Arizona 2023 2023 Regular Session

Arizona House Bill HB2816 Comm Sub / Analysis

Filed 05/23/2023

                    Assigned to APPROP 	AS ENACTED 
 
 
 
 
ARIZONA STATE SENATE 
Fifty-Sixth Legislature, First Regular Session 
 
ENACTED 
 
AMENDED 
FACT SHEET FOR S.B. 1726/H.B. 2816 
 
health care; 2023-2024. 
Purpose 
Makes statutory and session law changes relating to health care necessary to implement the 
FY 2024 state budget. 
Background 
The Arizona Constitution prohibits substantive law from being included in the general 
appropriations, capital outlay appropriations and supplemental appropriations bills. However, it is 
often necessary to make statutory and session law changes to effectuate the budget. Thus, separate 
bills called budget reconciliation bills (BRBs) are introduced to enact these provisions. Because 
BRBs contain substantive law changes, the Arizona Constitution provides that they become 
effective on the general effective date, unless an emergency clause is enacted. 
S.B. 1726 contains the budget reconciliation provisions for changes relating to health care. 
Provisions 
Interoperability Software Grant Program 
1. Requires the Arizona Department of Administration (ADOA) to administer a competitive grant 
program that provides a single company that licenses an interoperability software technology 
solution to support acute care for rural hospitals, health care providers and trauma centers with 
resources to further treatment and care coordination with a focus on reducing public and private 
health care costs and unnecessary transportation costs. 
2. Requires ADOA to award the grant by December 1, 2023. 
3. Directs the Arizona Health Care Cost Containment System (AHCCCS) to work with ADOA 
to supplement the grant monies by identifying and applying to receive federal matching 
monies.  
4. Requires the grant program to enable the implementation of a single licensed interoperability 
software technology solution that is shared by hospitals and health care providers to benefit 
patients, before and after discharge from the provider's care, and that is accessible to current 
and future providers via a mobile, native smartphone application.   FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 2 
 
 
5. Requires the software to be made available to rural hospitals, health care providers and trauma 
centers that wish to participate by enabling a hospital's electronic medical records system to 
interface with interoperability technology and other electronic medical records systems and 
providers to promote mobile connectivity between hospital systems and facilitate increased 
communication between hospital staff and providers that use different or distinctive online and 
mobile platforms and information systems when treating acute patients. 
6. Directs ADOA to award one grant for an interoperability software technology solution that, at 
a minimum: 
a) complies with the Health Insurance Portability and Accountability Act (HIPAA) privacy 
standards; 
b) captures and forwards clinical data, including laboratory results and images, and provides 
synchronous patient clinical data to health care providers regardless of geographic location; 
c) provides a synchronous data exchange, that is not batched or delayed, at the point the 
clinical data is captured and available in the hospital's electronic record system; 
d) is capable of providing proactive alerts to health care providers on their smartphones or a 
smart device; 
e) allows synchronous and asynchronous communication via a native smartphone application; 
f) is mobile technology, can be used on multiple electronic devices and includes the industry 
standard built-in application for the two most popular operating systems and a built-in 
application available to all users; 
g) has patient-centric communication and is tracked with date and time stamping; 
h) is connected to the appropriate physician resources; and 
i) provides data to update cost reports to enhance emergency triage and to treat and transport 
patients. 
7. Requires the grant recipient to demonstrate: 
a) that its interoperability software technology solution meets all requirements at least 30 days 
before applying for the grant; and 
b) proof of veteran employment. 
8. Requires, for FY 2024, the grant recipient to provide ADOA a report that provides metrics and 
quantifies cost and time savings for using an interoperable software solution in health care that 
complies with HIPAA privacy standards. 
9. Directs ADOA, in coordination with AHCCCS and by July 1, 2024, to provide a report on the 
allocation of grant funding and compiled analysis of the reports provided by the grant recipient 
to the: 
a) President of the Senate; 
b) Speaker of the House of Representatives (House); 
c) Chairpersons of the Health and Human Services Committees of the Senate and House; 
d) Director of the Joint Legislative Budget Committee (JLBC); and 
e) Director of the Governor's Office of Strategic Planning and Budgeting.  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 3 
 
