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ARIZONA STATE SENATE
Fifty-Seventh Legislature, First Regular Session
REVISED
ALTCS; rate increases; appropriations
Purpose
Appropriates $13,592,216 from the state General Fund (state GF) and $63,331,829 from Expenditure Authority to the Arizona Health Care Cost Containment System (AHCCCS) and $821,989 from the state GF and $1,504,001 in developmental disabilities Medicaid Expenditure Authority to the Department of Economic Security (DES) to provide rate increases in the Arizona Long Term Care System (ALTCS) for assisted living centers and skilled nursing facilities.
Background
ALTCS is the
management and delivery system of hospitalization, medical care, institutional
services and home and community-based services to members through AHCCCS,
program contractors and providers, together with federal participation under
Title XIX of the Social Security Act. ALTCS program contractors must provide
certain services to ALTCS members who are determined to need institutional
services, including: 1) nursing facility services, other than services in an
institution for tuberculosis or mental disease; 2) behavioral health services
that are not duplicative of prescribed long-term care services and that are
authorized by the program contractor through the long-term care case management
system; 3) hospice services;
4) case management services; 5) health and medical services covered by AHCCCS;
and 6) dental services. As an ALTCS program contractor, DES must provide
additional services, if appropriate, to members who have a developmental
disability and who are determined to need institutional services. Additional
services provided by DES include intermediate care facility services and home
and community based services that may be provided in a member's home, at an
alternative residential setting or at other behavioral health alternative
residential facilities that are licensed by the Department of Health Services
and approved by the Director of AHCCCS (A.R.S. §§ 36-2932
and 36-2939).
The Joint Legislative Budget Committee (JLBC) estimates that S.B. 1613 would cost $14,400,000 from the state GF in FY 2026 (JLBC fiscal note).
Provisions
1. Appropriates $13,592,216 from the state GF and $63,331,829 from Expenditure Authority in FY 2026 to AHCCCS for rate increases in ALTCS for assisted living centers and skilled nursing facilities.
2.
Appropriates $821,989 from the state GF and
$1,504,001 in developmental disabilities Medicaid Expenditure Authority in FY
2026 to DES for rate increases in ALTCS for assisted living centers and
skilled nursing facilities.
3. Exempts the outlined appropriations from lapsing.
4. Becomes effective on the general effective date.
Revisions
· Updates the fiscal impact statement.
Prepared by Senate Research
March 10, 2025
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