Arizona 2023 2023 Regular Session

Arizona House Bill HB2423 Comm Sub / Analysis

Filed 03/17/2023

                    Assigned to HHS & APPROP 	FOR COMMITTEE 
 
 
 
 
ARIZONA STATE SENATE 
Fifty-Sixth Legislature, First Regular Session 
 
FACT SHEET FOR H.B. 2423 
 
technical correction; public records 
(NOW: appropriation; healthcare; interoperability) 
Purpose 
Requires the Health Care Interoperability Grant Program (Grant Program), administered 
by the Arizona Department of Administration (ADOA), to provide a single grant to a company 
that licenses an interoperability software technology solution to support acute care for outlined 
facilities. Appropriates $12,000,000 from the state General Fund (state GF) in FY 2024 to ADOA 
for the single grant.  
Background 
In 2022, the Legislature directed ADOA to establish a three-year competitive Grant 
Program that provides interoperability software technology solutions to support rural hospitals, 
health care providers and urban trauma centers to further treatment care coordination with a focus 
on reducing public and private health care costs and unnecessary transportation costs. The software 
must be made available to participating rural hospitals, health care providers and urban trauma 
centers by enabling a hospital's electronic medical records system to interface with other electronic 
medical records systems and providers to promote connectivity between hospital systems and 
providers to promote connectivity between hospital systems and facilitate increased 
communication between hospital staff and providers that use different or distinctive online 
platforms and information systems when treating patients. The interoperability software 
technology solution and grant applicant must meet outlined requirements to be eligible for a grant. 
ADOA must award the first grant by December 31, 2022. The Grant Program terminates on June 
30, 2026 (A.R.S. ยง 41-703.01; Laws 2022, Ch. 314). 
H.B. 2423 appropriates $12,000,000 from the state GF in FY 2024 to ADOA. 
Provisions 
1. Requires ADOA to administer the Grant Program to provide a single grant to a company that 
licenses an interoperability software technology solution to support acute care for rural 
hospitals, health care providers and trauma centers, rather than urban trauma centers, with 
resources to further treatment and care coordination. 
2. Removes the termination date of the Grant Program. 
3. Appropriates $12,000,000 from the state GF in FY 2024 to ADOA for the grant award. 
4. Extends the deadline for ADOA to award the grant from December 31, 2022, to December 31, 
2023.  FACT SHEET 
H.B. 2423 
Page 2 
 
 
5. Prohibits the grant recipient from using a third-party vendor to comply with any Grant Program 
requirements.  
6. Requires the Grant Program to enable the implementation of a single licensed interoperability 
software technology solution that is accessible to current and future providers via a mobile, 
native smartphone application. 
7. Requires the interoperability software technology solution software to: 
a) enable a hospital's electronic medical records system to interface with interoperability 
technology;  
b) enable providers to promote mobile connectivity between hospital systems and facilitate 
increased communication between hospital staff and providers that use different or 
distinctive mobile platforms when treating acute patients; 
c) be capable of providing proactive alerts to health care providers on their smartphones or a 
smart device; 
d) allow for synchronous and asynchronous communication via a native smartphone 
application; and  
e) be mobile and capable of being used on multiple electronic devices.  
8. Requires the mobile technology to include, at a minimum, the industry standard built-in 
application for the two most popular operating systems and a built-in application available to 
all users. 
9. Requires the grant recipient to demonstrate that its interoperability software technology 
solution meets all outlined requirements at least 30 days before applying for the grant. 
10. Requires the interoperability software technology solution license to be renewed annually. 
11. Exempts the appropriation from lapsing. 
12. Defines mobile and native.  
13. Makes technical and conforming changes. 
14. Becomes effective on the general effective date. 
House Action 
APPROP 2/20/23 DPA/SE 14-0-0-1 
3
rd
 Read 2/28/23  31-28-1 
Prepared by Senate Research 
March 17, 2023 
MG/MC/slp