 
10. Specifies that monies appropriated for the grant program in the FY 2024 General 
Appropriations Act do not affect monies appropriated in FY 2023 for interoperability software 
technology solutions or any grant awarded to or contract with a grant recipient. 
11. Repeals the grant program on July 1, 2024. 
Collaborative Care Uptake Fund (Fund) 
12. Establishes the Fund in the Department of Health Services (DHS) consisting of monies 
appropriated by the Legislature. 
13. Subjects monies in the Fund to legislative appropriation and specifies that monies in the Fund 
are continuously appropriated. 
14. Prohibits DHS from using more than three percent of Fund monies to administer the Fund. 
15. Allows a primary care physician that receives a grant from the Fund to use the monies to:  
a) hire staff;  
b) identify and formalize contractual relationships with other health care practitioners, 
including health care practitioners who will function as psychiatric consultants and 
behavioral health care managers in providing behavioral health integration services 
through the collaborative care model;  
c) purchase or upgrade software and other resources needed to appropriately provide behavioral 
health integration services through the collaborative care model, including resources 
needed to establish a patient registry and implement measurement-based care; and  
d) for any other purposes DHS prescribes as necessary to support the collaborative care model. 
16. Requires DHS to solicit proposals from and enter into grant agreements with eligible 
collaborative care technical assistance center applicants to provide technical assistance to 
primary care physicians on providing behavioral health integration services through the 
collaborative care model.  
17. Requires, in the grant application, each collaborative care technical assistance center applicant 
to provide information on how the collaborative care technical assistance center will meet the 
prescribed assistance requirements in order to be eligible for a grant.  
18. Requires a collaborative care technical assistance center that receives a grant to provide 
technical assistance to primary care physicians and assist the primary care physicians with:  
a) developing financial models and budgets for program launch and sustainability based on 
practice size;  
b) developing staffing models for essential staff roles, including care managers and consulting 
psychiatrists;  
c) providing information technology expertise to assist with building the model requirements 
into electronic health records, including assistance with care manager tools, patient 
registry, ongoing patient monitoring and patient records;  
d) providing training support for all key staff and operational consultation to develop practice 
workflows;   FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 4 
 
 
e) establishing methods to ensure the sharing of best practices and operational knowledge 
among primary care physicians who provide behavioral health integration services through 
the collaborative care model; and  
f) any other purposes DHS prescribes as necessary to support the collaborative care model. 
19. Defines collaborative care model as the evidence-based, integrated behavioral health service 
delivery method that is described as the psychiatric collaborative care model in 81 Federal 
Register 80230, that includes a formal collaborative arrangement among a primary care team 
consisting of a primary care physician, a care manager and a psychiatric consultant and that 
includes the following elements:  
a) care directed by the primary care team;  
b) structured care management;  
c) regular assessments of clinical status using developmentally appropriate, validated tools; and  
d) modification of treatment as appropriate.   
20. Defines collaborative care technical assistance center as a health care organization that can 
provide educational support and technical assistance related to the collaborative care model. 
21. Includes an academic medical center in the definition of collaborative care technical 
assistance center.   
Dementia and Alzheimer's Disease 
22. Designates DHS as the lead state agency to address Alzheimer's disease and related forms of 
dementia. 
23. Requires the Director of DHS to establish a dementia services program within DHS that: 
a) facilitates the coordination and support of policies and programs in the Legislature and 
executive branch, including state agencies, that relate to Alzheimer's disease and related 
forms of dementia; 
b) facilitates the coordination, review, publication and implementation of the Alzheimer's 
disease state plan; 
c) facilitates and supports coordination of outreach programs and services between state 
agencies, local public health departments, tribal nations, educational institutions and 
community groups to foster public awareness and education regarding Alzheimer's disease 
and related forms of dementia; 
d) facilitates the coordination of services and activities between groups that are interested in 
dementia research, programs and services, including area agencies on aging, service 
providers, advocacy groups, legal services, emergency personnel, law enforcement, local 
public health departments, tribal nations and state colleges and universities; 
e) applies for federal funding and grants related to public health services for, and early 
detection and risk reduction of, Alzheimer's disease and related forms of dementia; and 
f) incorporates early detection and risk strategies into existing DHS-led public health 
programs. 
24. Requires DHS to develop an Alzheimer's disease state plan that: 
a) assesses the current and future impact of Alzheimer's disease and related forms of dementia 
on the State of Arizona; 
b) assesses the existing state services and resources that address the needs of persons with 
Alzheimer's disease or a related form of dementia and their family caregivers;  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 5 
 
