Back to Arizona

HB2245 • 2026

veterans claims pilot program

HB2245 - veterans claims pilot program

Budget Healthcare Technology
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Walt Blackman
Last action
2026-01-20
Official status
House second read
Effective date
Not listed

Plain English Breakdown

The exact amount of funding is not specified in the provided official source material.

Veterans Claims Pilot Program

HB2245 establishes a pilot program in Arizona's Department of Veterans' Services (ADVS) for fiscal year 2027 to evaluate the effectiveness of digital tools that help veterans get benefits faster and more accurately.

What This Bill Does

  • Appropriates an unspecified amount from the state General Fund to ADVS for the Veteran Claims Pilot Program in fiscal year 2027.
  • Establishes a program within ADVS to assess the effectiveness of claims development technology systems that review veterans' medical and personnel records, identify service-connected conditions, map these conditions to federal criteria, and produce complete disability compensation claim packets suitable for submission to the VA.
  • Requires ADVS to integrate the Program with existing state veteran benefits counselors, county veteran service offices, tribal veteran programs, and accredited nonprofit service officers to evaluate its effectiveness.
  • Ensures that veterans participating in the program retain full access to traditional services while using the new technology.
  • Directs ADVS to develop a report on the program's success and recommend future actions.

Who It Names or Affects

  • Veterans seeking benefits from the U.S. Department of Veterans Affairs (VA).
  • Arizona Department of Veterans' Services staff who will use the new technology.
  • County veteran service offices, tribal programs, and nonprofit organizations involved in veterans’ services.

Terms To Know

Claims Development Technology System
A digital platform capable of analyzing large-scale veteran record sets to identify evidence-supported service-connected conditions and prepare fully developed disability compensation claim documentation.

Limits and Unknowns

  • The exact amount of funding for the program is not specified.
  • After June 30, 2027, the statutory language related to this pilot program will no longer apply.

Bill History

  1. 2026-01-20 House

    House second read

  2. 2026-01-15 House

    House Rules: None

  3. 2026-01-15 House

    House Appropriations: None

  4. 2026-01-15 House

    House Federalism, Military Affairs & Elections: DP

  5. 2026-01-15 House

    House first read

Official Summary Text

HB2245 - 572R - House Bill Summary

ARIZONA HOUSE OF REPRESENTATIVES

57th
Legislature, 2nd Regular Session

Majority Research Staff

HB
2245
: veterans claims pilot program

Sponsor:
Representative Blackman, LD 7

Committee
on Federalism, Military Affairs & Elections

Overview

Appropriates
an unspecified amount from the state General Fund (GF) to the Arizona
Department of Veterans' Services to fund the establishment of the Veteran
Claims Pilot Program.

History

Laws 1999,
Chapter 164
established the Arizona Department of Veterans'
Services (ADVS) as a separate entity responsible for providing and establishing
claims, privileges, rights and benefits that veterans, their families and
dependents may have under federal, state or local law.

ADVS delivers these services through the administration of professional
benefit counselors, skilled-nursing Veterans' Home facilities and Veterans'
Memorial Cemeteries. Additionally, the department adopts rules to administer
the Department, evaluates educational and training programs for veterans and
their dependents and cooperates with government and private agencies that
deliver services or benefits to veterans (
A.R.S. � 41-603
)(
ADVS
).

State and federal benefits provided to veteran claimants are
initiated by Veteran Benefits Counselors (VBCs), who are accredited by the U.S.
Department of Veterans' Affairs (VA) and currently located at 31 different
agencies and veteran service offices across Arizona. VBCs also support claimants
by: 1) educating them on eligibility requirements; 2) representing them at VA
hearings; 3) referring them to other agencies for potential benefits; and 4) filing
compensation, pension and survivor's benefits applications (
ADVS-VBCs
).

Provisions

1.

Appropriates
an unspecified amount from the state GF in FY 2027 to ADVS for the Veteran
Claims Pilot Program (Program) and exempts the appropriation from lapsing.
(Sec. 3)

2.

Establishes
the Program in ADVS to evaluate the effectiveness of claims development
technology systems designed to do the following:

a.

conduct
digital reviews of veterans medical and personnel records;

b.

identify all
primary and secondary service-connected conditions based on the digital review
and available evidence;

c.

map
documented conditions to applicable federal diagnostic and rating criteria; and

d.

produce
complete and fully developed disability compensation claim packets suitable for
submission to the VA. (Sec. 1)

3.

Requires
ADVS to integrate the Program with existing state veteran benefits counselors,
county veteran service offices, tribal veteran programs and any accredited
nonprofit service officers to assess the effectiveness of the Program. (Sec. 1)

4.

Directs ADVS
to select officers to participate in the Program from:

a.

veteran
benefit counseling offices in urban areas;

b.

county
veteran service offices; and

c.

tribal
veterans service programs, subject to tribal approval. (Sec. 1)

5.

Directs ADVS
to establish a control group consisting of accredited personnel who do not use
the claims development technology system during the Program. (Sec. 1)

6.

Requires ADVS
to ensure that:

a.

Program
users receive appropriate training;

b.

veterans
retain full access to traditional veterans' services;

c.

data
collected is not used for any commercial or non-program purposes; and

d.

all records
are handled in compliance with state and federal privacy laws. (Sec. 1)

7.

