On September 19, 2025, the Arizona Health Care Cost Containment System (AHCCCS) published an announcement stating that it was extending its current contracts with Mercy Care, Banner-University Family Care, and Arizona Physicians IPA (doing business as UnitedHealthcare Community Plan) through September 30, 2026, for the Arizona Long Term Care System-Elderly and/or Physically Disabled (ALTCS-EPD) program. The extended contracts had an effective date of October 1, 2025. ALTCS-EPD members received communication from AHCCCS confirming that their health plan will not be changing. The plans serve about 26,000 Medicaid beneficiaries who have physical disabilities or are considered frail older adults.
AHCCCS intends to issue a new health plan proposal for the ALTCS-EPD program, with submissions for the new procurement expected to be due in the fall of 2026. The contract extensions are the result of the AHCCCS decision to terminate its 2023 procurement for the program.
The state had rebid the ALTCS-EPD managed care organization (MCO) contracts with a request for proposals (RFP YH24-0001) released on August 1, 2023. The ALTCS-EPD MCOs are responsible for covering medical care, physical and behavioral health, long-term services and supports (LTSS), and home- and community-based services (HCBS) or institutional care.
AHCCCS posted a brief notice about its decision at ALTCS-EPD Update: Notice of Procurement Termination and Intent to Initiate new Procurement on September 19, 2025 (accessed October 15, 2025).
For more information, contact: Public Information Office, Arizona Health Care Cost Containment System, 150 North 18th Avenue, Phoenix, Arizona 85007; Email: PIO@azahcccs.gov; Website: https://www.azahcccs.gov
January 2026 00US26EUA0003