Shown verbatim: the complete text as captured from the official PDF posted by the Arkansas General Assembly, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
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1 State of Arkansas A Bill
2 95th General Assembly
3 Regular Session, 2025 SENATE BILL 33
4
5 By: Joint Budget Committee
6
7
8 For An Act To Be Entitled
9 AN ACT TO MAKE AN APPROPRIATION FOR PERSONAL SERVICES
10 AND OPERATING EXPENSES FOR THE DEPARTMENT OF HUMAN
11 SERVICES - DIVISION OF MEDICAL SERVICES FOR THE
12 FISCAL YEAR ENDING JUNE 30, 2026; AND FOR OTHER
13 PURPOSES.
14
15
16 Subtitle
17 AN ACT FOR THE DEPARTMENT OF HUMAN
18 SERVICES - DIVISION OF MEDICAL SERVICES
19 APPROPRIATION FOR THE 2025-2026 FISCAL
20 YEAR.
21
22
23 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
24
25 SECTION 1. REGULAR SALARIES - OPERATIONS. There is hereby established
26 for the Department of Human Services - Division of Medical Services for the
27 2025-2026 fiscal year, the following maximum number of regular employees.
28
29 Maximum Annual
30 Maximum Salary Rate
31 Item Class No. of Fiscal Year
32 No. Code Title Employees 2025-2026
33 (1) N249N DHS DIVISION DIRECTOR 1 GRADE SE02
34 (2) L016N REGISTERED PHARMACIST 4 GRADE MP05
35 (3) L009C NURSE MANAGER 1 GRADE MP03
36 (4) L027C REGISTERED NURSE SUPERVISOR 3 GRADE MP02
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1 (5) L038C REGISTERED NURSE 9 GRADE MP01
2 (6) D006N STATE SYSTEMS ARCHITECT 1 GRADE IT10
3 (7) D007C INFORMATION SYSTEMS MANAGER 2 GRADE IT08
4 (8) D030C INFORMATION SYSTEMS COORDINATOR 1 GRADE IT07
5 (9) D061C INFORMATION SYSTEMS COORDINATION SPEC 1 GRADE IT05
6 (10) D058C COMPUTER OPERATIONS COORDINATOR 1 GRADE IT04
7 (11) D068C INFORMATION SYSTEMS ANALYST 1 GRADE IT04
8 (12) A019N DHS DEP CHIEF FIN OFFICER-MEDICAL SVCS 1 GRADE GS15
9 (13) G286C DMS DEPUTY DIRECTOR 1 GRADE GS15
10 (14) N100N DHS/DMS ADD - MEDICAL SERVICES 2 GRADE GS14
11 (15) G277C DHS PROCESS IMPROVEMENT DIRECTOR 1 GRADE GS13
12 (16) G025C ATTORNEY SUPERVISOR 1 GRADE GS12
13 (17) N168N DHS DIR HOME & COMMUNITY BASED SVCS 1 GRADE GS12
14 (18) A016C DHS DMS BUSINESS OPERATIONS MANAGER 8 GRADE GS12
15 (19) V036C AGENCY PROCUREMENT ADMINISTRATOR 1 GRADE GS10
16 (20) L010C DHS DMS MEDICAL ASSISTANCE MANAGER 3 GRADE GS10
17 (21) G099C DHS PROGRAM ADMINISTRATOR 17 GRADE GS09
18 (22) R021C BUDGET ANALYST 1 GRADE GS08
19 (23) G152C DHS PROGRAM MANAGER 8 GRADE GS08
20 (24) A081C AUDITOR 1 GRADE GS07
21 (25) G183C DHS PROGRAM COORDINATOR 7 GRADE GS07
22 (26) C037C ADMINISTRATIVE ANALYST 2 GRADE GS06
23 (27) R027C BUDGET SPECIALIST 1 GRADE GS06
24 (28) C013C MEDICAL SERVICES REPRESENTATIVE 1 GRADE GS06
25 (29) C036C ADMINISTRATIVE REVIEW ANALYST 1 GRADE GS05
26 (30) L070C HEALTH CARE ANALYST 3 GRADE GS05
27 (31) C054C LOCAL OFFICE ADMINISTRATIVE SPEC 1 GRADE GS05
28 (32) C056C ADMINISTRATIVE SPECIALIST III 3 GRADE GS04
29 (33) A098C FISCAL SUPPORT SPECIALIST 1 GRADE GS04
30 MAX. NO. OF EMPLOYEES 91
31
32 SECTION 2. EXTRA HELP - OPERATIONS. There is hereby authorized, for
33 the Department of Human Services - Division of Medical Services for the 2025-
34 2026 fiscal year, the following maximum number of part-time or temporary
35 employees, to be known as "Extra Help", payable from funds appropriated
36 herein for such purposes: ten (10) temporary or part-time employees, when
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1 needed, at rates of pay not to exceed those provided in the Uniform
2 Classification and Compensation Act, or its successor, or this act for the
3 appropriate classification.
