. In comparison to the employment forecast released earlier
in May, nonfarm employment growth has been forecast to be slightly greater in both 2012 and
2013. An over-the-year gain of 51,200 nonfarm jobs is expected in 2012 and 60,900 in 2013.
The previous forecast in May was for a 47,000 job gain in 2012 and 55,800 in 2013. In the
current forecast, the rate of growth projected for total nonfarm employment is 2.1 percent in
2012 and 2.5 percent in 2013. A total of 112,200 nonfarm jobs are forecast to be gained over the
two projected years (2012 and 2013).
The overall employment situation in Arizona is improving. An initial increase in home prices in
Arizona and some other states is a positive sign.
There are a number of factors that have helped the U.S. as well as Arizona economy gradually
pickup and add jobs:


Continued improvement in real Gross Domestic Product (GDP), real personal income at the
state and national levels, employment, and retail sales.



Continued employment gains in the Private sector, increasing private domestic investment,
gradual increase in the index of industrial production and rate of capacity utilization, high
levels of corporate profit, and a gradual resurgence in private residential construction
permits.



Continued gradual climb in household net worth as the decline in U.S. home prices have
slowed, a continued decline in the fraction of disposable income used for household debt
payments, and continued growth in U.S. exports.



Home prices have stabilized in Arizona and have begun to rise in the Phoenix metropolitan
area. Residential real estate market in Arizona and Phoenix metropolitan area is showing an
improvement as measured by various indicators. These include rising levels of building
permits.



While revolving consumer credit levels have remained flat, an expansion of non-revolving
consumer credit since 2011 has served as an impetus to expanding economic activity.
Consumer sentiment and consumer spending have shown signs of improvement.

With an improving domestic economy and employment growth in the Private sector, consumers
are expected to spend more as their incomes rise. Increased spending will generate further
2

This section has been excerpted from the Arizona Department of Administration, Office of Employment and
Population Statistics “Employment Forecast Update” November 1, 2012.
27

economic activity, creating a higher demand for goods and services. Outside of the U.S., the
economies of Asia and Latin America are expected to grow at a slower pace during the forecast
time period. These expanding foreign economies are projected to create growing demand for
exports that are fabricated in the U.S. and Arizona.
Although positive signs of economic improvement continue, there are some domestic factors that
could dampen the growth of the local economy. However, the positive factors listed above
outweigh the uncertainties in the sections described below in support of our forecast:


Constrained budgets as well as economic and financial uncertainty for a large majority of
households. Despite some job growth, many consumers in the U.S. continue to face
employment insecurity, lower wages and benefits, high levels of debt, rising gasoline costs,
and rising prices for essentials such as food, energy, and healthcare that limits the amount of
funds available for discretionary spending. The most recent drought in the Midwestern
states, an important agricultural region, has already sent food prices soaring in the U.S. and
the rest the world.



Weak real estate markets in both the residential and commercial sectors could inhibit the
overall economy. Signs of weakness include vacant properties, non-performing loans,
underwater mortgages, and continued home mortgage foreclosures. The residential real
estate market, although in the beginning stages of a gradual recovery, is showing more signs
of a recovery than the commercial real estate market.



Business reluctance to invest despite high levels of corporate profits and cash reserves as a
consequence of demand uncertainty.



Public sector fiscal consolidation through spending reductions and tax increases to reduce
debts could have a bearing on the growth of the economy. The impending “fiscal cliff” is the
conundrum that the U.S. government will face at the end of 2012, when the terms of the
Budget Control Act of 2011 are scheduled to go into effect. According to a pre-arranged
legislative agreement schedule, spending will be reduced and taxes will rise to reduce the
federal government deficit and debt levels. Spending is scheduled to be reduced in both
civilian and military programs. Tax cuts are scheduled to expire and new taxes have been
legislated to begin soon in 2013. Reduced spending and increased taxes are expected to
lower the level of aggregate demand in the U.S. economy and slow the rate of economic and
employment growth.



Besides the federal government, state and local governments continue to have budget
problems. Many state and local governments have recently been using increases in tax
revenues to build up emergency reserve funds to deal with any future economic downturns
and have not been increasing their levels of spending.