 
c) assesses the needs of persons of all cultural backgrounds who have Alzheimer's disease or 
a related form of dementia and how their lives are affected by the disease, including from 
younger-onset, through mid-state, to late-stage; 
d) assesses the state's capacity and capability to provide effective detection and diagnosis of 
cognitive impairments and dementia; 
e) identifies gaps in the provision of public and private services for persons with Alzheimer's 
disease or a related form of dementia; 
f) provides a strategic plan, including recommendations, for state action; and 
g) is published on the DHS public website. 
25. Requires the strategic plan for state action, with regards to persons with Alzheimer's disease 
or a related form of dementia, to: 
a) increase access to care, support and treatment; 
b) improve quality of care; 
c) advance risk reduction, early detection and diagnosis; and 
d) ensure a coordinated statewide response. 
26. Requires, by July 1, 2024, and June 30, 2026, DHS to review the Alzheimer's disease state 
plan and submit an updated plan to the: 
a) Governor;  
b) President of the Senate;  
c) Speaker of the House; and 
d) Secretary of State. 
27. Requires, in reviewing and updating the Alzheimer's disease state plan, DHS to collaborate 
with:  
a) persons who have Alzheimer's disease or a related form of dementia; 
b) those who directly care for persons with Alzheimer's disease or a related form of dementia; 
and 
c) public, private and nonprofit organizations focused on Alzheimer's care services, research, 
advocacy, health care and caregiver support. 
28. Repeals Dementia and Alzheimer's disease state plan requirements on July 1, 2026. 
29. Requires DHS to distribute monies appropriated in FY 2024 to implement a public education 
campaign to increase awareness of Alzheimer's disease and related forms of dementia in rural 
and underserved urban areas in Arizona to a nonprofit organization that: 
a) demonstrates expertise in memory loss, dementia and Alzheimer's disease; 
b) hosts, 24 hours a day, 7 days a week, a toll-free hotline, with interpreter services if needed, 
that is staffed by master's-level consultants to provide education on the signs and symptoms 
of Alzheimer's disease and related forms of dementia, decision making support, dementia 
crisis assistance, treatment options and referrals to local communities; 
c) provides care and support for those affected by Alzheimer's disease and related forms of 
dementia; and 
d) demonstrates experience in marketing and public awareness campaigns. 
30. Requires DHS, by June 30, 2025, to submit a report on the impact of the public education 
campaign to the Governor, Speaker of the House, President of the Senate, and Secretary of 
State.  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 6 
 
