Category: Health

2022 Governor's Budget Hits & Misses

Each year, Arizona’s legislative session begins with the Governor’s State of the State speech and the unveiling of his or her annual priorities and proposed budget. This session presents Governor Ducey a rare opportunity in his final year in office to provide much-needed help to children and families in Arizona. Despite the lingering pandemic, Arizona’s revenues have reached historic highs in large part due to the multiple federal economic rescue packages and temporary unemployment insurance expansion. Arizona currently has $1 billion in ongoing and $2.1 billion in one-time revenues. This is in addition to billions of dollars in unspent federal COVID relief dollars.

Also at the beginning of each year, Children’s Action Alliance publishes its list of legislative priorities. It is our hope each year that the Governor's priorities align with ours. This year, while we did see a few bright spots that address longstanding needs, that largely did not happen. Take a look at a comparison of where the Governors priorities and ours find common ground, and where opportunities missed the mark or weren’t addressed.

On mobile? View our printable PDF.

Early Childhood

Secure state general fund investment in child care assistance  

Not addressed in the Governor’s budget or State of the State.

Increase Arizona Early Intervention Program provider rates  

Nearly 11,000 children under the age of 3 who have disabilities or developmental delays receive therapies and other support from the Arizona Early Intervention Program.  Current rates paid to providers are significantly below comparable rates paid by the program that provides services to children over age 3. The Governor’s budget proposal adds $18.6 million per year starting in fiscal year 2024 to bring the rates in line with rates paid by other programs.  A temporary rate increase will be funded in fiscal year 2023 using federal dollars.

Secure state investment in Healthy Families home visitation program  

The Governor’s budget provides $10 million, of which $7.5 million is new funding and $2.5 million replaces funds that will no longer be available. Healthy Families currently serves 4,000 families. The Governor’s budget would add an additional 1,500 families. The Governor’s budget also includes a total $15 million for fiscal years 24 and 25 which would increase the program’s ability to serve 8,000 families.

Fight any use of state funds appropriated for online early education  

Not addressed in the Governor’s budget or State of the State.

Education

Prevent a $1.2 billion cut to public schools by authorizing an annual exemption to the K-12 expenditure cap for this school year by March 1 

If the legislature does not override the education spending limit by March 1, 2022, Arizona’s district schools will be required to cut their current year budgets by $1.2 billion.  This issue is not addressed in the Governor’s budget or State of the State.

Refer a measure to the ballot to update or eliminate the outdated K-12 expenditure authority.  

Not addressed in the Governor’s budget or State of the State.

Expand access to affordable higher education and prevent increases in student debt 

The Governor’s budget proposal increases the Promise Grant funding by $12.5 million for a total $20 million.  These additional dollars will serve an additional 3,300 students.  The Promise Grant program covers the balance of tuition that remains for students who are fully eligible for Pell grants.  

The Governor’s budget, however, continues to suspend $10 million of the statutorily required deposit into the Student Financial Aid Trust Fund. This issue is not addressed preventing tuition increases.

Reduces inequities in school funding  

The Governor’s proposal increases results-based funding for excelling schools by $60.8 million for a total $129 million.  The Governor’s proposal also includes moving this funding into the Basic State Aid appropriation where it will lose its separate identity.  Schools continue to receive results-based funding as long as they meet the criteria.  For struggling schools the Governor’s proposal includes $58 million to create the Operation Excellence program which provides $150 per student for three years.  

Family Health

Extend postpartum Medicaid coverage to 12 months (currently 60 days) 

Approximately 15,000 to 18,000 pregnant adults could benefit from extended AHCCCS coverage. This issue is not addressed in the Governor’s budget or State of the State. 

Comprehensive adult dental coverage through Medicaid

Currently only a maximum of $1,000 annually of emergency services are available for most adult populations.  This issue is not addressed in the Governor’ budget or the State of the State.

Streamline Young Adult Transitional Insurance (YATI) re-enrollment for former foster youth 

Young adults who “age out” of foster care at age 18 are automatically eligible for enrollment in AHCCCS, the state’s Medicaid program.  If they do not respond to redetermination notices or requests for additional information, often because AHCCCS does not have an accurate address, they are disenrolled.  More than 5,200 young adults are currently enrolled through YATI.  This issue is not addressed in the Governor’s budget or State of the State.