In addition to the factors listed above, there is some uncertainty on the international front:


Debt repayment problems in the Euro Monetary Zone economies and economic contraction.
Countries in the Euro Monetary Zone serve as an important market for U.S. exports. They
28

also serve as a source of foreign investment funds for U.S. financial markets. U.S.
investments in European banks could run the risk of devaluation and default in a recession.
However, news of proposed European Central Bank support for sovereign debt reduces the
risk. Although trade with Arizona is limited, it exposes the U.S. to the risk of European
financial and economic problems.


Potential international military conflict in the Persian Gulf with Iran. A military conflict
could disrupt the flow of oil out of the Persian Gulf and the Middle East, restrict the global
supply of petroleum, further increase gasoline prices, and restrict economic activity around
the world.



Economic growth is slowing in the People’s Republic of China (PRC) resulting from a
reduced pace of expansion in China’s export markets. The Chinese government is beginning
the process of changing the structure of the Chinese mainland economy, from being driven
by low value added goods for export to Europe, the U.S., and the rest of the world to more
value added manufactured goods, using higher technology and higher skilled labor for their
internal demand. This could create a new middle class dependent on U.S. imports. In the
short run, the magnitude of the impact of the slowdown in China is not certain.

Arizona Industry Employment Projections (2011–2013)
For the 2011 to 2013 forecast time period, the major sectors with the largest projected
employment gains include: Professional and Business Services (21,500 jobs); Educational and
Health Services (20,400 jobs); Trade, Transportation, and Utilities (19,900 jobs); Leisure and
Hospitality (18,100 jobs); and Construction (13,100 jobs). The smallest forecast gains are in the
major sectors of Information (200 jobs) and Natural Resources and Mining (300 jobs). The only
major sector with a projected loss in employment for 2011 to 2013 is Other Services (2,500
jobs).
During the two-year forecast time period, the major industry sectors with the most rapid rate of
job gains include: Construction (11.8 percent); Leisure and Hospitality (7.0 percent);
Professional and Business Services (6.3 percent); Financial Activities (6.2 percent); and
Educational and Health Services (5.7 percent). The slowest gains are projected in the major
sectors of Information (0.7 percent) and Government (1.4 percent). Other Services is the only
major sector with forecast job losses (-2.7 percent).
Professional and Business Services (PBS): The PBS sector is projected to have an increase of
9,800 jobs (2.9 percent) in 2012 and 11,700 jobs (3.3 percent) in 2013. The sub-sectors with the
largest projected job gains over the projection period include Employment Services, Services to
Buildings and Dwellings and Professional, Scientific and Technical Services. Business firms are
expected to hire contingent labor as a lower cost means to expand output during the early,
uncertain stages of an economic recovery. Management and Business Support Services are the
sub-sectors with forecast job losses. A continued need to control costs and minimize
expenditures is the cause of the projected employment decreases in Management and Business
Support services.

