HB2749

Report Title:

Rates of payment; medical care providers

Description:

Requires the Department of Human Services to reimburse all health care providers the same Federal medical assistance percentage (FMAP) and enhanced Federal medical assistance percentage that the State receives as determined under the Social Security Act.

HOUSE OF REPRESENTATIVES	H.B. NO.	2749
TWENTY-FIRST LEGISLATURE, 2002
STATE OF HAWAII

A BILL FOR AN ACT

 

RELATING TO MEDICAL CARE PAYMENTS.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 346-59, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) The department shall adopt rules under chapter 91 concerning payment to providers of medical care. The department shall determine the rates of payment due to all providers of medical care, and pay such amounts in accordance with the requirements of the appropriations act and the Social Security Act, as amended[.]; provided that the payments made on the basis of the federal medical assistance percentage shall be computed according to the formula described in section 1905(b) of the Social Security Act, as amended, and Title 42, Part 433, Subpart A, Code of Federal Regulations. Payments made on the basis of the enhanced federal medical assistance percentage shall be computed according to the formula described in sections 1905(u)(2) and 1905(u)(3) of the Social Security Act, as amended."

SECTION 2. Act 226, Session Laws of Hawaii 2000, as amended by Act 29, Session Laws of Hawaii 2001, is amended by amending section 4 to read as follows:

"(a) The department shall adopt rules under chapter 91 concerning payment to providers of medical care. The department shall determine the rates of payment due to all providers of medical care, and pay such amounts in accordance with the requirements of the appropriations act and the Social Security Act, as amended[.]; provided that the payments made on the basis of the federal medical assistance percentage shall be computed according to the formula described in section 1905(b) of the Social Security Act, as amended, and Title 42, Part 433, Subpart A, Code of Federal Regulations. Payments made on the basis of the enhanced federal medical assistance percentage shall be computed according to the formula described in sections 1905(u)(2) and 1905(u)(3) of the Social Security Act, as amended. Payments to critical access hospitals for services rendered to medicaid beneficiaries shall be calculated on a cost basis using medicare reasonable cost principles."

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect on April 1, 2002; except that section 1 shall take effect on June 30, 2004.

INTRODUCED BY:	_____________________________