HLS 19RS-3545 ORIGINAL 2019 Regular Session HOUSE RESOLUTION NO. 282 BY REPRESENTATIVES THOMAS, BILLIOT, TERRY BROWN, CARMODY, FALCONER, MARINO, STEFANSKI, WHITE, AND WRIGHT HEALTH CARE/FACILITIES: Requests the La. Department of Health to establish a four- bed peer group for intermediate care facilities for people with developmental disabilities 1 A RESOLUTION 2To urge and request the Louisiana Department of Health to establish a four-bed peer group 3 for intermediate care facilities for people with developmental disabilities for the 4 purpose of Medicaid reimbursement rate calculation for those facilities. 5 WHEREAS, intermediate care facilities for people with developmental disabilities, 6referred to hereafter as "ICF/DD", are facilities that provide services to individuals with 7developmental or intellectual disabilities who require twenty-four hours of care per day in 8community, group, or residential home settings; and 9 WHEREAS, ICF/DDs are licensed and regulated by the Louisiana Department of 10Health (LDH) in accordance with the provisions of R.S. 40:2180 et seq.; and 11 WHEREAS, under Louisiana's Medicaid state plan, ICF/DDs are grouped by number 12of beds in resident rooms in a system known as peer group classification which is utilized 13for purposes of calculating Medicaid reimbursement rates paid to the respective facilities; 14and 15 WHEREAS, Louisiana's current ICF/DD peer groups are one-to-eight beds, nine-to- 16fifteen beds, sixteen-to-thirty-two beds, and thirty-three or more beds; and 17 WHEREAS, Alexander Milne Developmental Services, known commonly as 18"Milne", is a nonprofit organization that has provided services to people with intellectual and 19developmental disabilities for over one hundred twenty years and was this state's first 20community-based provider of such services; and Page 1 of 3 HLS 19RS-3545 ORIGINAL HR NO. 282 1 WHEREAS, after Hurricane Katrina irreparably damaged the New Orleans 2residential facility that Milne had operated in the Gentilly neighborhood since 1913, Milne 3and LDH agreed to a memorandum of understanding under which Milne would build and 4operate four-bed group homes and participate in the Louisiana Medicaid program; and 5 WHEREAS, while its residents remained in Laurel, Mississippi, where they 6evacuated after the 2005 hurricane and where Milne acquired a former healthcare facility for 7use as a temporary home, Milne worked to reestablish an ICF/DD in Louisiana and opened 8its current residential community outside of Covington in April of 2015; however, this 9community of four-bed group homes was placed in the one-to-eight-bed peer group for 10Medicaid reimbursement purposes, causing Milne to be reimbursed below its costs for 11providing services to its residents; and 12 WHEREAS, Milne has provided services to people with developmental and 13intellectual disabilities since 2015 at a significant financial loss; and 14 WHEREAS, the establishment of a four-bed ICF/DD peer group by LDH would help 15to ensure the viability of providers such as Milne, as well as any other provider similarly 16situated on the date of filing of this Resolution, which developed four-bed group homes 17pursuant to an agreement with the department, became licensed by the department to operate 18four-bed group homes, and now furnish high-quality institutional-level care in four-bed 19group home settings. 20 THEREFORE, BE IT RESOLVED that the House of Representatives of the 21Legislature of Louisiana does hereby urge and request the Louisiana Department of Health 22to establish a four-bed peer group for intermediate care facilities for people with 23developmental disabilities for the purpose of Medicaid reimbursement rate calculation for 24those facilities. 25 BE IT FURTHER RESOLVED that the department shall promulgate rules and 26regulations in accordance with the Administrative Procedure Act to provide for the ICF/DD 27peer group called for in this Resolution and shall file a state plan amendment with the 28Centers for Medicare and Medicaid Services to amend the Medicaid state plan as necessary 29to establish this peer group. Page 2 of 3 HLS 19RS-3545 ORIGINAL HR NO. 282 1 BE IT FURTHER RESOLVED that the rules of the department and Medicaid state 2plan shall ensure that four-bed ICF/DDs receive a fair allocation of the Medicaid share of 3facility-specific costs directly incurred by such facilities as a result of their compliance with 4the department's licensing of four-bed homes, and that payment of such costs be made 5retroactive to the earliest date allowed by law. 6 BE IT FURTHER RESOLVED that the department shall submit the Medicaid state 7plan amendment required by this Resolution to the Centers for Medicare and Medicaid 8Services no later than December 1, 2019. 9 BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the 10secretary of the Louisiana Department of Health. 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)] HR 282 Original 2019 Regular Session Thomas Urges and requests the La. Department of Health to establish a four-bed peer group for intermediate care facilities for people with developmental disabilities for the purpose of Medicaid reimbursement rate calculation for those facilities. Page 3 of 3