OK SB875

Contracted entities holding Medicaid capitated contracts must spend at least 11% of total health care expenses on primary care services by the end of the fourth year of the initial contracting period

Entities failing to meet the 11% threshold face liquidated damages equal to the shortfall amount, with proceeds directed to primary care services, plus scoring penalties on future contract proposals

Entities allocating less than 8% of health care expenses to primary care services become ineligible for capitated contract awards in the subsequent procurement cycle

The Medicaid Delivery System Quality Advisory Committee receives new authority to develop methodology for spending liquidated damages proceeds on primary care services

Effective July 1, 2025, with emergency clause for immediate effect upon passage and approval