(REPRINTED WITH ADOPTED AMENDMENTS)

                                                                                    FIRST REPRINT                                       S.B. 302

 

Senate Bill No. 302–Committee on Human
Resources and Facilities

 

March 8, 2001

____________

 

Referred to Committee on Human Resources and Facilities

 

SUMMARY—Revises provisions governing payment of hospitals for serving indigent patients. (BDR 40‑962)

 

FISCAL NOTE:            Effect on Local Government: Yes.

                                    Effect on the State: No.

 

CONTAINS UNFUNDED MANDATE (§§ 4, 11)

(Not Requested by Affected Local Government)

 

~

 

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 the provision of health care; repealing the requirement for certain hospitals to provide a certain amount of uncompensated care to indigent patients; providing a minimum amount certain counties must pay to certain hospitals for serving indigent 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 439B.300 is hereby amended to read as follows:

1-2    439B.300  1.  [The legislature finds and declares that:

1-3    (a) The practice of refusing to treat an indigent patient if another

1-4  hospital can provide the treatment endangers the health and well-being of

1-5  such patients.

1-6    (b) Counties in which more than one hospital is located may lack

1-7  available resources to compensate for all indigent care provided at their

1-8  hospitals. Refusal by a hospital to treat indigent patients in such counties

1-9  results in a burden upon hospitals which treat large numbers of indigent

1-10  patients.

1-11    (c) A requirement that hospitals in such counties provide a designated

1-12  amount of uncompensated care for indigent patients would:

1-13      (1) Equalize the burden on such hospitals of treating indigent

1-14  patients; and

1-15      (2) Aid the counties in meeting their obligation to compensate

1-16  hospitals for such care.


2-1    (d) Hospitals with 100 or fewer beds have been meeting the needs of

2-2  their communities with regard to care of indigents, and have a minimal

2-3  effect on the provision of such care.

2-4    2.] Except as otherwise provided in this subsection, the provisions of

2-5  NRS [439B.300 to 439B.340, inclusive,] 439B.310 and 439B.330 apply to

2-6  each hospital in this state which is located in a county in which there are

2-7  two or more licensed hospitals. The provisions of NRS [439B.300 to

2-8  439B.340, inclusive,] 439B.310 and 439B.330 do not apply to a hospital

2-9  which has 100 or fewer beds.

2-10    [3.] 2.  The provisions of NRS [439B.300 to 439B.340, inclusive,]

2-11  439B.310 and 439B.330 do not prohibit a county from:

2-12    (a) Entering into an agreement for medical care or otherwise contracting

2-13  with any hospital located within that county; or

2-14    (b) Using a definition of “indigent” which would include more persons

2-15  than the definition in NRS 439B.310.

2-16    Sec. 2. NRS 439B.310 is hereby amended to read as follows:

2-17    439B.310  For the purposes of NRS [439B.300 to 439B.340, inclusive,]

2-18  439B.330, “indigent” means those persons:

2-19    1.  Who are not covered by any policy of health insurance;

2-20    2.  Who are ineligible for Medicare, Medicaid, the children’s health

2-21  insurance program, the benefits provided pursuant to NRS 428.115 to

2-22  428.255, inclusive, or any other federal or state program of public

2-23  assistance covering the provision of health care;

2-24    3.  Who meet the limitations imposed by the county upon assets and

2-25  other resources or potential resources; and

2-26    4.  Whose income is less than:

2-27    (a) For one person living without another member of a household, $438.

2-28    (b) For two persons, $588.

2-29    (c) For three or more persons, $588 plus $150 for each person in the

2-30  family in excess of two.

2-31  For the purposes of this subsection, “income” includes the entire income of

2-32  a household and the amount which the county projects a person or

2-33  household is able to earn. “Household” is limited to a person and his

2-34  spouse, parents, children, brothers and sisters residing with him.

2-35    Sec. 3. NRS 439B.330 is hereby amended to read as follows:

2-36    439B.330  1.  Except as otherwise provided in NRS 439B.300 and

2-37  subsection [2] 5 of this section, each county shall use the definition of

2-38  “indigent” in NRS 439B.310 to determine a person’s eligibility for medical

2-39  assistance pursuant to chapter 428 of NRS, other than assistance provided

2-40  pursuant to NRS 428.115 to 428.255, inclusive.