4
5 SECTION 3. APPROPRIATION - OPERATIONS. There is hereby appropriated,
6 to the Department of Human Services, to be payable from the paying account as
7 determined by the Chief Fiscal Officer of the State, for personal services
8 and operating expenses of the Department of Human Services - Division of
9 Medical Services for the fiscal year ending June 30, 2026, the following:
10
11 ITEM FISCAL YEAR
12 NO. 2025-2026
13 (01) REGULAR SALARIES $6,475,248
14 (02) EXTRA HELP 201,892
15 (03) PERSONAL SERVICES MATCHING 2,225,570
16 (04) OVERTIME 2,241
17 (05) MAINT. & GEN. OPERATION
18 (A) OPER. EXPENSE 1,713,290
19 (B) CONF. & TRAVEL 40,099
20 (C) PROF. FEES 800,000
21 (D) CAP. OUTLAY 0
22 (E) DATA PROC. 0
23 (06) DATA PROCESSING SERVICES 1,299,600
24 TOTAL AMOUNT APPROPRIATED $12,757,940
25
26 SECTION 4. APPROPRIATION - GRANTS. There is hereby appropriated, to
27 the Department of Human Services, to be payable from the paying account as
28 determined by the Chief Fiscal Officer of the State, for grant payments of
29 the Department of Human Services - Division of Medical Services for the
30 fiscal year ending June 30, 2026, the following:
31
32 ITEM FISCAL YEAR
33 NO. 2025-2026
34 (01) ARKIDS B PROGRAM $167,661,480
35 (02) HOSPITAL AND MEDICAL SERVICES 8,336,005,717
36 (03) PRESCRIPTION DRUGS 625,636,547
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1 (04) PRIVATE NURSING HOME CARE 1,048,963,434
2 (05) CHILD AND FAMILY LIFE INSTITUTE 2,100,000
3 (06) INFANT INFIRMARY 327,608
4 (07) PUBLIC NURSING HOME CARE 217,529,350
5 TOTAL AMOUNT APPROPRIATED $10,398,224,136
6
7 SECTION 5. APPROPRIATION - NURSING HOME CLOSURE COSTS. There is hereby
8 appropriated, to the Department of Human Services - Division of Medical
9 Services, to be payable from the Long-Term Care Trust Fund, for the payment
10 of relocation costs of residents in long-term care facilities, maintenance
11 and operation of a facility pending correction of deficiencies or closure,
12 and reimbursement of residents for personal funds lost for the fiscal year
13 ending June 30, 2026, the following:
14
15 ITEM FISCAL YEAR
16 NO. 2025-2026
17 (01) EXPENSES $4,500,000
18
19 SECTION 6. APPROPRIATION - LONG-TERM CARE FACILITY RECEIVERSHIP. There
20 is hereby appropriated, to the Department of Human Services, to be payable
21 from the Long Term Care Facility Receivership Fund Account, for the payment
22 of expenses of long-term care facility receivers as authorized by law of the
23 Department of Human Services - Division of Medical Services - Long-Term Care
24 Facility Receivership for the fiscal year ending June 30, 2026, the
25 following:
