Arkansas Code
Subchapter 16 - Quality Assurance Levy
§ 20-10-1604. Administration

(a) The administration of this subchapter shall be exercised by the Director of the Division of Medical Services and shall be subject to the provisions of the Arkansas Administrative Procedure Act, § 25-15-201 et seq.
(b)
(1) In accordance with the Arkansas Administrative Procedure Act, § 25-15-201 et seq., the Division of Medical Services shall promulgate rules and prescribe forms for:
(A) The proper imposition and collection of the quality assurance fee;
(B)
(i) The enforcement of this subchapter, including, but not limited to, license nonrenewal, letters of caution, sanctions, or fines.
(ii) The fine shall be at least ten thousand dollars ($10,000) but no more than twenty thousand dollars ($20,000). The fine and outstanding quality assurance fee shall accrue interest at the maximum rate permitted by law from the date the quality assurance fee is due until payment of the quality assurance fee and the fine;

(C) The format for reporting by all nursing homes the total patient days and gross receipts; and
(D) The administration of the provisions of this subchapter.

(2) The rules shall not grant any exceptions to, or exceptions from, the quality assurance fee.

(c)
(1) The quality assurance fee assessed and collected pursuant to this subchapter shall be assessed and deposited as a designated account within the Arkansas Medicaid Program Trust Fund.
(2) The designated account shall be separate and distinct from the general fund and shall be supplementary to the Arkansas Medicaid Program Trust Fund.
(3) Funds in the account derived from nursing facilities that are not operated by a governmental entity shall not be used to replace other general revenues appropriated and funded by the General Assembly or other revenues used to support Medicaid.
(4) This designated account shall be exempt from budgetary cuts, reductions, or eliminations caused by a deficiency of general revenues.
(5) Earnings on investments from this designated account shall remain a part of the designated account and shall not be deposited into the general fund.

(d)
(1) Except as necessary to reimburse any funds borrowed to supplement funds in the designated account, the designated account moneys in the Arkansas Medicaid Program Trust Fund and the matching federal financial participation under Title XIX of the Social Security Act for expenditures from the Arkansas Medicaid Program Trust Fund shall be used only to reimburse additional costs paid to Medicaid-certified nursing facilities under the long-term care cost reimbursement methodologies of the Arkansas Medicaid Program.
(2) No nursing facility shall be guaranteed, expressly or otherwise, that any additional moneys paid to the nursing facility will equal or exceed the amount of its quality assurance fee.

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