Louisiana 2020 2020 Regular Session

Louisiana House Bill HCR5 Comm Sub / Analysis

                    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)]
HCR 5 Original	2020 Regular Session	Schexnayder
Provides for a hospital stabilization formula pursuant to Art. VII, ยง10.13 of the Constitution of La.,
including assessments and reimbursement enhancements. 
Requires the La. Dept. of Health (LDH) to calculate, collect, and levy an assessment from hospitals
not to exceed the lesser of one of the following:
(1)The state portion of the cost of the reimbursement enhancements from the payment for
healthcare services through the implementation of Medicaid expansion which are directly
attributable to payments to hospitals, excluding any federal financial participation and
supplemental Medicaid payments. 
(2)1% of the total net patient revenue of all hospitals included in the assessment, as reported in
the Medicare cost report ending in state FY 2015.
Provides for the assessment if the following occur:
(1)The applicable federal financial participation for newly eligible Medicaid recipients under
Medicaid expansion is less than 100%.
(2)LDH submits a Medicaid assessment report to the Joint Legislative Committee on the
Budget.
Provides for reimbursement enhancements as follows:
(1)Payment for healthcare services through the implementation of Medicaid expansion. 
(2)Payment of hospital reimbursement rates in an amount no less than the reimbursement rates
in effect for dates of service on or after Jan. 1, 2020, with the exception of certain exclusions.
(3)For dates of service on or after Jan. 1, 2020, inpatient hospital services and outpatient
hospital surgery services reimbursement rates increased by an amount equal to the "Four-
quarter Moving Average Percent Change" of the CMS  Market Basket Index for Inpatient
Hospital for the second quarter of the federal FY 2021 as published by CMS on December
9, 2019.
Requires LDH to quarterly publish a report that includes total Medicaid enrollment, average monthly Medicaid managed care premium rates, aggregate claims by provider, and the total amount of
hospital claims by hospital.