Children's Health

Waive the Medicaid five-year residency requirement for otherwise eligible pregnant people and kids who are lawfully present immigrants 

Between 7,000 and 11,000 Arizona children are ineligibility for the state’s health insurance program because they have not been in the US for at least five years.  This issue is not addressed in the Governor’s budget or State of the State. Adopting the Immigrant Children’s Health Improvement Act (ICHIA) option would allow the state to provide high-quality health coverage to these children and to receive a higher federal reimbursement for their care. 

Provide 12-month continuous enrollment for children participating in AHCCCS or KidsCare 

More than 850,000 Arizona children are enrolled in Arizona’s Medicaid or CHIP programs. Though children who qualify are eligible for 12 months, families who experience income volatility may lose coverage due to a temporary or one-time increase. This has a negative impact on children’s health outcomes and presents an administrative burden to both AHCCCS and the families who lose coverage. This issue is not addressed in the Governor’s budget or State of the State.

Eliminate three-month wait period for KidsCare enrollment  

Arizona’s KidsCare program requires a child cannot be covered by any health insurance for three months prior to enrollment.  This presents a barrier to enrollment.  Even short lapses in health insurance coverage have a negative impact on children’s health outcomes.  This issue is not addressed in the Governor’s budget or State of the State.

Child Welfare & Juvenile Justice

Increase kinship foster care stipend

The Governor’s proposal quadruples the unlicensed rate from $75 to $300 per month and also increases the daily allowance that pays for clothing, school supplies, etc. This increase adds $19.8 million for a total $24.8 million for kinship placements. 

Reduced barriers to licensure for foster care and kinship care providers

Licensed foster care providers receive more than $600 a month compared to the current $75 for unlicensed kinship providers.  The Governor’s budget proposes removing barriers to licensure for kinship caregivers while maintaining home life and safety standards.

Increase the independent living subsidy provided for youth in extended foster care  

Currently, 651 former foster youth between ages 18 and 21 receive the independent living subsidy.  Currently the maximum subsidy is $715 and is reduced by $50 every six months. Neither the Governor’s budget nor the State of the State address this issue.

Reduce or eliminate juvenile court fines and fees  

This issue is not addressed in the Governor’s budget or State of the State.

Click twice to save a life!

ICYMI: Arizona’s Medicaid program guarantees health coverage to birthing parents for just 60 days after pregnancy. For too many new parents in our state, the care they need to form a healthy bond simply isn’t there.

Parents without access to quality, affordable health coverage are likely to delay or decline treatment for their medical and emotional needs. Even minor conditions can become life-threatening or fatal without intervention – a reality reflected in Arizona’s high rate of preventable mortality and morbidity for pregnant and postpartum individuals. For Black, Indigenous, and People of Color who give birth in Arizona, the risks associated with pregnancy are even greater.

We’re urging lawmakers to prioritize a full year of postpartum Medicaid coverage in the state budget.** We need your help to amplify the message.

P.S. Have you checked our full list of 2022 legislative priorities?

Click here to send a digital note to your lawmakers

3 steps Arizona’s lawmakers should take to improve access to health care in 2022

Having access to affordable, high-quality health care can make all the difference for a child. Kids with health insurance miss fewer days of school, get better grades, and are more likely to graduate from high school. Pregnant people who were covered by Medicaid and CHIP in their own childhood give birth to healthier infants than their peers who did not have health insurance.

In short, investing in access to health care can help families build a healthy economic future for generations to come.

The 2021 American Rescue Plan Act (ARPA) made critical investments in health care affordability, which we’ve detailed in a new report entitled “Acting on Affordable Care: The American Rescue Plan’s Role in Arizona’s Path to Pandemic Recovery.” But, as we note in the report - it’s up to Arizona’s Congressional delegation to solidify these changes, and up to state lawmakers to take full advantage of the flexibilities offered under the ARPA.

Please write Senators Sinema and Kelly and urge them to pass the Build Back Better package before the new year.

We need our state legislature to make sure that Arizona families can access the health care they need in 2022 and beyond.

  1. Extend postpartum AHCCCS coverage to a full twelve months after pregnancy. This is a low-cost intervention that will help save lives and prevent severe illness, particularly among people of color.CLICK HERE to send a postcard to your state lawmaker stressing the importance of this issue.
  2. Make KidsCare more accessible to more families.
    1. By increasing the income eligibility threshold for KidsCare to reflect the increased cost of living, thousands of uninsured children in Arizona will have access to high quality health coverage. Learn more.
    2. Cut the wait period and keep kids enrolled year-round.
  3. Allow green card holders to access health coverage. Arizona should adopt the Immigrant Children’s Health Improvement Act (ICHIA) so children and pregnant people with green cards won’t have to wait five years to enroll in AHCCCS or KidsCare.
  4. Keep former foster youth enrolled until age 26. The Affordable Care Act ensured children who age out of foster care at 18 can stay covered by Medicaid, regardless of their income but that doesn’t always happen. We’ll be advancing legislation to ensure that young people who age out can stay connected to the care they need.
  5. Cover oral health care through Medicaid. AHCCCS is one of the largest sources of health coverage in Arizona, but does not provide routine, preventive oral health care services to adults. As a result, too many Arizonans are forced to wait until a situation becomes dire to seek care in the emergency room for preventable oral health concerns. We can change that by adopting comprehensive oral health coverage for adults enrolled in AHCCCS.

