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