Arkansas News

Bentonville medical school site revealed; new name is Alice L. Walton School of Medicine

by Paul Gatling (pgatling@nwabj.com)

Officials backing a new four-year medical school in Bentonville disclosed the next steps in its development Thursday (June 30), including a new name, building plans and location.

The independent, nonprofit medical school is the Alice L. Walton School of Medicine. It was previously called Whole Health School of Medicine and Health Sciences from its original announcement in March 2021.

The medical school is a standalone sister organization of Bentonville nonprofit Whole Health Institute, created in 2020 by Walmart Inc. heiress and philanthropist Alice Walton to make a transformative approach to health and well-being available to everyone.

https://talkbusiness.net/2022/06/bentonville-medical-school-site-revealed-new-name-is-alice-l-walton-school-of-medicine/

This rendering depicts an aerial view of the planned Alice L. Walton School of Medicine in Bentonville. (COURTESY POLK STANLEY WILCOX)

Mallinckrodt to pay AR $238,000 to settle lawsuit alleging underpayment of Medicaid drug rebates

LITTLE ROCK – Arkansas Attorney General Leslie Rutledge announced the State will settle allegations of fraud against Mallinckrodt ARD, LLC, formerly known as Questcor Pharmaceuticals, Inc., a subsidiary of the pharmaceutical company Mallinckrodt plc, which sells and markets pharmaceutical products throughout the nation. Rutledge has joined with 49 other states and territories including, Washington, D.C., Puerto Rico, and the federal government to settle the allegations of fraud. The total value of the settlement is $233,707,865.18, plus interest, to be paid over a period of seven years. In total, Arkansas will receive $238,515.92.

“For over seven years, Mallinckrodt knowingly and illegally underpaid Medicaid rebates costing the State and taxpayers,” said Attorney General Rutledge. “Let this be a lesson to other companies that they will pay if they take advantage of Arkansans and their hard earned money.”

Mallinckrodt’s U.S. headquarters is located in Bedminster, New Jersey. The settlement resolves allegations that from January 1, 2013, through June 30, 2020, Mallinckrodt knowingly underpaid Medicaid rebates due for its drug H.P. Acthar Gel (Acthar). The government alleges that Mallinckrodt’s conduct violated the Federal False Claims Act and the Arkansas Medicaid Fraud False Claims Act and resulted in the submission of false claims to the Arkansas Medicaid program.

Under the Medicaid Drug Rebate Program, when a manufacturer increases the price of a drug faster than the rate of inflation, it must pay the Medicaid program a per-unit rebate of the difference between the drug’s current price and the price of the drug if its price had gone up at the general rate of inflation since 1990 or the year the drug first came to market, whichever is later.

However, the government alleges that Mallinckrodt and its predecessor Questcor began paying rebates for Acthar in 2013 as if Acthar was a “new drug” just approved by the U.S. Food and Drug Administration (FDA), rather than a drug that was first introduced to market in 1952. Allegedly, this practice meant the companies ignored all pre-2013 price increases when calculating and paying Medicaid rebates for Acthar from 2013 until 2020. In particular, the government alleges that Acthar’s price had already risen to over $28,000 per vial by 2013; therefore, ignoring all pre-2013 price increases for Medicaid rebate purposes significantly lowered Medicaid rebate payments for Acthar. Under the settlement agreement, Mallinckrodt admitted that Acthar was not a new drug as of 2013 but rather was approved by the FDA and marketed prior to 1990. Mallinckrodt agreed to correct Acthar’s base date AMP and that it will not change the date in the future.

As part of the settlement, Arkansas will receive $238,515.92 in restitution and other recoveries. The Arkansas Attorney General’s Medicaid Fraud Control Unit receives 75 percent of its funding from the U.S. Department of Health and Human Services under a grant award totaling $3,270,540.00 for Federal fiscal year (FY) 2022. The remaining 25 percent, totaling $1,090,175.00  for FY 2022, is funded by the State of Arkansas.

This settlement results from a whistleblower lawsuit originally filed in the United States District Court for the District of Massachusetts. The federal government, twenty-six states, the District of Columbia, and Puerto Rico intervened in the civil action in 2020. The settlement, which is based on Mallinckrodt’s financial condition, required final approval of the U.S. Bankruptcy Court for the District of Delaware, which approved the settlement on March 2, 2022.

