Fiscal Note
BILL # HB 2138 TITLE: AHCCCS; naturopathic physicians
SPONSOR: Bliss STATUS: As Introduced
PREPARED BY: Maggie Rocker
Description
This bill would modify the definition of physician to include naturopathic physicians for the purposes of AHCCCS coverage.
Estimated Impact
We estimate that the bill's provisions would increase General Fund costs by $100,000 and Total Funds costs by $500,000
annually. This estimate is based on a prior year actuarial analysis provided by AHCCCS.
AHCCCS has not provided an updated estimate.
Analysis
AHCCCS's 2024 analysis assumed that the naturopathic doctor (ND) per office cost would be comparable to that of a
doctor of medicine (MD) or doctor of osteopathic medicine (DO). However, AHCCCS believed a cost would be generated
based on the number of duplicative follow-up visits to an MD/DO for a prescription as a naturopath cannot write such an
order.
AHCCCS's estimate assumed that 27 NDs would secure a managed care contract, and that 33.2% of the ND patient panel
(or ~19,000 members) would be Medicaid enrollees, each visiting an ND twice per year. AHCCCS projected that of the
38,000 ND visits, 20% of visits would require a follow-up visit to an MD or DO for a prescription. Using the current fee-for-
service rate for office outpatient visits ($67.60), this would result in an annual cost of $100,000 General Fund/$500,000
Total Funds.
The change would not become effective unless AHCCCS obtains approval from the Centers for Medicare and Medicaid
Services by October 1, 2028.
Local Government Impact
None
2/12/25