2020 Session

Budget Amendments - SB30 (Member Request)

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Chief Patron: Barker
Increase Residential Psychiatric Rates

Item 313 #56s

Item 313 #56s

First Year - FY2021 Second Year - FY2022
Health and Human Resources
Department of Medical Assistance Services FY2021 $9,800,000 FY2022 $9,800,000 GF
FY2021 $9,800,000 FY2022 $9,800,000 NGF

Page 294, line 18, strike "$15,939,731,997" and insert "$15,959,331,997".
Page 294, line 18, strike "$17,038,007,934" and insert "$17,057,607,934".

Page 302, strike lines 25 and 26, and insert:

"CC.  The Department of Medical Assistance Services shall pay the provider-reported cost per day based on the psychiatric resident treatment facility cost report data for provider fiscal years ending in SFY 2018, subject to the statewide median cost per day."


(This amendment provides $9.8 million from the general fund and a like amount of federal Medicaid matching funds to increase reimbursement to residential psychiatric facilities. The rates paid to these facilities, not unlike other institutional providers (hospitals, nursing facilities, etc.), have not increased since 2008 and have not been adjusted for inflation. These facilities serve only children in a clinically and medically-necessary active treatment program designed to provide necessary support and address mental health, behavioral, substance abuse, cognitive and training needs in order to prevent or minimize the need for more intensive outpatient treatment, per federal regulations. This amendment also strikes language that prohibits annual inflation adjustments. As a result the rebasing of facility rates every three years and annual inflation adjustments would be restored.)