26
27 ITEM FISCAL YEAR
28 NO. 2025-2026
29 (01) EXPENSES $100,000
30
31 SECTION 7. APPROPRIATION - NURSING HOME QUALITY GRANTS. There is
32 hereby appropriated, to the Department of Human Services, to be payable from
33 the Long-Term Care Trust Fund, for Nursing Home Quality Care Grants of the
34 Department of Human Services - Division of Medical Services - Nursing Home
35 Quality Grants for the fiscal year ending June 30, 2026, the following:
36
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1 ITEM FISCAL YEAR
2 NO. 2025-2026
3 (01) NURSING HOME QUALITY GRANTS AND AID $4,000,000
4
5 SECTION 8. SPECIAL LANGUAGE. NOT TO BE INCORPORATED INTO THE ARKANSAS
6 CODE NOR PUBLISHED SEPARATELY AS SPECIAL, LOCAL AND TEMPORARY LAW.
7 MEDICAL SERVICES - GENERAL MEDICAID RATE METHODOLOGY PROVISIONS.
8 (a) Rates established by the Division of Medical Services for the services
9 or programs covered by this Act shall be calculated by the methodologies
10 approved by the Centers for Medicare and Medicaid Services (CMS). The
11 Division of Medical Services shall have the authority to reduce or increase
12 rates based on the approved methodology. Further, the Division of Medical
13 Services shall have the authority to increase or decrease rates for good
14 cause including, but not limited to: (1) Identification of provider(s) who
15 can render needed services of equal quality at rates less than traditionally
16 charged and who meet the applicable federal and state laws, rules and
17 regulations pertaining to the provision of a particular service;
18 (2) Identification that a provider or group of providers has consistently
19 charged rates to the Arkansas Medicaid Program greater than to other
20 purchasers of medical services of similar size;
21 (3) The Division determines that there has been significant changes in the
22 technology or process by which services are provided by a provider or group
23 of providers which has affected the costs of providing services, or;
24 (4) A severe economic downturn in the Arkansas economy which has affected the
25 overall state budget of the Division of Medical Services.
26 The Division of Medical Services shall make available to requesting
27 providers, the CMS's inflationary forecasts (CMS Market Basket Index). Rates
28 established with cost of living increases based on the CMS Market Basket
29 Index or other indices will be adjusted annually except when the state budget
30 does not provide sufficient appropriation and funding to affect the change or
31 portion thereof.
32 (b) Any rate methodology changes proposed by the Division of Medical
33 Services both of a general and specific nature, shall be subject to prior
34 approval by the Legislative Council or Joint Budget Committee.
35 Determining the maximum number of employees and the maximum amount of
36 appropriation and general revenue funding for a state agency each fiscal year
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1 is the prerogative of the General Assembly. This is usually accomplished by
2 delineating such maximums in the appropriation act(s) for a state agency and
3 the general revenue allocations authorized for each fund and fund account by
4 amendment to the Revenue Stabilization law. Further, the General Assembly has
5 determined that the Department of Human Services � Division of Medical
6 Services may operate more efficiently if some flexibility is provided to the
7 Department of Human Services � Division of Medical Services authorizing broad
8 powers under this section. Therefore, it is both necessary and appropriate
9 that the General Assembly maintain oversight by requiring prior approval of
10 the Legislative Council or Joint Budget Committee as provided by this
11 section. The requirement of approval by the Legislative Council or Joint
12 Budget Committee is not a severable part of this section. If the requirement
13 of approval by the Legislative Council or Joint Budget Committee is ruled
14 unconstitutional by a court of competent jurisdiction, this entire section is
15 void.
16 The provisions of this section shall be in effect only from July 1, 2024
17 2025 through June 30, 2025 2026.
18
19 SECTION 9. SPECIAL LANGUAGE. NOT TO BE INCORPORATED INTO THE ARKANSAS
20 CODE NOR PUBLISHED SEPARATELY AS SPECIAL, LOCAL AND TEMPORARY LAW. FUND
21 USAGE AUTHORIZED. The Arkansas Children's Hospital may request the Department
22 of Human Services - Division of Medical Services to retain in the Department
23 of Human Services Grant Fund account an amount not to exceed $2,100,000 from
24 funds made available by this Act in the Child and Family Life Institute line
25 item of the Grants appropriation to be used to match federal funds used for
26 supplemental Medicaid payments to Arkansas Children's Hospital. These
27 retained funds shall not be recovered to transfer to the General Revenue
28 Allotment Reserve Fund.
29 The provisions of this section shall be in effect only from July 1, 2024
30 2025 through June 30, 2025 2026.
31
32 SECTION 10. SPECIAL LANGUAGE. NOT TO BE INCORPORATED INTO THE ARKANSAS
33 CODE NOR PUBLISHED SEPARATELY AS SPECIAL, LOCAL AND TEMPORARY LAW. ARKANSAS
34 HEALTH AND OPPORTUNITY FOR ME AND ARKANSAS HEALTH INSURANCE MARKETPLACE
35 RESTRICTIONS. (a) As used in this section, "Arkansas Health and Opportunity
36 for Me" means Arkansas Health and Opportunity for Me established under the
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1 Arkansas Health and Opportunity for Me Act of 2021, Arkansas Code � 23-61-
2 1001 et seq.
