A priority bill advancing and negotiations continuing at the Arizona Capitol.
A hospital reporting bill being pulled from Ways and Means markup.
A new CMS rule that will reshape ACA Marketplace coverage for 2027.
A priority bill advances and negotiations continue
Budget negotiations are moving forward.
Late last week, the Governor lifted her bill moratorium — signaling that talks between the executive and legislative branches are progressing.
The Senate reconvened this Monday to advance select legislation, while the House remains adjourned until Monday, June 1, 2026.
A win for rural cancer patients — and our members: We are pleased to report that one of AzHHA's priority bills cleared the Senate with unanimous support.
HB2049 (radiation therapy; rural counties) passed 24-0 (six members excused) on third reading and has been transmitted back to the House for concurrence before heading to the Governor's desk.
This bill matters. Under current law, a supervising physician must be on-site for every radiation therapy treatment — a requirement that is not feasible in many rural Arizona communities.
HB2049 lowers that threshold, allowing qualified on-site staff to administer prescribed radiation therapy without a physician present for each session.
The result: Cancer patients in rural Arizona can receive treatment closer to home, and our rural hospital members have a clearer pathway to expand these services.
Still fighting for a fair hearing for SB1628: Our work is not finished. SB1628 (claims denial; prior authorization; reporting) remains stalled in the House Rules Committee, and we continue to advocate vigorously for a full floor hearing.
We will keep members informed as this develops.
We're here for you: Have questions about how pending legislation may affect your facility or would like to get more involved in our advocacy efforts?
Reach out to Damien Johnson, director of government relations.
Hospital reporting bill pulled from Ways and Means markup following AHA, AzHHA advocacy
House Ways and Means Committee Chair Jason Smith (R-Mo.) will not move forward with a draft hospital tax reporting bill that was expected to be considered at the committee’s Thursday health markup.
The legislation would have required nonprofit hospitals to provide the IRS with a more detailed breakdown of revenues and spending on charity care, advertising, community benefits, quality improvement and related activities.
The bill also would have required 340B hospitals to report the number of individuals receiving 340B drugs and their aggregate net revenue from those drugs.
Chairman Smith’s decision to pull the bill followed successful advocacy by the American Hospital Association (AHA) and state hospital associations, including AzHHA.
AHA called the draft “fundamentally flawed” and warned that it would impose burdensome new tax reporting requirements without clear patient benefit.
AzHHA raised concerns that the proposal would create duplicative reporting obligations for nonprofit hospitals that are not imposed on other 501(c)(3) organizations while failing to account for the diversity of Arizona’s hospital landscape, including rural, critical access, safety-net, academic, tribal-serving and urban hospitals.
Smith has intensified scrutiny of hospitals in recent months, including his criticism of hospital pricing during an April Ways and Means Committee hearing.
While the hospital reporting bill has been pulled, Ways and Means is still expected to consider numerous other health bills at its markup on Thursday, including measures such as Medicare physician payment stabilization, and home health and hospice fraud oversight.
New CMS rule reshapes ACA Marketplace coverage for 2027
On Friday, May 15, 2026, the Centers for Medicare and Medicaid Services (CMS) finalized significant changes to the Affordable Care Act (ACA) Marketplace coverage for plan year 2027.
Why it matters: By tightening eligibility and expanding plan flexibility, the rule may introduce less standardized plans, making reimbursement, network status and patient cost-sharing more difficult for hospitals to navigate.
Among the provisions:
Expands catastrophic coverage, allowing some individuals to remain enrolled for up to 10 years
Increases plan flexibility, which may make plan comparisons more difficult and lead to greater variation in cost sharing and deductibles
Allows exchange plans that do not use traditional provider networks
Strengthens safeguards to prevent improper enrollment
Removes the special enrollment period (SEP) for low-income individuals
What to watch:
Removal of the low-income SEP (which allows those under 150% of the federal poverty level to enroll year-round) may reduce mid-year enrollment and increase coverage gaps.
More flexible plan designs and expanded catastrophic coverage could increase variation in cost sharing and patient financial responsibility.
Tighter eligibility checks could reduce enrollment but improve stability.
⚠️Last chance: Apply now for the 2026 AzHHA Quality Awards
Showcase your work: TheFourth Annual AzHHA Quality Awards provides an opportunity for member hospitals and healthcare facilities to highlight a recent project, within the last 12 months, in:
Outstanding Patient/Community Impact
Workforce Engagement
A Top Overall Excellence Award will also be presented.
Why it matters: These awards celebrate and recognize Arizona’s leaders committed to advancing healthcare with exceptional quality performance, community engagement and a culture of continuous improvement.
The deadline for submissions isat 5 p.m. on Friday, May 29, 2026.
What’s next: The outstanding achievements will be honored at the AzHHA Quality Awards Luncheon on Wednesday, Oct. 21, 2026, during the 2026 Arizona Hospital Leadership Conference.
KFF: ACA Marketplace enrollment could decline by up to 5.8 million in 2026
The expiration of enhanced Affordable Care Act (ACA) premium tax credits at the end of 2025 is contributing to lower Marketplace enrollment and sharply higher consumer costs, according to a May 19 KFF analysis.