2-41    2.  [A board of county commissioners may, if it determines that a

2-42  hospital within the county is serving a disproportionately large share of

2-43  low-income patients:

2-44    (a) Pay a higher rate to the hospital for treatment of indigent inpatients;

2-45    (b) Pay the hospital for treatment of indigent inpatients whom the

2-46  hospital would otherwise be required to treat without receiving

2-47  compensation from the county; or

2-48    (c) Both pay at a higher rate and pay for inpatients for whom the

2-49  hospital would otherwise be uncompensated.


3-1    3.] Each hospital which treats an indigent inpatient shall submit to the

3-2  board of county commissioners of the county of residence of the patient a

3-3  discharge form identifying the patient as a possible indigent and containing

3-4  the information required by the department and the county to be included

3-5  in all such forms.

3-6    [4.] 3.  The county which receives a discharge form from a hospital for

3-7  an indigent inpatient shall verify the status of the patient and the amount

3-8  which the hospital is entitled to receive. A hospital aggrieved by a

3-9  determination of a county regarding the indigent status of an inpatient may

3-10  appeal the determination to the director or a person designated by the

3-11  director to hear such an appeal. The decision of the director or the person

3-12  he designates must be mailed by registered or certified mail to the county

3-13  and the hospital. The decision of the director or the person he designates

3-14  may be appealed to a court having general jurisdiction in the county within

3-15  15 days after the date of the postmark on the envelope in which the

3-16  decision was mailed.

3-17    [5.] 4.  Except as otherwise provided in subsection [2 of this section

3-18  and subsection 3 of NRS 439B.320,] 5, if the county is the county of

3-19  residence of the patient and the patient is indigent, the county shall , [pay to

3-20  the hospital the amount required,] within the limits of money which may

3-21  lawfully be appropriated for this purpose pursuant to NRS 428.050,

3-22  428.285 and 450.425[.] , pay to the hospital the amount required.

3-23    5.  A board of county commissioners may, if it determines that a

3-24  hospital within the county is serving a disproportionately large share of

3-25  low-income patients:

3-26    (a) Pay a higher rate to the hospital for the treatment of indigent

3-27  inpatients;

3-28    (b) Pay the hospital for the treatment of indigent inpatients whom the

3-29  hospital would otherwise be required to treat without receiving

3-30  compensation from the county; or

3-31    (c) Both pay at a higher rate and pay for inpatients for whom the

3-32  hospital would otherwise be uncompensated.

3-33    6.  For the purposes of this section, the county of residence of the

3-34  patient is the county of residence of that person before he was admitted to

3-35  the hospital.

3-36    Sec. 4. NRS 439B.330 is hereby amended to read as follows:

3-37    439B.330  1.  Except as otherwise provided in NRS 439B.300 and

3-38  subsection 5 of this section, each county shall use the definition of

3-39  “indigent” in NRS 439B.310 to determine a person’s eligibility for medical

3-40  assistance pursuant to chapter 428 of NRS, other than assistance provided

3-41  pursuant to NRS 428.115 to 428.255, inclusive.

3-42    2.  Each hospital which treats an indigent inpatient shall submit to the

3-43  board of county commissioners of the county of residence of the patient a

3-44  discharge form identifying the patient as a possible indigent and containing

3-45  the information required by the department and the county to be included

3-46  in all such forms.

3-47    3.  The county which receives a discharge form from a hospital for an

3-48  indigent inpatient shall verify the status of the patient and the amount

3-49  which the hospital is entitled to receive. A hospital aggrieved by a


4-1  determination of a county regarding the indigent status of an inpatient may

4-2  appeal the determination to the director or a person designated by the

4-3  director to hear such an appeal. The decision of the director or the person

4-4  he designates must be mailed by registered or certified mail to the county

4-5  and the hospital. The decision of the director or the person he designates

4-6  may be appealed to a court having general jurisdiction in the county within

4-7  15 days after the date of the postmark on the envelope in which the

4-8  decision was mailed.

