reimbursement rate increases; appropriations

SB 1302 increases reimbursement rates for home and community-based services (including room and board) provided to individuals with intellectual and developmental disabilities in Arizona. It appropriates $46 million annually from the state general fund and $84.2 million in Medicaid funds for these services through fiscal year 2029-2030, plus $4 million for room and board services each year. The bill requires the Department of Economic Security to engage community stakeholders before implementing rate changes, report annual provider rate increases to the legislature by September 1, and conduct a workforce survey on direct support professionals. If workforce metrics (like turnover rates) don’t improve after three years of data collection, future funding could be withheld.