A team from the National Association of Medicaid Fraud Control Units participated in the litigation and conducted settlement negotiations on behalf of the states. The team included representatives from the Offices of the Attorneys General for the states of California, Florida, Massachusetts, Michigan, Nevada, New York, Texas, and Wisconsin.

UAMS’ Kristen Sterba, Ph.D., Elected President of Graduate Enrollment Association

By Linda Haymes

Kristen Sterba, Ph.D., associate provost for students and administration and director for institutional research, policy and accreditation in the University of Arkansas for Medical Sciences (UAMS) Office of Academic Affairs, was recently elected president of NAGAP, The Association for Graduate Enrollment Management.

Sterba, who previously served as vice president, has begun serving as president. Her term lasts through April 2024.

“I’m grateful for the opportunity to lead this important organization representing both Arkansas and UAMS on a national scope,” Sterba said. “The networking and communicating our members do within our organization helps improve our institutions for faculty, staff and students.”

https://news.uams.edu/2022/06/28/uams-kristen-sterba-ph-d-elected-president-of-graduate-enrollment-association/

Weekly Update from State Representative DeAnn Vaught

If you are someone you know is caring for a loved one with Alzheimer’s or other dementia, you may be interested in a new program launched this week.

The Arkansas Legislative Council recently approved the creation and funding for the Dementia Respite Care Pilot Program.

This program provides $500 respite grants to enable caregivers to take a break from caregiving.

It is estimated that more than 93,000 Arkansans are caring for a loved one with dementia.  Full-time caregiving can take an emotional and physical toll on anyone.  This program is designed to give those care-takers time to rest or just get out of the house to do routine activities many of us take for granted.

The program is the first of its kind in Arkansas. It was established by the Alzheimer’s and Dementia Advisory Council, which was created as a result of Act 391 in the 2021 Regular Session. 

In addition to authorizing the Respite Program, the Council has worked to update Arkansas’s Alzheimer’s and Dementia Disease State Plan.

Under the Respite Program, families can receive two grants during a calendar year (with at least six months between approved dates). To qualify, care recipients must live in Arkansas and have a primary or secondary diagnosis of Alzheimer’s or other dementia. Additionally, the diagnosis must state that the patient requires daily assistance.

Respite Program grants come from a $200,000 investment, funded through the Social Services Block Grant.

The Alzheimer’s and Dementia Respite Care Pilot Program is administered by the DHS Division of Provider Services and Quality Assurance.

These grants are available now and interested parties can apply starting today.

To learn more about the Alzheimer’s and Dementia Respite Care Pilot Program and to apply for assistance, please visit www.ALZark.org/grants, email grants@ALZark.org, or call 501-224-0021, extension 210.

Rep. Hill discusses drug overdose reversal bill, Jan. 6 hearings, inflation

KUAR | By Ronak Patel

U.S Rep. French Hill of Arkansas’ 2nd congressional district sponsored legislation in the House that aims to provide easier access to a drug which reverses opioid overdose. It was passed on Wednesday and now goes to the Senate where he's optimistic about its passage.

In an interview with KUAR News, Hill, R-Little Rock, also spoke about the Jan. 6th congressional hearings, proposals to suspend gas taxes and inflation.

The Preventing Overdoses and Saving Lives Act 2.0 would allow doctors to prescribe naloxone alongside opioids to patients with pain or after surgery.

https://www.ualrpublicradio.org/local-regional-news/2022-06-23/rep-hill-discusses-drug-overdose-reversal-bill-jan-6-hearings-inflation

Rep. French Hill's Office

U.S Rep. French Hill, R-Little Rock, explains the need for easier access to naloxone on the floor of the U.S House of Representatives.

State officials urge Arkansans to watch for scams targeting elderly

KUAR | By Daniel Breen

June is Elder Abuse Awareness Month, and state officials are warning of the dangers of scams targeting older Arkansans.

The Arkansas Securities Department is advising Arkansans to be on the lookout for potential scams, which could come via social media or emails, or even from family members and caregivers.

