ARIZONA STATE SENATE

LIAM MAHER

LEGISLATIVE RESEARCH ANALYST

APPROPRIATIONS, TRANSPORTATION & TECHNOLOGY COMMITTEE

Telephone: (602) 926-3171

RESEARCH STAFF

TO:                  MEMBERS OF THE SENATE

APPROPRIATIONS, TRANSPORTATION & TECHNOLOGY COMMITTEE

DATE:            March 27, 2026

SUBJECT:      Strike everything amendment to H.B. 2111, relating to DES; appropriation

Purpose

            Appropriates $12,000,000 from the state General Fund (state GF) and $36,000,000 in Medicaid Expenditure Authority in FYs 2027 through 2031 to the Department of Economic Security (DES) for reimbursement rate increases.

Background

The Director of DES is responsible for developing and annually revising a statewide plan and initiating statewide programs and services for persons with developmental disabilities. Services include child, adult, residential and resource services. An Arizona resident with a developmental disability, supported by medical and psychological documentation, is eligible to apply for developmental disabilities programs, services and facilities operated, licensed and supervised by DES (A.R.S. §§ 36-554 and 36-559).

The Division of Developmental Disabilities (DDD) is the division of DES that empowers individuals with intellectual and developmental disabilities to lead self-directed, healthy and meaningful lives. DDD provides support and services for eligible Arizonans diagnosed with any of the following developmental disabilities: 1) autism; 2) cerebral palsy; 3) epilepsy; 4) a cognitive or intellectual disability; 5) Down syndrome; or 6) are under the age of six and at risk of having a developmental disability. DDD serves more than 50,000 people with developmental disabilities and their families throughout Arizona each year (DDD).

            The strike-everything amendment to H.B. 2111 appropriates $12,000,0000 from the state GF in FYs 2027 through 2031.

Provisions

1. Appropriates $12,000,000 from the state GF and $36,000,000 in Medicaid Expenditure Authority in FYs 2027 through 2031 to DES for reimbursement rate increases for rehabilitation group homes for individuals with intellectual and developmental disabilities that use the Health Care Common Procedure Coding System code T2016.

2. Becomes effective on the general effective date.