The bill seeks to amend the Arkansas Medicaid Fraud Act and the Medicaid Fraud False Claims Act by updating definitions and legal language to better reflect current healthcare practices. Key changes include redefining "claim" to cover requests for money or property related to Medicaid services, clarifying terms such as "illegal Medicaid participation" and "material," and introducing a new definition for "overpayment." The bill also proposes a tiered penalty system for Medicaid fraud offenses based on the amount of overpayment, enhances penalties for cases resulting in serious physical harm or death, and mandates that Medicaid providers retain records for at least five years. Additionally, it establishes a Medicaid Fraud Control Unit under the Attorney General's supervision, granting it statewide authority to investigate and prosecute Medicaid fraud, while ensuring collaboration with the Department of Human Services and the Medicaid Inspector General.

Significant deletions from current law include the removal of outdated language regarding payment practices and the redefinition of illegal Medicaid participation to unlawful Medicaid participation. The bill emphasizes the importance of accurate record-keeping and documentation, introduces penalties for unlawful practices such as kickbacks and false statements, and outlines specific liabilities for individuals or entities committing fraud against the Arkansas Medicaid Program. It also clarifies that penalties collected will be directed to the Arkansas Medicaid Program Trust Fund, enhancing the Attorney General's authority to investigate and intervene in Medicaid fraud cases. Overall, the amendments aim to create a more robust legal framework to combat Medicaid fraud and protect the integrity of the program.

Statutes affected:
SB 518: 5-55-102(2), 5-55-102(4), 5-55-102(8), 5-55-103, 5-55-111, 5-3-201, 20-77-901, 12-12-1701, 5-55-104(c), 5-55-106, 5-55-114, 25-19-101, 5-55-107(a), 5-55-107(d), 5-55-107(e), 5-55-108, 5-4-201, 5-55-110, 20-9-101, 5-55-113(e), 5-55-114(c), 5-55-115, 5-36-202, 5-28-101, 20-77-901(7), 20-77-901(11), 20-77-902, 20-77-903, 5-1-101, 5-55-101, 20-77-904, 20-77-908(c), 20-77-910, 20-77-911(e)