29

Educational and Health Services (EHS): The EHS sector is forecast to gain 9,700 jobs (2.7
percent) in 2012 and 10,800 jobs (2.9 percent) in 2013. The largest projected increases in
employment are forecast in the sub-sectors of Ambulatory Health Services and Hospitals.
Government spending reductions have the potential to severely curtail growth in the healthcare
sectors. Private Educational Services are the sub-sectors with the smallest projected gains in
employment as a result of more people leaving school to re-enter the workforce in an improving
economy.
Trade, Transportation, and Utilities (TTU): The TTU sector is forecast to gain 9,300 jobs (2.0
percent) in 2012 and 10,500 jobs (2.2 percent) in 2013. The order of sub-sectors with the largest
to smallest forecast gains include: Retail Trade; Transportation Warehousing and Utilities; and
Wholesale Trade. In the Retail Trade sub-sectors, Food and Beverage stores along with Motor
Vehicles and Parts Dealers sub-sectors have the largest projected increases in employment.
Improving consumer finances is anticipated to increase consumer spending and, therefore,
contribute to job gains in Retail Trade. In the Transportation, Warehousing and Utilities subsectors, Truck Transportation is forecast to have the largest job gains. Increases in employment
are projected across most other sub-sectors including Air Transportation and Utilities.
Leisure and Hospitality (L&H): The L&H sector is projected to have an increase of 8,600 jobs
(3.3 percent) in 2012 and 9,500 jobs (3.5 percent) in 2013. The sub-sectors with the largest
projected job gains are Food Services and Drinking Places and Arts, Entertainment, and
Recreation. Despite a projected increase in employment from 2012 to 2013, Accommodations
has a slight forecasted loss in jobs for 2012. Growing demand for domestic and international
tourism is projected to bolster employment in the Leisure and Hospitality sectors.
Construction: This sector is forecast to gain 6,100 jobs (5.5 percent) in 2012 and 7,000 jobs (5.9
percent) in 2013. The largest forecast job gains from 2011 to 2013 are in the sub-sectors of
Specialty Trades followed by Heavy and Civil Engineering Construction. Building construction
is the only sub-sector with projected job losses. Repair and maintenance activities along with
new infrastructure projects, such as the expansion of light rail in Phoenix, are expected to bolster
employment in Specialty Trades and Heavy and Civil Engineering Construction sub-sectors.
The vacant properties in residential and commercial real estate are anticipated to stop the growth
of employment in Building Construction sub-sectors.
Financial Activities (FA): This sector is projected to have an employment increase of 5,000 jobs
(3.0 percent) in 2012 and 5,400 jobs (3.1 percent) in 2013. During the 2011 to 2013 forecast
time frame, the subsectors with the largest projected gains in employment are: Credit
Intermediation and Monetary Authorities; Real estate, Rental and Leasing; and Securities,
Commodities, Contracts, and Investments. Insurance, Funds, and Trusts also has projected job
gains.
Government: This sector is forecast to gain 2,000 jobs (0.5 percent) in 2012 and 3,800 jobs (0.9
percent) in 2013. The majority of projected increases in employment from 2011 to 2013 are in
the sub-sectors of public education at the state and local government levels. Slight job gains are
also forecast for the non-education sectors of local government. However, job losses are
projected for the Federal government and non-education sectors of state government.
30

Manufacturing: This sector is projected to have an employment increase of 2,000 jobs (1.4
percent) in 2012 and 2,900 jobs (1.9 percent) in 2013. From 2011 to 2013, job gains are forecast
across most Durable Goods sectors including Fabricated Metals, Aerospace and Computer and
Electronic Products and Non-Durable Goods. However, job losses are projected in the
unreported Durable Goods sectors.
Natural Resources and Mining (NRM): The NRM sector is forecast to gain 200 jobs (1.9
percent) in 2012 and less than 50 jobs (0.4 percent) in 2013. From 2011 to 2013, slowing job
gains are projected in Metal Ore Mining sub-sectors as a consequence of slowing economic
growth in Asia and an emerging recession in Europe. Reductions in employment levels are
forecast in the Non-Metal Ore Mining sub-sectors of NRM.
Information: This sector is projected to have a decrease in employment of 100 jobs (-0.1
percent) in 2012 and an increase in employment of 300 jobs (0.8 percent) in 2013. During the
2011 to 2013 projections time frame, slowing job losses are forecast in the Telecommunications
sub-sectors. However, accelerating job gains are projected in the Non-Telecommunications subsectors.
Other Services (OS): OS is forecast to lose 1,600 jobs (-1.8 percent) in 2012 and 900 jobs (-1.0
percent) in 2013. Increased employment insecurity, reduced wages and benefits, large levels of
consumer and mortgage debt and rising food, energy and healthcare costs have resulted in
retrenchment of consumer spending toward establishments primarily engaged in raising funds for
a wide range of social welfare activities. These establishments include foundations or charitable
trusts and religious, professional, and civic organizations, etc. These projected reductions in
employment reflect that.
Conclusion
Arizona is projected to gain 112,200 Nonfarm jobs, representing a growth rate of 4.7 percent,
over the two projected years of 2012 and 2013. An over-the-year gain of 51,200 jobs is
projected in 2012 and 60,900 jobs in 2013. The rate of growth projected for nonfarm
employment is 2.1 percent in 2012 and 2.5 percent in 2013.
All sectors of the Arizona economy are projected to gain jobs during the 2011–2013 forecast
time period with the exception of Other Services sector. For the 2011 to 2013 forecast time
period, the major sectors with the largest projected employment gains include: Professional and
Business Services (21,500 jobs); Educational and Health Services (20,400 jobs); Trade,
Transportation, and Utilities (19,900 jobs); Leisure and Hospitality (18,100 jobs); and
Construction (13,100 jobs). The sectors with the highest rates of growth in nonfarm employment
are Construction (11.8 percent); Leisure and Hospitality (7.0 percent); Professional and Business
Services (6.3 percent); Financial Activities (6.2 percent); and Educational and Health Services
(5.7 percent).
There are risks that could add uncertainty to the forecast. Rising food and petroleum prices
could absorb a greater fraction of household spending, leaving less disposable income. A
potential military conflict in the Persian Gulf over Iran could disrupt supplies of petroleum,
31