Postpartum health coverage saves lives

When someone enrolled in AHCCCS gives birth, their coverage may expire just sixty days after their pregnancy ends.* Sixty days is not much time to recover from childbirth. And it means many people are forced to forego necessary postpartum health care due to the expense. For people with physical or mental health complications after pregnancy, having reliable health coverage can mean the difference between life and death. In fact, a report requested by the Arizona state legislature found that having health insurance reduces the likelihood of death during or in the year after pregnancy.

Changes in federal Medicaid policy mean it’s now easier than ever for states to expand postpartum coverage to a full year after pregnancy.** CAA and our partners are working now to ensure our state policymakers act on this opportunity.

CAA has launched a “Post-partum Post Card” campaign to help raise awareness of the need for postpartum AHCCCS coverage. We want to make it quick and easy for you to take action.

We’re collecting messages to share with our lawmakers. Our goal is to collect as many messages as possible. We’ll print the message on a postcard, then deliver a joyful advocacy bundle when the 2022 legislative session begins.

If you’d like to participate, here are three easy steps:

  1. Peruse our brief fact sheet to learn more about this issue
  2. Pick a postcard – images are available at this link.
  3. Fill out your home address and home zip code on the form linked above (we will never sell or share your information, we just want to make sure your postcard makes it to your representatives.)
  4. Write a short note to your state lawmakers. Tip: share why postpartum coverage is important to you and/or what it would mean to your community.
  5. Spread the word far and wide: Medicaid coverage saves lives.

Visit the postpartum postcard message collection form to choose a message and add your comment. Please submit comments no later than December 10th, 2021.

Thank you for your advocacy!

*Racial and ethnic disparities in pregnancy-related morbidity and mortality persist, and are driven by systemic inequities in access to care and culturally-responsive treatment. CAA wishes to note that for individuals who do not qualify for full Medicaid coverage due to their immigration or citizenship status, only delivery is covered. For these individuals, access to affordable, comprehensive pregnancy care begins and ends with delivery. CAA is committed to finding policy solutions that will promote access to prenatal and postpartum care for all Arizonans, regardless of immigration status.

**The Build Back Better package passed by the U.S. House of Representatives would mandate a year of postpartum Medicaid care. If enacted by the Senate with this provision, Arizona’s legislature will need to grant AHCCCS statutory authority to enact this change.

A step in the right direction

Last week, the Invest in Arizona coalition submitted more than 215,000 signatures to block the $1.5 billion in tax cuts that were passed during the last legislative session and which overwhelmingly benefit the richest Arizonans. The coalition, which is comprised of Children’s Action Alliance, the Arizona Center for Economic Progress, Arizona Education Association, Stand for Children, Save our Schools Arizona, Arizona Interfaith Network, and the Friends of the Arizona School Boards Association, submitted almost 100,000 more signatures than necessary, which makes it more likely that the effort will survive any expected legal challenges. Once it is verified that a sufficient number of valid signatures were submitted, the measure will be placed on the November 2022 general election ballot for Arizona voters to decide whether they want the tax breaks for the rich to go into effect.

The tax cuts, after being fully phased-in, would eliminate Arizona’s marginal tax brackets in favor of a 2.5 percent flat tax in which approximately 70 percent of the tax cuts would benefit the top 5 percent of income earners— households earning $224,000 or more in annual taxable income. The tax cuts will reduce the contributions from households with high incomes to the General Fund and continue Arizona’s increasing dependency on regressive sales taxes to fund state needs. Reducing revenues by an estimated $1.5 billion a year will make it virtually impossible to adequately fund public schools, universities, infrastructure, and other important needs in the future. While it only takes a simple majority of legislators to pass a tax cut, it takes a supermajority to reverse tax cuts or raise revenue.

