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ARIZONA STATE SENATE
Fifty-Seventh Legislature, Second Regular Session
DES; credentialing; application; deficiencies
Purpose
Requires the Department of Economic Security (DES) to grant a qualified vendor whose credentialing or recredentialing application was denied 14 days to correct any application deficiencies that led to the denial and an opportunity for reevaluation of the application.
Background
DES requires individual providers and provider agencies to apply to become a DES qualified vendor as a condition of contracting to provide services through the Division of Developmental Disabilities (DDD). Applicants must submit specified information and documentation demonstrating eligibility and ability to provide program services, which DES reviews to determine whether the applicant may be authorized to provide program services. If a qualified vendor application is denied, the applicant may protest the denial and appeal the decision through an administrative appeals process.
A qualified vendor is a provider of community developmental disability services that has applied for and meets the criteria for qualified vendor status and has entered into a qualified vendor agreement with the DDD (DES; A.A.C. Title 6, Chapter 6, Article 21).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Requires DES to give a qualified vendor whose credentialing or recredentialing application was denied an opportunity to correct any application deficiencies that led to the denial.
2. Grants a qualified vendor 14 days to correct any deficiencies after receiving an application denial notice.
3. Requires DES to reevaluate a credentialing or recredentialing application denial for a qualified vendor that corrects all application deficiencies within 14 days after receiving a denial notice.
4. Allows a qualified vendor whose credentialing or recredentialing application is denied after reevaluation by DES to appeal the decision through the statutory administrative hearings and appeals process.
5. Defines credentialing as the process of verifying the qualifications, standards and any other requirements a vendor must have to be eligible to contract with DES to provide services to DES program recipients.
6. Defines qualified vendor as a person that applies to enter into a contract with DES to provide services to DES program recipients.
7. Becomes effective on the general effective date
Prepared by Senate Research
February 9, 2026
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