2019 Session

Budget Amendments - HB1700 (Conference Report)

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Modify DSH Methodology for TDO Utilization (language only)

Item 303 #11c

Item 303 #11c

Health and Human Resources
Department of Medical Assistance Services


Page 342, after line 27, insert:

"YYY. The Department of Medical Assistance Services shall develop a methodology for Disproportionate Share Hospital (DSH) payments that recognizes and creates incentives for private hospitals in providing medical services for individuals subject to temporary detention orders (TDOs).  The methodology shall factor in utilization related to TDOs in the DSH methodology.  The department shall have the authority to modify the State Plan for Medical Assistance and to implement the changes in the DSH methodology effective January 1, 2019 and prior to the completion of the regulatory process.  The department shall report on the details of the methodology, and the potential impact on allocations to hospitals, to the Chairmen of the House Appropriations and Senate Finance Committees by December 1, 2019."


(This amendment directs the Department of Medical Assistance Services to develop a new methodology for the allocation of Disproportionate Share Hospital (DSH) payments to increase reimbursement to hospitals that are serving more individuals who are subject to temporary detention orders and likewise to reduce reimbursement to hospitals whose utilization of such TDO services declines. This program is intended to assist in reducing census pressure on the state mental health hospitals.)