Gov. Katie Hobbs just erased $429 million in medical debt for Arizonans!

Governor Katie Hobbs has announced the erasure of $429 million in medical debt for over 350,000 Arizonans through a state partnership with a national nonprofit organization.

At a glance

Key Evidence

Verified July 18, 2025

The Arizona Governor's official website confirms the $429 million debt cancellation for hundreds of thousands of Arizonans.azgovernor.gov
Multiple news outlets report that over 350,000 residents have had their medical debt erased through this program.abc15.com azcentral.com unduemedicaldebt.org
The nonprofit Undue Medical Debt is identified as the partner organization facilitating the debt purchase and cancellation using federal relief funds.

The reporting

What the Evidence Shows

The claim that Gov. Katie Hobbs erased $429 million in medical debt for Arizonans is supported by multiple credible sources, including official statements from the Arizona Governor's office and reputable news organizations. The initiative involves a partnership with the nonprofit Undue Medical Debt, which uses federal COVID relief funds to purchase and cancel medical debt for eligible residents.

Over 350,000 Arizonans, particularly those earning up to 400% of the federal poverty level or who owe a significant portion of their income in medical bills, are beneficiaries of this program. Letters notifying recipients of their debt cancellation are being sent out as part of the process. This effort is part of a broader plan announced earlier to erase billions in medical debt for up to one million Arizonans.

The consistency across multiple independent and authoritative sources confirms the accuracy of the claim.

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