4-9    4.  Except as otherwise provided in subsection 5, if the county is the

4-10  county of residence of the patient and the patient is indigent, the county

4-11  shall, within the limits of money which may lawfully be appropriated for

4-12  this purpose pursuant to NRS 428.050, 428.285 and 450.425, pay to the

4-13  hospital [the amount required.] an amount that is not less than the

4-14  payment required for providing the same treatment to patients pursuant

4-15  to the state plan for Medicaid.

4-16    5.  A board of county commissioners may, if it determines that a

4-17  hospital within the county is serving a disproportionately large share of

4-18  low-income patients:

4-19    (a) Pay a higher rate to the hospital for the treatment of indigent

4-20  inpatients;

4-21    (b) Pay the hospital for the treatment of indigent inpatients whom the

4-22  hospital would otherwise be required to treat without receiving

4-23  compensation from the county; or

4-24    (c) Both pay at a higher rate and pay for inpatients for whom the

4-25  hospital would otherwise be uncompensated.

4-26    6.  For the purposes of this section, the county of residence of the

4-27  patient is the county of residence of that person before he was admitted to

4-28  the hospital.

4-29    Sec. 5. NRS 450.420 is hereby amended to read as follows:

4-30    450.420  1.  The board of county commissioners of the county in

4-31  which a public hospital is located may determine whether patients

4-32  presented to the public hospital for treatment are subjects of charity. Except

4-33  as otherwise provided in NRS 439B.330, the board of county

4-34  commissioners shall establish , by ordinance , criteria and procedures to be

4-35  used in the determination of eligibility for medical care as medical

4-36  indigents or subjects of charity.

4-37    2.  The board of hospital trustees shall fix the charges for treatment of

4-38  those persons able to pay for the charges, as the board deems just and

4-39  proper. The board of hospital trustees may impose an interest charge of not

4-40  more than 12 percent per annum on unpaid accounts. The receipts must be

4-41  paid to the county treasurer and credited by him to the hospital fund. In

4-42  fixing charges pursuant to this subsection , the board of hospital trustees

4-43  shall not include, or seek to recover from paying patients, any portion of

4-44  the expense of the hospital which is properly attributable to the care of

4-45  indigent patients.

4-46    3.  Except as otherwise provided in subsection 4 , [of this section and

4-47  subsection 3 of NRS 439B.320,] the county is chargeable with the entire

4-48  cost of services rendered by the hospital and any salaried staff physician or

4-49  employee to any person admitted for emergency treatment, including ,


5-1  without limitation, all reasonably necessary recovery, convalescent and

5-2  follow-up inpatient care required for any such person as determined by the

5-3  board of trustees of the hospital, but the hospital shall use reasonable

5-4  diligence to collect the charges from the emergency patient or any other

5-5  person responsible for his support. Any amount collected must be

5-6  reimbursed or credited to the county.

5-7    4.  The county is not chargeable with the cost of services rendered by

5-8  the hospital or any attending staff physician or surgeon to the extent the

5-9  hospital is reimbursed for those services pursuant to NRS 428.115 to

5-10  428.255, inclusive.

5-11    Sec. 6. NRS 450.490 is hereby amended to read as follows:

5-12    450.490  1.  The board of county commissioners of any county for

5-13  which a public hospital has been established or is administered pursuant to

5-14  NRS 450.010 to 450.510, inclusive, and whose public hospital is the only

5-15  hospital in the county, may convey the hospital for an amount not less than

5-16  its appraised value or lease it for a term of not more than 50 years to any

5-17  corporation if all of the following conditions are met:

5-18    (a) The corporation must provide in its articles of incorporation for an

5-19  advisory board for the hospital. The advisory board must consist of persons

5-20  who represent a broad section of the people to be served by the hospital.

5-21    (b) The corporation must contract to:

5-22      (1) Care for indigent patients at a charge to the county which does not

5-23  exceed the actual cost of providing that care, or in accordance with NRS

5-24  439B.300 [to 439B.340, inclusive,] , 439B.310 and 439B.330, if

5-25  applicable; and

5-26      (2) Receive any person falling sick or maimed within the county.

