Grants the authority to determine Medicaid eligibility for mandatory and optional coverage groups.

Decreases Durable Medical Equipment (DME) provider reimbursement.

Updates reimbursements under the Arizona Medicaid Fee Schedule.

Exclude from coverage.

Duals Eligibles Drug Coverage.

Brings eligibility policy related to post-eligibility treatment of income for individuals in long term care facilities in line with recent federal guidance.

Requirement that Medicaid pay physicians practicing in family medicine, general internal medicine, pediatric medicine, and related subspecialists at Medicare levels for the procedure codes specified in the Act for Calendar Years 2013 and 2014.

Increases reimbursement to primary care physicians.

Excludes from coverage.

Implements primary care physician incentive payments.