The Arkansas Department of Human Services building on Main Street in downtown Little Rock showcases an impressive architectural design. (John Sykes/Arkansas Advocate)
The Arkansas Department of Human Services made an announcement on Monday stating that it is discontinuing its Medicaid managed care dental insurance program. Instead, recipients will be transitioned to a fee-for-service program.
According to a news release from the agency, the Department of Homeland Security (DHS) notified the federal Centers for Medicare and Medicaid Services of this plan on Friday.
The fee-for-service program is set to commence on November 1st.
DHS has been paying a monthly amount per Medicaid beneficiary to Delta Dental of Arkansas and Managed Care of North America (MCNA) as part of the managed care program. However, under the fee-for-service coverage, the agency will directly pay dental care providers for Medicaid services.
According to Putnam, the Department of Human Services (DHS) has conducted a thorough analysis of dental service utilization, program expenditures, and efforts to establish a comprehensive and efficient Medicaid delivery system in Arkansas. After careful consideration, DHS has concluded that the fee-for-service approach is currently the optimal and most cost-effective option for Medicaid dental services.
The managed care dental program was initiated on January 1, 2018, and it caters to the needs of 572,047 individuals in Arkansas. According to the news release, eligible beneficiaries will continue to maintain their eligibility when transitioning to fee-for-service Medicaid.
The Arkansas Department of Human Services (DHS) provides Medicaid programs to nearly 900,000 individuals in the state. One such program is ARHOME, which is Arkansas’ own version of Medicaid expansion. However, there have been concerns raised by advocates for Medicaid recipients regarding the limited coverage offered by the program. Additionally, these advocates have also criticized DHS for the lengthy processing times for benefit applications and the slow response to people’s inquiries and issues.
Last year, Putnam and Gov. Sarah Huckabee Sanders made an announcement, stating their intention to pursue a federal waiver for ARHOME recipients, making work a requirement. Individuals who are physically capable but fail to meet the work requirement would receive fee-for-service Medicaid coverage, rather than a qualified health plan that complies with the federal Affordable Care Act’s mandate for “minimum essential coverage” and adheres to federal limitations on deductibles, copayments, and out-of-pocket maximums.
The Centers for Medicaid and Medicare Services have not yet taken action on that request.