sending prices spiraling and disrupting economic activity all over the globe. The public debt
crisis in the Euro Monetary Zone has the potential to depress economic activity and European
demand for exports, thus contributing to a slowing of economic growth in many parts of the
world. Economic growth is slowing in the People’s Republic of China (PRC) which would
reduce imports from the U.S. In the domestic economy, constrained federal, state, and local
budget, and the imminent “fiscal cliff” could potentially inhibit the growth of demand for goods
and services. Continued weakness in the commercial and residential real estate markets could
pose additional risks.
There are many positive indicators suggesting improvement in the overall economy as measured
by various economic indicators such as GDP, employment, industrial production, wholesale and
retail sales, capacity utilization rate, household net worth, rising income levels, increasing
consumer spending, gradual improvements in residential real estate markets, increasing levels of
private domestic investment, etc. However, there are also risks associated with uncertainties as
mentioned above. Overall, with nonfarm employment gains projected across ten of the eleven
major sectors in 2011–2013, this forecast suggests that the positives outweigh the risks.

32

Section 7 – Statistics
ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Comparison between Arizona and United States Population
For Calendar Years Ended December 31
(2011 is the most recent data available)

Year

Arizona
Population

United States
Population

Percent
Change
In Arizona
Population

Percent
Change
in U.S.
Population

2002

5,411,164

287,625,193

2.3%

0.9%

2003

5,554,235

290,107,933

2.6%

0.9%

2004

5,725,610

292,805,298

3.1%

0.9%

2005

5,924,476

295,516,599

3.5%

0.9%

2006

6,116,409

298,379,912

3.2%

1.0%

2007

6,274,981

301,231,207

2.6%

1.0%

2008

6,368,649

304,093,966

1.5%

1.0%

2009

6,389,081

306,771,529

0.3%

0.9%

2010

6,401,569

309,349,689

0.2%

0.8%

2011

6,438,178

311,591,917

0.6%

0.7%

Sources: Arizona estimates by the Population Statistics Unit, Office of Employment and Population Statistics, Arizona
Department of Administration; United States estimates the by U.S. Census Bureau.
Note: Note: The information contained in the sources used for this table is revised on a continuing basis, and,
accordingly, the amounts in the above table have been revised. Therefore, amounts presented may not match the
amounts reported for prior years.

Percent Change

Population Growth
4.0%
3.5%
3.0%
2.5%
2.0%
1.5%
1.0%
0.5%
0.0%
2002

2003

2004

2005

2006

2007

Calendar Year

Arizona

33

U.S.

2008

2009

2010

2011

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Comparison between Arizona and United States Per Capita Income
For Calendar Years Ended December 31
(2011 is the most recent data available)

Year

Arizona Per
Capita Income

U.S. Per
Capita Income

Percentage
Change in
Arizona Per
Capita Income

Percentage
Change in
U.S. Per
Capita Income

2002

27,459

31,481

1.4%

1.0%

2003

28,239

32,295

2.8%

2.6%

2004

30,080

33,909

6.5%

5.0%

2005

32,223

35,452

7.1%

4.6%

2006

34,326

37,725

6.5%

6.4%

2007

35,441

39,506

3.2%

4.7%

2008

36,059

40,947

1.7%

3.6%

2009

33,560

38,637

-6.9%

-5.6%

2010

33,773

39,791

0.6%

3.0%

2011

35,062

41,560

3.8%

4.4%

Source: Arizona and U.S. data provided by the Office of Employment and Population Statistics, Arizona Department
of Administration.
Note: The information contained in the sources used for this table is revised on a continuing basis, and, accordingly,
the amounts in the above table have been revised. Therefore, amounts presented may not match the amounts
reported for prior years.

Percent Change

Change in Per Capita Income
8.0%
6.0%
4.0%
2.0%
0.0%
-2.0%
-4.0%
-6.0%
-8.0%
2002

2003

2004

2005

2006

2007

Calendar Year

Arizona

34

U.S.

