Arizona's Parents as Paid Caregivers Program Under AHCCCS

What the Program Allows

Arizona's parents as paid caregivers program is part of the state's Section 1115(a) Medicaid demonstration waiver. Under this program, parents of children with qualifying disabilities can receive compensation through AHCCCS for providing direct care services to their children. The federal Centers for Medicare and Medicaid Services approved the waiver amendment on February 16, 2024.

The statute sets a clear boundary: forty hours of care services per week per child. This limit applies to the compensated care provided under the program. It took effect after June 30, 2025, giving AHCCCS and the Department of Economic Security time to implement the administrative systems needed to manage the program.

Why This Matters for Families

For families caring for children with disabilities, this program can provide meaningful financial support. Caring for a child with significant medical or developmental needs is often a full-time commitment that prevents parents from holding traditional employment. The program acknowledges that reality by allowing parents to be compensated for the care they are already providing.

The forty-hour weekly cap creates structure for both the program and the families who participate. It defines the maximum compensable care while preserving the broader AHCCCS framework that funds the program. Families who provide care beyond the forty-hour limit are not penalized, but compensation through the program does not extend beyond that threshold.

If your family includes a child who receives services through AHCCCS or ALTCS, understanding this program and its limits can be part of your broader planning for your child's long-term care needs.