DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part of
the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of
the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Kleckley HB No. 533
Abstract: Creates the La. Medical Assistance Trust Fund as a constitutional fund; establishes
accounts within the fund to deposit provider fees; uses the accounts to provide
reimbursement for Medicaid services; and establishes a Medicaid base rate of
reimbursement for certain provider groups.
Present law (R.S. 46:2623 and 2625 and R.S. 22:842) creates the La. Medical Assistance Trust
Fund (MATF) and appropriates monies in the fund for use and expenditure under the supervision
of the secretary of the Dept. of Health and Hospitals for the Medicaid program. The fees
collected are from nursing facilities, intermediate care facilities for people with developmental
disabilities, prescriptions, medical transportation providers, and health care premium assessments
paid by Medicaid-enrolled managed care organizations.
Proposed constitutional amendment creates the La. MATF as a constitutional fund and provides
for the deposit of all proceeds from the fees collected as provided for in present law into the fund.
Proposed constitutional amendment establishes separate accounts within the fund for each health
care provider group in which fees are collected according to law and deposits the monies
collected from each provider group into the account created for that provider group. Any monies
deposited into the fund from sources not required by law are deposited into a general account.
The balance of each account can be appropriated for reimbursement of services to the provider
group which paid the fee into the account in any fiscal year, except monies deposited into the
general account may be appropriated for any Medicaid Program expenditure.
Proposed constitutional amendment requires the legislature to annually appropriate the funds
necessary to provide for Medicaid Program rates for each provider group which pays fees into the
fund that is no less than the average Medicaid Program rates established for FY 2013-2014 and
adjusted annually by establishing the rates of inflation, which rates shall not be negative, to be
applied to the base rates to establish the new base rates for the next fiscal year as authorized by
law.
Proposed constitutional amendment further provides for reductions to the base rate if the
reduction is consented to in writing by 2/3 of the elected members of each house in a manner
provided by law and does not exceed the average reduction of those made to the appropriations
for other providers under the Medicaid Program.
Provides for submission of the proposed amendment to the voters at the statewide election to be held Nov. 4, 2014.
(Adds Const. Art. VII, ยง10.13)
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Appropriations to the original
bill.
1. Deleted provision regarding partial appropriation from the accounts in the fund in
Fiscal Years 2013-2014 and 2014-2015.
2. Clarified that a base Medicaid rate is to be annually appropriated for the provider
groups paying fees into the fund and no longer specifies the appropriation from the
fund is the base rate.
3. Changed the provision regarding the authority for reduction from a reduction of
appropriation from the fund to a reduction of appropriation of the base rate.