rural health transformation monies; review

Plain English Breakdown

Checked against official source text during the last sync.

Arizona Rural Health Transformation Fund Review

This bill creates a state fund to hold federal money for rural health and sets rules requiring public meetings in major cities and legislative approval before spending it.

What This Bill Does

• Creates the Arizona Rural Health Transformation Fund to receive federal money from the Rural Health Transformation Program (RHTP).
• Requires AHCCCS to manage the fund and states that the money is automatically available for use without new yearly votes.
• Mandates three public meetings in each of the largest metropolitan areas in northern, central, and southern Arizona before any spending occurs to gather community input.
• Directs AHCCCS to submit a plan for how to spend the funds to the Joint Legislative Budget Committee for approval.

Who It Names or Affects

• AHCCCS (Arizona Health Care Cost Containment System)
• The Joint Legislative Budget Committee
• Residents of rural areas in Arizona

Terms To Know

Rural Health Transformation Program (RHTP)

A federal program created by H.R. 1 that provides money to states for improving health care in rural areas.

AHCCCS

The Arizona state agency responsible for managing the new fund and organizing public meetings.

Limits and Unknowns

• The bill does not specify exactly how much money will be spent on specific projects until a plan is approved.
• Federal funding amounts depend on factors decided by the Centers for Medicare and Medicaid Services (CMS).

Official Summary Text

HB2233 - 572R - House Bill Summary

ARIZONA HOUSE OF REPRESENTATIVES

57th
Legislature, 2nd Regular Session

Majority Research Staff

House:
HHS DPA/SE 7-5-0-0

HB
2233
: rural health transformation monies; review

S/E:
rural health transformation fund

Sponsor:
Representative Blackman, LD 7

Caucus
& COW

Summary
of the Strike-Everything Amendment to HB 2233

Overview

Establishes
the Arizona Rural Health Transformation Fund to receive federal monies through
the Rural Health Transformation Program (RHTP) and includes public meeting and
legislative approval requirements for the expenditure of monies.

History

H.R. 1, also known
as the One Big Beautiful Bill, was signed into law on July 4, 2025 and
established the Rural Health Transformation Program (
H.R. 1
).

RHTP funding is
$50,000,000 to be allocated to approved states over five fiscal years, with $10,000,000
of funding available each fiscal year (FY), beginning in FY 2026 through FY
2030. 50% of RHTP funds must be distributed equally amongst all approved states
and the other 50% must be allocated by the Centers for Medicare and Medicaid
Services (CMS) based on several factors including: 1) rural population; 2)
proportion of rural health facilities in the state; 3) the situation of certain
hospitals in the state; and 4) other factors to be specified by CMS in a Notice
of Funding Opportunity (
CMS
).

The FY 2026 award
amount for Arizona is $166,988,956 (
CMS
).

Provisions

1.

Establishes
the Arizona Rural Health Transformation Fund (Fund) to consist of monies
received by the state through RHTP. (Sec. 1)

2.

Requires
AHCCCS to administer the Fund and states Fund monies are continuously
appropriated. (Sec. 1)

3.

Requires
AHCCCS, before the executive branch spends any money, to hold three public
meetings in each of the largest metropolitan areas in northern, central and
southern Arizona to receive input and feedback regarding how the monies should
be spent. (Sec. 1)

4.

Directs
AHCCCS, after holding the public meetings, to submit an expenditure plan for the
RHTP funds to the Joint Legislative Budget Committee for approval. (Sec. 1)

5.

6.

7.

---------- DOCUMENT
FOOTER ---------

8.

Initials AG���������������������� HB
2233

9.

1/26/2026� Page 0 Caucus
& COW

10.

11.

---------- DOCUMENT
FOOTER ---------

Current Bill Text

HB2233 - 572R - I Ver

REFERENCE TITLE:
rural health transformation monies; review

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2233

Introduced by

Representative
Blackman

AN
ACT

Amending title 36, chapter 29, article 1,
Arizona Revised Statutes, by adding section 36-2920.01; relating to the Arizona
health care cost containment system administration.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Title 36, chapter 29, article 1,
Arizona Revised Statutes, is amended by adding section 36-2920.01, to read:

START_STATUTE
36-2920.01.

Joint legislative budget committee; annual review; rural health
transformation program monies

The administration shall report annually to the
joint legislative budget committee for review of the use and distribution of
monies received through the federal rural HEALTH transformation program.
END_STATUTE