New Hampshire Senate Bill SB412

New Hampshire 2022 Regular Session

• Introduced: 12/23/21
• Refer: 12/23/21
• Report Pass: 1/26/22
• Engrossed: 3/23/22
• Refer: 3/23/22
• Report Pass: 4/27/22
• Enrolled: 6/7/22
• Chaptered: 6/22/22
• Passed: 6/22/22

Caption

Making an appropriation to the department of health and human services for nursing home reimbursement rates.

Impact

The enactment of SB412 is poised to significantly impact state laws related to healthcare financing and nursing home operations. By guaranteeing a higher reimbursement rate, the bill aims to improve the quality of care provided to residents in nursing homes. Additionally, the fiscal note suggests an anticipated indeterminable increase in revenue for counties that operate nursing homes due to these higher reimbursement rates. However, a challenge may arise if the Department of Health and Human Services concludes that the allocated budget is insufficient, requiring further funding hallmarks a system dependent on state fiscal health and prioritization of healthcare funding.

Summary

SB412, also known as an act making an appropriation to the Department of Health and Human Services for nursing home reimbursement rates, is designed to address the financial sustainability of nursing homes within the state. The bill mandates that the department establishes new nursing home reimbursement rates, ensuring that the average daily rates across all facilities will be no less than 105% of the rates that were in effect as of June 30, 2021. Additionally, these new rates will be retroactive to July 1, 2021, which aims to relieve financial pressures on nursing facilities during the interim period. As part of the enactment, a conditional appropriation of up to $5 million is provided should existing budgeted appropriations not be adequate to cover the revised rates.

Sentiment

The sentiment among stakeholders appears to be cautiously optimistic, recognizing the necessary support for nursing homes, which often operate on narrow margins. This bill is viewed positively by healthcare advocates and nursing home operators who see it as a much-needed support measure in a sector facing financial challenges exacerbated by rising operational costs. Conversely, concerns surround the appropriations process and the potential for budget shortfalls, which could complicate the viability of the reimbursement increase and the sustainability of nursing home operations in the long term.

Contention

One notable point of contention is the reliance on the possibility of a supplemental appropriation should the budget not suffice. The potential for additional funding from state coffers has raised questions about fiscal prioritization regarding health services vis-a-vis other state needs. Stakeholders may worry about the implications of setting a precedent for further appropriations tied to healthcare reimbursements, which could spark debate on budget allocations for different sectors. This dynamic underscores tensions between funding healthcare adequately while managing the broader state budget effectively.