5-27    (c) The corporation must agree to accept all the current assets, including

5-28  accounts receivable, to assume all the current liabilities, and to take over

5-29  and maintain the records of the existing public hospital.

5-30    (d) The agreement must provide for the transfer of patients, staff and

5-31  employees, and for the continuing administration of any trusts or bequests

5-32  pertaining to the existing public hospital.

5-33    (e) The agreement must provide for the assumption by the corporation

5-34  of all indebtedness of the county which is attributable to the hospital, and:

5-35      (1) If the hospital is conveyed, for payment to the county of an

5-36  amount which is not less than the appraised value of the hospital, after

5-37  deducting any indebtedness so assumed, immediately or by deferred

5-38  installments over a period of not more than 30 years.

5-39      (2) If the hospital is leased, for a rental which will, over the term of

5-40  the lease, reimburse the county for its actual capital investment in the

5-41  hospital, after deducting depreciation and any indebtedness so assumed.

5-42  The lease may provide a credit against the rental so required for the value

5-43  of any capital improvements made by the corporation.

5-44    2.  If any hospital which has been conveyed pursuant to this section

5-45  ceases to be used as a hospital, unless the premises so conveyed are sold

5-46  and the proceeds used to erect or enlarge another hospital for the county,

5-47  the hospital so conveyed reverts to the ownership of the county. If any

5-48  hospital which has been leased pursuant to this section ceases to be used as

5-49  a hospital, the lease is terminated.


6-1    Sec. 7. NRS 450.500 is hereby amended to read as follows:

6-2    450.500  1.  Except as otherwise provided in NRS 450.490, the board

6-3  of county commissioners of any county for which a public hospital has

6-4  been established pursuant to NRS 450.010 to 450.510, inclusive, or

6-5  established otherwise but administered pursuant to NRS 450.010 to

6-6  450.510, inclusive, may convey the hospital, or lease it for a term of not

6-7  more than 50 years, to a nonprofit corporation if all of the following

6-8  conditions are met:

6-9    (a) The governing body of the nonprofit corporation must be composed

6-10  initially of the incumbent members of the board of hospital trustees, as

6-11  individuals. The articles of incorporation must provide for:

6-12      (1) A membership of the corporation which is broadly representative

6-13  of the public and includes residents of each incorporated city in the county

6-14  and of the unincorporated area of the county or a single member which is a

6-15  nonprofit corporation whose articles of incorporation provide for a

6-16  membership which is broadly representative of the public and includes

6-17  residents of each incorporated city in the county and of the unincorporated

6-18  area of the county;

6-19      (2) The selection of the governing body by the membership of the

6-20  corporation or, if the corporation has a single member, by the single

6-21  member;

6-22      (3) The governing body to select its members only to fill a vacancy

6-23  for an unexpired term; and

6-24      (4) The terms of office of members of the governing body, not to

6-25  exceed 6 years.

6-26    (b) The nonprofit corporation must contract to:

6-27      (1) Care for indigent patients at a charge to the county which does not

6-28  exceed the actual cost of providing such care, or in accordance with NRS

6-29  439B.300 [to 439B.340, inclusive,] , 439B.310 and 439B.330, if

6-30  applicable; and

6-31      (2) Receive any person falling sick or maimed within the county.

6-32    (c) The nonprofit corporation must agree to accept all the current assets,

6-33  including accounts receivable, to assume all the current liabilities, and to

6-34  take over and maintain the records of the existing public hospital.

6-35    (d) The agreement must provide for the transfer of patients, staff and

6-36  employees, and for the continuing administration of any trusts or bequests

6-37  pertaining to the existing public hospital.

6-38    (e) The agreement must provide for the assumption by the corporation

6-39  of all indebtedness of the county which is attributable to the hospital, and:

6-40      (1) If the hospital is conveyed, for payment to the county of its actual

6-41  capital investment in the hospital, after deducting depreciation and any

6-42  indebtedness so assumed, immediately or by deferred installments over a

6-43  period of not more than 30 years.

6-44      (2) If the hospital is leased, for a rental which will , over the term of

6-45  the lease , reimburse the county for its actual capital investment in the

6-46  hospital, after deducting depreciation and any indebtedness so assumed.

