Senate Hearing to Examine Why Patients Are Being Turned Away From Treatment Under AHCCCS

FOR IMMEDIATE RELEASE
Tuesday, March 17, 2026

PHOENIX, ARIZONA—Senate Health & Human Services Committee Chair Carine Werner is holding a special oversight hearing this Thursday as lawmakers continue investigating serious concerns involving Arizona's Medicaid program, known as AHCCCS.

The hearing follows months of testimony and reports from families, treatment providers, and whistleblowers who say vulnerable patients are being denied access to care even when facilities appear to have available capacity. Some providers serving patients through the American Indian Health Program (AIHP) report they are unable to schedule care because AHCCCS has failed to reimburse them for services already provided, creating barriers for individuals seeking help for addiction and behavioral health needs.

"Arizona's Medicaid program serves some of the most vulnerable people in our state, including individuals battling addiction and families seeking lifesaving treatment," said Senator Werner. "When patients are being turned away from care or providers cannot get paid for services already delivered, that is a serious breakdown in the system. These issues did not happen overnight. They developed over many years, and it is the Legislature's responsibility to conduct oversight, ask tough questions, and ensure the program is working the way taxpayers and patients expect it to."

Thursday's hearing will focus on unanswered questions from the previous hearings, network adequacy concerns, as well as audit findings and broader oversight questions related to how the program monitors providers and safeguards public dollars.

As a result of her investigation, Senator Werner introduced several reform bills aimed at restoring accountability within Arizona's Medicaid system and ensuring patients can access care when they need it. Those measures are currently under consideration in the Arizona House of Representatives. The legislation includes:

• SB 1114 – Appropriates $1 million to help the Maricopa County Attorney investigate and prosecute behavioral health patient brokering schemes, where vulnerable individuals are trafficked between treatment facilities for profit instead of receiving legitimate care.

• SB 1116 – Requires that any denial of behavioral health treatment under the American Indian Health Program be reviewed and approved by a qualified clinician with relevant experience before a claim can be rejected.

• SB 1122 – Addresses delays in care by limiting excessive prepayment review requirements that can slow or prevent treatment for patients receiving behavioral health services through the American Indian Health Program.

• SB 1173 – Strengthens safety requirements for behavioral health facilities by requiring owners and operators to obtain fingerprint clearance cards as part of the licensing process, helping ensure individuals operating these facilities have passed background checks.

• SB 1233 – Provides treatment providers with a short window to correct minor administrative deficiencies that do not pose a risk to patients before state agencies take enforcement action that could disrupt care.

• SB1611 – Reforms the administration of the American Indian Health Program by improving oversight, strengthening coordination with tribal health providers, and helping ensure Native American patients continue to have access to the care options they rely on within the AHCCCS system.

• SB 1814 – Establishes a bipartisan study committee to examine gaps in substance use disorder treatment across Arizona, identify fraud and oversight failures, and develop statewide standards to improve patient safety, access to care, and accountability within the system.

"These reforms are about making sure the system works for the people it was designed to serve," said Senator Werner. "Taxpayers deserve accountability, providers deserve a system that functions properly, and most importantly, patients in crisis deserve timely access to treatment."

WHAT:

Senate Health & Human Services Committee Special Oversight Hearing on AHCCCS

WHEN:

Thursday, March 19, 2026
11:00 a.m.

WHERE:

Senate Hearing Room 1
Arizona State Senate

WHO:
AHCCCS leadership invited to testify:

Interim Director Roberta Harrison
Deputy Director Marcus Johnson
Assistant Deputy Director Lynne Emmons
Assistant Deputy Director Alisa Randall
Inspector General Vanessa Templeman
Claims Operations Administrator Lisa Sherrill
Chief Medical Officer Dr. Theresa Costales
Assistant Director Jeff Tegen

Members of the media are encouraged to attend and cover the hearing.

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For more information, contact:

Kim Quintero

Director of Communications | Arizona State Senate Republican Caucus

kquintero@azleg.gov