Louisiana House Bill HB370

Louisiana 2020 Regular Session

• Introduced: 2/27/20
• Refer: 2/27/20
• Refer: 3/9/20

Caption

Provides for calculation of Medicaid per diem rates for certain intermediate care facilities for people with developmental disabilities (OR +$748,890 GF EX See Note)

Impact

The implementation of HB370 is expected to impact the funding structures for ICF/DD facilities across Louisiana. By establishing a framework for a four-bed peer group, the bill seeks to create a more consistent approach to Medicaid reimbursement for these facilities. Specifically, it requires the department to implement rules that will allow for the calculation of per diem rates in a manner aligned with federal Medicaid standards. This alignment is anticipated to lead to a more stable funding environment for facilities that support individuals with developmental disabilities, potentially allowing them to enhance their services.

Summary

House Bill 370 aims to provide a framework for the calculation of Medicaid per diem rates specifically for intermediate care facilities for people with developmental disabilities (ICF/DD). The bill mandates that the Louisiana Department of Health establish a four-bed peer group for these facilities to be used for rate calculation. This establishes a clear system that facilities can rely on for fair financial reimbursement as they comply with state regulations. The legislation intends to promote equity in Medicaid reimbursement and ensure facilities can remain operational while providing necessary care to residents.

Sentiment

The sentiment towards HB370 appears to be generally positive among supporters who advocate for the fair treatment of ICF/DD facilities and the residents they serve. Supporters argue that clearer regulations around Medicaid reimbursements will lead to better resource allocation and operational efficiency. However, there are concerns regarding the adequacy of funding as the bill may not address all financial challenges faced by these facilities. Overall, it appears that while there is optimism surrounding the bill's intentions, there is also a cautious acknowledgment of potential limitations in its implementation.

Contention

One key point of contention regarding HB370 is the adequacy of its proposed measures to fully address the various financial and operational challenges ICF/DD facilities face. Critics may argue that while the bill establishes a necessary framework for reimbursement, it does not guarantee sufficient funds to cover all operational costs incurred by facilities. Moreover, the retroactive payment provision, which allows for reimbursements backdated to a certain extent, raises questions about the sufficiency of available state funds and the sustainability of this approach amidst potential budget constraints.