Assembly Bill No. 69–Assemblyman Goldwater

Prefiled January 28, 1999

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Referred to Committee on Health and Human Services

 

SUMMARY—Revises provisions governing payment of hospitals for treating disproportionate share of Medicaid patients, indigent patients or other low-income patients. (BDR 38-912)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to welfare; revising the provisions governing the payment of hospitals for treating a disproportionate share of Medicaid patients, indigent patients or other low-income patients; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

1-1 Section 1. NRS 422.382 is hereby amended to read as follows:

1-2 422.382 1. Except as otherwise provided in this subsection, the

1-3 department shall determine the amount that each state or local

1-4 government or other entity responsible for the public hospital in a county

1-5 within which a public hospital is located is required to transfer to the

1-6 department for deposit in the intergovernmental transfer account in the

1-7 state general fund to be administered by the department to maximize the

1-8 amount of money that may be received from the Federal Government for

1-9 distribution to hospitals that treat a disproportionate share of Medicaid,

1-10 indigent or other low-income patients. The amount which the department

1-11 determines that a state or local government or other entity is required to

1-12 transfer pursuant to this section must not exceed the amount of the

1-13 payment made pursuant to NRS 422.387 to the public hospital for which

1-14 the state or local government or other entity is responsible.

1-15 2. In a county within which:

1-16 (a) A public hospital is located, the state or local government or other

1-17 entity responsible for the public hospital shall transfer [an amount equal to

1-18 75 percent of the amount of the payment made to the public hospital

2-1 pursuant to NRS 422.387 less $50,000] the amount determined by the

2-2 department pursuant to subsection 1 to the department.

2-3 (b) A private hospital which receives a payment pursuant to NRS

2-4 422.387 is located, the county shall transfer an amount established by the

2-5 legislature to the department.

2-6 [2.] 3. A county that transfers the amount required pursuant to

2-7 paragraph (b) of subsection [1] 2 to the department is discharged of the

2-8 duty and is released from liability for providing medical treatment for

2-9 indigent inpatients who are treated in the hospital in the county that

2-10 receives a payment pursuant to paragraph (b) of subsection [2] 1 of NRS

2-11 422.387.

2-12 [3.] 4. Any money collected pursuant to subsection [1,] 2, including

2-13 any interest or penalties imposed for a delinquent payment, must be

2-14 deposited in the state treasury for credit to the intergovernmental transfer

2-15 account in the state general fund to be administered by the department.

2-16 [4.] 5. The interest and income earned on money in the

2-17 intergovernmental transfer account, after deducting any applicable charges,

2-18 must be credited to the account.

2-19 6. The amount of money that the department may retain from the

2-20 amount transferred to the department pursuant to subsection 2 must not

2-21 exceed 10 percent of the amount of the disproportionate share payment

2-22 received from the Federal Government.

2-23 Sec. 2. NRS 422.387 is hereby amended to read as follows:

2-24 "422.387 1. [Before making the payments required or authorized by

2-25 this section, the department shall allocate money for the administrative

2-26 costs necessary to carry out the provisions of NRS 422.380 to 422.390,

2-27 inclusive. The amount allocated for administrative costs must not exceed

2-28 the amount authorized for expenditure by the legislature for this purpose in

2-29 a fiscal year. The interim finance committee may adjust the amount allowed

2-30 for administrative costs.

2-31 2.] The state plan for Medicaid must provide:

2-32 (a) For the payment of the maximum amount allowable under federal

2-33 law and regulations after making a payment, if any, pursuant to paragraph

2-34 (b), to public hospitals for treating a disproportionate share of Medicaid

2-35 patients, indigent patients or other low-income patients, unless such

2-36 payments are subsequently limited by federal law or regulation.

2-37 (b) For a payment in an amount approved by the legislature to the

2-38 private hospital that provides the largest volume of medical care to

2-39 Medicaid patients, indigent patients or other low-income patients in a

2-40 county that does not have a public hospital.

2-41 The plan must be consistent with the provisions of NRS 422.380 to

2-42 422.390, inclusive, and Title XIX of the Social Security Act , [(] 42 U.S.C.

§§ 1396 et seq. , [),] and the regulations adopted pursuant to those

3-1 provisions.

3-2 [3.] 2. The department may amend the state plan for Medicaid to

3-3 modify the methodology for establishing the rates of payment to public

3-4 hospitals for inpatient services, except that such amendments must not

3-5 reduce the total reimbursements to public hospitals for such services.

3-6 Sec. 3. This act becomes effective on July 1, 2001.

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