Assigned to HHS & ATT                                                                                                        FOR COMMITTEE

 


 

 

 


ARIZONA STATE SENATE

Fifty-Seventh Legislature, Second Regular Session

 

FACT SHEET FOR s.b. 1122

 

AHCCCS; prior authorization; behavioral health

Purpose

Prohibits, beginning January 1, 2027, the Arizona Health Care Cost Containment System Administration (AHCCCS) from requiring prior authorization for behavioral health services provided to a member under the American Indian Health Plan (AIHP) by a behavioral health provider unless outlined conditions apply.

Background

AHCCCS serves as Arizona's Medicaid agency, which offers qualifying Arizona residents access to healthcare programs, including behavioral health. AHCCCS contracts with health professionals to provide medically necessary health and medical services to eligible members. AHCCCS provides both inpatient and outpatient behavioral health services, including but not limited to: 1) all behavioral health services, medical detoxification, accommodations and staffing, supplies and equipment, if provided under the direction of a physician of a Medicare-certified, inpatient facility; 2) screenings provided by a behavioral health professional or technician; 3) a behavioral health assessment provided by a behavioral health professional or technician;
4) counseling, including individual therapy, group therapy and family therapy provided by a behavioral health professional or technician; 5) behavior management services; and
6) psychosocial rehabilitation services. Inpatient behavioral health services, other than outlined emergency services, are not covered unless prior authorization is obtained (A.R.S. § 36-2907; A.A.C. R9-22-1205).

American Indians and Alaska Natives enrolled in AHCCCS or the Children's Health Insurance Program may choose to receive coverage through the AIHP or an AHCCCS-contracted managed health plan. AHCCCS covers behavioral health services, including mental health, substance use treatment and crisis services, provided at Indian Health Service-covered Tribal facilities or at an AHCCCS registered provider. Recipients do not need a referral to receive behavioral health services. Under the AIHP, AHCCCS coverage includes: 1) inpatient services in a hospital or other facilities; 2) partial care; 3) individual, group and family counseling and therapy; 4) emergency and crisis services; 5) behavior management; 6) evaluation and diagnosis;
7) medicine and monitoring of medicine; 8) psychosocial rehabilitation; 9) laboratory and radiology services; 10) screening; 11) emergency and non-emergency transportation; and
12) limited respite care (AHCCCS AIHP Guide).

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


 

Provisions

1.   Prohibits, beginning January 1, 2027, AHCCCS from requiring prior authorization for behavioral health services provided to a member under the AIHP by a behavioral health provider unless, after meeting with the provider, AHCCCS implements a corrective action plan and the provider has not complied within 90 days after the implementation date of the corrective action plan.

2.   Becomes effective on the general effective date.

Prepared by Senate Research

January 16, 2026

MM/SDR/hk