The proposed bill aims to address discrepancies in reimbursement rates within the Arkansas Medicaid Program by prohibiting different rates for services performed by the same type of provider in varying settings. Specifically, it highlights that physicians are often compensated more for services rendered in their own offices compared to the same services provided in behavioral health agencies or certified support services provider agencies, despite using the same billing codes. This inconsistency is seen as detrimental to the provision of behavioral health services in the state.

To implement this change, the bill introduces a new section to the Arkansas Code, which states that the Arkansas Medicaid Program shall not pay different reimbursement rates for identical services based solely on the setting in which they are provided. Additionally, the Department of Human Services is tasked with applying for any necessary federal waivers or amendments to the Medicaid state plan to facilitate this prohibition.