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Regular Session, 2014
SENATE BILL NO. 355
BY SENATOR MILLS
FUNDS/FUNDING. Constitutional amendment to establish a budget stabilization program
for Medicaid programs, certain elderly services, rehabilitation services, and other health care
services. (2/3-CA13s1(A))
A JOINT RESOLUTION1
Proposing to add Article VII, Section 10.13 of the Constitution of Louisiana, relative to2
establishing a budget stabilization program for Medicaid programs, certain elderly3
services, rehabilitation services, and other health care programs; to provide for4
establishing annual appropriations necessary to fund certain health care programs;5
to provide procedures for the legislature to adjust appropriations in order to eliminate6
a projected deficit; and to specify an election for submission of the proposition to7
electors and provide a ballot proposition.8
Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members9
elected to each house concurring, that there shall be submitted to the electors of the state of10
Louisiana, for their approval or rejection in the manner provided by law, a proposal to add11
Article VII, Section 10.13 of the Constitution of Louisiana, to read as follows:12
ยง10.13. Budget stabilization program for Medicaid programs, certain elderly13
programs, rehabilitation services, and other health care programs14
(A)(1) The legislature shall annually appropriate the funds necessary to15
provide for Medicaid program rates to provider groups, excluding those16
provider groups that pay fees or assessments that are deposited into a special17 SB NO. 355
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fund established in this constitution, which Medicaid program rates shall be no1
less than the average Medicaid program rates established for Fiscal Year 2013-2
2014. The Medicaid program rates may be adjusted annually by establishing the3
rates of inflation, or rebasing, if applicable, or as otherwise provided by law.4
The inflation rate adjustments shall not be negative. For the purposes of this5
Section, "Medicaid program" shall refer to the Louisiana medical assistance6
program provided for in Title XIX of the Social Security Act, or its successor.7
(2) Notwithstanding Article VII, Section 10(F) of this constitution,8
neither the governor nor the legislature may reduce the rates as provided for9
in this Paragraph to eliminate a budget deficit, except the governor may reduce10
the appropriation for the rates if the following occur:11
(a) The reduction does not exceed the average reduction made to the12
appropriations and reimbursements for other providers under the Medicaid13
program, or its successor; and14
(b)(i) If the legislature is in session, the reduction shall receive written15
consent of two-thirds of the elected members of each house in the manner16
provided by law; or17
(ii) If the legislature is not in session, the reduction is approved by a18
favorable vote of two-thirds of the members of the Joint Legislative Committee19
on the Budget, or its successor.20
(B)(1) The legislature shall annually appropriate the funds necessary to21
provide funding for any health care agency operated under the purview of the22
Department of Health and Hospitals, or its successor, rehabilitation services23
operated or managed by the Louisiana Workforce Commission, or its successor,24
or elderly services program operated or managed by the Governor's Office of25
Elderly Affairs, or its successor, that is not less than the appropriation for those26
agencies in Fiscal Year 2013-2014. For the purpose of this Section, "health care27
agency" shall refer to the agencies that are under the purview of the28
Department of Health and Hospitals, or its successor, and shall exclude the29 SB NO. 355
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Medicaid program.1
(2) Notwithstanding the provisions of Article VII, Section 10(F) of this2
constitution, neither the governor nor the legislature may reduce the3
appropriations for any health care agency operated under the purview of the4
Department of Health and Hospitals, or its successor, rehabilitation services5
agency operated or managed by the Louisiana Workforce Commission, or its6
successor, or elderly services program operated or managed by the Governor's7
Office of Elderly Affairs, or its successor, to satisfy a budget deficit, except the8
governor may reduce the appropriations if the following occur:9
(a) The reductions are proportionally equivalent among all agencies10
provided for in Paragraphs A and B of this Section, and;11
(b)(i) If the legislature is in session, the reductions receive written12
consent of two-thirds of the elected members of each house in a manner13
provided by law; or14
(ii) If the legislature is not in session, the reductions are approved by a15
favorable vote of two-thirds of the members of the Joint Legislative Committee16
on the Budget, or its successor.17
Section 2. Be it further resolved that this proposed amendment shall be submitted18
to the electors of the state of Louisiana at the statewide election to be held on November 4,19
2014.20
Section 3. Be it further resolved that on the official ballot to be used at said election21
there shall be printed a proposition, upon which the electors of the state shall be permitted22
to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as23
follows:24
Do you support an amendment to establish a budget stabilization program for25
Medicaid programs, certain non-Medicaid health care programs operated26
under the purview of the Department of Health and Hospitals, elderly27
programs, and rehabilitation services; provide for annual appropriation levels28
for such programs, and provide for adjusting such appropriations in the event29 SB NO. 355
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of a budget deficit in the current year or for the ensuing fiscal year?1
(Adds Art. VII, Section 10.13)2
The original instrument was prepared by Jay Lueckel. The following digest,
which does not constitute a part of the legislative instrument, was prepared
by Martha Hess.
DIGEST
Mills (SB 355)
Proposed constitutional amendment provides for the stabilization of the budget for the
Medicaid program, other Department of Health and Hospitals agencies and facilities, and
the Louisiana Workforce Commission's rehabilitation services program.
Proposed constitutional amendment requires the legislature to annually appropriate the funds
necessary to provide for Medicaid program reimbursement rates to providers, excluding the
rates for provider groups that pay fees or assessments that are deposited in fund established
by constitution, that are no less than the average Medicaid program rates established for FY
2013-2014. Further, the proposed constitutional amendment provides that Medicaid program
reimbursement rates may be adjusted annually by inflation or rebasing and such adjustments
shall not be negative.
Proposed constitutional amendment also provides for reductions in Medicaid program
reimbursement rates to satisfy a budget deficit only if the following occur:
(1)The reduction does not exceed the average reduction of those made to the
appropriations and reimbursements for other providers under the Medicaid program;
and
(2)If the legislature is in session, the reduction shall receive written consent of
two-thirds of the elected members of each house in a manner provided by law, or if
the legislature is not in session, the reduction is approved by a favorable vote of
two-thirds of the members of the Joint Legislative Committee on the Budget.
Proposed constitutional amendment requires the legislature to annually appropriate the funds
necessary to provide funding for the Department of Health and Hospitals' agencies and
Louisiana Workforce Commission's rehabilitation services that is no less than the
appropriation for these agencies and services in FY 2013-2014.
Proposed constitutional amendment further provides for reductions to the appropriation for
these health care and rehabilitation programs to satisfy a budget deficit only if the following
occur:
(1)The reductions are proportionally equivalent among all agencies provided for the
constitutional amendment; and
(2)If the legislature is in session, the reductions receive written consent of two-thirds
of the elected members of each house in a manner provided by law, or if the
legislature is not in session, the reduction is approved by a favorable vote of
two-thirds of the members of the Joint Legislative Committee on the Budget.
Specifies submission of the amendment to the voters at the statewide election to be held
November 4, 2014.
(Adds Const. Art. VII, Sec. 10.13) SB NO. 355
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Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Finance to the original
bill
1. Technical amendments.