2018 Session

Budget Amendments - HB30 (Member Request)

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Chief Patron: Rush
Clarify Inflation Calculation for Hospital Rebasing (language only)

Item 307 #2h

Item 307 #2h

Health and Human Resources
Department of Medical Assistance Services


Page 279, line 13, after "included in the forecast."

Effective June 30, 2020, for such rebasing calculations, the inflation updates applied between the base year and the applicable rate year shall be based on regulation-directed third party published inflation rates not affected by any prior or current budgetary action to adjust or defer updates to said rates".


(This amendment clarifies how inflation updates will be applied during rebasing calculations beginning in the 2020-22 biennium to ensure that prior-year, temporary modifications or limitations on inflation updates imposed for providers in state budgets are not perpetuated into the future when rebasing calculations are made by the department. This clarification results does not affect the calculation of inflation for inpatient hospital services during the 2018-20 biennium, which will be rebased in fiscal year 2020. The introduced budget contains an additional $21.9 million the first year and $48.3 million the second from the general fund and a like amount of federal Medicaid matching funds to reflect inflationary adjustments and rebasing of hospital rates during the 2018-20 biennium.)