2008

2009

2010

2011

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Expenditures by Funding Source
(Governmental Funds and Unemployment Insurance Benefits)
For Fiscal Years Ended June 30
Year

State Funds

Federal Funds

Other Funds

Total Funds

2003

434,725,701

1,350,528,136

856,181,840

2,641,435,677

2004

472,442,402

1,420,389,817

846,938,314

2,739,770,533

2005

595,906,541

1,461,830,185

778,674,563

2,836,411,289

2006

626,707,813

1,543,938,187

771,890,762

2,942,536,762

2007

734,043,579

1,498,649,185

943,064,161

3,175,756,925

2008

801,862,086

1,703,396,765

1,080,817,875

3,586,076,726

2009

705,314,168

2,359,577,901

1,540,321,161

4,605,213,230

2010

512,735,693

3,804,712,359

1,667,553,184

5,985,001,236

2011

579,759,832

3,701,195,606

1,341,056,629

5,622,012,067

2012

604,219,713

3,293,038,152

1,277,799,638

5,175,057,503

Source: The Arizona Department of Economic Security, Financial Statements.
Note: The Federal Funds amounts include amounts for SNAP benefits distributed.

Dollars

Expenditures by Function and Funding Source (in millions)

7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
2003

2004

2005

2006

2007

2008

2009

2010

Fiscal Year

State Funds

Federal Funds

35

Other Funds

2011

2012

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Revenues by Funding Source
(Governmental Funds and Unemployment Insurance Benefits)
For Fiscal Years Ended June 30

Year

State
General Fund
Appropriations

Federal
Financial
Assistance

Employers’ UI
Contributions

Interest on
Investments

Other

Total

2003

422,581,074

1,683,066,873

160,962,888

58,776,481

72,830,370

2,398,217,686

2004

484,037,500

1,893,683,834

194,894,098

46,839,769

51,605,255

2,671,060,456

2005

606,123,799

1,892,812,895

267,264,774

41,401,296

77,732,065

2,885,334,829

2006

632,655,200

2,030,183,141

311,448,934

40,801,691

67,787,346

3,082,876,312

2007

738,670,201

2,105,465,538

322,919,404

48,568,677

75,508,022

3,291,131,842

2008

796,735,199

2,313,806,342

300,370,732

52,175,707

45,081,303

3,508,169,283

2009

686,602,626

3,102,226,928

268,808,745

40,829,934

114,566,869

4,213,035,102

2010

518,620,000

4,588,870,453

355,638,066

10,776,494

108,314,873

5,582,219,886

2011

550,548,801

4,414,792,386

414,044,300

977,582

55,876,445

5,436,239,514

2012

597,429,200

3,972,085,235

437,052,743

1,129,695

154,992,653

5,162,689,526

Source: The Arizona Department of Economic Security, Financial Statements.
Note: The Federal Financial Assistance amounts include amounts for SNAP benefits distributed.

Fiscal Year

Revenues by Funding Source (in millions)
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012

0

1,000

2,000

3,000

4,000

5,000

Dollars

State General Fund Appropriations

Federal Financial Assistance

Employers' UI Contributions

Interest on Investments

Other

36

6,000

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Comparison between Arizona and United States Unemployment
For Calendar Years Ended December 31
(2011 is the most recent data available)

Year

Number of
Unemployed
in Arizona

Number of
Unemployed
in U.S.

Unemployment
Rate – Arizona

Unemployment
Rate – U.S.

2002

161,600

8,378,000

6.00%

5.80%

2003

155,800

8,774,000

5.70%

6.00%

2004

138,700

8,149,000

5.00%

5.50%

2005

133,800

7,591,000

4.70%

5.10%

2006

121,200

7,001,000

4.10%

4.60%

2007

111,600

7,078,000

3.70%

4.60%

2008

184,500

8,924,000

6.00%

5.80%

2009

309,100

14,265,000

9.90%

9.30%

2010

325,500

14,825,000

10.50%

9.60%

2011

287,600

13,747,000

9.50%

8.90%

Source: Arizona data was provided by the Office of Employment and Population Statistics, Arizona Department of
Administration; U.S. data was provided by the Bureau of Labor Statistics, U.S. Department of Labor.
Note: Unemployment rates are seasonally adjusted.

