1 of 1 SENATE DOCKET, NO. 981 FILED ON: 1/18/2023 SENATE . . . . . . . . . . . . . . No. 772 The Commonwealth of Massachusetts _________________ PRESENTED BY: Jason M. Lewis _________________ To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General Court assembled: The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: An Act to continue enhanced Medicaid hospital payments. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :Jason M. LewisFifth Middlesex 1 of 3 SENATE DOCKET, NO. 981 FILED ON: 1/18/2023 SENATE . . . . . . . . . . . . . . No. 772 By Mr. Lewis, a petition (accompanied by bill, Senate, No. 772) of Jason M. Lewis for legislation relative to the calculation of reimbursement rates to disproportionate share hospitals. Health Care Financing. [SIMILAR MATTER FILED IN PREVIOUS SESSION SEE SENATE, NO. 796 OF 2021-2022.] The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ An Act to continue enhanced Medicaid hospital payments. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Chapter 118E of the General Laws is hereby amended by inserting the 2following new section:- 3 Section XX (a) The executive office shall direct monthly payments to eligible hospitals in 4the form of enhanced Medicaid payments, supplemental payments or other appropriate 5mechanism. Each payment made to an eligible hospital shall equal 5 per cent of the eligible 6hospital’s average monthly Medicaid payments, as determined by the executive office, for 7inpatient and outpatient acute hospital services for the preceding year or the most recent year for 8which data is available; provided, however, that such enhanced Medicaid payments shall not be 9used in subsequent years by the secretary to calculate an eligible hospital’s average monthly 2 of 3 10payment; and provided further, that such payments shall not offset existing Medicaid payments 11for which an eligible hospital may be qualified to receive. 12 (b) The executive office may require as a condition of receiving payment any such 13reasonable condition of payment that the secretary determines necessary to ensure the 14availability, to the extent possible, of federal financial participation for the payments, and the 15executive office may incur expenses and the comptroller may certify amounts for payment in 16anticipation of expected receipt of federal financial participation for the payments. 17 (c) The executive office may promulgate regulations as necessary to carry out this 18section. 19 (d) For the purposes of this section “eligible hospital” shall mean a non-profit or 20municipal acute care hospital licensed under section 51 of chapter 111 that: (i) has a statewide 21relative price less than 0.90, as calculated by the center for health information and analysis 22pursuant to section 10 of chapter 12C according to data from the most recent available year; (ii) 23has a public payer mix equal to or greater than 60 per cent, as calculated by the center for health 24information and analysis according to data from the most recent available year; and (iii) is not 25owned, financially consolidated or corporately affiliated with a provider organization, as defined 26by section 1 of chapter 6D, that: (A) owns or controls 2 or more acute care hospitals licensed 27under section 51 of chapter 111; and (B) the total net assets of all affiliated acute care hospitals 28within the provider organization is greater than $600,000,000, as calculated by the center for 29health information and analysis according to data from the most recent available year. 3 of 3 30 (e) For the purposes of subsection (d), a hospital’s mere clinical affiliation with a 31provider organization, absent ownership, financial consolidation or corporate affiliation, shall not 32disqualify an eligible hospital from payments authorized under this section.