Louisiana Senate Bill SCR131

Louisiana 2015 Regular Session

• Introduced: 6/4/15
• Refer: 6/4/15
• Report Pass: 6/5/15

Caption

Provides for a hospital stabilization formula. (OR INCREASE SD RV See Note)

Impact

The bill stipulates that the DHH will calculate and collect an assessment from hospitals to fund the reimbursement enhancements attributed to Medicaid expansion. The assessment would be limited to a percentage of each hospital's net patient revenue and is designed to mitigate the financial impact of uninsured patients on healthcare systems. By establishing a structured funding mechanism, SCR131 is projected to bolster hospital operations, improve service delivery, and ultimately protect public health, especially in underserved communities.

Summary

SCR131, established by Senator Claitor, proposes a hospital stabilization formula intended to enhance the stability of funding for inpatient and outpatient hospital services in Louisiana. The resolution aims to address various challenges faced by hospitals, particularly rural ones, and seeks to preserve the availability of healthcare services amid ongoing financial pressures. The formula includes provisions for assessments, which would allow the Department of Health and Hospitals (DHH) to gather funds needed for reimbursement enhancements tied to Medicaid expansion. If implemented correctly, the resolution aims to ensure that hospitals can effectively care for low-income and uninsured residents.

Sentiment

The sentiment around SCR131 appears mixed but leans towards support from healthcare advocates and rural hospital representatives who emphasize its potential to stabilize hospital funding. Legislators pushing for the bill highlight the necessity of such measures to ensure all citizens have access to essential healthcare services. However, there could be concerns from other legislators regarding the mechanics of funding and whether the assessments might impose additional costs that hospitals struggle to absorb in an already challenging environment. The anticipated benefits are seen as paramount against the backdrop of increasing healthcare costs.

Contention

A point of contention may arise related to the specifics of how assessments are calculated and collected, especially concerning their impact on smaller, rural hospitals. While the bill provides for exclusions for certain types of hospitals or those meeting designated criteria, there may still be apprehensions that smaller facilities might face undue financial burdens as a result of the assessments. Additionally, ensuring adequate savings from Medicaid expansion remains crucial. The bill's success largely hinges on the approval from the Joint Legislative Committee on the Budget, which could also spark debates on budget prioritizations within the medical assistance program.