We are grateful to the thousands of volunteers across Arizona who worked so hard over the past 90 days in this monumental effort to gather the necessary signatures. Once again, Arizonans are making a powerful statement that they want to see the wealthy pay their fair share in order to make the investments that will strengthen our public schools, communities, and economy.

We’re suing to keep kids healthy at school

If state budgets are an indication of our government’s values, this year’s state budget is a terrifying reflection. In the midst of a pandemic that has ravaged communities and left more than 113,000 American children without a parent or custodial grandparent, the legislature did not make any significant investments in health care.

Instead, lawmakers tried to strip away the ability of schools and local governments to mitigate the spread of COVID-19. Through an unprecedented - and unconstitutional - budget process, lawmakers prohibited public schools from requiring masks or COVID-19 vaccines. This provision does not apply to private schools. This will inevitably exacerbate the disproportionate impact of the pandemic on Arizonans who have low incomes and are Black, Indigenous, and people of color.

Moreover, the legislature used the budget to prevent cities and towns from creating COVID-19 vaccine “passports,” from requiring businesses to secure proof of vaccination, or issuing mask mandates. It also prohibits other mitigation measures, like lockdowns or curfews.

We’ve lost too many Arizonans to this horrific pandemic, and too many kids have lost families. Our state budget disregards both science and the sanctity of human life. That is why last Thursday Children’s Action Alliance joined education advocates, parents, and physicians in taking the state of Arizona to court.

We’ve got a lot of work to do and we need your help. Please donate to support this legal challenge.

THE BACKGROUND:

Arizona’s budgeting process has never been fully transparent. The package of bills that comprise the budget is assembled behind closed doors and voted on, often in the middle of the night, with limited public input.

This year’s process was even murkier than usual. In a 171-day marathon session, the state legislature passed its budget at around 5 pm on June 30th - narrowly evading the government shutdown that would have occurred at midnight on July 1. The budget passed on party lines, with Republicans holding a single vote majority in both the State House and State Senate.

The state budget consists of several bills that outline how the state will spend money in the coming fiscal year. The “feed” bill establishes the spending, while issue-specific budget reconciliation bills (“BRBs”) provide context and statutory changes needed to expend the funds as directed.

Under the Arizona State Constitution, bills passed by the state legislature must pass the “single subject” test, meaning the bill must pertain to a defined topic. The content of the bill must also be reflected in its title.

But this year’s budget bills do not meet these requirements. Instead of simply outlining the budget processes, the legislature slipped in significant policy changes unrelated to the BRBs in which they are located. Many of these changes had been separate bills that did not have support on their own.

This doesn’t just defy the state constitution’s single-subject rule – it sets a terrible precedent for future state budgets, and it strips the public from participating in our democratic process.

Pandemic’s impact on routine child vaccination puts Arizonans of all ages at risk

Arizona has long had some of the most linient childhood vaccination policies in the nation. Parents of children enrolled in school or child care can refuse to immunize their children by submitting a medical, religious, or personal belief exemption. The use of these exemptions has skyrocketed over the past few years. Unsurprisingly, our schools are rapidly losing herd immunity to diseases that pose a serious risk to children, older adults, immune-compromised individuals, and pregnant people and their newborns.

In the 2020-2021 school year, kindergarteners in Arizona fell far short of recommended benchmarks for protecting the community from measles, mumps, and rubella. Only Yuma and Santa Cruz counties exceeded the 95% threshold needed to achieve community immunity from these diseases.

The newly approved budget passed by Governor Ducey and the Legislature further compromises our ability to protect those with vulnerable immune systems. Tucked in the budget is a blanket prohibition on “COVID-19 vaccine passports.” It also prohibits schools from requiring the COVID-19 or HPV vaccines, and adds layers of red tape that must be completed by the Arizona Department of Health Services before any new vaccine can be required for school attendance.

A new report by researchers at Georgetown’s Center for Children and Families sheds light on a growing crisis, one fueled by inequity in our health care systems.

During 2020, visits to pediatric offices declined by a cumulative 27%, meaning fewer children were receiving timely developmental screenings, scheduled vaccines, and other routine and preventive care. The impact of this decline in pediatric visits is starkly apparent in data from the Centers for Disease Control and Prevention (CDC) and Vaccines for Children (VFC) programs: in 2020, the number of childhood vaccine doses ordered by physicians decreased by 11.7 million.

This fact is compounded by the disproportionate impact of the COVID-19 pandemic on certain populations, including Black and Latinx communities* and low-income households, who are more likely to have missed a routine pediatric visit during the pandemic and who were less likely to be on track with recommended vaccination schedule prior to the health crisis.

