2010 Session

Budget Amendments - SB30 (Committee Approved)

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Reduce Outpatient Hospital Rates by 4 Percent in FY 2012

Item 297 #16s

Item 297 #16s

First Year - FY2011 Second Year - FY2012
Health And Human Resources
Medical Assistance Services, Department of FY2011 $0 FY2012 ($10,802,339) GF
FY2011 $0 FY2012 ($10,802,339) NGF

Page 196, line 50, strike "$7,272,405,030" and insert "$7,250,800,352".
Page 209, after line 23, insert:
“XXX.  Effective July 1, 2011, the Department of Medical Assistance Services shall reduce reimbursement for hospital outpatient services from 80 percent of cost to 76 percent of cost for Type Two hospitals and from 94 percent of cost to 90 percent of cost for Type One hospitals.  The department shall not replace through other payment mechanisms the losses Type One hospitals experience from this reduction unless the provider is able to transfer the state share or certify the public expenditures.  To the extent the 101st United States Congress enacts legislation that extends enhanced federal Medicaid funding, the amounts in this paragraph related to the four percent operating rate reduction shall not become effective.

(This amendment reduces payments for outpatient hospital services provided through Medicaid by four percent effective the second year. Language is added to restore funding if Congress passes a six-month extension of enhanced federal Medicaid funding.)