Assigned to HEALTH & APPROP                                                                     FOR CAUCUS & FLOOR ACTION

ARIZONA STATE SENATE

Forty-seventh Legislature, Second Regular Session

AMENDED

FACT SHEET FOR H.B. 2554

alcohol tax; substance abuse treatment

NOW:  substance abuse treatment; appropriations

Purpose

            Appropriates a total of $20.5 million from the state General Fund in FY 2006-2007 to various agencies to stem the growth of methamphetamine and other substance abuse.

Background

            Methamphetamine is a highly addictive central nervous system stimulant that can be injected, snorted, smoked or ingested orally.  The effects of methamphetamine include increased activity, decreased appetite and a sense of well being.  According to the National Institutes for Drug Abuse, methamphetamine use increases the heart rate and can cause irreversible damage to blood vessels in the brain, which may produce strokes.  It may also result in cardiovascular conditions, convulsions and death.  H.B. 2554 appropriates $8.5 million to the Department of Health Services (DHS) for public service announcements directed at children about the harmful effects of methamphetamine.

            H.B. 2554 also appropriates $3.5 million to DHS, a portion of which shall be distributed to regional behavioral health authorities (RBHAs).  RBHAs contract with a network of service providers to deliver a full range of behavioral health care services, including prevention programs for adults and children, a full continuum of services for adults with substance abuse and general mental health disorders, adults with serious mental illness and children with serious emotional disturbance.  Arizona is divided into six geographical service areas served by four RBHAs.

            H.B. 2554 also appropriates $2.5 million to the Department of Economic Security’s (DES) Families F.I.R.S.T.  Families F.I.R.S.T. offers a continuum of community-based substance abuse treatment services to a parent of a child who is named in a report to Child Protective Services or a person whose substance abuse is a significant barrier to maintaining or obtaining employment and is a recipient of Temporary Assistance for Needy Families.  Services include education, outpatient treatment, intensive outpatient treatment, residential treatment, aftercare services and supportive services.

            This legislation appropriates a total of $20.5 million in FY 2006-2007 from the state General Fund.

Provisions

1. Establishes the Addiction Reduction and Recovery Fund (Fund) and requires the Director of DHS (Director) to administer the Fund.  Subjects these monies to legislative appropriation and exempts monies from lapsing.  Requires the State Treasurer, on notice from the Director, to invest and divest monies in the Fund.  Monies earned from investment shall be credited to the Fund.  Allows DHS to retain up to one percent of monies in the Fund for administrative purposes.

2. Appropriates $3.5 million from the state General Fund in FY 2006-2007 to the Addiction Reduction and Recovery Fund, and appropriates these funds to DHS for:

a) $2.5 million for rural detoxification programs and follow-up services.

b) $1 million for substance abuse and addiction prevention programs.

3. Requires the Director to spend drug and alcohol abuse services monies in the Fund through RBHAs for rural detoxification programs and for substance abuse and addiction prevention programs. RBHAs shall make efforts to partner with community and faith-based organizations to implement the rural detoxification programs.

4. Requires the Director to spend drug and alcohol abuse prevention monies in the Fund through DHS for innovative, curriculum-based prevention services for youth ages 6 to 16, in statewide programs that serve rural, urban and Indian communities and military sites in Arizona.

5. Prohibits supplanting of monies already used for these purposes.

6. Allows the Director to accept and spend federal monies and private grants, gifts, contributions and devises for the purposes of this legislation.  These monies do not revert to the state General Fund at the end of the fiscal year.

7. Appropriates $6 million from the state General Fund in FY 2006-2007 to the Department of Public Safety, $5 million of which is for increased methamphetamine interdiction efforts.

8. Appropriates $2.5 million from the state General Fund in FY 2006-2007 to the DES for the Arizona Families F.I.R.S.T. program for substance abuse treatment.

9. Establishes the Methamphetamine Education Fund, and appropriates $8.5 million to that fund for public service announcements.  Stipulates that monies in the fund are continuously appropriated and exempt from lapsing.

10. Requires DHS to use monies in the Methamphetamine Education Fund for radio and television public service announcements to warn children about physical deterioration and the risk of death associated with using methamphetamines.  DHS has up to 12 months to create and air the public service announcements and is prohibited from using any elected official of the state or of any of its political subdivisions in any public service announcement made pursuant to this legislation.

11. Requires DHS to evaluate the announcements and submit a report to the Governor, the President of the Senate and the Speaker of the House of Representatives, with copies to the Secretary of State and the Arizona State Library, Archives and Public Records.

12. Provides that the purpose of the legislation is to stem the growth of methamphetamine and other substance abuse.

13. Becomes effective on the general effective date.

Amendments Adopted by Health Committee

· Redistributes $3.5 million DHS appropriation to:

a) $2.5 million to rural detoxification programs and related follow-up services.

b) $1 million for innovative, curriculum-based substance abuse prevention services for youth ages 6 to 16, in statewide programs that serve rural, urban and Indian communities and military sites in Arizona.

Amendments Adopted by Appropriations Committee

1. Adopts the Health Committee amendment described above.

2. Adds provisions of S.B. 1346 relating to $8.5 million appropriation for public service announcements.

3. Limits the time for production and airing of announcements.

4. Prohibits DHS from using any elected official of the state or of any of its political subdivisions in the public service announcements.

5. Allows DHS to retain up to one percent of Fund monies for administration.

6. Removes specific appropriation of $1 million for a tip line and for information rewards.

House Action Senate Action

HS                   2/2/06      DPA     8-0-0-0                   HEALTH        2/27/06     DPA     5-0-2-0

APPROP (B)  2/7/06      DPA     12-0-0-3                 APPROP         2/28/06     DPA     9-2-0-0

3^rd Read           2/15/06                 41-8-11-0

Prepared by Senate Research

March 1, 2006

CMH/jas