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HB 1287

RELATING TO CAPITAL IMPROVEMENT PROJECTS FOR THE BENEFIT OF THE THIRTY-FOURTH REPRESENTATIVE DISTRICT.

2025 Regular Session Introduced by Gregg Takayama

House Bill 1287 mandates that healthcare providers be notified within 30 days if their claims are downcoded, enhancing transparency in healthcare billing practices.

Carried over to 2026 Regular Session.
#appropriation($) #cip #thirty-fourthrepresentativedistrict
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Bill Summary · HB 1287

Summary of House Bill 1287

Bill Number: HB 1287
Title: Relating to Capital Improvement Projects for the Benefit of the Thirty-Fourth Representative District
Status: Referred to FIN, referral sheet 4
Introduced: January 28, 2025
Classification: Bill
Subject: Appropriation ($), CIP, Thirty-Fourth Representative District

Purpose and Intent

House Bill 1287 aims to amend the Healthcare Contracting Simplification Act by introducing a definition for "downcode" and establishing notification requirements for contracting entities that downcode healthcare claims. The bill is designed to enhance transparency in healthcare billing practices, ensuring that healthcare providers are informed when their claims are altered to reflect lower-cost services.

Key Provisions

  1. Definition of "Downcode":

    • The bill defines "downcode" as the act of changing a claim to a lower-cost healthcare service than what was originally submitted by a healthcare provider.

  2. Notification Requirement:

    • Contracting entities that downcode a claim must notify the healthcare provider within 30 days of processing the claim. This provision aims to keep providers informed about changes to their claims and the reasons behind those changes.

  3. Amendment Inclusion:

    • The bill includes an amendment that adds Senator Irvin as a co-sponsor and incorporates specific language changes to the existing law.

Who Would Be Affected

  • Healthcare Providers: The bill directly impacts healthcare providers by requiring them to be notified when their claims are downcoded, allowing them to understand and address potential discrepancies in billing.
  • Contracting Entities: Insurance companies and other contracting entities will need to implement processes to ensure compliance with the notification requirement.

Legislative Timeline

  • January 28, 2025: Bill filed and introduced.
  • February 5, 2025: Returned by the Committee with a recommendation to pass.
  • February 10, 2025: Amendment No. 1 adopted; bill engrossed.
  • February 11, 2025: Passed in the House and transmitted to the Senate.
  • February 19, 2025: Passed in the Senate and returned to the House.
  • February 20, 2025: Correctly enrolled and ordered transmitted to the Governor's Office.
  • February 25, 2025: Notification that HB 1287 is now Act 136.

Conclusion

House Bill 1287 represents a significant step towards improving transparency in healthcare billing practices in Arkansas. By defining "downcode" and mandating notification for downcoded claims, the bill seeks to protect healthcare providers and enhance the integrity of the healthcare contracting process. The successful passage of this bill will require cooperation from both healthcare providers and contracting entities to ensure compliance and effective implementation.

Compiled from official sources — confirm details with the bill’s official record.

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