This bill aims to prohibit risk-based provider organizations from employing certain contracting practices that are deemed unfair to direct service providers. It introduces a new section to the Arkansas Code, specifically addressing issues such as "tying" services, where a provider's network status is threatened if they do not agree to below-cost rates for certain services. The bill outlines that risk-based provider organizations cannot penalize or discriminate against providers for refusing to accept unfavorable terms for one service while agreeing to another. Violations of these provisions are classified as unfair trade practices and are subject to existing trade and patient protection laws.
Additionally, the bill includes an emergency clause, emphasizing the urgent need to address these contracting practices, which are negatively impacting healthcare access for vulnerable populations, particularly individuals with disabilities. The act is designed to take effect immediately upon approval by the Governor or through other specified legislative processes, highlighting the critical nature of the issue at hand.