2004 Session

Budget Amendments - HB30 (Member Request)

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Chief Patron: Pollard
OB Rates for Sole Community Hospitals

Item 326 #12h

Item 326 #12h

First Year - FY2005 Second Year - FY2006
Health And Human Resources
Medical Assistance Services, Department of FY2005 $5,500,000 FY2006 $6,000,000 GF
FY2005 $5,500,000 FY2006 $6,000,000 NGF

Page 250, line 37, strike "$4,057,098,577" and insert "$4,068,098,577".
Page 250, line 37, strike "$4,428,632,619" and insert "$4,440,632,619".
Page 264, after line 47, insert:
"BBB.1.  The Department of Medical Assistance Services shall amend the State Plan for Medical Assistance Services governing Medicaid reimbursements for hospitals to reimburse inpatient and outpatient hospital services provided by a sole community hospital, as defined by § 1886(d)(5)(D)(iii) of the Social Security Act, at cost as determined on the annual Statement of Reimbursable Cost.
2.  The Department shall also reimburse inpatient obstetrical services at these facilities that are covered under the Medallion II managed care program at a minimum rate of $3,500 per case for vaginal deliveries and $4,100 per case for Caesarean deliveries.  These case rates shall be adjusted annually to reflect increases in the annual market basket adjustment.

(This amendment requires an adjustment in hospital rates paid to sole community hospitals to ensure access to necessary services by Medicaid patients. It also increases rates for obstetrical services provided by sole community hospitals to ensure that these services continue to be available to low-income Medicaid patients.)