Fillable Printable Arizona State Medicaid Health Information Technology Plan-Ahcccs Budget
Fillable Printable Arizona State Medicaid Health Information Technology Plan-Ahcccs Budget
Arizona State Medicaid Health Information Technology Plan-Ahcccs Budget
The AHCCCS Budget
How much money is in the AHCCCS budget?
In FY 2017, it is anticipated that the AHCCCS budget will be approximately $11.4 billion. This $11.4
billion is broken down into payments of: $8.8 billion for medical services, $1.9 billion for behavioral
health s ervices,and$347 million for hospital payments.AHCCCS manages the s tate’s Medi caid program
with approximately 1,000 employees and maintains its administrative costs to 1% of the program’s
budget.
How does the current AHCCCS budget compare to prior years?
The chart below details the growth in the AHCCCS budget since 2006. This chart demonstratesthat
while funding costs continue to increase, the cost to the state has remained relativelythe same over the
years.Note, the budget reductions shown during years 2012-2014 are reflective of policy changes made in
response to the Great Recession, including provider rate reductions, benefit reductions, and, most
significantly,the childless adult enrollment freeze. In 2013, the Legislature voted to restore coverage for
childless adults andinclude coveragefor adultsfrom 100% of the Federal Poverty Level (FPL) to 133%
FPL. The childless adult restoration and expansion costs are covered by a hospital assessment, not the
State General Fund.
0
2
4
6
8
10
12
FY06FY07FY08FY09FY10FY11FY12FY13FY14FY15FY16FY17
AHCCCS Budget Since 2006
General Fund Dollars
Total Funding
Billions
Where do the dollars in the AHCCCS budget come from?
As demonstrated in the table below, AHCCCS is actually primarilya federally-funded agency. State
General Fund Dollars make up most of the remainder, but still amount to less than a quarter of the
Agency’s budget.
Where do the dollars in the AHCCCS budget go?
Approximately 1% of the AHCCCS budget is used on administrative costs. The remainder of the dollars
are paid to Managed Care Organizations (MCOs) to pay for medical services and behavioral health
services that are provided to more than 1.8 million AHCCCS members. The distribution of these dollarsis
broken down below:
75%
16%
3%
1%
2%
2%
1%
AHCCCS Funding
Federal Funds
General Fund
County
GF-PIT
Tobacco
Assessments
Drug Rebate
20%
16%
15%
15%
2%
3%
6%
9%
14%
AHCCCS Budget Distribution
Physician
Hospital IP
Hospital OP
Behavioral Health
Dental
Transportation
Nursing Facilities
Pharmacy
HCBS
