Medical debt of $2 billion will be retired for an estimated 1 million Arizona residents, using up to $30 million in American Rescue Plan Act funds, says Arizona Gov. Katie Hobbs. Arizona is working with the nonprofit RIP Medical Debt, which says debt will be eliminated for individuals who earn less than 400% of the federal poverty level or whose debt equals 5% or more of their annual income. “Hard-working, middle class Arizonans should not be forced to have those difficult kitchen table conversations because of medical debt from conditions they cannot control,” said Gov. Hobbs. “And as a social worker, I can tell you that feeling stuck in a hole, with no way out, can snowball into problems far beyond debt.”
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