Arizona Medical Association's 2024 Legislative Report

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The Issue: Physicians are facing mounting administrative

burdens that interfere with patient care through claims delays, claims denials, and excessive utilization review.

WHAT ArMA IS DOING:

Administrative Burdens

HB2444

ArMA actively supports policies that remove administrative barriers, promote insurer transparency, and improve the prior authorization process. Our goal is to create a system that does not hinder patient care, interfere with the practice of medicine, or impede the physician-patient relationship.

(grievance process; payment methods; report)

Sponsor: Representative Steve Montenegro Stance: ArMA-initiated & Priority Summary: HB2444 will add delay of payment to the list of grievances that a clinician can file with the Department of Insurance and Financial Institutions and mandates that DIFI posts an annual report regarding these grievances. This legislations opens the door for physicians to better utilize state law in pushing back on unfair delays in payment. It will also allow access to important data that will empower ArMA's success in future reforms.

HB2093

(health professionals; title use; prohibitions)

Sponsor: Representative Barbara Parker Stance: Support Summary: HB2093 closes an insurance denial loophole by amending the definition of emergency services to clarify that a "prudent layperson"with standard medical knowledge would agree that medical treatment is urgently needed.

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On Tuesday, June 18, Governor Katie Hobbs signed Arizona's Fiscal Year 2024-25 budget after weeks of negotiations, debate, and ultimately, compromise. With a Democratic governor, Republican-majority legislature, and a $1.4 billion deficit, the budget's passage was no small feat.

The $16.1 billion spending plan addressed the state's severe shortfall through reductions and special funds sweeps. Due to the budget crisis, there was no realistic probability of securing much needed investments in medical education, the healthcare workforce, and physician reimbursement. Instead, the healthcare community united and was able to mitigate some of the impacts of the cuts and sweeps, which is a victory in its own right. Still, there were significant impacts to healthcare that will be felt for years to come.

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Public Agency & Education Cuts

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Every state agency, with the exception of the Department of Public Safety and Department of Child Services, saw a funding cut of roughly 3.5%. Notably, higher education took a significant hit, with cuts of $11 million for Arizona State University, $9 million from Northern Arizona University, and $7 million from University of Arizona, $1.5 million of which will be cut from the College of Health Sciences.

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