AZ SB1100

Changes the department of health services authority from "may" to "shall" enter into a five-year contract with a private entity to operate the Arizona state hospital and deliver client services, with options for two subsequent five-year renewal periods.

Requires contractors to meet specific qualifications including demonstrated experience operating secure behavioral health facilities, successful delivery of behavioral health services, and compliance with Medicare certification requirements.

Establishes that annual price adjustments cannot exceed the percentage change in the consumer price index and requires the state to cancel the contract without penalty after the first year with 90 days' written notice.

Mandates monthly reports during the first year and quarterly reports thereafter to the department and joint legislative budget committee, plus an independent performance review at the end of year four.

Removes sovereign immunity defense from contractors and requires them to reimburse the state for any emergency, public safety, or security services provided by the state or its political subdivisions.