For decades, Medicaid has been a cornerstone of Arizona’s health care infrastructure, providing coverage to 1.9 million residents, including low-income families, children, seniors and individuals with disabilities. Arizona’s Medicaid program — the Arizona Health Care Cost Containment System (AHCCCS) — is widely recognized as one of the most cost-effective in the nation, with a per-enrollee cost of $7,439, significantly below the national average of $8,621. AHCCCS further reduces costs through innovative models such as the Arizona Long Term Care System (ALTCS), which saves the state over $2 billion annually by providing home and community-based care as an alternative to costly nursing home placement.
Medicaid is also critical to Arizona’s nationally recognized crisis response system. The 988 crisis line, mobile crisis teams and crisis stabilization facilities deliver timely and effective behavioral health care, reducing unnecessary reliance on emergency departments and law enforcement. Research from Arizona State University has shown that most individuals experiencing behavioral health crises in Arizona access these services rather than higher-cost settings such as hospitals or jails.
The real-world impact of Medicaid is reflected in the experience of Mary D., a 38-year-old Arizona mother living with diabetes, asthma, COPD, arthritis and depression. Mary was unable to maintain employment due to her mental health challenges until she received treatment from a Medicaid-funded provider. This care enabled her to return to work and address her other medical conditions — preventing the progression of her illnesses and reducing the likelihood of costly emergency department visits and hospitalizations. Without Medicaid, her ability to care for herself and her family would have been severely compromised, and her health outcomes significantly worsened.
Proposed federal cuts to Medicaid would undermine these essential systems at a time when the need for behavioral health and substance use services remains high. Nearly 40% of non-elderly adults enrolled in Medicaid experience a mental health or substance use disorder. Reductions in Medicaid funding or benefits would disproportionately affect these individuals and increase strain on emergency rooms, inpatient units, and public safety systems.
In both rural and urban communities, Medicaid ensures access to preventive care, chronic disease management and behavioral health services. These supports not only improve individual health outcomes but also contribute to broader economic and social stability by supporting employment and reducing avoidable health care utilization.
The effects of the proposed cuts would be immediate and far-reaching. Delayed access to care often leads to more severe illness, greater emergency department use, and higher health care costs. Hospitals and providers — already operating under strained conditions — would face additional pressure, and Arizona’s progress in building an efficient, community-based behavioral health system would be significantly compromised.
At a time when Arizona is making measurable progress in improving access and outcomes through AHCCCS, it is essential to preserve, not reduce, Medicaid funding. We urge Congress to protect this vital program and ensure that Arizonans continue to receive the timely, effective care they need and deserve.
Margeret Balfour, MD, PhD, DFAPA, is the president of the Arizona Psychiatric Society.
(Except for the headline, this story has not been edited by PostX News and is published from a syndicated feed.)
