Assigned to APPROP AS PASSED BY COMMITTEE ARIZONA STATE SENATE Fifty-Fifth Legislature, Second Regular Session AMENDED FACT SHEET FOR S.B. 1230 developmental disabilities; provider increases Purpose Appropriates $28,300,000 from the state General Fund (state GF) and $65,007,000 in Medicaid Expenditure Authority in FY 2023 to the Department of Economic Security (DES) to provide reimbursement rate increases for services to individuals with intellectual and developmental disabilities. Background The Division of Developmental Disabilities (DDD) within DES provides services to individuals with developmental and intellectual disabilities including cerebral palsy, autism and epilepsy. Services provided by DDD include: 1) attendant care; 2) habilitation; 3) home health aide; 4) home nursing; 5) occupational, physical and speech therapies; 6) respite care; and 7) medical services. DDD is required to rebase the reimbursement rates for home and community-based services every five years (DES). S.B. 1230 appropriates $30,000,000 from the state GF and $65,007,000 in Medicaid Expenditure Authority in FY 2023 to DES. Provisions 1. Appropriates $28,300,000 from the state GF and $65,007,000 in Medicaid Expenditure Authority in FY 2023 to DES to provide reimbursement rate increases for services to individuals with intellectual and developmental disabilities. 2. Appropriates $1,700,000 from the state GF in FY 2023 to DES for individuals in early intervention programs. 3. Requires DES to use the FY 2020 rate rebase study and the most recent early intervention services rate rebase study to provide reimbursement rate increases for all services, including early intervention services, to individuals with intellectual and developmental disabilities in FY 2023 in order for each service to receive an increase in the fiscal year. 4. Directs DES, before implementing provider rate increases, engage community stakeholders regarding DES's plans to increase rates. FACT SHEET – Amended S.B. 1230 Page 2 5. Requires DES, by October 1, 2022, to submit a report to the Joint Legislative Budget Committee describing DES's efforts to engage stakeholders and plans to implement provider rate increases for FY 2023. 6. Contains a statement of legislative intent. 7. Becomes effective on the general effective date. Amendments Adopted by Committee 1. Replaces the $30,000,000 from the state GF in FY 2023 appropriation with $28,300,000 from the state GF and $65,007,000 in Medicaid Expenditure Authority. 2. Removes the $_____ appropriations in FYs 2024 and 2025. 3. Appropriates $1,700,000 from the state GF in FY 2023 to DES for early intervention programs. 4. Delays the reporting date to October 1, 2022. Senate Action APPROP 2/15/22 DPA 9-1-0 Prepared by Senate Research February 16, 2022 LMM/sr