AZ HB2154

Amends Laws 2009 to strike language requiring the Department of Corrections to award a privatization contract for correctional health services below the fiscal year 2007-2008 cost baseline and removes the May 1, 2010 contract award deadline.

Directs the Department of Corrections to issue a request for information within 30 days for privatizing all medical and dental services in state-owned facilities, with responses due within 30 days of issuance.

Requires the Department of Corrections to issue a request for proposals within 90 days after the Joint Legislative Budget Committee reviews the information and provides final instructions; prohibits the department from bidding to provide medical services.

Mandates that reimbursement rates for contracted health services cannot exceed the capped fee-for-service schedule adopted by the Arizona Health Care Cost Containment System Administration under A.R.S. title 36, chapter 29, article 1.

Establishes initial contract term of three years with options to renew for two additional one-year terms and prohibits disclosure of previously submitted bid information.