HB1942

House Bill 1942 amends the Arkansas Medicaid Provider-Led Organized Care Act to establish a new process for setting reimbursement rates for home- and community-based services. The bill requires the Department of Human Services to conduct a rate study by October 1, 2025, to determine appropriate compensation for these services. The results of this study will serve as the mandatory minimum rates that risk-based provider organizations (RBPOs) must pay to direct service providers. The bill stipulates that these rates must account for provider costs to promote quality and access, and it allows for a two-year phase-in period if the study results in a rate increase of more than ten percent. Furthermore, the bill mandates that the Department of Human Services collaborate with service providers when developing the criteria for these studies and requires ongoing periodic reviews to ensure rates remain adequate.