States that participation
in the Program does not alter or limit the role of accredited VBCs or benefit officers
in representing or assisting veterans in this state. (Sec. 1)

8.

Allows ADVS
to enter into agreements, memoranda of understanding or service contracts
necessary to administer the Program. (Sec. 1)

9.

Specifies
performance indicators that ADVS must use for evaluation of Program effectiveness.
(Sec. 1)

10.

Directs ADVS
to develop a report including the following information and to submit the
report to outlined government officials:

a.

a
description of Program activities and participating offices;

b.

a comparison
between Program participants and the control group;

c.

the
estimated fiscal impact to the state, including reductions in state or county
safety net expenditures;

d.

the
estimated increase in federal disability compensation awarded to veterans in
this state; and

e.

recommendations
on whether to expand, modify or discontinue the Program. (Sec. 1)

11.

Defines
claims
development technology system
. (Sec. 1)

12.

Repeals all
statutory language associated with the Program from and after June 30, 2027. (Sec.
2)

13.

14.

15.

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

16.

Initials GG/AI���������������� HB
2245

17.

1/26/2026� Page 0 Federalism,
Military Affairs & Elections

18.

19.

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

Current Bill Text

Read the full stored bill text
HB2245 - 572R - I Ver

REFERENCE TITLE:
veterans claims pilot program

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2245

Introduced by

Representative
Blackman

AN
ACT

amending title
41, chapter 3, article 7, Arizona Revised Statutes, by adding section 41-610.03;
repealing section 41-610.03, Arizona Revised Statutes; appropriating
monies; relating to the department of veterans' services.

(TEXT OF BILL BEGINS ON NEXT PAGE)

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

Section 1. Title 41, chapter 3, article 7,
Arizona Revised Statutes, is amended by adding section 41-610.03, to read:

START_STATUTE
41-610.03.

Veteran claims pilot program; report; definition

A.
The
veteran claims pilot program
is established in the department to evaluate
the effectiveness of claims development technology systems that are designed to
do all of the following:

1. Conduct comprehensive digital
reviews of veterans medical records, service treatment records, personnel files
and any supporting documentation.

2. Identify all supportable primary
and secondary service connected conditions based on available evidence.

3. Map documented conditions to
applicable federal diagnostic and rating criteria.

4. Produce complete and fully
developed disability compensation claim packets suitable for submission to the
united states department of veterans affairs.

B. The department shall:

1. integrate The program with
existing state veteran benefits counselors, county veteran service offices,
tribal veteran programs and any accredited nonprofit service officers to assess
the effectiveness of the program.

2. Select officers in this state to
participate in the program from all of the following:

(
a
) State
veteran benefits counseling offices in urban areas.

(
b
) county
veteran service offices.

(
c
) subject to
tribal approval, tribal veterans service programs.

3. Establish a control group
consisting of accredited personnel who do not use the claims development
technology system during the program.

C. The department shall ensure all of
the following:

1. that all program users receive
necessary training on the claims development technology system.

2. That veterans participating in the
program retain full access to traditional veteran service ORGANIZATION
assistance.

3. That data collected through the
claims development technology system is not used for any commercial or
non-program purposes.

4. That all records are handled in
compliance with all state and federal privacy laws.

D. Participation in the program may
not alter or limit the role of accredited veteran benefits counselors or
officers in advising, representing or assisting veterans in this state.

E. The department may enter into
agreements, memoranda of understanding or service contracts necessary to
administer the program.

F. The
department shall evaluate the effectiveness of the program using all of the
following performance indicators:

1. The
average time required to prepare claim submissions.

2. The first-time approval
rates for veteran disability compensation claims.

3. The number and type of conditions
identified per veteran.

4. The frequency of remands,
supplemental claims or duty to assist errors.

5. Veteran satisfaction with claim
preparation.

6. The estimated change in annual
federal disability compensation awarded to participating veterans.

G. On or before July 1, 2027, the
department shall submit a report to the governor, the PRESIDENT of the senate
and the speaker of the house of representatives and the chairperson of the
senate military affairs and border security committee, the chairperson of the
house of representatives federalism, military affairs and elections committee,
the CHAIRPERSON of the senate APPROPRIATIONS committee and the chairperson of
the house of representatives appropriations committee, or their successor committees,
that includes all of the following information:

1. A description of program
activities and participating offices.

2. A comparison between program
participants and the control group.

3. The Estimated fiscal impact to
this state, including reductions in state or county safety net expenditures.

4. The Estimated increase in federal
disability compensation awarded to veterans in this state.

5. Recommendations on whether to
expand, modify or discontinue the program.

H. For the purposes of this section,
"claims development technology system" means A digital platform that
is capable of analyzing large-scale veteran record sets, identifying
evidence-supported service connected conditions and preparing fully
developed disability compensation claim documentation.
END_STATUTE

Sec. 2.
Delayed repeal

Section 41-610.03, Arizona
Revised Statutes, as added by this act, is repealed from and after June 30,
2027.

Sec. 3.
Appropriation; department of veterans'
services; exemption

A. The sum of $_______ is
appropriated from the state general fund in fiscal year 2026-2027 to the
department of veterans' services for the purposes of section 41-610.03,
Arizona Revised Statutes, as added by this act.

B. The appropriation made
in subsection A of this section is exempt from the provisions of section 35-190,
Arizona Revised Statutes, relating to lapsing of appropriations.