What the Federal Hospice Moratorium Means —
And Why Arkansas Is Different
What you need to know.
The Centers for Medicare & Medicaid Services (CMS) recently announced a six-month nationwide moratorium on new Medicare enrollments for hospice and home health agencies as part of a broader effort to combat fraud and abuse in the industry.
Much of the fraudulent activity prompting this action has occurred in states where oversight allowed an overwhelming number of hospice agencies to enter the market without sufficient safeguards. In areas like California, investigators uncovered large-scale abuse involving fake enrollments, improper billing, and agencies operating without delivering meaningful patient care.
Arkansas, however, operates under a very different system.
Arkansas’ Certificate of Need Helps Protect Patients
Unlike many states impacted by hospice fraud, Arkansas requires hospice providers to obtain a Certificate of Need (CON) through the Arkansas Department of Health before a new license can be issued.
This process evaluates:
Population size within a service area
Existing hospice provider capacity
Community need for additional services
The result is a balanced system that:
Prevents oversaturation of hospice agencies
Maintains healthy competition
Protects patients and families
Preserves quality standards across providers
Rather than allowing unlimited growth, Arkansas regulations ensure that new hospice agencies are only approved when there is a demonstrated need in the community.
Why This Matters for Families
The federal moratorium is designed to stop bad actors from exploiting vulnerable patients and Medicare resources.
At LifeTouch Health, we support efforts that protect the integrity of hospice care while ensuring patients continue to receive compassionate, high-quality services from trusted providers.
Because Arkansas already has strong regulatory oversight in place, the state has largely avoided the widespread hospice fraud seen elsewhere in the country.
Commitment to Ethical, Compassionate Care
LifeTouch Health remains committed to:
Ethical patient-centered hospice care
Regulator compliance
Transparency and accountability
Supporting patient and family choice
Hospice care should always focus on dignity, comfort, and compassion — and Arkansas’ regulatory structure helps preserve those values for the communities we serve.
If you have any questions or would like more information on this topic or our services, please send an email to contactus@lifetouchhealth.org.
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