 
Psilocybin Research and Advisory Council 
31. Requires the Director of DHS to provide, from monies appropriated, competitive research 
grants for whole mushroom psilocybin phase one, phase two and phase three clinical trials, 
that are capable of being approved by the U.S. Food and Drug Administration, to evaluate the 
effects of whole mushroom psilocybin on treating any of the following: 
a) post-traumatic stress disorder; 
b) symptoms associated with long COVID-19; 
c) depression; 
d) anxiety disorders; 
e) symptoms associated with end-of-life distress; 
f) obsessive compulsive disorder; 
g) substance abuse and addiction disorders; 
h) eating disorders; 
i) chronic pain; 
j) inflammatory disorders; 
k) autoimmune disorders; 
l) seizure disorders; and 
m) other degenerative disorders. 
32. Requires DHS to announce the opening of the application process at least 30 days before 
applications are available and allow at least 30 days for applicants to complete submission. 
33. Requires research grants to be awarded by February 1 of each year. 
34. Specifies that clinical research trials for psilocybin must prioritize:  
a) using whole mushroom psilocybin cultivated under a schedule I license issued by the U.S. 
Drug Enforcement Administration; and 
b) using veterans, first responders, frontline health care workers and persons from 
underserved communities as the research subjects. 
35. Prohibits, notwithstanding criminal drug offense laws, a person who receives a psilocybin 
research grant or any of the person's employees working on the clinical trial from being charged 
with or prosecuted for possession of psilocybin while working on the clinical trial. 
36. Establishes the Psilocybin Research Advisory Council (Council) in DHS, consisting of the 
Director of DHS or the Director's designee who is employed by DHS, as well as each of the 
following members appointed by the Director: 
a) one medical or osteopathic physician with a federal license to psychedelics; 
b) one military veteran; 
c) one law enforcement officer; and 
d) one professor or researcher from a university under the jurisdiction of the Arizona Board 
of Regents and who specializes in clinical research or psychedelic studies. 
37. Requires the Director of DHS to serve as Chairperson of the Council. 
38. Entitles Council members to reimbursement of expenses. 
39. Requires the Council to:  
a) establish criteria for the clinical trials that qualify to receive research grants;  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 7 
 
 
b) oversee the application process and review applications for the clinical trial research grants 
to assist the Director of DHS in selecting the most credible clinical trials to award the 
research grants; 
c) ensure that all advisory council meetings are open to the public and allow for public 
testimony; and 
d) make recommendations, by June 1 of each year, to the Governor, Speaker of the House, 
President of the Senate and DHS on psychedelic-assisted therapy based on federal and state 
research policy. 
40. Repeals laws related to psilocybin research and the Council on July 1, 2026. 
Student Registered Nurse Anesthetist Clinical Rotation Program (Program) 
41. Establishes the Program, for FY 2024, within the Arizona Board of Nursing (AZBN) to expand 
the capacity of preceptor training programs at health care institutions for nurse anesthetist 
students. 
42. Requires the AZBN to develop a grant program to distribute appropriated Program monies, for 
FY 2024, to licensed health care institutions to expand or develop clinical training placements 
for nurse anesthetist students, with preference given to expanding or developing clinical 
rotations in obstetrics, pediatrics and cardiovascular care. 
43. Specifies that awarded Program grant monies are intended to supplement, not supplant, 
existing training program expenses covered by the health care institution grantee. 
44. Requires the AZBN to establish an application process for Program grants. 
45. Requires the AZBN to consider the following factors when determining grant awards: 
a) the geographic and population distribution; 
b) the number of nurse anesthetist students expected to be trained and retained; and 
c) the cost of the proposal for the number of nurse anesthetist students expected to participate 
and be retained, compared to other proposals. 
Rapid Whole Genome Sequencing 
46. Requires AHCCCS and its contractors, for FY 2024, FY 2025 and FY 2026, subject to any 
required approval by the Centers for Medicare and Medicaid Services (CMS), to provide pilot 
coverage of rapid whole genome sequencing, as a separately payable service if the member: 
a) is under one year of age; 
b) has a complex or acute illness of unknown etiology that is not confirmed to be caused by 
an environmental exposure, toxic ingestion, infection with normal response to therapy or 
trauma; and 
c) is receiving inpatient hospital services in an intensive care unit or a high acuity pediatric 
care unit. 
47. Specifies the rapid whole genome sequencing coverage may be subject to applicable  
evidence-based medical necessity criteria that are based on whether: 
a) the patient has symptoms that suggest a broad differential diagnosis that would require an 
evaluation by multiple genetic tests if rapid whole genome sequencing is not performed;  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 8 
 
