An Initiative Measure

REPEALING SECTION 36-2901.01, ARIZONA REVISED STATUTES; AMENDING TITLE 35, CHAPTER 29, ARTICLE 1, ARIZONA REVISED STATUTES, BY ADDING A NEW SECTION 36-2901.01 AND SECTION 36-2901.02; RELATING TO THE ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM.

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

Section 1. Repeal

Section 36-2901.01, Arizona Revised Statutes, is repealed.

Sec. 2. Title 36, chapter 29, article 1, Arizona Revised Statutes, is amended by adding a new section 36-2901.01, to read:

36-2901.01. Additional definition of eligibility for the Arizona health care cost containment system; enforcement; private right of action

  1. FOR THE PURPOSES OF SECTION 36-2901, "ELIGIBLE PERSON" INCLUDES ANY PERSON WHO HAS AN INCOME LEVEL THAT, AT A MINIMUM, IS BETWEEN ZERO AND ONE HUNDRED PER CENT OF THE FEDERAL POVERTY GUIDELINES AS PUBLISHED ANNUALLY BY THE UNITED STATES DEPARTMENT OF HEATH AND HUMAN SERVICES AND BASED ON THE RESOURCE LIMITS THAT ARE DEFINED BY THE DIRECTOR OF THE ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM ADMINISTRATION AND THAT ARE NOT LESS THAN THE RESOURCE LIMITS IN EFFECT ON NOVEMBER 5, 1996, AND ALSO BASED ON OTHER ELIGIBILITY REQUIREMENTS OF FEDERAL LAW OR THE HEALTH CARE FINANCING ADMINISTRATION PURSUANT TO SECTION 1115 OF THE SOCIAL SECURITY ACT. THE PEOPLE ACTING THROUGH INITIATIVE, OR THE LEGISLATURE BY A SIMPLE MAJORITY VOTE, MAY CHANGE THE ELIGIBILITY THRESHOLD TO A PERCENTAGE OF THE FEDERAL POVERTY GUIDELINES THAT IS EVEN MORE INCLUSIVE. NEITHER THE EXECUTIVE DEPARTMENT NOR THE LEGISLATURE MAY ESTABLISH A CAP ON THE NUMBER OF ELIGIBLE PERSONS WHO MAY ENROLL IN THE SYSTEM.
  2. TO ENSURE THAT SUFFICENT MONIES ARE AVAILABLE TO PROVIDE BENEFITS TO ALL PERSONS WHO ARE ELIGIBLE PURSUANT TO THIS SECTION, FUNDING SHALL COME FROM THE ARIZONA TOBACCO LITIGATION SETTLEMENT FUND ESTABLISHED BY SECTION 36-2901.02 AND SHALL BE SUPPLEMENTED, AS NECESSARY, BY ANY OTHER AVAILABLE SOURCES INCLUDING LEGISLATIVE APPROPRIATIONS AND FEDERAL MONIES.
  3. AN ELIGIBLE PERSON OR A PROSPECTIVE ELIGIBLE PERSON MAY BRING AN ACTION IN THE SUPERIOR COURT AGAINST THE DIRECTOR OF THE HEALTH CARE COST CONTAINMENT SYSTEM ADMINSTRATION AND THIS STATE TO ENFORCE THIS SECTION AND SECTION 36-2901.02. THE COURT HAS JURISDICTION TO ENFORCE THIS SECTION AND SECTION 36-2901.02 AND ANY RULE ADOPTED PURSUANT TO THESE SECTIONS AND MAY APPLY APPROPRIATE CIVIL SANCTIONS AND EQUITABLE REMEDIES.