3 (b)(1) Determining the maximum number of employees, the maximum amount
4 of appropriation, for what purposes an appropriation is authorized, and
5 general revenue funding for a state agency each fiscal year is the
6 prerogative of the General Assembly.
7 (2) The purposes of subdivision (b)(1) of this section are
8 typically accomplished by:
9 (A) Identifying the purpose in the appropriation act;
10 (B) Delineating such maximums in the appropriation act for
11 a state agency; and
12 (C) Delineating the general revenue allocations authorized
13 for each fund and fund account by amendment to the Revenue Stabilization Law,
14 Arkansas Code � 19-5-101 et seq.
15 (3) It is both necessary and appropriate that the General
16 Assembly restrict the use of appropriations authorized in this act.
17 (c)(1) Except as provided in this subsection, the Department of Human
18 Services shall not allocate, budget, expend, or utilize any appropriation
19 authorized by the General Assembly for the purpose of advertisement,
20 promotion, or other activities designed to promote or encourage enrollment in
21 the Arkansas Health Insurance Marketplace or Arkansas Health and Opportunity
22 for Me, including without limitation:
23 (A) Unsolicited communications mailed to potential
24 recipients;
25 (B) Television, radio, or online commercials;
26 (C) Billboard or mobile billboard advertising;
27 (D) Advertisements printed in newspapers, magazines, or
28 other print media; and
29 (E) Internet websites and electronic media.
30 (2) This subsection does not prohibit the department from:
31 (A) Direct communications with:
32 (i) Licensed insurance agents; and
33 (ii) Persons licensed by the department;
34 (B) Solicited communications with potential recipients;
35 (C)(i) Responding to an inquiry regarding the coverage for
36 which a potential recipient might be eligible, including without limitation
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1 providing educational materials or information regarding any coverage for
2 which the individual might qualify.
3 (ii) Educational materials and information
4 distributed under subdivision (c)(2)(C)(i) of this section shall contain only
5 factual information and shall not contain subjective statements regarding the
6 coverage for which the potential recipient might be eligible; and
7 (D) Using an Internet website for the exclusive purpose of
8 enrolling individuals in the Arkansas Health Insurance Marketplace or
9 Arkansas Health and Opportunity for Me.
10 (d) The Department of Human Services shall not apply for or accept any
11 funds, including without limitation federal funds, for the purpose of
12 advertisement, promotion, or other activities designed to promote or
13 encourage enrollment in the Arkansas Health Insurance Marketplace or Arkansas
14 Health and Opportunity for Me.
15 (e)(1) Except as provided in subdivision (e)(2) of this section, the
16 Department of Human Services shall not:
17 (A)(i) Except as provided in subdivision (e)(1)(A)(ii) of
18 this section, allocate, budget, expend, or utilize an appropriation
19 authorized by the General Assembly for the purpose of funding activities of
20 navigators, guides, certified application counselors, and certified licensed
21 producers under the Arkansas Health Insurance Marketplace Navigator, Guide,
22 and Certified Application Counselors Act, Arkansas Code � 23-64-601 et seq.
23 (ii) Subdivision (e)(1)(A)(i) of this section does
24 not apply to regulatory and training responsibilities related to navigators,
25 guides, certified application counselors, and certified licensed producers;
26 and
27 (B) Apply for or accept any funds, including without
28 limitation federal funds, for the purpose of funding activities of
29 navigators, guides, certified application counselors, and certified licensed
30 producers under the Arkansas Health Insurance Marketplace Navigator, Guide,
31 and Certified Application Counselors Act, Arkansas Code � 23-64-601 et seq.
32 (2) Subdivision (e)(1) of this section does not apply to
33 certified application counselors at health related institutions, including
34 without limitation the University of Arkansas for Medical Sciences.
35 (f) An appropriation authorized by the General Assembly shall not be
36 subject to the provisions allowed through reallocation of resources or
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1 transfer of appropriation authority for the purpose of transferring an
2 appropriation to any other appropriation authorized for the Department of
3 Human Services to be allocated, budgeted, expended, or utilized in a manner
4 prohibited by this section.
5 (g) The provisions of this section are severable, and the invalidity
6 of any subsection or subdivision of this section shall not affect other
7 provisions of the section that can be given effect without the invalid
8 provision.
9 (h) This section expires on June 30, 2025 2026.
