‍
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.

At this time Arkansas operates under a very different system, but this could change.

Arkansas’ Permit of Approval Process Helps Protect Patients

Unlike many states impacted by hospice fraud, Arkansas requires hospice providers to obtain a Permit of Approval 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:

• Maintains healthy competition

• Preserves quality standards across providers

• Protects patients and families

• Prevents oversaturation of hospice agencies

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 responsible regulatory oversight in place, the state has largely avoided the widespread hospice fraud seen elsewhere in the country. But it’s important that we keep these current safeguards in place.

There have been efforts by large for-profit corporate interests in the Arkansas State Legislature to undermine these safeguards, which would have created an environment that allowed widespread fraud in Arkansas like what has happened in California and other states. So far, these efforts have been unsuccessful. LifeTouch Health will continue to stand for responsible oversight, patient protection, and the integrity of hospice care in Arkansas. If future legislative efforts threaten the safeguards that have helped protect our state, we may call on our patients, families, partners, and communities to make their voices heard. By staying informed and engaged, we can help keep widespread hospice fraud from taking root in Arkansas and ensure patients continue receiving compassionate, trusted care, while protecting taxpayer dollars.

Commitment to Ethical, Compassionate Care

LifeTouch Health remains committed to:

• Ethical patient-centered hospice care

• Regulatory 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.