SR4 Summary

• Authorizes introduction of a bill to repeal Acts 2016 (2nd Ex. Sess.), Nos. 1 and 2, which created the Arkansas Works Program and to terminate the Health Care Independence Program on December 31, 2016.

• Creates the Arkansas Works Act of 2016 to provide health insurance through individual qualified health insurance plans, employer-sponsored coverage, and supplemental benefits for eligible individuals aged 19-64 with income at or below 138% of federal poverty level.

• Establishes program requirements including wellness visits for eligible individuals, premium payments of no more than 2% of income for those earning 100% or more of federal poverty level, and referral to job training programs for those at 50% or less of poverty level.

• Requires Department of Human Services to terminate the Arkansas Works Program within 120 days if federal medical assistance percentages drop below specified thresholds (95% in 2017, 94% in 2018, 93% in 2019, or 90% in 2020 and beyond).

• Creates the Arkansas Works Program Trust Fund using moneys saved under the new program, including increased premium tax collections and spending reductions, to pay future program obligations; sunsets the program on December 31, 2021.