| 1 | 1 | | |
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| 2 | 2 | | SENATE BILL 403 |
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| 3 | 3 | | By Lamar |
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| 4 | 4 | | |
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| 5 | 5 | | HOUSE BILL 435 |
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| 6 | 6 | | By Jones J |
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| 7 | 7 | | |
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| 8 | 8 | | |
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| 9 | 9 | | HB0435 |
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| 10 | 10 | | 000075 |
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| 11 | 11 | | - 1 - |
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| 12 | 12 | | |
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| 13 | 13 | | AN ACT to amend Tennessee Code Annotated, Title 9, |
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| 14 | 14 | | Chapter 8; Title 16; Title 18; Title 20; Title 21; Title |
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| 15 | 15 | | 27; Title 28; Title 29; Title 33; Title 45; Title 47; |
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| 16 | 16 | | Title 63; Title 68 and Title 71, relative to healthcare |
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| 17 | 17 | | costs. |
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| 18 | 18 | | |
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| 19 | 19 | | BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE: |
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| 20 | 20 | | SECTION 1. Tennessee Code Annotated, Title 68, Chapter 11, Part 2, is amended by |
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| 21 | 21 | | adding the following as a new section: |
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| 22 | 22 | | (a) As used in this section, "uncompensated care" means healthcare services |
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| 23 | 23 | | rendered by a facility for which no payment was received from the patient or on behalf of |
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| 24 | 24 | | the patient. |
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| 25 | 25 | | (b) A facility that accepts public funds as compensation for losses due to |
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| 26 | 26 | | providing uncompensated care shall ensure that an amount of outstanding patient debt |
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| 27 | 27 | | equal to the amount of public funds accepted is designated as satisfied, and the facility |
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| 28 | 28 | | shall not seek a judgment or take other legal action to collect from the debtor any portion |
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| 29 | 29 | | of such debt that is so designated. |
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| 30 | 30 | | (c) A facility that accepts public funds pursuant to subsection (b) shall notify the |
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| 31 | 31 | | patient whose debt has been satisfied. Such notification must include the amount of |
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| 32 | 32 | | satisfied patient debt, and, if applicable, instructions on how to pay the remaining |
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| 33 | 33 | | balance of the patient's debt. |
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| 34 | 34 | | (d) The health facilities commission shall promulgate rules to establish a process |
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| 35 | 35 | | for facilities that accept public funds to use to offset uncompensated care losses to |
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| 36 | 36 | | ensure that the facility maximizes the number of patients with outstanding debt that is |
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| 37 | 37 | | designated as satisfied pursuant to subsection (b). The rules must be promulgated in |
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| 38 | 38 | | |
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| 39 | 39 | | |
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| 40 | 40 | | - 2 - 000075 |
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| 41 | 41 | | |
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| 42 | 42 | | accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter |
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| 43 | 43 | | 5. |
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| 44 | 44 | | (e) A facility that violates this section is subject to sanctions by the health |
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| 45 | 45 | | facilities commission. |
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| 46 | 46 | | SECTION 2. Tennessee Code Annotated, Section 68-1-109, is amended by adding the |
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| 47 | 47 | | following as a new subsection: |
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| 48 | 48 | | ( ) The department of health, in collaboration with the division of TennCare, |
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| 49 | 49 | | shall submit an annual report to the general assembly no later than January 15, 2026, |
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| 50 | 50 | | and by each January 15 thereafter, that includes, but is not limited to, a report on all |
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| 51 | 51 | | expenditures in the previous calendar year for virtual disproportionate share hospital |
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| 52 | 52 | | (DSH) payments and for payments to hospitals for uncompensated care to charity |
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| 53 | 53 | | patients with all of those payments being made in accordance with, and as those |
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| 54 | 54 | | categories of payments are defined in, the TennCare 1115 demonstration waiver from |
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| 55 | 55 | | the federal centers for medicare and medicaid services. |
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| 56 | 56 | | SECTION 3. This act takes effect upon becoming a law, the public welfare requiring it. |
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