Assigned to HHS & ATT                                                                                                        FOR COMMITTEE

 


 

 

 


ARIZONA STATE SENATE

Fifty-Seventh Legislature, Second Regular Session

 

FACT SHEET FOR s.b. 1116

 

AHCCCS; claims review; behavioral health

Purpose

Requires an appeal of a behavioral health claim that is subject to the capped fee-for-service schedule to be reviewed by an individual who has relevant clinical experience.

Background

The Arizona Health Care Cost Containment System (AHCCCS) serves as Arizona's Medicaid agency, which offers qualifying Arizona residents access to healthcare programs, including behavioral health. AHCCCS consists of contracts with contractors for the provision of hospitalization and medical care coverage to members. A contractor is a person or entity that has a prepaid capitated contract with AHCCCS to provide health care to members as prescribed, either directly or through subcontracts with providers (A.R.S. §§ 36-2901 and 36-2903).

A capped fee-for-service is the payment mechanism by which a provider of care is reimbursed upon submission of a valid claim for a specific covered service or equipment provided to a member. A payment is made in accordance with an upper or capped limit established by the Director of AHCCCS and may either be a specific dollar amount or a percentage of billed charges. AHCCCS must pay providers, including both contracting and noncontracting providers, at either the lesser of billed charges or outlined capped fee-for-service rates, unless a different fee is specified in a contract between AHCCCS and the provider, or is otherwise required by law. Fee schedules for payment for various covered services are on file at the central office of AHCCCS for reference use during customary business hours and on the AHCCCS website (A.A.C.
R9-22-101 and R9-22-710
; AHCCCS).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.   Requires any appeal of a behavioral health claim that is subject to the AHCCCS capped
fee-for-service schedule to be reviewed by an individual who has relevant clinical experience.

2.   Becomes effective on the general effective date.  

Prepared by Senate Research

January 15, 2026

MM/SDR/hk