2008 Session

Budget Amendments - HB30 (Conference Report)

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Reduce Inflation for Inpatient Hospital Services

Item 306 #12c

Item 306 #12c

First Year - FY2009 Second Year - FY2010
Health And Human Resources
Medical Assistance Services, Department of FY2009 ($14,233,333) FY2010 ($15,400,000) GF
FY2009 ($14,233,333) FY2010 ($15,400,000) NGF

Page 276, line 1, strike "$5,521,541,169" and insert "$5,493,074,503".
Page 276, line 1, strike "$5,818,036,403" and insert "$5,787,236,403".
Page 289, after line 18, insert:
"RR.  “Effective July 1, 2008, and ending after June 30, 2010, the Department shall reduce prospective inpatient hospital payment rates by 2.683 percent below the rates that otherwise would be in effect.  The Department shall amend the State Plan to authorize this change, and shall have the authority to implement this reimbursement change effective July 1, 2008, and prior to the completion of any regulatory process undertaken in order to effect such change.  The Department shall not replace through other payment mechanisms the losses of Type One hospitals from this reimbursement change."

(This amendment reduces the general fund appropriation by $14.2 million the first year and $15.4 million the second year and an equal amount of federal Medicaid matching funds by reducing the rate increase included within the 2007 Medicaid Forecast for inpatient hospital services to two percent each year. The forecast assumed an increase of 4.8 percent each year.)