AZ HB2926

Modifies eligibility conditions for Arizona Health Care Cost Containment System (AHCCCS) coverage for adults earning 100-133% of federal poverty guidelines by adding six new requirements that must be met to maintain eligibility.

Establishes work requirements for able-bodied adults including working at least 20 hours per week, participating in work programs, volunteering, or participating in workfare programs, with exemptions for those under 19, age 64+, medically unfit, pregnant, caring for young children, receiving unemployment benefits, or in addiction treatment.

Requires AHCCCS to maintain a Medicaid improper payment rate of 5% or less and report this data biennially to legislative health committees.

Mandates AHCCCS suspend automatic eligibility renewals and prepopulated renewal forms, implement biannual redeterminations, implement a 60-month lifetime benefit limit for able-bodied adults with federal waiver approval, and limit hospital presumptive eligibility to children and pregnant women.

Requires AHCCCS to submit necessary amendments or waivers to the federal Section 1115 waiver within 90 days of October 1, 2025, and terminate eligibility for non-compliant populations no later than January 1, 2027.