The Department’s interim commissioner Campbell McLaurin says financial exploitation is one of the most common forms of abuse, with the internet making it much easier for scammers to target vulnerable adults.

https://www.ualrpublicradio.org/local-regional-news/2022-06-23/state-officials-urge-arkansans-to-watch-for-scams-targeting-elderly

Maria Fabrizio/NPR

Officials with the Arkansas Securities Department are warning against financial abuse of elderly Arkansans, one of the demographic groups most vulnerable to scams.

Rutledge ends abortion in Arkansas

LITTLE ROCKIn a historic moment, Arkansas Attorney General Leslie Rutledge certified that the United States Supreme Court has overruled Roe v. Wade. Attorney General Rutledge’s certification puts an end to the tragedy of abortion in Arkansas. The only exception under Arkansas law is a procedure to save the life of the mother. 

In accordance with Act 180 of 2019, Attorney General Rutledge reviewed the Supreme Court’s opinion in Dobbs v. Jackson Women’s Health Organization and determined that it overrules the central holding of Roe v. Wade. Consistent with today’s opinion, Attorney General Rutledge’s certification reaffirms the state’s authority to protect unborn life. Through the efforts of the Attorney General in collaboration with the General Assembly, Arkansas has enacted and defended laws that prohibit elective abortion, reaffirming Arkansas’s status as the most prolife state in the nation.

“Today the prolife movement is victorious,” said Attorney General Leslie Rutledge. “I have a long history of fighting for the unborn, and it is my greatest honor to officially end abortion in Arkansas. Roe was wrong on the day it was decided, and today, we can protect every innocent life in Arkansas.”

The official certification states, “Pursuant to Act 180 of 2019, I hereby certify that the United States Supreme Court has overruled ‘the central holding of Roe v. Wade, 410 U.S. 113 (1973), reaffirmed by Planned Parenthood of Southeastern Pennsylvania v. Casey, 505 U.S. 833 (1992).’ Therefore, effective immediately, any person who ‘purposely perform[s] or attempt[s] to perform an abortion except to save the life of a pregnant woman in a medical emergency’ will be guilty of ‘an unclassified felony with a fine not to exceed one hundred thousand dollars ($100,000) or imprisonment not to exceed ten (10) years, or both.’ Ark. Code Ann. 5-61-304(a)-(b).”

The U.S. Supreme Court’s opinion in Dobbs v. Jackson Women’s Health Organization can be read here.

USA Truck to be acquired in a $435 million deal

by Talk Business & Politics staff (staff2@talkbusiness.net)

Van Buren-based USA Truck is being bought by Germany-based DB Schenker in a $435 million deal expected to close by the end of the year. The deal is for $31.72 per share of USA Truck (NASDAQ: USAK) and was approved by the USA Truck board of directors.

Company shares closed Thursday at $14.58, meaning the acquisition price target represents a 117.5% premium. The share price jumped above $30 in early Friday trading.

The deal also will see the company delist from NASDAQ and become a private company with Schenker’s global logistics operation. The deal has a possible termination date of March 23, 2023, if the deal is not completed by that date. The deal also includes a $10 million breakup fee to be paid by USA Truck if it pursues another acquirer or takes other prescribed actions.

https://talkbusiness.net/2022/06/usa-truck-to-be-acquired-in-a-435-million-deal/

Almost all abortions illegal in Arkansas after AG Rutledge certifies law

by Steve Brawner (BRAWNERSTEVE@MAC.COM)

With a stroke of a pen, Attorney General Leslie Rutledge on Friday (June 24) certified that almost all abortions are now illegal in Arkansas. Her action followed the U.S. Supreme Court opinion published earlier in the day that ended the constitutional protection to abortion.

Rutledge certified that the U.S. Supreme Court decision overturning Roe v. Wade in the Dobbs v. Jackson Women’s Health Organization triggered Act 180 of 2019. That law states that most abortions become illegal in Arkansas if Roe v. Wade were overturned.

The law states that abortions are legal only “to save the life of a pregnant woman in a medical emergency.” It also excludes ectopic pregnancies, where the fertilized egg implants somewhere other than in the uterus.

https://talkbusiness.net/2022/06/almost-all-abortions-illegal-in-arkansas-after-ag-rutledge-certifies-law/

Arkansas Attorney General Leslie Rutledge

Broadband CEO: Arkansas far ahead of other states with expansion investments

by Roby Brock (roby@talkbusiness.net)

Alan Morse, CEO of Jonesboro-based Ritter Communications, a regional telecom and broadband provider, said Arkansas is well ahead of surrounding states when it comes to investing in high-speed Internet fiber expansion.

