OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sSB-989
AN ACT CONCERNING NONPROFIT PROVIDER RETENTION OF
CONTRACT SAVINGS, COMMUNITY HEALTH WORKER
MEDICAID REIMBURSEMENT AND STUDIES OF MEDICAID
RATES OF REIMBURSEMENT, NURSING HOME
TRANSPORTATION AND NURSING HOME WAITING LISTS.
As Amended by Senate "A" (LCO 8773), House "A" (LCO 10134)
House Calendar No.: 604
Senate Calendar No.: 326
Primary Analyst: ES 8/4/23
Contributing Analyst(s):
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 24 $ FY 25 $
Social Services, Dept. GF - Cost See Below See Below
Note: GF=General Fund
Municipal Impact: None
Explanation
Section 1 of the bill requires the Department of Social Services (DSS)
to conduct a two-part study of Medicaid rates of reimbursement, within
available appropriations, resulting in a cost of approximately $1 million
in FY 24 and $2 million in FY 25 to contract for the comprehensive study.
The study must include (1) an examination of rates for physician
specialists, dentists, and behavioral health providers, and (2) a review
of the reimbursement system for all other aspects of the Medicaid
program.
Section 2 requires state agencies that contract with a nonprofit
private provider organization for health and human services to allow
such nonprofit organization to retain any savings from a purchase of
service contract at the end of each fiscal year, after meeting certain 2023SB-00989-R02-FN.DOCX Page 2 of 2
requirements. This provision is not anticipated to result in a net fiscal
impact to the state.
Section 3 eliminates an OPM incentive program for nonprofit human
service providers, similar to the program established in Section 2.
Section 4 requires the Department of Social Services (DSS) to design
and implement a program to provide Medicaid reimbursement to
certified community health workers. This results in a cost to DSS, the
extent of which depends on the Medicaid rates to be established and the
utilization of services provided by community health workers.
Sections 5 – 6, which allow facilities to provide nonemergency
transportation to residents in certain circumstances and establish a
working group concerning nursing home waiting list requirements,
have no fiscal impact to the state.
Senate “A” strikes the language in the underlying bill and the
associated impact and results in a potential fiscal impact to the
Connecticut Health and Educational Facilities Authority (CHEFA).
House “A” strikes the language in the bill as amended by Senate A,
eliminating the associated impact to CHEFA, and results in the fiscal
impact described above.
The Out Years
The annualized ongoing fiscal impact identified above related to
Medicaid reimbursement to certified community health workers would
continue into the future subject to Medicaid rates and service utilization.
The cost for the study is not anticipated to be ongoing.
The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely
for the purposes of information, summarization and explanation and does not represent the intent of the General
Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of
informational sources, including the analyst’s professional knowledge. Whenever applicable, agency data is
consulted as part of the analysis, however final products do not necessarily reflect an assessment from any
specific department.