 
b) the patient's treating health care provider determines that timely identification of a 
molecular diagnosis is necessary to guide clinical decision-making and that testing results 
may guide the treatment or management of the patient's condition; or 
c) the patient has a complex or acute illness of unknown etiology, including outlined 
conditions. 
48. Lists the following conditions as complex or acute illnesses of unknown etiology that may 
qualify a patient for rapid whole genome sequencing coverage: 
a) congenital anomalies involving at least two organ systems or complex or multiple 
congenital anomalies in one organ system; 
b) specific organ malformations suggestive of a genetic etiology; 
c) abnormal laboratory tests or abnormal chemistry profiles suggesting the presence of a 
genetic disease, complex metabolic disorder or inborn error of metabolism; 
d) refractory or severe hypoglycemia or hyperglycemia; 
e) an abnormal response to therapy related to an underlying medical condition affecting vital 
organs or bodily systems; 
f) severe muscle weakness, rigidity or spasticity; 
g) refractory seizures; 
h) a high-risk stratification on evaluation for a brief resolved unexplained event, including a 
recurrent event without respiratory infection, a recurrent seizure-like event or a recurrent 
cardiopulmonary resuscitation; 
i) abnormal cardiac diagnostic testing results suggestive of possible channelopathies, 
arrhythmias, cardiomyopathies, myocarditis or structural heart disease; 
j) abnormal diagnostic imaging studies or physiologic function studies suggestive of an 
underlying genetic condition or etiology; and 
k) family genetic history related to the patient's condition. 
49. Requires the genetic data generated as a result of performing rapid whole genome sequencing 
to have a primary use of assisting the ordering health care professional and treating care team 
to diagnose and treat the patient. 
50. Specifies that genetic data generated as a result of performing rapid whole genome sequencing 
is protected health information that is subject to the requirements of HIPAA, the Health 
Information Technology for Economic and Clinical Health Act and their attendant regulations, 
including HIPAA Privacy Standards. 
51. Requires the AHCCCS Director to submit any new waiver application, amendment to an 
existing waiver or Medicaid state plan amendment necessary for CMS approval of rapid whole 
genome sequencing pilot coverage.  
52. Allows the AHCCCS Director to adopt any rules or take any other administrative action 
necessary to implement rapid whole genome sequencing coverage. 
53. Defines rapid whole genome sequencing as an investigation of the entire human genome, 
including coding and noncoding regions and mitochondrial deoxyribonucleic acid that 
identifies disease-causing genetic changes and returns the preliminary positive results within 
five days and final results within 14 days.  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 9 
 
 
54. Specifies that rapid whole genome sequencing includes patient-only whole genome sequencing 
and duo and trio whole genome sequencing of the patient and the patient's biological parent or 
parents. 
55. Repeals AHCCCS rapid whole genome sequencing coverage requirements on January 1, 2027. 
Arizona Long-Term Care System (ALTCS) 
56. Outlines the following FY 2024 county contributions for ALTCS: 
County Contribution Amount 
Apache 	$692,800 
Cochise 	$6,587,900 
Coconino 	$2,080,000 
Gila 	$2,852,300 
Graham 	$1,540,200 
La Paz 	$682,700 
Maricopa 	$240,195,400 
Mohave 	$10,847,500 
County Contribution Amount 
Navajo 	$2,867,700 
Pima 	$56,396,600 
Pinal 	$18,011,700 
Santa Cruz 	$2,582,800 
Yavapai 	$9,820,100 
Yuma 	$11,047,700 
57. Directs the State Treasurer to collect from the counties the difference between the total 
contribution and the counties' share of the state's actual contribution, if the overall cost for 
ALTCS exceeds the amount specified in the FY 2024 General Appropriations Act.  
58. Requires the counties' share of the state's contribution to comply with any federal maintenance 
of effort requirements.  
59. Requires the Director of AHCCCS to notify the State Treasurer of the counties' share of the 
state's contribution and report the amount to the Director of JLBC. 
60. Directs the State Treasurer to:  
a) withhold from any other monies payable to a county from any available state funding 
source, excluding the Highway User Revenue Fund (HURF), an amount necessary to fulfill 
that county's contribution requirement; and  
b) deposit the withheld amounts and amounts paid by counties into the ALTCS Fund. 
   FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 10 
 
