HB 2520 Summary

• Amends Arizona Revised Statutes section 46-805 to modify the child care assistance program structure and payment methodologies.

• Requires the department to allocate at least 33% of federal quality set-aside monies annually to tiered reimbursement for child care providers meeting quality standards.

• Provides an additional 20% reimbursement rate increase through December 31, 2022, for children in foster care served by providers with a quality rating of level 3 or higher from the Arizona early childhood development and health board.

• Maintains existing requirements for sliding fee scales based on family income, size, child support obligations, and other factors; requires annual reviews and public posting of rates and formulas.

• Establishes definitions for "quality set-aside monies," "quality standard," and "tiered reimbursement" to clarify how quality-based payment systems operate.