ambulance services; hearings
on rates
Requires the Department of Health Services (DHS) to hold a public hearing each time an ambulance provider proposes a rate or charge increase for services. Requires ambulance service providers to submit specific financial information to DHS to assist them in analyzing the request.
Arizona Revised Statutes §36-2232 requires the Department of Health Services to regulate the operation of ambulances and ambulance services in this state. Among other things, DHS is charged with determining, fixing, altering and regulating just, reasonable and sufficient rates and charges for the provision of ambulances, including rates and charges for advanced life support services, basic life support service, patient loaded mileage, standby waiting, subscription services contracts and other contracts for services related to the provision of ambulances. DHS is authorized to establish a rate and charge structure as defined by federal Medicare guidelines for ambulance services.
Current law requires that when ambulance providers propose a rate increase, a public hearing must be held. However, DHS has the authority to waive the public hearing requirement in the following cases:
1. If all affected ambulance service providers and stakeholders are notified within 15 days, a notice of the intended increase is posted in the newspaper in the region affected and no one objects to the waiver of the public hearing requirement.
2. If the rate increase does not exceed the annual rate increase allowance which is tied to the percentage growth of inflation.
HB 2568 requires DHS to hold a hearing for all proposed rates or charges that exceed the growth of inflation. The bill would eliminate the authority of DHS to waive the public hearing requirement in cases where affected parties are notified.
HB 2568 also requires applicants for rate or charge increases to submit specific financial information to DHS so that they may analyze the request.
· Requires the Department of Health Services to hold a hearing for any proposed rate or charge increase for ambulatory services that exceeds the growth of inflation.
· Stipulates that the public hearing requirement only applies to ambulance service providers who operate in a service area in which another ambulance service is operating (Pima and Maricopa Counties).
· Stipulates that DHS shall require applicants to submit a financial statement for the previous 24 months.
· Authorizes DHS to require additional information as necessary to analyze the request.
· Clarifies that DHS may not waive the public hearing requirement in cases where affected parties are notified.
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46th Legislature
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Second Regular Session 2 May
24, 2004
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