Arkansas Medicaid opposes new pilot program for medically fragile children care

A proposed pilot program aimed at providing specialized care for medically fragile children in Arkansas faced significant opposition during the House Public Health, Welfare, and Labor Committee meeting on April 8, 2025. The program, which would operate in three strategically selected counties, was met with concerns over its potential financial impact and duplication of existing services.

The discussion highlighted the need for Pediatric Day Health Care (PPEC) programs, which are already in place in neighboring states like Texas and Louisiana. Proponents argued that these programs are essential for addressing the needs of children who require extensive medical care. However, the Arkansas Department of Human Services (DHS) expressed strong opposition, citing concerns that the bill would expand the budget unnecessarily and duplicate services already provided by the state’s Early Intervention Day Treatment (EIDT) program.

DHS officials pointed out that Arkansas already invests heavily in EIDT, which serves children with developmental needs, and warned that the proposed PPEC program could lead to a significant increase in eligible children, potentially reaching up to 38,000. This figure raised alarms about the fiscal implications, with estimates suggesting that costs could soar to over $1.5 billion if the program were fully utilized.

During the meeting, registered nurse Suzanne Smith, who operates a similar center in Louisiana, testified in favor of the bill, sharing personal experiences that underscored the benefits of such programs in managing complex medical needs and reducing overall healthcare costs. She argued that without a PPEC in Arkansas, many children are left without adequate care.

Despite the compelling testimonies, the committee ultimately voted against the bill, signaling a setback for advocates seeking to enhance healthcare options for vulnerable children in the state. The decision reflects ongoing debates about healthcare funding and the balance between expanding services and managing state budgets effectively.