6-47  The lease may provide a credit against the rental so required for the value

6-48  of any capital improvements made by the corporation.


7-1    2.  Boards of county commissioners which have joint responsibility for

7-2  a public hospital may jointly exercise the power conferred by subsection 1,

7-3  and are subject jointly to the related duties.

7-4    3.  If any hospital which has been conveyed pursuant to this section

7-5  ceases to be used as a nonprofit hospital, unless the premises so conveyed

7-6  are sold and the proceeds used to erect or enlarge another nonprofit

7-7  hospital for the county, the hospital so conveyed reverts to the ownership

7-8  of the county. If any hospital which has been leased pursuant to this section

7-9  ceases to be used as a nonprofit hospital, the lease is terminated.

7-10    Sec. 8. NRS 450.510 is hereby amended to read as follows:

7-11    450.510  1.  The board of county commissioners of any county whose

7-12  population is less than 100,000 may contract with any nonprofit

7-13  corporation to which a public hospital has been conveyed or leased, for the

7-14  care of indigent patients from the contracting county and the receiving of

7-15  other persons falling sick or being maimed or injured within the

7-16  contracting county. The contract must be consistent with the provisions of

7-17  NRS 439B.300 [to 439B.340, inclusive,] , 439B.310 and 439B.330, if

7-18  applicable.

7-19    2.  The contracting county may participate in the enlargement or

7-20  alteration of the hospital.

7-21    Sec. 9. 1.  Before September 30, 2002, each county in which

7-22  hospitals subject to the provisions of NRS 439B.300, 439B.310 and

7-23  439B.330 are located shall provide to the department a report showing:

7-24    (a) The total number of inpatients treated during the fiscal year ending

7-25  on June 30, 2002, by each such hospital who are claimed by the hospital to

7-26  be indigent;

7-27    (b) The number of such patients for whom no reimbursement was

7-28  provided by the county because of the limitation imposed by subsection 3

7-29  of NRS 439B.320;

7-30    (c) The total amount paid to each such hospital for treatment of such

7-31  patients; and

7-32    (d) The amount the hospital would have received for patients for whom

7-33  no reimbursement was provided.

7-34    2.  The director shall verify the amount of treatment provided to

7-35  indigent inpatients during the fiscal year ending on June 30, 2002, by each

7-36  hospital to which no reimbursement was provided by:

7-37    (a) Determining the number of indigent inpatients who received

7-38  treatment. For a hospital that has contracted with the department pursuant

7-39  to subsection 4 of NRS 428.030, the director shall determine the number

7-40  based upon the evaluations of eligibility made by the employee assigned to

7-41  the hospital pursuant to the contract. For all other hospitals, the director

7-42  shall determine the number based upon the report submitted pursuant to

7-43  subsection 1 of this section.

7-44    (b) Multiplying the number of indigent inpatients who received each

7-45  type of treatment by the highest amount paid by the county for that

7-46  treatment.

7-47    (c) Adding the products of the calculations made pursuant to paragraphs

7-48  (a) and (b) for all treatment provided.


8-1  If the total amount of treatment provided by the hospital to indigent

8-2  inpatients during the fiscal year ending on June 30, 2002, was less than its

8-3  minimum obligation for the year, the director shall assess the hospital for

8-4  the amount of the difference between the minimum obligation and the

8-5  actual amount of treatment provided by the hospital to indigent inpatients.

8-6  If a decision of a county regarding the indigent status of one or more

8-7  inpatients is pending appeal before the director or upon receiving

8-8  satisfactory proof from a hospital that the decision is pending appeal before

8-9  a court having general jurisdiction in the county pursuant to NRS

8-10  439B.330, the director shall defer assessing the hospital the amount that

8-11  may be offset by the determination on appeal until a final determination of

8-12  the matter is made.

8-13    3.  If the director determines that a hospital has met its obligation to

8-14  provide treatment to indigent inpatients during the fiscal year ending on

8-15  June 30, 2002, he shall certify to the county in which the hospital is located

8-16  that the hospital has met its obligation. The county is not required to pay

8-17  the hospital for the costs of treating indigent inpatients for that fiscal year

8-18  until the certification is received from the director. The county shall pay

8-19  the hospital for such treatment within 30 days after receipt of the

8-20  certification to the extent that money was available for payment pursuant to

8-21  NRS 428.050, 428.285 and 450.425 at the time the treatment was provided.

