PREFILED JAN 09 2026
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REFERENCE TITLE: SNAP; error rate; forensic audit |
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State of Arizona House of Representatives Fifty-seventh Legislature Second Regular Session 2026
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HB 2206 |
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Introduced by Representative Kupper
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AN ACT
amending title 46, CHAPTER 2, article 2, arizona revised statutes, by adding section 46-232; repealing section 46-232, arizona revised statutes; relating to the supplemental nutrition assistance program.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 46, chapter 2, article 2, Arizona Revised Statutes, is amended by adding section 46-232, to read:
46-232. Payment error rate; reduction; annual report; requirements; auditor general
A. On or before December 30, 2030, the department shall reduce the supplemental nutrition assistance program's payment error rate as reported by the United States department of agriculture to not more than three percent.
B. Beginning in fiscal year 2027-2028 and each fiscal year thereafter, the department shall submit an annual report to the legislature by December 31 that details the department's progress towards reducing the payment error rate and that includes strategies and barriers that may be present in reducing the payment error rate.
C. If the department fails to meet annual interim targets established by rule or the final target as prescribed in subsection A of this section, the department shall:
1. Submit a corrective action plan to the legislature within sixty days that includes an analysis of why the targets were not met and timelines for correcting the payment error rate.
2. Pay fifty percent of any federal liabilities that may be imposed due to the excess payment error rates. The remaining federal liabilities shall be paid from the state general fund.
3. Implement a corrective plan under the oversight of the auditor general. If the department fails to comply with the corrective plan, the department's administrative funding shall be reduced by ten percent until resolved.
D. On or before December 30, 2031, The auditor general shall complete a forensic audit. the forensic audit shall determine what factors contributed to the payment error rate and shall include recommendations to reduce the payment error rate. The department shall implement the recommendations within twelve months after receiving the recommendations from the auditor general unless the recommendations are waived by the joint legislative audit committee.
E. If the department corrects the payment error rate ahead of schedule, the legislature may allocate additional funding for program improvements.
Sec. 2. Delayed repeal
Section 46-232, Arizona Revised Statutes, as added by this act, is repealed from and after December 31, 2032.
Sec. 3. Short title
This act may be cited as the "Oh SNAP Act".