Governor Hobbs Releases 2023-24 Budget Proposal 

Governor Hobbs released her proposed budget last Friday. It reflects a governor who is committed to improve the social determinants of health and assist families. The budget makes critical investments to protect the health and wellness of all Arizonans. 

  • $463M and $115M in federal fund expenditure authority to utilize year three of federal funding given directly to AHCCCS and DES respectively for home and community-based services programs
  • $257M for AHCCCS program caseload growth and unwinding of federal Covid-19 policies
  • $150M deposit into the Housing Trust Fund to assist families and individuals who are currently or at risk of becoming unhoused
  • $50M General Fund set-aside for a refundable child tax credit for low-income families beginning tax year 2023
  • $24M to make feminine hygiene products tax exempt
  • $20M to expand the income eligibility cutoff for the KidsCare program from 200 percent of the federal poverty level to 300 percent of the federal poverty level
  • $16M to make permanent a sales tax exemption for infant diapers
  • $9.7M to address an Arizona State Hospital staffing shortfall
  • $11M to fully fund the adoption subsidy for adoptive parents, backfill federal funding, and implement the Positive Parenting Program
  • $6.1M in ongoing funding to augment existing Title X family planning dollars to provide expanded family planning services to low-income women, doubling the current amount provided to women in Arizona
  • $14M to reduce caseloads for Adult Protective Services
  • $4.4M to make permanent federal funds to increase Arizona Early Intervention Program (AzEIP) Provider Rates
  • $2.5M to expand the Healthy Families AZ program for voluntary home-visits to families that are at high risk of abuse or neglect, adding capacity for additional 300 families
  • $2.7M for Medicaid enterprise system modernization
  • $200,000 in ongoing funding for pregnancy services that are inclusive of all options and support personal choice

Of course, a budget proposal is just that, a proposal. The ultimate result will come later this spring after negotiations with the state legislature… but it certainly is nice to have an executive proposal that prioritizes evidence-based strategies to improving the health status of ordinary Arizonans.

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