HB1969

House Bill 1969 seeks to enhance the quality and accessibility of healthcare in Arkansas by modifying hospital assessment fees and establishing new financial mechanisms within the Medicaid program. The bill creates the 'Graduate Medical Education Expansion Program' to support the direct costs of new medical residency and fellowship positions. It also introduces a 'Hospital Directed Payment Assessment' designed to maximize Medicaid reimbursements for inpatient and outpatient hospital services. The bill mandates that the state ensure hospital services for Medicaid managed care enrollees are reimbursed at the highest rates permitted by federal law. Additionally, it creates two distinct accounts within the Arkansas Medicaid Program Trust Fund to manage these assessments and program funds, ensuring they remain supplementary to existing revenue and protected from general budget cuts. The legislation sets definitions for managed care gaps and directed payments to align with federal regulatory requirements, with implementation set for 2026.