 
County Acute Care 
61. Outlines the following FY 2024 county acute care contributions:  
County Contribution Amount 
Apache 	$268,800 
Cochise 	$2,214,800 
Coconino 	$742,900 
Gila 	$1,413,200 
Graham 	$536,200 
Greenlee 	$190,700 
La Paz 	$212,100 
Maricopa 	$15,703,400 
Mohave 	$1,237,700 
Navajo 	$310,800 
Pima 	$14,951,800 
Pinal 	$2,715,600 
Santa Cruz 	$482,800 
Yavapai 	$1,427,800 
Yuma 	$1,325,100 
62. Requires the State Treasurer, if a county does not provide funding as specified, to: 
a) subtract the amount owed by the county from any payments required to be made by the 
State Treasurer to the county plus interest on that amount, retroactive to the first day the 
funding was due; and  
b) if the amount withheld is insufficient to meet that county’s funding requirement, withhold 
from any other monies payable to that county from any available state funding source, 
excluding HURF, an amount necessary to fulfill that county’s requirement. 
63. Requires payments equal to one twelfth of the total amount for county acute care contributions 
to be made to the State Treasurer by the fifth day of each month and requires the State 
Treasurer, on request from the Director of AHCCCS, to require that up to three months' 
payment be made in advance, if necessary. 
64. Requires the State Treasurer to deposit the amounts paid and withheld into the AHCCCS Fund 
and the ALTCS Fund. 
65. Allows the Director of AHCCCS, if payments made exceed the amount required to meet the 
costs incurred by AHCCCS for the hospitalization and medical care of eligible persons, to 
instruct the State Treasurer to: 
a) reduce the remaining payments to be paid by a specified amount; or  
b) provide to the counties specified amounts from the AHCCCS Fund and the ALTCS Fund. 
66. Declares the Legislature's intent that Maricopa County acute care contributions be reduced in 
each subsequent year according to the changes in the Gross Domestic Product price deflator.  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 11 
 
