This bill proposes to amend the Arizona Revised Statutes by adding a new section, 36-2903.18, which outlines the administration's responsibilities regarding the American Indian health program. Starting October 1, 2027, the administration will be required to contract with a qualified contractor to serve as the administrative services organization, ensuring compliance with federal and state requirements, particularly those protecting Indian health care providers. The administration will maintain ultimate oversight of the program, including fee-for-service rate setting and claims payment authority, and cannot eliminate the program as an option for eligible American Indian and Alaska Native members.

Additionally, the bill establishes a process for procurement of the administrative services organization, requiring the administration to seek necessary federal approvals and present procurement strategies to legislative committees. It allows for nonvoting legislative observers during the evaluation of proposals and mandates that the administration report evaluation results and recommendations to the committees before executing contracts. The bill also emphasizes the preservation of rights for American Indian and Alaska Native members regarding fee-for-service coverage and enrollment in managed care organizations, while ensuring compliance with applicable procurement laws.

Statutes affected:
Introduced Version: 36-2903.18