Sec. 3. Title 36, chapter 29, article 1, Arizona Revised Statutes, is amended by adding section 36-2901.02, to read:

A: THE ARIZONA TOBACCO LITIGATION SETTLEMENT FUND IS ESTABLISHED CONSISTING OF ALL MONIES THAT THIS STATE RECEIVES PURSUANT TO THE TOBACCO LITIGATION MASTER SETTLEMENT AGREEMENT ENTERED INTO ON NOVEMBER 23, 1998 AND INTEREST EARNED ON THESE MONIES. THE DIRECTOR OF THE ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM ADMINISTRATION SHALL ADMINISTER THE FUND. THE STATE TREASURER SHALL INVEST MONIES IN THE FUND PURSUANT TO SECTION 35-313 AND SHALL CREDIT MONIES EARNED FROM THESE INVESTMENTS TO THE FUND.

B: THE DIRECTOR SHALL USE FUND MONIES AS FOLLOWS AND IN THE FOLLOWING ORDER:

  1. WITHDRAW AN AMOUNT NECESSARY IN EACH FISCAL YEAR TO FULLY IMPLEMENT AND FULLY FUND THE PROGRAMS AND SERVICES REQUIRED AS A RESULT OF THE EXPANDED DEFINITION OF AN ELIGIBLE PERSON PURSUANT TO SECTION 36-2901.01.
  2. WITHDRAW AN AMOUNT NECESSARY IN EACH FISCAL YEAR TO FULLY IMPLEMENT AND FULLY FUND EACH OF THE PROGRAMS LISTED IN SECTION 5-522, SUBSECTION E, AS AMENDED PURSUANT TO THE INITIATIVE MEASURE APPROVED BY THE VOTERS ON NOVEMBER 5, 1996, AT FUNDING LEVELS THAT WHEN ANNUALLY ADJUSTED FOR INFLATION, AS PROVIDED IN SAID INITIATIVE, ARE EQUAL TO OR GREATER THAN THOSE PROVIDED FOR IN THAT ELECTION. THE JOINT LEGISLATIVE BUDGET COMMITTEE SHALL COMPUTE THESE ADJUSTED LEVELS AND PROVIDE THIS INFORMATION TO THE DIRECTOR OF THE ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM ADMINISTRATION. THE DIRECTOR SHALL TRANSFER THESE MONIES TO THE AGENCIES RESPONSIBLE FOR ADMINISTERING EACH OF THE PROGRAMS. THE LEGISLATURE MAY MODIFY THE FUNDING PROVIDED PURSUANT TO THIS SUBSECTION BY SIMPLE MAJORITY VOTE NOT LESS THAN TEN YEARS AFTER THE EFFECTIVE DATE OF THIS SECTION.

C: THE DIRECTOR MAY USE ANY REMAINING FUND MONIES TO FUND EXPANDED COVERAGE IN THE ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM INCLUDING THE PREMIUM SHARING PROGRAM AND AS APPROVED BY THE VOTERS OR BY THE LEGISLATURE BY SIMPLE MAJORITY VOTE.

D: THE LEGISLATURE MAY APPROPRIATE ANY MONIES THAT REMAIN IN THE FUND AFTER THE PROGRAMS PRESCRIBED IN SUBSECTION B, PARAGRAPHS 1 AND 2 OF THIS SECTION ARE FULLY FUNDED AND IMPLEMENTED ONLY FOR PROGRAMS THAT BENEFIT THE HEALTH OF THE RESIDENTS OF THIS STATE.

E: MONIES IN THE FUND:

  1. SHALL BE USED TO SUPPLEMENT AND NOT SUPPLANT EXISTING AND FUTURE APPROPRIATIONS TO THE ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM ADMINISTRATION FOR EXISTING AND FUTURE PROGRAMS.
  2. DO NOT REVERT TO THE STATE GENERAL FUND.
  3. ARE EXEMPT FROM THE PROVISIONS OF SECTION 35-190 RELATING TO LAPSING OF APPROPRIATIONS.
  4. ARE CONTINUOUSLY APPROPRIATED.

Sec. 4. Arizona tobacco litigation settlement fund; conflicting provisions; consistent provisions of measure

  1. Section 3 of this measure, relating to the Arizona tobacco litigation settlement fund, supersedes any tobacco litigation settlement fund previously established by the legislature.
  2. Any provision of this measure that is not contrary to the provisions of a separate initiative that receives a higher total vote in the election cycle is valid.