Unemployment Rate
12.00%
10.00%
Rate

8.00%
6.00%
4.00%
2.00%
0.00%
2002

2003

2004

2005

2006

2007

Calendar Year

Arizona

37

U.S.

2008

2009

2010

2011

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Unemployment Insurance Financial Transaction Summary
For Fiscal Years Ended June 30

Year

Total Employers’
Contributions

Total Benefits
Paid

2003

237,542,722

467,411,646

860,871,706

2004

247,481,831

394,987,858

759,016,265

2005

261,480,966

287,693,670

772,158,698

2006

317,941,840

224,142,148

902,130,314

2007

330,183,208

246,783,048

1,029,325,981

2008

309,214,081

354,892,511

1,032,075,498

2009

276,732,990

1,061,358,568

602,590,236

2010

339,745,124

2,123,766,228

16,689,508

2011

412,472,497

1,684,068,675

16,864,876

2012

434,253,686

1,053,948,338

4,113,696

Fund Balance

Source: The Arizona Department of Economic Security, Unemployment Insurance Financial Transaction Summary
Report.
Note: The total benefits paid amount for all fiscal years has been adjusted to include interstate benefits.

Unemployment Insurance Contribution to Benefits and Fund Balance
(in millions)
2,500

Dollars

2,000
1,500
1,000
500
0
2003

2004

2005

2006

2007

2008

2009

2010

2011

Fiscal Year

Employers' Contributions

38

Benefits Paid

Fund Balance

2012

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Supplemental Nutrition Assistance Program (SNAP) Benefit Participants
For Fiscal Years Ended June 30

Year

Average
Monthly
Number of
Households

Average
Monthly
Number of
Persons

Average
Monthly
Allotment
Per Household

Average
Monthly
Allotment
Per Person

Average
Monthly
Benefits
Distributed

2003

171,247

442,320

223.06

86.36

38,198,140

2004

204,010

521,992

227.63

88.96

46,438,594

2005

217,983

546,369

234.06

93.38

51,021,394

2006

221,944

546,424

234.30

95.15

52,001,162

2007

218,598

537,072

238.18

97.10

52,150,403

2008

246,767

600,549

244.49

100.44

60,340,187

2009

313,126

752,772

277.44

115.41

86,875,088

2010

422,583

986,413

302.07

129.41

127,649,820

2011

458,580

1,049,522

291.35

127.30

133,607,965

2012

484,785

1,123,068

292.40

126.22

141,752,178

Source: The Arizona Department of Economic Security, Family Assistance Administration.

600,000
500,000
400,000
300,000
200,000
100,000
0

$350
$300
$250
$200
$150
$100
$50
$0

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Fiscal Year

Average Monthly Number of Households

Average Monthly Allotment per Household

39

Per Household

Households

Supplemental Nutrition Assistance Program (SNAP)
Benefit Participation

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Temporary Assistance for Needy Families Cash Assistance
For Fiscal Years Ended June 30

Year

Average Monthly
Number of
Cases

Average Monthly
Number of
Recipients

Average Monthly
Payment
Per Case

Average Monthly
Payment
Per Recipient

Average
Monthly
Payments

2003

47,298

121,193

282.76

110.35

13,373,618

2004

51,318

122,577

284.92

119.28

14,621,497

2005

45,742

105,517

282.38

122.41

12,916,521

2006

41,580

93,553

278.60

123.82

11,584,130

2007

37,616

82,408

275.83

125.90

10,375,533

2008

37,030

80,221

274.59

126.75

10,167,799

2009

38,467

83,969

258.19

118.28

9,931,702

2010

37,779

82,127

213.21

98.08

8,054,784

2011

19,827

44,842

212.42

93.92

4,211,688

2012

17,310

39,194

208.89

92.26

3,615,885

Source: The Arizona Department of Economic Security, Family Assistance Administration.
Note: Effective July 2010, the maximum state time limit to receive monthly Cash Assistance benefits was reduced to
36 months. Effective August 2011, the maximum state time limit to receive monthly Cash Assistance benefits was
further reduced to 24 months.

