2015 Session

Budget Amendments - HB1400 (Member Request)

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Chief Patron: Stolle
Address Healthcare Workforce Needs

Item 301 #11h

Item 301 #11h

First Year - FY2015 Second Year - FY2016
Health and Human Resources
Medical Assistance Services, Department of FY2015 $0 FY2016 $6,500,000 GF
FY2015 $0 FY2016 $6,500,000 NGF

Page 257, line 32, strike "$8,515,698,638" and insert "$8,528,698,638".
Page 281, after line 10, insert:
"OOOO. Out of this appropriation, $6.5 million from the general fund and $6.5 million from nongeneral funds the second year shall be used to help sustain existing health system investments in clinical training opportunities and recognize increasing costs.  The Department of Medical Assistance Services shall amend the State Plan for Medical Assistance to rebase the costs used to establish the per resident amount used for direct Graduate Medical Education (GME) payments.  In order to be eligible for this rebased payment, each affected hospital will be required to at least maintain its current level of accredited postgraduate medical education slots.
PPPP.  In order to incentivize the expansion of clinical training opportunities and retain graduates who are trained in Virginia, the Department of Medical Assistance Services (DMAS) shall develop amendments to the State Plan for Medical Assistance to establish an additional Medicaid health professional training supplemental payment to reward growth in clinical training slots and reforms in training programs.  This program shall commence in fiscal year 2017 contingent upon the receipt of funds appropriated for this purpose.  The State Plan amendments shall be designed so that program funds are awarded for expansion of accredited programs only and based on an average per resident amount of $100,000, under allocation criteria developed by DMAS.  One-half of the available funds each year shall be dedicated to primary care training programs and the remainder for other specialties identified as a need (e.g, psychiatry).  Preference for primary care programs will also be accorded programs that extend their training programs to community settings and underserved areas.  While all hospitals are eligible for these additional supplemental payments to the extent they expand their clinical training opportunities and meet the DMAS established criteria, these supplemental payments are subject to federal upper payment limit rules so the net effect on Type 1 hospitals will be offset."

(This amendment adds $6.5 million from the general fund and $6.5 million in matching federal Medicaid funds in the second year to expand targeted Medicaid payments that support health professional clinical training. The funding will improve retention of the Commonwealth's growing number of medical and advanced practice health professional school graduates in order to help address the Commonwealth's longer-term health care workforce needs. Funding recognizes increasing costs by adding resources to establish the per resident amount used for direct Graduate Medical Education (GME) payments in the Medicaid program and provides for an additional Medicaid supplemental payment to expand clinical training opportunities.)