SB 1116 Arizona Senate · 57th Legislature - Second Regular Session

AHCCCS; claims review; behavioral health

SB 1116 requires that appeals for behavioral health claims under Arizona's Medicaid program (AHCCCS) subject to a capped fee-for-service payment schedule must be reviewed by an individual with relevant clinical experience. This applies specifically to disputes over payments for behavioral health services where providers are paid under a fixed, capped rate system. The bill directly affects behavioral health providers and patients involved in payment appeals within AHCCCS. It mandates clinical expertise in the review process rather than non-clinical review, aiming to improve the accuracy of payment decisions for these services.
Bill status passed 3 of 5 stages cleared
Introduction
Jan 2026
Committee Review
Mar 2026
Senate Passage
Mar 2026
House Passage
Governor
Introduced Jan 9, 2026 Last action Mar 16, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Version Senate Engrossed Version (03/02/2026) · 3 edits · Mar 2, 2026
MINOR
The bill was reformatted from an introduced version to a Senate engrossed version, which includes a significant substantive change to the appeal review requirement. The requirement was expanded to apply specifically to the American Indian Health Program and now mandates that appeals be reviewed by individuals with at least two years of relevant clinical experience, whereas the previous version only required 'relevant clinical experience' without a specified duration.
Scope change
The scope of the appeal review requirement was narrowed to apply specifically to claims under the American Indian Health Program, and the criteria for the reviewing official was made more specific by adding a minimum experience requirement.
REQUIREMENT

The appeal review requirement was updated to mandate that the reviewer must have at least two years of relevant clinical experience providing the same or similar services, replacing the previous general requirement of just having relevant clinical experience.

The trigger for the review process was clarified to occur before any claim denial or adverse appeal determination based on medical necessity.

SCOPE

The requirement now explicitly applies to claims under the American Indian Health Program, whereas the original text had a broader, less specific reference to the capped fee-for-service schedule.

Floor votes · Senate Mar 2, 2026

How they voted

245
Passed · 1 other
Total votes 30
Mar 2, 2026
D Democratic13
10 Yea 2 Nay 1
76% Yea
R Republican17
14 Yea 3 Nay
82% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
11
Key actions
5
Committee
1
Amendments
3
Mar 16, 2026
Lower · Passed
DP
lower
Mar 2, 2026
Upper · Passed
PASSED
upper
Mar 2, 2026
Upper · Passed
DPA
upper
Feb 10, 2026
Upper · Passed
DPA
upper
Jan 21, 2026
Upper · Passed
DPA
upper
1 primary · 3 co-sponsors

Sponsors