Ritter has operations in over 100 communities across a four-state footprint, including Arkansas, Missouri, Tennessee and Texas. Morse said The Natural State has been smart in investing federal money into broadband deployment across rural Arkansas since the COVID-19 pandemic first brought a tranche of funding to the state.

“I give kudos to Governor Hutchinson and his team, and also the Arkansas legislature for the speed with which they jumped on the availability of those funds and got them deployed. Arkansas was really one of the first states in the country to make use of the CARES Act funds that came out in 2020, and then subsequently the funds that came out in 2021.

https://talkbusiness.net/2022/06/broadband-ceo-arkansas-far-ahead-of-other-states-with-expansion-investments/

Governor Lauds Roe Reversal, Directs Health Department to Enforce State Abortion Law

LITTLE ROCK – Governor Asa Hutchinson offered these remarks today at a news conference at the office of Arkansas Attorney General Leslie Rutledge.

This is a historic day.  In 1973, when I was a young law student at the University of Arkansas, Roe versus Wade came down from the United States Supreme Court establishing abortion as a constitutional right. Today, the court has reversed the original decision and said the decision was in error. There is no constitutional right, and the court returns the issue of abortion to the states.

For me, this is a turning point for our nation.  Since Roe v. Wade was decided, the states that desired to protect unborn life have been prohibited from doing so. Personally, I am grateful for the court’s ruling today because I have fought a number of decades for greater protections of the unborn for my entire political life.

As Governor, I am gratified by the Court’s decision because the people of Arkansas have declared the public policy of this state is to protect the life of the unborn.

Let me make a couple of points:

This is not a nationwide ban. Justice Kavanaugh, in his concurring opinion, said,  “To be clear, then, the Court’s decision today does not outlaw abortion throughout the United States. On the contrary, the Court’s decision properly leaves the question of abortion for the people and their elected representatives. ...”

As a result of that comment and this ruling, what is the Arkansas response? Today, the Attorney General has indicated she will be presenting her certification necessary to trigger the Arkansas law that prohibits abortion except in the case of the life of the mother in a medical emergency. 

Justice Alito, in the majority opinion, said, “We do not pretend to know how our political system or society will respond to today’s decision overruling Roe and Casey.”

Well, we do know in Arkansas how we will respond, and the response is because the people have already spoken. As a result today, based upon the Attorney General’s certification, I’ll be directing the Arkansas Department of Health to enforce the law and to conduct the necessary inspections and notifications to assure that any abortion provider is in compliance with the law and understands the penalties that are provided therein.

Let me also emphasize this does not put at risk access to contraceptives or other issues that are tangentially related. As Justice Alito said: “But we have stated unequivocally that '[n]othing in this opinion should be understood to cast doubt on precedents that do not concern abortion.' We have also explained why that is so: rights regarding contraception and same-sex relationships are inherently different from the right to abortion because the latter (as we have stressed) uniquely involves what Roe and Casey termed ‘potential life.’”

People need to understand that we are dealing with the issue of abortion today, and life. That is what is at stake. 

I would also point out that the state regulation of abortions can still be challenged, but not based upon a constitutional right. This is an important principle. States can regulate. Courts can review. But there’s a presumption that the regulation is appropriate so long as there is a rational basis for that regulation. 

Finally, I want to emphasize that we need as a state, as a nation, to continue to support women who have unwanted pregnancies, and for some, they see abortion as the only solution. That is the reason the legislature anticipated, perhaps, this moment, or simply anticipated the need, provided $1 million to pregnancy centers across the state of Arkansas. They also enacted the Every Mom Matters Act that will allow those with pregnancies and questions to call and get information, to get assistance, to get help. That is being funded through our Department of Health. This was all before this decision today was rendered, but it reemphasized the importance of what we have done, the steps that have been taken, and the need to continue to support women as they go through what could be a traumatic time in their life. I understand this will continue to be debated and protested across our country. Well, that is the heart of our democracy, and ultimately, the people, through their representatives, will guide the solutions and the answers that each state will present in reference to this issue.

