The Arizona Democratic Party's lawsuit against Senate Republicans and its auditing firm, Cyber Ninjas, has ended with a settlement. 

A verbal agreement between the Senate and Secretary of State Katie Hobbs was put in writing, which allows her to have three observers inside the Coliseum, where the audit is taking place. 

Hobbs says the agreement will make it easier to scrutinize Cyber Ninjas’ practices. 

“Now that we have observers in there, they’ve observed just a lack of adherence to basic security measures, ballots left unattended on tables, co-mingling of counted and uncounted ballots, just many many concerns," Hobbs said. 

The agreement also puts teeth in a court order that already required the Senate and Cyber Ninjas to follow state laws around ballot privacy. Any violations of the agreement would be enforceable by an emergency court order.

Under the court order, the Senate and Cyber Ninjas last week released their policies and procedures for the recount. Hobbs' elections director, Bo Dul, told The Associated Press there were major problems with those rules, including that they seemed haphazard, lacked specifics and left much room for interpretation — something that is never allowed in ballot counts.

Dul noted that the policies allow counters to accept a large enough error rate to perhaps show Trump won the state. Such an outcome would not change the outcome of the election because the results were certified months ago in the state and Congress.

Hobbs on Wednesday sent a letter to the Senate's liaison to its recount contractor, former Secretary of State Ken Bennett, formally laying out a series of problems with the policies.

"Mr. Bennett, as a former Secretary of State, you know that our elections are governed by a complex framework of laws and procedures designed to ensure accuracy, security, and transparency," Hobbs wrote. “You also must therefore know that the procedures governing this audit ensure none of those things.”

The developments come as the counting of 2.1 million ballots from the November election won by President Joe Biden are off to a slow pace. Bennett told the Associated Press Tuesday night that teams doing a hand recount of the presidential race lost by former President Donald Trump and the U.S. Senate race won by Democrat Mark Kelly has tallied less than 10% of the ballots since starting on April 23.

Bennett said it is clear the count can't be done by the time the deal allowing the Senate to use the Coliseum ends on May 14. Several days of high school graduations are set to begin on May 15.

Bennett said the plan was to move the ballots and other materials into a secure area of the Coliseum to allow the events, then restart counting and continue until that is completed.

That seems far from certain, though, after a state fair board official told the Arizona Republic that extending the Coliseum lease is “not feasible.” The fair board didn't immediately respond to a request for comment from the AP.

Trump and his backers have alleged without evidence that he lost Arizona and other battleground states because of fraud. Fann said she wants to prove one way or the other whether GOP claims of problems with the vote are valid and use the results of the audit to craft updated election laws.