Bill for Funding the Arizona Health Innovation Trust Fund Passes Senate Appropriations

 SB1019: appropriation; health innovation trust fund received its first hearing in Arizona’s Senate Health and Human Services Committee on January 16, 2024 and passed with unanimous support. On January 30, 2024, the bill received a do pass recommendation from Senate Appropriation with a vote of 7 ayes, 2 nays and 1 not voting 

As currently written, SB1019 appropriates $5M to the Arizona Health Innovation Trust Fund, and declares that it is the Legislature’s intent that the Fund, consisting of monies appropriated by the Legislature, gifts or grants donated or given to the Fund and earnings from the Fund, steadily grow to ultimately maintain a permanent endowment balance of at least $200 million. SB1019 is now is eligible for consideration by the Senate Rules Committee.

 

 The Arizona Senate Committee on Appropriations hears testimony on a bill to provide $5 million in funding to the Arizona Health Innovation Trust Fund that was established in 2022.

SB1019: appropriation; health innovation trust has bi-partisan support and is sponsored by Senator T.J. Shope and cosponsored by Senator Christine Marsh along with  Representatives David L. Cook, Jennifer Pawlik, and Laura Terech.

Purpose:

Appropriates $5 million in FY 2025 from the state General Fund (state GF) to the Arizona Health Innovation Trust Fund (Fund).

Background

The Fund is a permanent endowment fund that consists of monies continuously appropriated by the Legislature. The Arizona State Treasurer must annually allocate four percent of the monies in the Fund to an entity that satisfies the following requirements: 1) is a charitable organization; 2) provides entrepreneurial education, mentoring and support to persons in the health innovation and health care delivery sectors; 3) provides workforce development programs designed to support the talent requirements of employers in the health innovation and health care delivery sectors; 4) provides programs that support the development and commercialization of health innovation by businesses that employ no more than 100 employees; and 5) has entered into an endowment agreement with the Treasurer that includes investment procedures, maturity timelines, other requirements established by the Treasurer and entity reporting requirements. The entity must annually submit the report, as prescribed by the Treasurer, to the Governor, the President of the Senate, the Speaker of the House of Representatives and the Treasurer by December 31 each year (A.R.S. § 41-177).

S.B. 1019 appropriates $5 million in FY 2025 from the state GF to the Fund.

Provisions

  1.  Appropriates $5 million in FY 2025 from the state GF to the Fund.
  2.  Declares that it is the Legislature’s intent that the Fund, consisting of monies appropriated by the Legislature, gifts or grants donated or given to the Fund and earnings from the Fund, steadily grow to ultimately maintain a permanent endowment balance of at least $200 million.
  3.  Becomes effective on the general effective date.

Source:  https://www.azleg.gov/legtext/56leg/2R/summary/S.1019HHS-APPROP_REVISED.DOCX.htm

Posted in Advocacy and Regulations, AZBio News.