Arkansas 2025 Regular Session

Arkansas House Bill HB1942 Compare Versions

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11 Stricken language would be deleted from and underlined language would be added to present law.
2-Act 1023 of the Regular Session
32 *JMB592* 03/31/2025 4:28:40 PM JMB592
43 State of Arkansas 1
54 95th General Assembly A Bill 2
65 Regular Session, 2025 HOUSE BILL 1942 3
76 4
87 By: Representative L. Johnson 5
98 By: Senator B. Davis 6
109 7
1110 For An Act To Be Entitled 8
1211 AN ACT TO REQUIRE CERTAIN REIMBURSEMENT RATES FOR 9
1312 HOME- AND COMMUNITY-BASED SERVICES WITHIN RISK -BASED 10
1413 PROVIDER ORGANIZATIONS; AND FOR OTHER PURPOSES. 11
1514 12
1615 13
1716 Subtitle 14
1817 TO REQUIRE CERTAIN REIMBURSEMENT RATES 15
1918 FOR HOME- AND COMMUNITY-BASED SERVICES 16
2019 WITHIN RISK-BASED PROVIDER 17
2120 ORGANIZATIONS. 18
2221 19
2322 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 20
2423 21
2524 SECTION 1. Arkansas Code § 20 -77-2706(d)(1), concerning the 22
2625 characteristics and duties of a risk -based provider organization under the 23
2726 Medicaid Provider-Led Organized Care Act, is amended to read as follows: 24
2827 (d)(1) Except as provided in subdivision (d)(2) of this section, 25
2928 reimbursement rates paid by a risk -based provider organization to direct 26
3029 service providers shall: 27
3130 (A) Be determined by mutual agreement of the risk -based 28
3231 provider organization and direct service provider without regard to Medicaid 29
3332 provider rates established by the Department of Human Services if the 30
3433 reimbursement rates are not less than the minimum rates established under § 31
3534 20-77-2709; and 32
3635 (B) Assure efficiency, economy, quality, and equal access 33
3736 to enrollable Medicaid beneficiary populations in the same manner as to 34
3837 individuals who are not covered by the Arkansas Medicaid Program. 35
3938 36 HB1942
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4241 SECTION 2. Arkansas Code § 20 -77-2706(e)(1), concerning the 1
4342 characteristics and duties of a risk -based provider organization under the 2
4443 Medicaid Provider-Led Organized Care Act, is amended to read as follows: 3
4544 (e)(1) Except as provided in subdivision (e)(2) of this section, all 4
4645 policies and procedures regarding the provision of healthcare services by a 5
4746 direct service provider shall: 6
4847 (A) Be determined by mutual agreement of the risk -based 7
4948 provider organization and the direct service provider without regard to 8
5049 Medicaid provider rates established by the Department of Human Services if 9
5150 the reimbursement rates are not less than the minimum rates established under 10
5251 § 20-77-2709; and 11
5352 (B) Assure efficiency, economy, quality, and equal access 12
5453 to the enrollable Medicaid beneficiary population in the same manner as 13
5554 individuals who are not covered by the Arkansas Medicaid Program. 14
5655 15
5756 SECTION 3. Arkansas Code Title 20, Chapter 77, Subchapter 27, is 16
5857 amended to add an additional section to read as follows: 17
5958 20-77-2709. Home- and community-based services — Rate setting. 18
6059 (a)(1) An allowance within the capitation rates for a risk -based 19
6160 provider organization shall not be less than the amount needed to pay 20
6261 providers the rates arrived at through a rate study to be completed by 21
6362 October 1, 2025. 22
6463 (2) The rates from a rate study as described in subdivision 23
6564 (a)(1) of this section serve as the minimums that risk -based provider 24
6665 organizations may pay for home - and community-based services, as authorized 25
6766 in 42 C.F.R. § 438.6, as existing on January 1, 2025. 26
6867 (b) The rate study under subdivision (a)(1) of this section shall: 27
6968 (1) Cover services in the Community and Employment Support 28
7069 1915(c) waiver and the Section 1915(i) of the state plan amendment for the 29
7170 coverage under this subchapter; and 30
7271 (2) Accurately capture provider costs and other relevant 31
7372 considerations that promote economy, efficiency, quality of care, and equal 32
7473 access as required by the Centers for Medicare & Medicaid Services under 42 33
7574 U.S.C. § 1396a, as existing on January 1, 2025, and in federal regulations 34
7675 under 42 C.F.R. Part 447, as existing on January 1, 2025. 35
7776 (c)(1) The Department of Human Services shall develop the cost factors 36 HB1942
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8079 and other criteria for the rate study with input from home - and community-1
8180 based service providers. 2
8281 (2) As no rate study for home - and community-based service 3
8382 providers has been conducted since the risk -based provider organizations 4
8483 began serving the state, if the outcome of the rate study under subdivision 5
8584 (a)(1) of this section produces an increase greater than ten percent (10%), 6
8685 the department may be phase in a rate increase across two (2) years as 7
8786 authorized by state appropriations and budgets. 8
8887 (3) The department shall conduct a full provider rate review in 9
8988 accordance with the published rate review schedule to ensure that rates 10
9089 remain adequate and aligned with actual costs. 11
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