TO PROHIBIT RISK-BASED PROVIDER ORGANIZATIONS FROM USING CERTAIN TYPES OF CONTRACTING PRACTICES WHEN CONTRACTING WITH PROVIDERS; TO AMEND THE MEDICAID PROVIDER-LED ORGANIZED CARE ACT; AND TO DECLARE AN EMERGENCY.

Senate Bill 221 (SB 221) aims to prohibit specific contracting practices by risk-based provider organizations when they negotiate with direct healthcare service providers in Arkansas. The bill prevents these organizations from using "tying" tactics, which involve requiring a provider to contract for multiple services if they only agree to one, or penalizing them for declining certain services. It also prohibits discrimination against providers who refuse such terms. Violations of these provisions would be considered unfair trade practices, and any problematic contract clauses would be voided. The bill seeks to ensure fair negotiation for providers and protect access to healthcare for Medicaid beneficiaries, especially individuals with disabilities.