The state’s approach to public health policy leaves us all exceptionally vulnerable – not just to COVID-19, but to future pandemics that will be attributable to this reduction in childhood vaccination rates. We hope common sense leadership and evidence-driven policy will be willing to speak up for science and dismantle the harm caused by anti-vaccine sentiment in coming years.

*Data was suppressed for American Indian / Alaska Native children. CAA acknowledges this omission and respects Tribal data sovereignty.

SCOTUS UPHOLDS THE AFFORDABLE CARE ACT!!!

Have you heard the news? This morning the Supreme Court of the United States determined that the Affordable Care Act (ACA) is here to stay. The 7-2 ruling by the court is a huge victory for all Americans, including the 31 million people who currently have health insurance through either the ACA Marketplace or Medicaid Expansion. If the Court ruled the other way, these individuals would have been in immediate danger of losing their health care during a deadly pandemic.

Legal challengers to the landmark health care law – including Arizona’s Attorney General Mark Brnovich – argued that because the Tax Cuts and Jobs Act of 2017 set the tax penalty for not having health insurance at $0, the entirety of the ACA was unconstitutional. The Supreme Court largely saw through this argument, with only Justices Alito and Gorsuch dissenting.

It’s unfortunate that this meritless case made it to the highest court in the U.S., and we hope that this ruling will be enough to end the frivolous attacks on this pivotal law.

In Arizona, nearly 74,000 kids currently have access to high quality health insurance thanks to the ACA’s Medicaid Expansion provision. Another 54,000 Arizona children are currently insured by KidsCare – restoration of which was made possible by the ACA. An additional 177,228 Arizona adults and children have thus far found low- or no-cost coverage through the ACA Marketplace during the 2021 Open and Special enrollment periods.

The ACA Marketplace Special Enrollment Period will last until August 15th. If you or someone you know need help finding your best health care option, make an appointment with a health care enrollment specialist by visiting coveraz.org/connector, calling 1-800-377-3536, or 2-1-1.

Buying Health Insurance on Healthcare.gov Just Got Way More Affordable

The American Rescue Plan Act (ARPA) was signed into law by President Biden on March 11th, 2021. The Act provided immediate economic relief to individuals, families, localities, states, and Tribal nations. It made significant investments in communities by providing funding for broadband infrastructure, rental and mortgage assistance, and relief for small businesses. And, importantly, it took steps to make health insurance coverage more affordable for more American families. Now we need Congress to make these changes permanent.

The Act makes more people eligible for premium tax credits, which help cover some or all of the cost of health insurance on the Affordable Care Act Marketplace (Healthcare.gov). These credits are capped at the percent of modified adjusted gross income. Under the ARPA, individuals and families earning less than 150% of the Federal Poverty Level (just under $40,000 per year for a family of four) will pay $0 for health insurance purchased through healthcare.gov. In Arizona, 302,000 people are expected to qualify for health care at no monthly cost, including 207,000 uninsured adults. Another 253,000 uninsured adults are likely to qualify for low-cost health coverage under these guidelines.

Arizona Senators Kelly and Sinema have signed on to a letter urging President Biden to prioritize health care affordability. Please take a moment to thank them for their advocacy.

Send a thank you to our Senators

Enhanced premium subsidies aren’t the only important health provision of the ARPA:

  • The Act provides financial incentives to expand Medicaid in states that have not yet done so.
  • It makes it easier for states to expand Medicaid coverage to birthing people for up to 12 months after delivery. Arizona’s program provides coverage for just six weeks postpartum, a fact that is readily apparent in our state’s high maternal mortality and morbidity rates, especially among American Indian persons.
  • It clarifies that the federal government will pay for 100% of Medicaid costs for COVID-19 testing, vaccination, and treatment-related expenses.
  • It guarantees that the federal government will pay for 100% of the cost of care delivered to Medicaid participants at Urban Indian Health Centers for two years.

Unfortunately, many of these provisions – including the healthcare.gov premium tax credits – have only been temporarily authorized, and other barriers to coverage persist. Take, for example, the “family glitch” - a faulty definition that determines eligibility for Marketplace subsidies on the cost of employer-sponsored health premiums for an individual but not their dependents. This prevents 124,000 Arizonans from accessing affordable health care. Though President Biden has requested an examination of the family glitch and ARPA expanded subsidy eligibility to higher-income earners, this issue will continue to prevent many people from accessing care until it is fully addressed.

Stay tuned for advocacy opportunities to repair the family glitch and make permanent the ARPA health insurance affordability provisions.