 
Disproportionate Share Hospital (DSH) Payments 
67. Establishes the FY 2024 DSH payments as follows:  
a) $113,818,500 for a qualifying nonstate-operated public hospital, of which $4,202,300 is 
distributed to the Maricopa County Special Health Care District (District) and the 
remaining federal portion is deposited in the state General Fund (state GF); 
b) $28,474,900 for the Arizona State Hospital (ASH), of which the federal portion is 
deposited in the state GF; and 
c) $884,800 for private qualifying DSHs, which are hospitals that meet the mandatory 
definition of qualifying DSHs as defined by the federal Social Security Act (SSA), or DSHs 
that are located in Yuma County and contain at least 300 beds. 
68. Outlines the following requirements once AHCCCS files a claim with the federal government 
and receives federal financial participation based on the amount certified by the District: 
a) if the certification is $113,818,500 or less and AHCCCS determines that the revised 
amount is correct, AHCCCS must notify the Governor, the President of the Senate and the 
Speaker of the House and distribute $4,202,300 to the District and deposit the balance of 
the federal financial participation in the state GF;  
b) if the certification is for an amount less than $113,818,500 and AHCCCS determines that 
the revised amount is incorrect, AHCCCS must notify the Governor, the President of the 
Senate and the Speaker of the House and must deposit the total amount of the federal 
financial participation in the state GF; or 
c) if the certification is for an amount greater than $113,818,500, AHCCCS must distribute 
$4,202,300 to the District and deposit $71,248,000 of the federal financial participation in 
the state GF. 
69. Allows AHCCCS to make additional DSH payments to the District. 
70. Outlines the following requirements once AHCCCS files a claim with the federal government 
and receives federal financial participation based on the amount certified by ASH:  
a) if the certification is for an amount less than $28,474,900, AHCCCS must notify the 
Governor, the President of the Senate and the Speaker of the House and must deposit the 
entire amount of federal financial participation in the state GF; and 
b) requires the certified public expense (CPE) form to contain both the total amount of 
qualifying DSH expenditures and the amount limited by the SSA. 
71. Stipulates that, after DSH payment distributions are made, the allocation of DSH payments 
designated to political subdivisions, tribal governments and universities must be provided in 
the following order of priority to qualifying private hospitals located: 
a) in a county with a population of fewer than 400,000 persons; 
b) in a county with a population of at least 400,000 but fewer than 900,000 persons; and 
c) in a county with a population of 900,000 persons or more. 
72. Requires the District, by May 1, 2024, and ASH, by March 31, 2024, to each provide a CPE 
form for qualifying DSH expenditures to AHCCCS. 
73. Continues to require AHCCCS to assist the District and ASH in determining the amount of 
qualifying DSH expenditures.  FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 12 
 
 
AHCCCS 
74. Raises, on October 1, 2023, subject to approval by CMS, the maximum allowable income for 
member eligibility under the Children's Health Insurance Program (CHIP) from 200 percent to 
225 percent of the federal poverty level. 
75. Continues to require AHCCCS to transfer to the counties any excess monies necessary to 
comply with the Patient Protection and Affordable Care Act, regarding the counties' 
proportional share of the state's contribution. 
76. Declares the Legislature's intent that AHCCCS implement a Medicaid program within the 
available appropriation for FY 2024. 
77. Continues to allow AHCCCS, for the contract year beginning October 1, 2023, and ending on 
September 30, 2024, to extend risk contingency rate settings for all managed care organizations 
(MCOs) and funding for all MCO administrative funding levels imposed for the contract year 
beginning October 1, 2010, and ending September 30, 2011. 
Miscellaneous 
78. Requires chiropractors to annually renew their license to practice by the last day of the 
chiropractor's birth month, rather than by January 1. 
79. Continues to exclude county contributions for Proposition 204 administrative costs from 
county expenditure limitations. 
80. Continues to exclude county contributions related to the costs of inpatient, in-custody 
competency restoration treatment from county expenditure limitations. 
81. Defines terms 
82. Makes technical and conforming changes. 
83. Becomes effective on the general effective date. 
Amendments Adopted by Committee of the Whole 
1. Adds that the increased income threshold for CHIP eligibility is subject to CMS approval. 
2. Extends the submittal deadline of the DHS dementia awareness report from June 30, 2024, to 
June 30, 2025. 
3. Requires AHCCCS, for FY 2024, FY 2025 and FY 2026, to provide pilot coverage of rapid 
whole genome sequencing as a separately payable service for members that meet outlined 
criteria. 
4. Outlines conditions that may qualify a member for rapid whole genome sequencing coverage, 
data use requirements and required actions necessary for CMS approval. 
   FACT SHEET – Amended/Enacted 
S.B. 1726/H.B. 2816 
Page 13 
 
 
Senate Action 	House Action  
APPROP 5/9/23 DP 6-4-0 APPROP 5/9/23 DP 10-5-0-0 
3
rd
 Read 5/10/23 22-8-0 3
rd
 Read 5/10/23  49-10-0-0-1 
(S.B. 1726 was substituted for H.B. 2816 on 3
rd
 
Read) 
Signed by the Governor 5/11/23 
Chapter 139 
Prepared by Senate Research 
May 23, 2023 
MM/slp