The proposed bill aims to prohibit risk-based provider organizations from employing certain contracting practices that are deemed unfair to direct service providers. Specifically, it addresses the issue of "tying" services, where a provider's network status is threatened if they do not agree to below-cost rates for one service, thereby limiting access to healthcare for individuals with disabilities. The bill outlines that risk-based provider organizations cannot tie contracts for one service to another, penalize providers for declining to offer certain services, or discriminate against providers exercising their rights under this section.

Additionally, the bill establishes that violations of these prohibitions will be considered unfair trade practices and will void any conflicting provisions in healthcare contracts. An emergency clause is included, emphasizing the immediate need for this legislation to protect vulnerable populations in the Arkansas Medicaid Program from harmful contracting practices that restrict access to necessary healthcare services. The act will take effect immediately upon approval by the Governor or under specified conditions if not vetoed.