8-22    4.  The director shall determine the amount of the assessment which a

8-23  hospital must pay pursuant to this section and shall notify the hospital in

8-24  writing of that amount on or before November 1, 2002. The notice must

8-25  include, but is not limited to, a written statement for each claim that is

8-26  denied indicating why the claim was denied. Payment is due 30 days after

8-27  receipt of the notice, except for assessments deferred pursuant to

8-28  subsection 2 that, if required, must be paid within 30 days after the court

8-29  hearing the appeal renders its decision. If a hospital fails to pay the

8-30  assessment when it is due, the hospital shall pay, in addition to the

8-31  assessment:

8-32    (a) Interest at a rate of 1 percent per month for each month after the

8-33  assessment is due in which it remains unpaid; and

8-34    (b) Any court costs and fees required by the director to obtain payment

8-35  of the assessment and interest from the hospital.

8-36    5.  Any money collected pursuant to this section must be paid to the

8-37  county in which the hospital paying the assessment is located for use in

8-38  paying other hospitals in the county for the treatment of indigent inpatients

8-39  by those hospitals. The money received by a county from assessments

8-40  made pursuant to this section does not constitute revenue from taxes ad

8-41  valorem for the purposes of NRS 354.59811, 428.050, 428.285 and

8-42  450.425, and must be excluded in determining the maximum rate of tax

8-43  authorized by those sections.

8-44    6.  For the purposes of this section:

8-45    (a) “Department” means the department of human resources;

8-46    (b) “Director” means the director of the department; and

8-47    (c) “Indigent” has the meaning ascribed to it in NRS 439B.310.


9-1    Sec. 10. The provisions of subsection 1 of NRS 354.599 do not apply

9-2  to any additional expenses of a local government that are related to the

9-3  provisions of this act.

9-4    Sec. 11. NRS 439B.320 and 439B.340 are hereby repealed.

9-5    Sec. 12. 1.  This section and sections 1, 2, 3 and 5 to 11, inclusive, of

9-6  this act become effective on July 1, 2002.

9-7    2.  Section 4 of this act becomes effective on July 1, 2003.

 

 

9-8  TEXT OF REPEALED SECTIONS

 

 

9-9    439B.320  Hospital required to provide care for proportionate

9-10   share of indigent patients; duties of department and board of count

9-11   commissioners; reimbursement for care.

9-12    1.  A hospital shall provide, without charge, in each fiscal year, care for

9-13   indigent inpatients in an amount which represents 0.6 percent of its net

9-14   revenue for the hospital’s preceding fiscal year.

9-15    2.  The department shall compute the obligation of each hospital for

9-16   care of indigent inpatients for each fiscal year based upon the net revenue

9-17   of the hospital in its preceding fiscal year and shall provide this

9-18   information to the board of county commissioners of the county in which

9-19   the hospital is located.

9-20    3.  The board of county commissioners shall maintain a record of

9-21   discharge forms submitted by each hospital located within the county,

9-22   together with the amount accruing to the hospital. The amount accruing to

9-23   the hospital for the care, until the hospital has met its obligation pursuant

9-24   to this section, is the highest amount the county is paying to any hospital

9-25   in the county for that care. Except as otherwise provided in subsection 2 of

9-26   NRS 439B.330, no payment for indigent care may be made to the hospital

9-27   until the total amount so accruing to the hospital exceeds the minimum

9-28   obligation of the hospital for the fiscal year, and a hospital may only

9-29   receive payment from the county for indigent care provided in excess of

9-30   its obligation pursuant to this section. After a hospital has met its

9-31   obligation pursuant to this section, the county may reimburse the hospital

9-32   for care of indigent inpatients at any rate otherwise authorized by law.

9-33    439B.340  Report on indigent patients treated; verification by

9-34   director; compensation for treatment provided in excess of obligation;

9-35   assessment for failure to fulfill minimum obligation.

