Senator Werner Takes Action to Fix Failures in American Indian Health Program
FOR IMMEDIATE RELEASE
Thursday, January 29, 2026
PHOENIX, ARIZONA— Senator Carine Werner is moving legislation right now to fix serious failures inside the state's Medicaid system that disrupted care for tribal members, destabilized health providers, and led to preventable deaths.
"After months of oversight hearings and sworn testimony, the Senate Health and Human Services Committee exposed deep breakdowns in how the Arizona Health Care Cost Containment System operates the American Indian Health Program," said Senator Werner. "We heard repeated testimony about missing or unreliable data, unresolved payment disputes, due-process failures, and a lack of basic accountability when care broke down."
Those failures unfolded as Arizona's Medicaid system was rocked by one of the largest behavioral health fraud crackdowns in state history. While rooting out fraud was necessary, testimony revealed that legitimate providers, including those serving tribal communities, were caught in the fallout. Some reported months-long payment delays for services that were actually delivered, forcing clinic closures and interrupting care for vulnerable patients. Advocates and providers also described a devastating human toll. During hearings, lawmakers heard testimony that tribal members lost access to treatment, disappeared from care networks, or died after services were disrupted and providers were left without answers or resources to respond.
"These were not paperwork problems, said Senator Werner. "This was a system that lost track of people, failed to pay providers who were doing the right thing, and could not explain what happened when patients fell through the cracks. When that happens, lives are put at risk."
As Chair of the Senate Health and Human Services Committee, Senator Werner is introducing SB 1611 to fix those failures by preserving AIHP as a fee-for-service option while requiring AHCCCS to contract out key administrative and care-management functions to an experienced entity with a proven track record. The bill addresses failures documented during committee hearings, including inaccurate reporting, prolonged payment delays to Indian health care providers, and unresolved due-process complaints that interfered with patient care. Under SB 1611, AHCCCS would retain oversight authority, but day-to-day administration, care coordination, and program integrity would be handled by an organization capable of operating a stable health plan and meeting federal requirements. Federal protections for tribal members and Indian health care providers remain fully intact, and eligible members retain the right to choose fee-for-service coverage.
"This is about accountability and patient safety," said Senator Werner. "Health care programs exist to protect people, not to leave families searching for answers after something goes wrong. Doing nothing would mean accepting a system that has already proven it cannot protect the people who depend on it."
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For more information, contact:
Kim Quintero
Director of Communications | Arizona State Senate Republican Caucus