2017 Session

Budget Amendments - HB1500 (Member Request)

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Chief Patron: Marshall D.
Co-Patron(s): Adams
Modify Peer Group Assignment for Danville, Pittsylvania Nursing Facilities

Item 306 #32h

Item 306 #32h

First Year - FY2017 Second Year - FY2018
Health and Human Resources
Department of Medical Assistance Services FY2017 $0 FY2018 $1,603,910 GF
FY2017 $0 FY2018 $1,603,910 NGF

Page 284, line 40, strike "$9,714,745,576" and insert "$9,717,953,396".

Page 290, after line 44, insert:

"8. Effective July 1, 2017, the Department of Medical Assistance Services shall amend its regulations, and if required, the State Plan for Medical Assistance, to designate a region of Virginia as being in the Other MSA peer group for Medicaid reimbursement purposes, including any Medicaid managed long term services and supports program, if the following criteria are met: (i) the region was in the Other MSA peer group previously; and (ii) the 2010 U.S. Census reflects the city and any county comprising such a region had a combined population in excess of 100,000.  The department shall have the authority to implement this reimbursement change effective July 1, 2017 and prior to completion of any regulatory process undertaken in order to effect such change."


(This amendment adds funding and language to correct the unintended consequence of changing the designation of the Danville and Pittsylvania County Peer Group for purposes of Medicaid nursing home reimbursement from a Metropolitan Statistical Area to a Micropolitan Statistical Area. The Department of Medical Assistance Services made this change in 2013 when it implemented the Medicaid Price-Based Payment System for nursing facilities. However, the consequences of this change was not fully understood until the agency began analyzing nursing facility data in preparation of nursing facility rebasing.)