9-36    1.  Before September 30 of each year, each county in which hospitals

9-37   subject to the provisions of NRS 439B.300 to 439B.340, inclusive, are

9-38   located shall provide to the department a report showing:

9-39    (a) The total number of inpatients treated by each such hospital who are

9-40   claimed by the hospital to be indigent;


10-1    (b) The number of such patients for whom no reimbursement was

10-2  provided by the county because of the limitation imposed by subsection 3

10-3   of NRS 439B.320;

10-4    (c) The total amount paid to each such hospital for treatment of such

10-5   patients; and

10-6    (d) The amount the hospital would have received for patients for whom

10-7   no reimbursement was provided.

10-8    2.  The director shall verify the amount of treatment provided to

10-9   indigent inpatients by each hospital to which no reimbursement was

10-10   provided by:

10-11  (a) Determining the number of indigent inpatients who received

10-12   treatment. For a hospital that has contracted with the department of human

10-13   resources pursuant to subsection 4 of NRS 428.030, the director shall

10-14   determine the number based upon the evaluations of eligibility made by

10-15   the employee assigned to the hospital pursuant to the contract. For all

10-16   other hospitals, the director shall determine the number based upon the

10-17   report submitted pursuant to subsection 1 of this section.

10-18  (b) Multiplying the number of indigent inpatients who received each

10-19   type of treatment by the highest amount paid by the county for that

10-20   treatment.

10-21  (c) Adding the products of the calculations made pursuant to paragraphs

10-22   (a) and (b) for all treatment provided.

10-23  If the total amount of treatment provided to indigent inpatients in the

10-24   previous fiscal year by the hospital was less than its minimum obligation

10-25   for the year, the director shall assess the hospital for the amount of the

10-26   difference between the minimum obligation and the actual amount of

10-27   treatment provided by the hospital to indigent inpatients. If a decision of a

10-28   county regarding the indigent status of one or more inpatients is pending

10-29   appeal before the director or upon receiving satisfactory proof from a

10-30   hospital that the decision is pending appeal before a court having general

10-31   jurisdiction in the county pursuant to subsection 4 of NRS 439B.330, the

10-32   director shall defer assessing the hospital the amount that may be offset by

10-33   the determination on appeal until a final determination of the matter is

10-34   made.

10-35  3.  If the director determines that a hospital has met its obligation to

10-36   provide treatment to indigent inpatients, he shall certify to the county in

10-37   which the hospital is located that the hospital has met its obligation. The

10-38   county is not required to pay the hospital for the costs of treating indigent

10-39   inpatients until the certification is received from the director. The county

10-40   shall pay the hospital for such treatment within 30 days after receipt of the

10-41   certification to the extent that money was available for payment pursuant

10-42   to NRS 428.050, 428.285 and 450.425 at the time the treatment was

10-43   provided.

10-44  4.  The director shall determine the amount of the assessment which a

10-45   hospital must pay pursuant to this section and shall notify the hospital in

10-46   writing of that amount on or before November 1 of each year. The notice

10-47   must include, but is not limited to, a written statement for each claim

10-48   which is denied indicating why the claim was denied. Payment is due 30

10-49   days after receipt of the notice, except for assessments deferred pursuant

10-50   to subsection 2 which, if required, must be paid within 30 days after the

10-51   court


11-1  hearing the appeal renders its decision. If a hospital fails to pay the

11-2  assessment when it is due the hospital shall pay, in addition to the

11-3   assessment:

11-4    (a) Interest at a rate of 1 percent per month for each month after the

11-5   assessment is due in which it remains unpaid; and

11-6    (b) Any court costs and fees required by the director to obtain payment

11-7   of the assessment and interest from the hospital.

11-8    5.  Any money collected pursuant to this section must be paid to the

11-9   county in which the hospital paying the assessment is located for use in

11-10   paying other hospitals in the county for the treatment of indigent inpatients

11-11   by those hospitals. The money received by a county from assessments

11-12   made pursuant to this section does not constitute revenue from taxes ad

11-13   valorem for the purposes of NRS 354.59811, 428.050, 428.285 and

11-14   450.425, and must be excluded in determining the maximum rate of tax

11-15   authorized by those sections.

 

11-16  H