SLS 18RS-368 ENGROSSED 2018 Regular Session SENATE BILL NO. 146 BY SENATOR MILLS HEALTH CARE. Provides relative to health care emergency visit alternative treatment reimbursement. (8/1/18) 1 AN ACT 2 To enact Subpart E of Part 1 of Chapter 5-E of Title 40 of the Louisiana Revised Statutes of 3 1950, to be comprised of R.S. 40:1248, relative to health care emergency visit 4 alternative treatment reimbursement; to provide for participation eligibility; to 5 provide for graduated benchmarks and enhanced reimbursement rate percentages; 6 to provide for funding; to provide for exclusions; to provide for rulemaking; and to 7 provide for related matters. 8 Be it enacted by the Legislature of Louisiana: 9 Section 1. Subpart E of Part 1 of Chapter 5-E of Title 40 of the Louisiana Revised 10 Statutes of 1950, comprised of R.S. 40:1248, is hereby enacted to read as follows: 11 SUBPART E. EMERGENCY VISIT ALTERNATIVE 12 TREATMENT REIMBURSEMENT 13 ยง1248. Emergency visit alternative treatment reimbursement; eligibility; 14 benchmarks; rates 15 A. The Louisiana Department of Health shall implement an emergency 16 visit alternative treatment reimbursement methodology for all Medicaid patient 17 clinic visits that shall provide enhanced Medicaid reimbursement to hospitals Page 1 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 146 SLS 18RS-368 ENGROSSED 1 that: 2 (1) Operate an urgent care or primary care clinic that predominantly 3 treats Medicaid recipients and has a triage system in place to appropriately 4 transition patient care from the emergency department to the urgent care or 5 primary care clinic. 6 (2) Provide attestation annually of transitions of Medicaid patient care 7 from emergency department volume to the hospital urgent care or primary care 8 clinic. 9 B. Any hospital that complies with the provisions set forth in Subsection 10 A of this Section shall receive an enhanced reimbursement rate for the 11 professional services provided by the hospital urgent care or primary care clinic 12 in accordance with the following graduated schedule: 13 (1) A hospital that successfully demonstrates at least a twenty percent 14 transition in Medicaid patient volume from the emergency department to the 15 hospital urgent care or primary care clinic within the first year of participation 16 shall receive an enhanced professional service reimbursement rate of thirty 17 percent. 18 (2) A hospital that successfully demonstrates at least a forty percent 19 transition in Medicaid patient volume from the emergency department to the 20 hospital urgent care or primary care clinic within the first two years of 21 participation shall receive an enhanced professional service compounded 22 reimbursement rate of thirty percent. 23 (3) A hospital that successfully demonstrates at least a fifty percent 24 transition in Medicaid patient volume from the emergency department to the 25 hospital urgent care or primary care clinic within the first three years of 26 participation shall receive an enhanced professional service compounded 27 reimbursement rate of thirty percent. 28 C. Funding for the provisions of Subsection B of this Section shall in part 29 come from a reduction in emergency department expenditures for hospitals that Page 2 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 146 SLS 18RS-368 ENGROSSED 1 treat Medicaid patient cases in the urgent care or primary care clinic. 2 D. Any hospital that advertises wait times or allows for advance 3 appointment scheduling for the hospital emergency department shall not be 4 eligible for enhanced professional service reimbursement as provided for in this 5 Section. 6 E. The department shall promulgate rules and regulations, in accordance 7 with the Administrative Procedure Act, to implement the provisions of this 8 Section. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Christine Arbo Peck. DIGEST SB 146 Engrossed 2018 Regular Session Mills Proposed law establishes an enhanced Medicaid reimbursement rate for hospitals that triage Medicaid patients presenting at the hospital emergency department to a hospital urgent care or primary care clinic when such transition is appropriate. Proposed law provides for an attestation by the hospital of the percentage of emergency department volume that was successfully transitioned to the urgent care or primary care clinic. Proposed law provides for a graduated benchmark over the course of three years where a hospital could earn enhanced reimbursement in the amount of 30% for professional services provided by the hospital for each year of achieving the benchmark reductions in volume. Proposed law provides that hospitals that advertise wait times or allow for advance appointment scheduling for emergency department visits and hospitals that do not predominantly treat Medicaid recipients in their urgent care or primary care clinic are not eligible for the enhanced reimbursement rate. Proposed law provides that funding for the enhanced rate comes in part from the savings achieved by paying for fewer costly emergency department visits. Proposed law authorizes LDH to promulgate rules to implement proposed law. Effective August 1, 2018. (Adds R.S. 40:1248) Summary of Amendments Adopted by Senate Committee Amendments Proposed by Senate Committee on Health and Welfare to the original bill 1. Includes primary care clinic as a recognized option, along with urgent care clinic, to transition a Medicaid patient to when appropriate. Page 3 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 146 SLS 18RS-368 ENGROSSED 2. Clarifies that the enhanced reimbursement is for professional services provided by the hospital. 3. Deletes the word nonemergent. Page 4 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.