AUDIO: Governor Hutchinson’s Weekly Address | Supporting our Teachers

LITTLE ROCK – Arkansas’s education system greatly depends on our ability to attract and retain teachers. We need to make sure the pay reflects the importance of their job and our respect for their role in shaping the lives of the next generation of leaders.

When the pandemic impacted the world, our schools were heavily burdened. Education could not waiver even during a time when things felt so uncertain.

Arkansas was one of the few states that kept schools open thanks to the amazing teachers in our state. In fact, Arkansas ranked #2 in the nation for days of in-classroom instruction during the pandemic. That puts us in front of Texas and Florida. And so, we must be able to provide for those who are willing to go on the frontlines for our children’s future.

Teacher pay has been one of my top priorities since running for Governor in 2014. Since then, we have increased the minimum teacher pay to align with many of our surrounding states.

In 2019, I signed the Teacher Enhancement Act that took our minimum pay of $31,400 and raised it to $36,000 annually by 2022.

This increase was needed for our teachers, but it is not enough. Arkansas is still ranked 48th in the country for teacher starting pay even after that increase. 88% of our school districts start teachers below a salary of $40,000. We are 14th out of 16 states in our region for minimum starting salary, and we rank 13th out 16 for average salary. Nearly 70% of all our teachers are making below $40,000 a year. 

Our goal should be to have 100% of our teachers making above $40,000. We know teachers are important, but we must show them why Arkansas is a place they’ll want to teach and live.

For that reason, we must give our school districts more resources to recruit teachers. We have seen firsthand how providing the right resources can bring growth like we’ve seen with the Computer Science initiative. 

In 2015, we started the initiative with fewer than 50 computer science teachers in Arkansas. By providing more resources and incentives, we now have more than 650 certified computer science teachers with more coming by the fall. We have gone from fewer than 1,000 students learning about computer science to more than 12,000 with that number increasing every year. 

There is a reluctance by some in the General Assembly to raise teacher salary because of the concern over a future economic downturn. We currently have over $2 billion in state reserves and our surplus.

I am confident in our future ability to fund these initiatives, but the General Assembly controls the purse strings of state government, and I respect their constitutional role. While we might not get it done this year I hope it remains a priority in the future.

Rutledge announces $1.25 million multistate settlement following Carnival Cruise data breach

LITTLE ROCK – Attorney General Rutledge today announced that she, along with 45 other attorneys general, has obtained a $1.25 million multistate settlement with Florida-based Carnival Cruise Line stemming from a 2019 data breach that involved the personal information of approximately 180,000 Carnival employees and customers nationwide. In total, 550 Arkansas residents were impacted by the breach. The State will receive $28,678.23 from the settlement.

“Protecting Arkansans’ personal information is a priority,” said Attorney General Rutledge, “Arkansans must trust businesses to protect their personal information from bad actors or be promptly notified if their data is exposed in a breach.”

In March 2020, Carnival publicly reported a data breach when an unauthorized actor gained access to certain Carnival employee e-mail accounts. The breach included names, addresses, passport numbers, driver’s license numbers, payment card information, health information, and a relatively small number of Social Security Numbers. Breach notifications sent to attorneys general offices stated that Carnival first became aware of suspicious email activity in late May of 2019, approximately 10 months before Carnival reported the breach. A multistate investigation ensued, focusing on Carnival’s email security practices and compliance with state breach notification statutes.

“Unstructured” data breaches like the Carnival breach involve personal information stored via email and other disorganized platforms. Businesses lack visibility into this data, making breach notification more challenging—and consumer risk rises with delays.

Under the settlement, Carnival has agreed to a series of provisions designed to strengthen its email security and breach response practices going forward. Those include:

  • Implementation and maintenance of a breach response and notification plan;

  • Email security training requirements for employees, including dedicated phishing exercises;

  • Multi-factor authentication for remote email access;

  • Password policies and procedures requiring the use of strong, complex passwords, password rotation, and secure password storage;

  • Maintenance of enhanced behavior analytics tools to log and monitor potential security events on the company’s network; and

  • Consistent with past data breach settlements, undergoing an independent information security assessment.