10
11 SECTION 11. SPECIAL LANGUAGE. NOT TO BE INCORPORATED INTO THE ARKANSAS
12 CODE NOR PUBLISHED SEPARATELY AS SPECIAL, LOCAL AND TEMPORARY LAW. MEDICAL
13 SERVICES � COMMUNITY AND EMPLOYMENT SUPPORTS MEDICAID WAIVER.
14 (a) Of the funding allocated to the Department of Human Services Grants
15 Fund Account under � 19-5-402, the first thirty-seven million six hundred
16 thousand dollars ($37,600,000) shall be set aside in its own subfund by the
17 Department of Human Services and shall be used only for home and community-
18 based services to individuals with intellectual and developmental
19 disabilities under the Community and Employment Supports Medicaid Waiver
20 Program or a successor Medicaid Waiver program that provides home and
21 community-based services to individuals with intellectual and developmental
22 disabilities.
23 (b) At the close of the fiscal year ending June 30, 2025 2026, any
24 unexpended balance of monies set aside as established in subsection (a)
25 herein shall be transferred forward and made available for the same purpose
26 for the fiscal year ending June 30, 2026 2027.
27 (c) The provisions of this section shall be in effect only from July 1,
28 2024 2025 through June 30, 2025 2026.
29
30 SECTION 12. SPECIAL LANGUAGE. NOT TO BE INCORPORATED INTO THE ARKANSAS
31 CODE NOR PUBLISHED SEPARATELY AS SPECIAL, LOCAL AND TEMPORARY LAW. MEDICAID
32 PROGRAM TRUST FUND DISTRIBUTION AND BALANCE REPORT. (a) The Department of
33 Human Services shall submit monthly an "Arkansas Medicaid Program Trust Fund
34 Distribution and Balance" report to the Arkansas Legislative Council PEER
35 Subcommittee or, if meeting in a Legislative Session, the Joint Budget
36 Committee PEER/Review Subcommittee no later than ten days prior to the
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1 Subcommittee's scheduled meeting date.
2 (b) The report shall summarize the current total fund balance and the
3 past five Fiscal Year ending total fund balances of the Arkansas Medicaid
4 Program Trust Fund.
5 (c) The report shall contain, cumulatively over the course of the
6 fiscal year, by month for each distribution from the Arkansas Medicaid
7 Program Trust Fund and its subfunds, the following:
8 (1) The amount of the distribution;
9 (2) The date of the distribution;
10 (3) The fund code to which the distribution was made;
11 (4) The appropriation line item name from which the funds are
12 distributed; and
13 (5) The purpose of the distribution.
14 (d) The provisions of this section shall be in effect only from July 1,
15 2024 2025 through June 30, 2025 2026.
16
17 SECTION 13. COMPLIANCE WITH OTHER LAWS. Disbursement of funds
18 authorized by this act shall be limited to the appropriation for such agency
19 and funds made available by law for the support of such appropriations; and
20 the restrictions of the State Procurement Law, the General Accounting and
21 Budgetary Procedures Law, the Revenue Stabilization Law, the Regular Salary
22 Procedures and Restrictions Act, or their successors, and other fiscal
23 control laws of this State, where applicable, and regulations promulgated by
24 the Department of Finance and Administration, as authorized by law, shall be
25 strictly complied with in disbursement of said funds.
26
27 SECTION 14. LEGISLATIVE INTENT. It is the intent of the General
28 Assembly that any funds disbursed under the authority of the appropriations
29 contained in this act shall be in compliance with the stated reasons for
30 which this act was adopted, as evidenced by the Agency Requests, Executive
31 Recommendations and Legislative Recommendations contained in the budget
32 manuals prepared by the Department of Finance and Administration, letters, or
33 summarized oral testimony in the official minutes of the Arkansas Legislative
34 Council or Joint Budget Committee which relate to its passage and adoption.
35
36 SECTION 15. EMERGENCY CLAUSE. It is found and determined by the
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1 General Assembly, that the Constitution of the State of Arkansas prohibits
2 the appropriation of funds for more than a one (1) year period; that the
3 effectiveness of this Act on July 1, 2025 is essential to the operation of
4 the agency for which the appropriations in this Act are provided, and that in
5 the event of an extension of the legislative session, the delay in the
6 effective date of this Act beyond July 1, 2025 could work irreparable harm
7 upon the proper administration and provision of essential governmental
8 programs. Therefore, an emergency is hereby declared to exist and this Act
9 being necessary for the immediate preservation of the public peace, health
10 and safety shall be in full force and effect from and after July 1, 2025.
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11 01/08/2025 3:16:21 PM LCW014Every fact on this page links to its source, starting with the official bill record.