Medicaid work requirements · Arizona

Medicaid work requirements in Arizona: who is subject and who loses coverage (2027)

Data snapshot 2026-06-03 · part of These 5 Million People Are About to Lose Their Medicaid — But They Don't Have To

Arizona expanded Medicaid, so the federal work requirement that takes effect January 1, 2027 applies to its expansion adults. About 476,311 of them (11.1% of an expansion pool of 509,183) will have to prove 80 hours a month of work, school, or service, or an exemption, to keep coverage.

This model's bottom-up estimate is that 155,925 people in Arizona lose coverage by 2034: 141,635 of them still eligible but lost to paperwork and reporting failures, and 14,289 not meeting the requirement. Nationally the same model gives 5,461,400, against CBO's 5,200,000.

Whether those eligible people keep coverage depends on the state's ability to renew them automatically (ex parte) from data it already holds. Arizona scores 75 of 100 on this model's ex parte capability index, a low band; its eligibility system is HEAplus / Cúram.

Key figures

Model v2-2026-06-03. "Strict" counts adults whose ACS record shows them subject with no observable exemption; "permissive" allows the broader exemption reading.
MeasureArizona
Expansion stateYes
Subject to the requirement via waiverNo
Expansion pool (adults 19 to 64)509,183
Adults subject, strict definition476,311
Adults subject, permissive definition466,785
Share of expansion pool subject11.1%
Projected coverage loss by 2034155,925
Hardship exception statusUndecided
Early implementerNo
Ex parte capability score (0 to 100)75 (low)

Who is subject in Arizona

Of the 476,311 subject adults, 33% already work 80 or more hours a month and 59% are not working. 31% have a child under 14 at home. Among those not working, 44% report a disability and 18% are caregivers.

ACS PUMS 5-year 2020 to 2024, subject adults only.
CharacteristicShare of subject adults
Age 19-2416%
Age 25-3421%
Age 35-4417%
Age 45-5418%
Age 55-6428%
Not working59%
1 to 19 hours a month1%
20 to 79 hours a month6%
80 or more hours a month (meets the bar)33%
Not working: Disabled44%
Not working: Caregiver18%
Not working: Postpartum0%
Not working: Student4%
Not working: Other34%

Why eligible people lose coverage

Of the 155,925 projected to lose coverage in Arizona, 141,635 meet the requirement or qualify for an exemption but fail to document it. 55,476 of those are working people who cannot prove their hours through data the state can see, and 86,160 qualify for an exemption the state does not detect automatically.

Bottom-up model v8.0-2026-05-30; documentation-failure buckets compound over the 14 six-month renewal cycles through 2034.
GroupProjected to lose coverage
Variable shifts / on-call work14,318
Self-employed (other)12,769
Multiple part-time jobs (aggregation failure)9,961
Full-time students not auto-verified5,247
Volunteering / job training4,216
Cash-paid construction & trades4,090
Seasonal: agriculture, hospitality, food service3,155
Gig / courier (DoorDash, Uber, Lyft, Instacart)1,719
American Indian / Alaska Native (tribal exemption)30,668
Medically frail without auto-match21,249
Caregivers of a disabled adult19,038
Kinship caregivers (non-parent) of children ≤133,865
SUD treatment not flagged in claims data3,773
Recent incarceration (data-match gap)3,321
Parent caregivers of children ≤13 without auto-match2,833
Other categorical exemptions (foster, AYA cancer, SNAP/TANF)1,230
Pregnancy / postpartum data lag183

Can the state renew people automatically?

The ex parte capability index blends the state's observed automatic-renewal rate (88% in CMS eligibility-processing data), the wage, disability, and other data sources it can query, and its history of churn. Arizona's composite score is 75 (low band). A low score means more eligible people will be dropped for paperwork unless the state changes its process before January 1, 2027.

ComponentScore
Composite75
Observed ex parte88
Core capability54
Data sources68
Historical churn50

How subjects overlap across exemption categories

Each subject adult sits in exactly one cell. Categories: Working ≥ qualifying hours / income; Parent caregiver of child ≤13; Medically frail; Full-time student.
CombinationAdultsShare
None of the four209,39544.0%
Working ≥ qualifying hours / income97,27420.4%
Medically frail67,32014.1%
Working ≥ qualifying hours / income + Parent caregiver of child ≤1337,8087.9%
Full-time student22,5814.7%
Working ≥ qualifying hours / income + Full-time student13,3742.8%
Parent caregiver of child ≤1313,3582.8%
Working ≥ qualifying hours / income + Medically frail7,3421.5%

Counties in Arizona

Subject adults concentrate: Maricopa County (282,390), Pima County (72,050), and Pinal County (30,320) account for 81% of the state's subject population.

All 15 counties in Arizona with subject adults, sorted by count. County figures are model allocations of the state estimate by ACS tract characteristics.
CountyAdults subjectSubject rateProjected lossPoverty rateWorking-age population
Maricopa County282,39010.3%92,44312.0%2,733,286
Pima County72,05011.9%23,58615.0%607,540
Pinal County30,32011.6%9,92611.0%262,130
Yavapai County19,27215.9%6,30912.0%121,382
Mohave County16,77015.1%5,49016.0%111,224
Yuma County13,71512.1%4,49018.0%113,021
Coconino County10,64811.8%3,48617.0%90,268
Cochise County8,17012.2%2,67415.0%66,985
Navajo County7,20612.4%2,35925.0%57,951
Gila County4,07315.3%1,33319.0%26,696
Apache County3,99011.0%1,30633.0%36,420
Santa Cruz County3,30212.6%1,08120.0%26,218
Graham County2,39910.5%78518.0%22,842
La Paz County1,39020.1%45521.0%6,925
Greenlee County61511.0%20113.0%5,598

State brief and methodology

Estimates, not counts. The model rakes to CBO's national subject total and allocates by ACS microdata; state agencies hold the administrative data that would replace these figures.

Sources

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