Average monthly premium payments by Marketplace enrollees rose by 58% in 2026, from $113 to $178, with particularly steep increases for people above 400% of the federal poverty level who lost subsidy eligibility.
KFF estimates average monthly effectuated enrollment could decline from 22.3 million in 2025 to about 16.5 or 17.5 million in 2026 as premium nonpayment and mid-year attrition continue.
KFF also found that average Marketplace deductibles increased by 37%, or $1,027 per person, to a record $3,786 in 2026 — the steepest increase since the ACA marketplaces launched.
The increase largely reflects consumers shifting into lower-premium bronze plans with much higher deductibles.
Bronze plan selections rose from 30% to 40% of enrollment, while silver plan selections fell to a record low of 43%.
KFF Health News reported that insurers are closely watching whether enrollment losses worsen the Marketplace risk pool by disproportionately reducing participation among healthier enrollees, which could contribute to additional premium increases in 2027.
Arizona has experienced one of the steepest Marketplace enrollment declines nationally, with enrollment falling by 16% in 2026 from roughly 423,000 people in 2025 to about 357,000 this year.
These coverage losses are emerging as policymakers and health systems prepare for Medicaid eligibility verification changes and community engagement requirements under H.R. 1.
Taken together, those developments could increase the number of uninsured and underinsured patients, with implications for emergency department utilization, uncompensated care and hospital financial pressures.
Coming soon: 2026 Member Survey
Starting next week, AzHHA will open its 2026 Member Survey.
This survey is for CEOs of member hospitals only.
Why it matters: The survey helps us understand if we are meeting the needs of our members with policy and advocacy work as well as additional services and programs.
The big picture:
The survey will run from Wednesday, May 27, 2026, to 5 p.m. Wednesday, June 10, 2026.
All CEOs of AzHHA member hospitals will receive the survey link via email on the day the survey opens.
It will take no more than five minutes to complete.
What’s next: If you are in the target audience for this survey, please keep an eye out for the survey email and share your feedback.
Time is running out to register: 2026 AzCHER Healthcare Emergency Preparedness Conference
This year’s AzCHER Healthcare Emergency Preparedness Conference will be held June 9-10 at the Desert Willow Conference Center in Phoenix, Ariz.
The theme is “Many voices, one mission: Advancing healthcare preparedness together.”
Why it matters: This year’s one-and-a-half-day conference features sessions shaped by member feedback and brings together experts across healthcare, public health and emergency management.
Topics include workplace violence, behavioral threat assessment, regulatory updates, lessons learned and coordinated response.
Day two offers in-depth workplace violence and active-shooter preparedness training, including targeted instruction and hands-on exercise development to strengthen prevention, response and recovery in healthcare settings.
This week is National EMS Week with the theme of “Improving Outcomes, Together.”
This is a time to show gratitude toward everyone involved in emergency medical services (EMS) and educate the public about the essential services these professionals provide.
As part of this week of celebration, the Arizona Department of Health Services Bureau of Emergency Medical Services and Trauma System recognized emergency medical care technicians and trauma care professionals.
We’d like to extend our congratulations to two of our member hospitals who had individuals who received awards:
Trauma Program Manager of the Year - Level III: Shannon Claw, BSN, RN, Tuba City Regional Health Care
Trauma Program Manager of the Year - Level IV: Deborah Verkyk, BSN, RN, Northern Arizona Healthcare - Verde Valley Medical Center
Call for speakers: 13th Annual Tribal Summit
You’re invited to share your voice at the 13th Annual Tribal Summit.
The one-day summit, “Unity in Action: Bridging Systems, Strengthening Communities,” will take place on Thursday, Oct. 1, 2026, at the Twin Arrows Casino in Flagstaff.
Speakers are encouragedto apply if they have a story, insight or perspective that can inspire and inform others in the following areas:
Healthcare access - navigating systems and advocating for care that reflects the needs and values of tribal members.
Community health in action - the innovative work happening on the ground in tribal nations that others can learn from and build on.
Partnerships that work - examples of how tribal governments, healthcare organizations and community partners can collaborate.
UPCOMING EVENTS
June 9-10, 2026 - 2026 AzCHER Healthcare Emergency Preparedness Conference This year’s theme is “Many voices, one mission: Advancing healthcare preparedness together.” The one-and-a-half-day conference features sessions shaped by member feedback and brings together experts across healthcare, public health and emergency management. Register now.
Friday, June 12, 2026 - AzPHA Convos & Coffee: Trends in Cancer Screening Among Arizona Medicaid Enrollees, 2018-2024 Join the Arizona Public Health Association (AzPHA) for a virtual discussion with Gloria D. Coronado, Ph.D. Explore how the pandemic and updated screening guidelines have shaped cancer screening trends among Arizona’s Medicaid population. Register here.
Save the Date: 2026 Arizona Hospital Leadership Conference Mark your calendar for the AzHHA Foundation’s 2026 Arizona Hospital Leadership Conference, taking place Oct. 21–23 at the El Conquistador Tucson, a Hilton Resort. This annual gathering brings together hospital and healthcare leaders from across the state for engaging discussions, networking and forward‑focused learning. Additional details and registration information will be shared in the coming months. Questions may be directed to communications@azhha.org.