Connecticut, Florida, and Washington co-led the investigation, assisted by Alabama, Arizona, Arkansas, Ohio, and North Carolina, and joined by Alaska, Colorado, Delaware, the District of Columbia, Georgia, Hawaii, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Dakota, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Vermont, Virginia, West Virginia, Wisconsin, and Wyoming.

NCI Funds UAMS Study of Possible Links between Gammaherpesvirus Infections and Lymphomas

By Seth Hooker

A possible link between gammaherpesviruses and lymphomas will receive further study at the University of Arkansas for Medical Sciences (UAMS) with a National Cancer Institute (NCI) grant.

The five-year, $1.25 million grant renewal will mostly support ongoing work to better understand how gammaherpesvirus promotes mutations (chromosomal translocations) that lead to lymphomas. In addition, the grant will allow UAMS’ Craig Forrest, Ph.D., to study the possible link between combined malaria and gammaherpesvirus infections in the development of lymphoma.

The funding will also help further Forrest’s work on earlier discoveries related to the tumor-suppressor protein, p53. The protein, his lab found, is critical for preventing chronic infection from gammaherpesviruses.

https://news.uams.edu/2022/06/22/nci-funds-uams-study-of-possible-links-between-gammaherpesvirus-infections-and-lymphomas/

UAMS Health Specialty Center to Open In Premier Medical Plaza in Early 2023

By Yavonda Chase

The University of Arkansas for Medical Sciences (UAMS) is moving a complement of specialty services to Premier Medical Plaza at 10915 Rodney Parham Road in west Little Rock. UAMS plans to open the facility in early 2023.

The UAMS Health Specialty Center will house an Ambulatory Surgery, Interventional Radiology, a Urology Clinic and an Advanced Imaging Center.

UAMS is leasing 32,000 square feet of space from Moses Tucker Partners and will join several medical providers in the state-of-the-art plaza. Between UAMS, Premier Gastroenterology Associates, Baptist Health and Natural State Laboratories, the medical facility is 100% leased.

https://news.uams.edu/2022/06/21/uams-health-specialty-center-to-open-in-premier-medical-plaza-in-early-2023/

Air Travel Back Up to Pre-Pandemic Numbers, But Still Turbulent

By Daniel Caruth

The number of travelers at XNA are on the rise again, but officials at the airport are reporting that they are experiencing issues with things like liquids in carry-on bags, the rise in fuel costs, and more.

https://www.kuaf.com/show/ozarks-at-large/2022-06-22/air-travel-back-up-to-pre-pandemic-numbers-but-still-turbulent

Pediatric COVID-19 Vaccine Delivery Begins in Arkansas for Kids 6 Months to Age 5

By Jacqueline Froelich/KUAF

Pediatric COVID-19 vaccines for children as young as six months of age are being delivered starting this week to Arkansas public health units, physicians' offices, medical centers, and pharmacies. Dr. Joel Tumlison, medical director for immunizations at the Arkansas Department of Health, provides guidance to parents and caregivers.

https://www.kuaf.com/show/ozarks-at-large/2022-06-22/pediatric-covid-19-vaccine-delivery-begins-in-arkansas-for-kids-6-months-to-age-5

Courtesy/Arkansas Department Of Health

Arkansas facing worsening blood shortage

KUAR | By Alexandria Brown

Several factors are contributing to Arkansas experiencing a shortage of blood. The Arkansas Blood Institute says it has already been challenged by fewer people donating blood since the start of the pandemic more than two years ago. Now, national supply chain issues are exacerbating the problem.

“Double red cells are important because it allows us to collect the equivalent of two blood donations in one visit from a donor,” said Executive Director Mario Sedlock. “The average donor donates just under twice a year. So, if a person donates double red cells when they come in, just assuming that they donate twice a year, that actually doubles the donation from that donor who does a double red cell procedure.”

Blood donation rates in the summer are usually low because more than 20% of donations come from high school and college students. With most schools being out for the summer, Sedlock said that’s a significant hit to people who need blood.

https://www.ualrpublicradio.org/local-regional-news/2022-06-21/arkansas-facing-worsening-blood-shortage

Michael Hibblen/KUAR News

A donor gives blood at the Arkansas Blood Institute location in Little Rock in January.