SLS 13RS-1977 ORIGINAL Page 1 of 3 Regular Session, 2013 SENATE CONCURRENT RESOLUTI ON NO. 81 BY SENATOR THOMPSON AND REPRESENTATI VE MONTOUCET MEDICAID. Authorizes and directs the secretary of the Department of Health and Hospitals to submit a Section 1115 Medicaid demonstration waiver to the Centers for Medicare and Medicaid Services. A CONCURRENT RESOLUTI ON1 To authorize and direct the secretary of the Department of Health and Hospitals to submit2 to the Centers of Medicare and Medicaid Services on or before September 1, 2013,3 a Section 1115 Medicaid demonstration waiver that will allow the use of costs not4 otherwise matchable authority to receive federal matching funds for designated state5 and local health programs and to reinvest freed up state funds into the Medicaid6 program.7 WHEREAS, the current state general budget deficit projected for state Fiscal Year8 2013-2014 is approximately one billion three hundred million dollars; and9 WHEREAS, the largest expenditure of funds in the state budget for the state fiscal10 year is the Medicaid program (Schedule 09-306 of HB 1 of the 2013 Regular Session of the11 Legislature); and12 WHEREAS, the federal medical assistance percentage for the Medicaid program has13 dropped significantly from approximately seventy-two percent to approximately sixty-three14 percent in the upcoming state fiscal year necessitating the infusion of additional state general15 funds to make up for the loss of federal matching funds; and16 WHEREAS, even such a large expenditure of state general funds to the Medicaid17 program budget does not restore the significant budget reductions imposed on Medicaid18 SCR NO. 81 SLS 13RS-1977 ORIGINAL Page 2 of 3 providers over the past several years; and1 WHEREAS, the huge expenditure of state general funds into the Medicaid program2 adversely affects other state programs, such as higher education; and3 WHEREAS, an alternate means of financing must be developed to ensure the4 continued viability of the Medicaid program; and5 WHEREAS, the Centers for Medicare and Medicaid Services in the Department of6 Health and Human Services is authorized under federal law to allow for changes in a state's7 Medicaid program that allow the use of non-state public funds in lieu of direct state general8 funds to finance the state's portion of Medicaid program costs; and9 WHEREAS, the means to allow such changes is through a waiver to a state of10 otherwise applicable federal law and regulations under Section 1115 of the Social Security11 Act, otherwise known as a Section 1115 Medicaid demonstration waiver; and12 WHEREAS, other states have been granted Section 1115 waivers that allow the use13 of costs not otherwise matchable to receive federal matching funds for designated state and14 local health programs that are currently funded by state and local governments; and15 WHEREAS, these programs use already existing state and local funds to draw down16 federal matching funds, thereby reducing the amount of state general funds needed to fund17 the Medicaid program; and18 WHEREAS, the state of Louisiana seeks to ensure the efficient delivery of the19 highest quality health care for its citizens through the establishment of a delivery system20 incentive program under a Section 1115 waiver; and21 WHEREAS, all hospitals and other health care providers may participate in the22 delivery incentive program, including rural and critical access hospitals.23 THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby24 authorize and direct the secretary of the Department of Health and Hospitals to submit to the25 Centers of Medicare and Medicaid Services on or before September 1, 2013, a Section 111526 Medicaid demonstration waiver that will allow the use of costs not otherwise matchable27 authority to receive federal matching funds for designated state and local health programs28 and to reinvest freed up state funds into the Medicaid program.29 BE IT FURTHER RESOLVED that the Section 1115 waiver request should preserve30 SCR NO. 81 SLS 13RS-1977 ORIGINAL Page 3 of 3 current upper payment limit funding.1 BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the2 secretary of the Department of Health and Hospitals.3 The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Christopher D. Adams. DIGEST Thompson SCR No. 81 Authorizes and directs the secretary of the Department of Health and Hospitals to submit to the Centers of Medicare and Medicaid Services on or before September 1, 2013, a Section 1115 Medicaid demonstration waiver that will allow the use of costs not otherwise matchable authority to receive federal matching funds for designated state and local health programs and to reinvest freed up state funds into the Medicaid program.