Senate File 231 - Introduced





                                      SENATE FILE       
                                      BY  COMMITTEE ON HUMAN RESOURCES

                                      (SUCCESSOR TO SF 38)


    Passed Senate, Date               Passed House, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to reimbursing nonparticipating providers under
  2    the IowaCare program and creating a nonparticipating provider
  3    reimbursement fund.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 1776SV 83
  6 pf/nh/14

PAG LIN



  1  1    Section 1.  NEW SECTION.  249J.24A  NONPARTICIPATING
  1  2 PROVIDER REIMBURSEMENT PROCEDURE == REIMBURSEMENT FUND.
  1  3    1.  The department shall seek an amendment to the medical
  1  4 assistance waiver for the IowaCare program to allow for
  1  5 payment to nonparticipating providers as specified in this
  1  6 section.  If the amendment is approved, the department shall
  1  7 reimburse nonparticipating providers for covered expansion
  1  8 population services provided to an expansion population member
  1  9 if all of the following conditions are met:
  1 10    a.  An expansion population member seeks medical care or
  1 11 treatment for a covered service from a nonparticipating
  1 12 provider and either of the following applies:
  1 13    (1)  Transfer of the expansion population member to a
  1 14 participating provider is not possible because both the
  1 15 participating and nonparticipating providers agree that the
  1 16 expansion population member is too medically unstable for
  1 17 transportation to a participating provider.
  1 18    (2)  Transfer of the expansion population member to a
  1 19 participating provider is not possible due to lack of
  1 20 available inpatient capacity.
  1 21    b.  The request for transfer is a covered expansion
  1 22 population benefit.
  1 23    2.  If the nonparticipating provider meets the requirements
  1 24 specified in subsection 1, the nonparticipating provider shall
  1 25 be reimbursed for covered expansion population services
  1 26 provided to the expansion population member through the
  1 27 nonparticipating provider reimbursement fund in accordance
  1 28 with the following:
  1 29    a.  The nonparticipating provider shall request
  1 30 reimbursement from the department through an exception to
  1 31 policy request as provided in departmental rule.  The
  1 32 nonparticipating provider shall submit a clean claim to the
  1 33 department for reimbursement within twenty days of provision
  1 34 of the covered service.  The department shall adopt rules
  1 35 relating to the format of and the information to be included
  2  1 in the request for reimbursement.
  2  2    b.  The nonparticipating provider shall include in the
  2  3 request for reimbursement only clean claims for inpatient
  2  4 hospital services provided to the expansion population member
  2  5 during the episode of care or treatment following the request
  2  6 for transfer as specified in subsection 1.
  2  7    c.  Reimbursement shall be based on the reimbursement rates
  2  8 and policies applicable to the nonparticipating provider under
  2  9 the full benefit medical assistance program, subject to the
  2 10 availability of funds in the nonparticipating provider
  2 11 reimbursement fund and subject to the appropriation of moneys
  2 12 in the fund to the department.
  2 13    d.  The department shall reimburse the nonparticipating
  2 14 provider only if the recipient of the services is an expansion
  2 15 population member with active eligibility status at the time
  2 16 the services are provided.
  2 17    3.  a.  A nonparticipating provider reimbursement fund is
  2 18 created in the state treasury under the authority of the
  2 19 department.  Moneys designated for deposit in the fund that
  2 20 are received from sources including but not limited to
  2 21 appropriations from the general fund of the state, grants, and
  2 22 contributions, shall be deposited in the fund.
  2 23    b.  Moneys in the fund shall be separate from the general
  2 24 fund of the state and shall not be considered part of the
  2 25 general fund of the state.  The moneys deposited in the fund
  2 26 are not subject to section 8.33 and shall not be transferred,
  2 27 used, obligated, appropriated, or otherwise encumbered, except
  2 28 to provide for the purposes specified in this section.
  2 29 Notwithstanding section 12C.7, subsection 2, interest or
  2 30 earnings on moneys deposited in the fund shall be credited to
  2 31 the fund.
  2 32    c.  Moneys deposited in the fund shall be used only to
  2 33 reimburse nonparticipating providers who provide covered
  2 34 services to expansion population members if no other third
  2 35 party is liable for reimbursement and as specified in
  3  1 subsections 1 and 2.
  3  2    d.  The department shall attempt to maximize receipt of
  3  3 federal matching funds under the medical assistance program
  3  4 for covered services provided under this section if such
  3  5 attempt does not directly or indirectly limit the federal
  3  6 funds available to participating providers.
  3  7    4.  For the purposes of this section, "nonparticipating
  3  8 provider" means a hospital licensed pursuant to chapter 135B
  3  9 that is not a member of the expansion population provider
  3 10 network as specified in section 249J.7.
  3 11                           EXPLANATION
  3 12    This bill directs the department of human services (DHS) to
  3 13 seek an amendment to the medical assistance waiver for the
  3 14 IowaCare program to allow for payment to nonparticipating
  3 15 providers.  The bill defines "nonparticipating provider" as a
  3 16 licensed hospital that is not a member of the IowaCare
  3 17 participating provider network.  If the waiver amendment is
  3 18 approved, DHS is to reimburse the nonparticipating provider if
  3 19 the nonparticipating provider complies with the requirements
  3 20 in the bill that either the IowaCare member is too medically
  3 21 unstable to transport to a participating provider or transfer
  3 22 of the member is not possible due to lack of available
  3 23 inpatient capacity, and the request for transfer is a covered
  3 24 IowaCare benefit.
  3 25    If the nonparticipating provider meets the requirements,
  3 26 the service provided will be reimbursed if the
  3 27 nonparticipating provider follows the procedure specified in
  3 28 the bill.  Reimbursement is based on the reimbursement rates
  3 29 and policies applicable to the provider under the full benefit
  3 30 medical assistance program subject to the availability of
  3 31 funds and subject to appropriation of the funds to the
  3 32 department.  Reimbursement is only available for services
  3 33 provided to an active=status IowaCare member.
  3 34    The bill creates a nonparticipating provider reimbursement
  3 35 fund separate from the general fund of the state.  Moneys in
  4  1 the fund are only to be used to reimburse nonparticipating
  4  2 providers if no other third party is liable for payment for
  4  3 the services provided.  The bill also directs DHS to attempt
  4  4 to maximize receipt of federal matching funds under the
  4  5 medical assistance program for covered services provided under
  4  6 the bill if such attempt does not directly or indirectly limit
  4  7 the federal funds available to participating providers.
  4  8 LSB 1776SV 83
  4  9 pf/nh/14