The legislation proposes to increase the Medicaid reimbursement rates for various types of adult care homes and adult day programs beginning July 1, 2024. Specifically, it outlines adjustments to the reimbursement rates for type I and II adult residential care homes, licensed developmental disabilities domiciliary homes, community care foster family homes, and certified adult foster homes. Additionally, it details the reimbursement rates for adult day care centers and adult day health centers. The funding adjustments aim to ensure these facilities can continue to operate effectively while providing essential services to the community.
SB3224, relating to care homes, is a bill aimed at improving service provisions for adult residential care homes in Hawaii. These facilities serve vulnerable adult populations, including the elderly and disabled, by providing twenty-four-hour accommodations and assistance in daily living activities without the need for acute medical services. This bill seeks to enhance the sustainability and support of these care homes by addressing long-standing funding issues related to Medicaid reimbursement rates, which have remained unchanged for the past fifteen years.
There are concerns around the bill's financial implications for the state budget, as the appropriations required to increase funding for these programs will exceed the state general fund expenditure ceiling for the fiscal year 2024-2025. Lawmakers will have to navigate these financial challenges while maintaining support for vulnerable populations dependent on long-term care solutions. The balance between ensuring sustainable care provisions and adhering to fiscal responsibilities is likely to be a point of discussion among stakeholders.