- Associated Press - Friday, May 20, 2016

LITTLE ROCK, Ark. (AP) - Arkansas Gov. Asa Hutchinson has signed an agreement with the nursing home industry that’s aimed at saving more than $250 million in Medicaid spending on long-term care for the elderly over the next five years.

The Republican governor on Friday signed a memorandum of understanding between the state and the Arkansas Health Care Association, which represents the nursing home industry.

The agreement calls on the state and the association to focus on modernizing facilities and building out the necessary services and support, particularly in rural communities. Hutchinson said they’ve agreed to discontinue the practice of increasing the number of nursing home beds simply because state population increases.

State officials say they’ll begin working on the reforms next month. They hope to have waivers approved by the federal government next year.


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