Req. No. 9578 Page 1 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
STATE OF OKLAHOMA
2nd Session of the 58th Legislature (2022)
HOUSE BILL 3334 By: Fugate
AS INTRODUCED
An Act relating to Medicaid funding; defining terms;
imposing duty on Oklahoma Health Care Authority;
requiring computation of assessment amount by certain
employers; requiring remittance of assessment to
Oklahoma Tax Commission; providing for report due
date; providing for interest and penalty for
delinquent payments; providing for enforcement
methods; requiring transfer of funds by Oklaho ma Tax
Commission to the Oklahoma Health Care Authority;
providing for expenditure of funds; providing for
codification; providing an effecti ve date; and
declaring an emergency.
BE IT ENACTED BY THE PEOPL E OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 750001 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. As used in this section:
1. "Assessment" means the amount required to be paid by an
employer to the Oklahoma Ta x Commission representing the state share
of Medicaid program costs for an employee as defined b y this act;
Req. No. 9578 Page 2 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
2. "Employee" means any person eighteen (18) years of age or
older to whom wages subject to f ederal or state withhol ding tax are
paid by an employer for services performed on behalf of and which
benefit the employer;
3. "Employer" means any corporation, partnership, limited
partnership, limited liability limited partnershi p, limited
liability company, or other lawfully recognized business entity
doing business in th e state, but not having its head quarters or
principal place of business within the state and paying wages to at
least twenty-five (25) employees, and which pays wages to one or
more employees in an amount that causes the employee to qualify for
participation in the Medicaid program;
4. "Medicaid-eligible employee" means a person employed by an
employer who, for any applicable period of time that the employer is
subject to assessment pur suant to the provisions of this act,
qualifies for any form of assistance in a Medicaid progra m managed
or offered by the State of Oklahoma or any of its agencies,
departments, commissions, or other units of state or local
government;
5. "Per capita Medicaid cost" means the amount determined
annually by the Oklahoma He alth Care Authority representing the
total cost for the State of Oklahoma to administ er its Medicaid
program divided by a population of persons, to be determined by the
Oklahoma Health Care Authority, fairly representing the number of
Req. No. 9578 Page 3 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
adult persons who qualify for Medic aid for the applicable calendar
year based on the best informati on available to the Authority at the
time the Authority is required to communicat e the per capita
Medicaid cost amount to employers as required by this act;
B. An employer shall not be subject to an assessment pursuant
to the provisions of this act until a period of one hundred eighty
(180) days from the date of its first business operations within the
state or with respect to a business conducting operations within the
state prior to the effective date of this act within one hundred
eighty (180) days from the effective date of this act.
C. An employer subject to the provisions of this act shall be
liable for the amount of the state portion of Medicaid expense with
respect to a Medicaid-eligible employee.
D. The Oklahoma Health Care Authority shall determine a per
capita cost for the state Medicaid program for each fiscal year and
shall publish the per capita cost f igure on the Oklahoma Health Care
Authority website so that it is readily acce ssible to employers.
Such per capita cost figures shall be released not later than
January 31 each year and shall govern the computation of the
assessment imposed pursu ant to the provisions of this ac t for the
entire calendar year.
E. The employer shall determine the total number of its
Medicaid-eligible employees each quarter and shall multiply the per
Req. No. 9578 Page 4 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
capita cost dollar amount by the total number of its Medicaid-
eligible employees for such quarter .
F. The employer shall compute the amount of the Medicaid cost
share assessment and remit the required amount to the Oklahoma Tax
Commission no later than the tenth day following the end of each
calendar quarter with respect to all o f the Medicaid-eligible
employees.
G. If the full amount of the assessment is not remitted, the
Oklahoma Tax Commission shall make an assessment of the unpaid
amount, together with interest as provided by the Uniform Tax
Procedure Code and a penalty equal to ten percent (10%) of the
principal amount of the asse ssment and if not pai d within thirty
(30) days from the date of the assessment, the entire amount shall
become final and absolute. The Tax Commission may use any method
for collection of the unpaid assessment, interest, or penalty as
provided by law for the payment of a state tax liability.
H. The Tax Commission shall hold the assessment , together with
interest and penalty, in a clearing account established for such
purpose. Not later than ten (10) days after each quarterly
reporting and remittance date, the Tax Commission shall transmit the
balance in the clearing account to the Oklahoma Health Care
Authority.
Req. No. 9578 Page 5 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
I. The Oklahoma Health Care Authority shall use the proceeds
from the assessment to offset the state share of M edicaid program
costs each fiscal ye ar.
SECTION 2. This act shall become effective July 1, 2022.
SECTION 3. It being immediately necessary for the preservation
of the public peace, health or safety, an emergency is hereby
declared to exist, by reason whereo f this act shall take effect and
be in full force from and after its passage and approval.
58-2-9578 MAH 01/19/22