Average Monthly Number of Cases

60,000
50,000
Cases

40,000

30,000
20,000
10,000

0
2003

2004

2005

2006

2007

2008

Fiscal Year

40

2009

2010

2011

2012

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Temporary Assistance for Needy Families Cash Assistance
For Fiscal Years Ended June 30
(Continued)

Average Monthly Payment per Case

Payment per Case

300

250
200
150

100
50
0
2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Fiscal Year

Total Cash Assistance Cases
18,500

Cases

18,000
17,500
17,000

16,500
16,000
15,500
Jul2011

Aug2011

Sep2011

Oct2011

Nov2011

Dec2011

Jan2012

Month / Year

41

Feb2012

Mar2012

Apr2012

May2012

Jun2012

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Jobs Program
Comparison of Participants and Participants Employed
For Fiscal Years Ended June 30

Year

Number of Participants

Total Employed

Percentage Retained
Employment for at Least 90 Days

2003

32,008

15,490

46%

2004

42,565

20,185

44%

2005

51,130

20,940

50%

2006

53,377

21,067

48%

2007

42,405

16,780

37%

2008

46,558

18,101

33%

2009

53,800

13,097

27%

2010

46,010

8,416

45%

2011

31,380

7,052

40%

2012

29,643

6,662

18%

Source: The Arizona Department of Economic Security, Employment Administration.

60,000

60%

50,000

50%

40,000

40%

30,000

30%

20,000

20%

10,000

10%

0

0%

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Fiscal Year

Number of Participants

Employed

42

Retained after 90 Days

Percentage Retained

Number of Participants

Jobs Program Participants Employed to the Percentage Retained

ARIZONA DEPARTMENT OF ECONOMIC SECURITY
Child Support Enforcement Collections
For Fiscal Years Ended June 30

Year

TANF
Collected
for Arizona

TANF
Collected for
Other States

Non-TANF
Collected
for Arizona

Non-TANF
Collected for
Other States

Non-IV-D
Collected

Total
Collections

2003

26,262,600

8,267,100

204,043,700

17,981,500

281,660,900

538,215,800

2004

29,889,000

8,061,600

217,531,600

17,989,100

290,084,200

563,555,500

2005

30,662,600

8,211,600

231,762,600

21,264,400

300,827,700

592,728,900

2006

29,474,800

8,487,900

246,437,800

22,883,800

312,881,500

620,165,800

2007

31,837,800

8,505,300

270,570,900

25,309,500

327,108,300

663,331,800

2008

33,362,400

5,926,800

291,069,400

19,853,500

332,425,300

682,637,400

2009

31,337,600

7,402,700

294,618,000

27,266,400

328,738,000

689,362,700

2010

25,854,600

7,086,300

299,449,600

28,356,400

321,096,000

681,842,900

2011

21,248,700

6,757,400

301,646,700

29,625,500

329,574,400

688,852,700

2012

19,651,800

6,679,900

304,956,800

30,516,200

340,901,500

702,706,200

Source: The Arizona Department of Economic Security, Division of Child Support Enforcement.

Child Support Enforcement Collections (in millions)
800
700
600

Dollars

500

400
300
200
100

0
2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Fiscal Year

IV-D TANF Collected for Arizona $
IV-D Non-TANF Collected for Arizona $
Non-IV-D Collected $

IV-D TANF Collected for Other States $
IV-D Non-TANF Collected for Other States $

43

Equal Opportunity Employer/Program • Under Titles VI and VII of the Civil Rights Act of 1964
(Title VI & VII), and the Americans with Disabilities Act of 1990 (ADA), Section 504 of the
Rehabilitation Act of 1973, the Age Discrimination Act of 1975, and Title II of the Genetic
Information Nondiscrimination Act (GINA) of 2008; the Department prohibits discrimination in
admissions, programs, services, activities, or employment based on race, color, religion, sex,
national origin, age, disability, genetics and retaliation. The Department must make a reasonable
accommodation to allow a person with a disability to take part in a program, service or activity.
For example, this means if necessary, the Department must provide sign language interpreters for
people who are deaf, a wheelchair accessible location, or enlarged print materials. It also means
that the Department will take any other reasonable action that allows you to take part in and
understand a program or activity, including making reasonable changes to an activity. If you
believe that you will not be able to understand or take part in a program or activity because of
your disability, please let us know of your disability needs in advance if at all possible. To
request this document in alternative format or for further information about this policy, 602-5423882; TTY/TDD Services: 7-1-1. • Free language assistance for DES services is available upon
request. Empleador/Programa con Igualdad de Oportunidades. Para obtener este documento en
otro formato, comuniquese con Servicios para Miembros al 602-542-3882.

2