Illinois HB 5774: PROP TX-WAIVE INTEREST

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 Full Text of HB5774

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104TH GENERAL ASSEMBLY 
State of Illinois 
2025 and 2026
HB5774

Introduced 5/14/2026, by Rep. Justin Slaughter 

SYNOPSIS AS INTRODUCED:

305 ILCS 5/5-5.20

 Amends the Medical Assistance Article of the Illinois Public Aid Code. Requires the Department of Healthcare and Family Services to seek a State Plan amendment from the Centers for Medicare and Medicaid Services regarding a prospective cost-reimbursement methodology for services provided by federally qualified health centers (FQHC) and FQHC Look-Alikes (LALs). Requires the State Plan amendment to include the following: (1) Prospective Payment System (PPS) rates for FQHCs; (2) a rate adjustment process; (3) a rate setting for new FQHCs; (4) payment in the event of Medicaid managed care; (5) payment in the event of dual enrollment in Medicare and Medicaid; and (6) appeal rights. 

LRB104 21890 KTG 37769 b

A BILL FOR

HB5774LRB104 21890 KTG 37769 b

1 AN ACT concerning public aid.

2 Be it enacted by the People of the State of Illinois, 

3represented in the General Assembly:

4 Section 5. The Illinois Public Aid Code is amended by 

5changing Section 5-5.20 as follows:

6 (305 ILCS 5/5-5.20)

7 Sec. 5-5.20. Clinic payments. For services provided by 

8federally qualified health centers (FQHC) and FQHC Look-Alikes 

9(LALs) as defined in Section 1905 (l)(2)(B) of the federal 

10Social Security Act, on or after April 1, 1989, and as long as 

11required by federal law, the Illinois Department shall 

12reimburse those FQHCs and LALs health centers for those 

13services according to a prospective cost-reimbursement 

14methodology as required by Section 1902(bb) of the federal 

15Social Security Act and paragraphs (1) through (6) of this 

16Section. In setting this prospective