2023 Session

Budget Amendments - SB800 (Member Request)

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Chief Patron: Lucas
Children’s Hospital of The King’s Daughters

Item 304 #7s

Item 304 #7s

First Year - FY2023 Second Year - FY2024
Health and Human Resources
Department of Medical Assistance Services FY2023 $0 FY2024 $5,153,878 GF
FY2023 $0 FY2024 $5,896,122 NGF

Page 355, line 40, strike "$22,919,178,986" and insert "$22,930,228,986".

Page 384, after line 31, insert:

"YYYY. The Department of Medical Assistance Services shall implement managed care directed payments for physician services for practice plans affiliated with a freestanding children's hospital with more than 50 percent Medicaid utilization in fiscal year 2009 for $11,050,000 million annually but not to exceed the average commercial rate. The department shall have the authority to implement this reimbursement change effective July 1, 2023, and prior to the completion of any regulatory process undertaken in order to effect such changes. The agency shall implement this by determining at the beginning of each year the percent of Medicaid that will result in estimated payments of $11,050,000 million annually."


(This amendment provides $5.1 million from the general fund and $5.9 million nongeneral fund to authorize the Department of Medical Assistance Services to make physician supplemental payments for managed care patients of Children’s Hospital of The King’s Daughters (CHKD). These payments help cover the cost of caring for thousands of children facing life-threatening illnesses, traumatic injuries and chronic conditions as well as those who need access to routine well-child care regardless of their families' ability to pay for services. Additionally, Physician Supplemental Payments would help CHKD address critical workforce development needs as the region's only teaching hospital for pediatrics. These payments would also support operational expenses incurred by CHKD associated with their Pediatric Mental Health Expansion.)