The bill aims to establish specific reimbursement rates for home- and community-based services provided by risk-based provider organizations under the Arkansas Medicaid Provider-Led Organized Care Act. It amends existing provisions to ensure that reimbursement rates paid to direct service providers are determined by mutual agreement, provided that these rates are not less than the minimum rates established under a new section, 20-77-2709. This new section mandates a rate study to be completed by October 1, 2025, which will set the minimum reimbursement rates for these services, ensuring they align with federal regulations and adequately cover provider costs.

Additionally, the bill outlines that the Department of Human Services will develop cost factors for the rate study with input from service providers. It also includes provisions for phasing in any rate increases that exceed ten percent over two years, contingent on state appropriations. The overall goal is to enhance the efficiency, economy, quality, and access to services for both Medicaid beneficiaries and individuals not covered by the Arkansas Medicaid Program.

Statutes affected:
SB 543: 20-77-2706(d), 20-77-2706(e)