Easterseals Arkansas to End Contracts with Three Medicaid Managed Care Companies
Easterseals Arkansas is taking a significant step towards refining its business strategy in the Medicaid managed care sector. The nonprofit provider of services for individuals with disabilities has announced that it will not renew its contracts with three of the four Medicaid managed care companies in the state, effective January 1, 2025. This change is the result of protracted negotiations that did not conclude with a satisfactory agreement on reimbursement rates.
The decision to terminate these contracts underscores Easterseals Arkansas’ commitment to maintaining high-quality care and support for its members. It requires competitive compensation for its staff to continue delivering exceptional services. Unfortunately, the rates offered by the three managed care companies do not meet this criterion.
- The primary impact will be on services for individuals with disabilities such as autism.
- Members currently with the affected PASSEs will need to select a new PASSE during the Open Enrollment period from October 1-31, 2024, to continue receiving services from Easterseals Arkansas.
Easterseals Arkansas is dedicated to ensuring a smooth transition for its members. It will hold information sessions in September to guide members through the necessary steps during Open Enrollment. This shift aligns with the organization’s long-term vision to provide outstanding care and support for individuals with disabilities.
Previous Contract Terminations
This announcement is not the first instance of Easterseals Arkansas reassessing its managed care contracts. Earlier, in July, the organization terminated its contract with Arkansas Total Care, citing inadequate reimbursement rates. The ongoing negotiations with managed care companies reflect the challenge of balancing high-quality services with financial sustainability.
End of Contracts Effective January 1, 2025
The non-renewal of these contracts is part of a broader effort to streamline Easterseals Arkansas’ business model and improve its ability to deliver quality care. By making these changes, the organization can better adapt to the evolving landscape of Medicaid managed care and continue its mission to support individuals with disabilities in living independently and participating fully in their communities.