What AZ just passed, simplified.

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SB1164In effect since September 12, 2026

When a qualifying skilled nursing or assisted living facility in Arizona's long-term care system changes owners, the state and its program contractors must, if the new owner asks, keep processing and paying claims under the previous owner's number and subcontracts until the new owner's enrollment and contracting is done.

Official title: ALTCS; providers; change of ownership

Business ownersOlder adultsHealth insurance
  • September 12, 2026

What changes

  • NowIf a licensed skilled nursing facility or assisted living facility changes owners and keeps providing services, the state health care cost containment administration and its program contractors must, at the new owner's request, keep processing claims and making payments under the previous owner's AHCCCS number and subcontracts until the new owner's enrollment and contracting process is completed.

  • NowThis only applies to a facility that is not in a suspension, termination or payment hold and that has an active provider enrollment with the administration.

  • NowClaims paid this way follow the existing payment rules: decided within 30 calendar days, and clean claims not paid in 30 days earn interest of 1% per month.

  • NowThe current owner or new owner must give the administration written notice at least 60 days before an expected change of ownership and respond to all provider enrollment requests within 10 business days.

Who it affects

  • Owners and buyers of licensed skilled nursing facilities and assisted living facilities that serve Arizona long-term care system members
  • Members receiving care at those facilities
  • Arizona Health Care Cost Containment System administration
  • Long-term care program contractors

What you need to do

If you own or are buying a covered facility: the current or new owner must give the administration written notice at least 60 days before an expected ownership change and respond to provider enrollment requests within 10 business days. The new owner must request continued payment under the previous owner's number to use this option.

What the law doesn't answer

  • What happens if the 60-day notice is not given or enrollment requests are not answered in 10 business days
  • How the new owner makes the request to continue under the previous owner's number
  • How long the new owner's enrollment and contracting process is expected to take
  • Whether home and community based providers are covered by the change of ownership rule
  • Who is responsible for any problems with claims paid under the previous owner's number

This summary describes the law as enacted. Later laws, court rulings or referendum petitions can change the picture. Check the official text for the current wording.

Source

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