ArizonaSB 1630Fifty-seventh Legislature - Second Regular SessionSenateWALLET

home; community-based services; mental illness

Sponsored By: Hildy Angius (Republican)

Signed by Governor

adults who are seriously mentally ilahcccs (see also: arizona health care cost containment system)annual reportarizona health care cost containment system (ahcccs)authority to seek and maintain federal approvalcommunity-based servicescovered servicescriteriadefinitionsdelayed repeal (h)eligibilityemergency placementsenhanced reimbursement ratesenhanced residential treatment (h)financial eligibilityhomehome and community-based service programlong-term level of caremental illnessmodificationpriorityprogram capacityprovider requirementspublic health and safety - title 36quarterly updatesrequest for federal approvalrulesserious mental illnessserious mental illness level of careserious mental illness long-term level of careservice plan (h)smi (h)stakeholder workgroupstrike everything amendment (h)

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 1 benefits, 0 costs, 4 mixed.

New community care for serious mental illness

Arizona creates a Medicaid community care program for adults with serious mental illness who need help avoiding institutional care. The state must request federal approval by July 1, 2027, and start implementation within one year after approval. Operation requires federal approval; the state must pursue other federal approval options if its first requests are denied. Covered services include personal and attendant care, daily-living skills and behavior support, adult day health care, supervised living, respite, home-delivered meals, nursing, home health, medication administration, and nonemergency transportation. The state may adjust services with federal approval and pay providers higher rates for members with more intensive care needs.

Community care eligibility and income limits

Applicants must have a serious mental illness determination and need long-term community support to avoid psychiatric or behavioral residential placement. Income generally cannot exceed 300% of the federal Supplemental Security Income benefit rate; a qualified income trust offers a path above that limit. Asset rules and protections for spouses match Arizona's existing long-term care community services program. Qualifying care needs include psychiatric incapacity requiring court-ordered treatment or guardianship, recent institutional or jail discharge, repeated crises, hospital stays, or public safety involvement. Other examples include trouble with judgment or daily tasks, safety risks, homelessness or imminent homelessness, and complex psychiatric medicines needing extra monitoring. A need for structured community support to maintain medication treatment also qualifies. The care test cannot require physical disability, nursing-facility criteria, or a preadmission screening tool; the state may refine criteria within the law's intent.

Limited community care slots with priority access

The federally approved program initially serves up to 250 people statewide, including temporary emergency placements. Enrollment may grow when data show less use of costly services or savings in state-funded systems, subject to legislative budget committee review. Enrollment cannot exceed 1,000 without legislative authorization. When slots are scarce, priority runs in this order: court-ordered treatment; guardianship for psychiatric incapacity; recent discharge from jail, prison, a state hospital, or a behavioral health facility; homelessness or imminent homelessness; repeated crises, hospitalizations, or public safety involvement; significant safety risks; and complex psychiatric medicines needing extra monitoring. The state may reserve emergency or priority slots, but courts cannot force enrollment above the caps. The state must give legislative leaders updates every six months until implementation. Annual reports start one year after implementation and cover enrollment, waitlists, legal supervision, housing stability, hospital and crisis use, jail use, emergency care, screening services, provider denials and discharges, costs, and estimated savings.

Discharge safeguards with a safety exception

Before starting a discharge, providers must document behavior interventions, crisis supports, and staffing changes. Providers paid by the program must also use eviction-prevention procedures. They must get regional behavioral health authority approval before issuing a nonemergency notice to vacate. These safeguards do not guarantee continued services: providers need not continue care when immediate, documented health or safety risks cannot be reduced through reasonable clinical steps. The state retains authority to protect members' health and safety.

Residential care support excludes housing costs

Members under a valid court order, guardianship, or involuntary treatment authority can receive services in any state-authorized residential setting. Medicaid pays only for covered community services, not room and board, custody supervision, or enforcing court orders. Covered home-delivered meals remain a separate program benefit. The state must conduct periodic reviews and plan moves to less restrictive settings when clinically appropriate. The law does not change Arizona's standards for involuntary treatment.

Sponsors & Cosponsors

Sponsor

  • Hildy Angius

    Republican • Senate

Cosponsors

  • Brian Fernandez

    Democratic • Senate

  • Carine Werner

    Republican • Senate

  • Catherine Miranda

    Democratic • Senate

  • Mark Finchem

    Republican • Senate

  • Rosanna Gabaldón

    Democratic • Senate

  • Thomas "T.J." Shope

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 135 • No: 16

Senate vote • 6/12/2026

Final Reading: Passed

Yes: 28 • No: 1

Senate vote • 6/12/2026

Concurrence: Passed

Yes: 0 • No: 0

House vote • 6/11/2026

Third Reading: Passed

Yes: 42 • No: 13

House vote • 6/10/2026

Rules: C&P

Yes: 8 • No: 0

House vote • 3/23/2026

Health & Human Services: DP

Yes: 12 • No: 0

Senate vote • 3/4/2026

Third Reading: Passed

Yes: 28 • No: 2

Senate vote • 2/24/2026

Appropriations, Transportation and Technology: DPA

Yes: 10 • No: 0

Senate vote • 2/11/2026

Health and Human Services: DPA

Yes: 7 • No: 0

Actions Timeline

  1. Signed by Governor

    6/22/2026Governor
  2. Final Reading: Passed

    6/12/2026Senate
  3. Concurrence: Passed

    6/12/2026Senate
  4. Third Reading: Passed

    6/11/2026House
  5. Committee of the Whole: do pass amended

    6/11/2026House
  6. Rules: C&P

    6/10/2026House
  7. Health & Human Services: DP

    3/23/2026House
  8. House Second Reading

    3/10/2026House
  9. House First Reading

    3/9/2026House
  10. Third Reading: Passed

    3/4/2026Senate
  11. Committee of the Whole: do pass amended

    3/4/2026Senate
  12. Rules: PFC

    3/2/2026Senate
  13. Appropriations, Transportation and Technology: DPA

    2/24/2026Senate
  14. Health and Human Services: DPA

    2/11/2026Senate
  15. Senate Second Reading

    2/4/2026Senate
  16. Senate First Reading

    2/3/2026Senate

Bill Text

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