Arkansas hospitals face payment cuts under managed Medicaid shift

Hospitals in Arkansas could face about $31 million in payment cuts as the state moves to a managed Medicaid program, according to The Sentinel-Record.

The proposed reduction would be in supplemental payments hospitals receive to offset the costs of low Medicaid reimbursement. The Arkansas Department of Human Services proposed the cuts because of federal regulations that don't allow managed care companies to make the payments.

The Arkansas Hospital Association opposed the change, and state officials have sought input from CMS on the matter. Bo Ryall, CEO of the Arkansas Hospital Association, told The Sentinel-Record that the reduction would put hospitals "in a very difficult position" financially.

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