Missouri HB 1410: Extends the expiration date on various federal reimbursement allowances

Status: Reported Do Pass (H) - AYES: 11 NOES: 0 PRESENT: 0 (as of 2018-03-29)

State: Missouri · Session: 2018 · Bill: HB 1410

Subjects: FEDERAL - STATE RELATIONS, HEALTH CARE, MEDICAID/MO HEALTHNET

Sponsors: Fitzpatrick, Scott, Mary Nichols

Bill Text

SECOND REGULAR SESSION
HOUSE COMMITTEE SUBSTITUTE FOR
HOUSE BILL NO. 1410
99TH GENERAL ASSEMBLY
4388H.03C D. ADAM CRUMBLISS, Chief Clerk
AN ACT
To repeal sections 190.839, 198.439, 208.437, 208.471, 208.480, 338.550, and 633.401, RSMo,
and to enact in lieu thereof seven new sections relating to reimbursement allowance
taxes.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Sections 190.839, 198.439, 208.437, 208.471, 208.480, 338.550, and
2 633.401, RSMo, are repealed and seven new sections enacted in lieu thereof, to be known as
3 sections 190.839, 198.439, 208.437, 208.471, 208.480, 338.550, and 633.401, to read as follows:
190.839. Sections 190.800 to 190.839 shall expire on September 30, [2018] 2019.
198.439. Sections 198.401 to 198.436 shall expire on September 30, [2018] 2019.
208.437. 1. A Medicaid managed care organization reimbursement allowance period
2 as provided in sections 208.431 to 208.437 shall be from the first day of July to the thirtieth day
3 of June. The department shall notify each Medicaid managed care organization with a balance
4 due on the thirtieth day of June of each year the amount of such balance due. If any managed
5 care organization fails to pay its managed care organization reimbursement allowance within
6 thirty days of such notice, the reimbursement allowance shall be delinquent. The reimbursement
7 allowance may remain unpaid during an appeal.
8 2. Except as otherwise provided in this section, if any reimbursement allowance imposed
9 under the provisions of sections 208.431 to 208.437 is unpaid and delinquent, the department of
10 social services may compel the payment of such reimbursement allowance in the circuit court
11 having jurisdiction in the county where the main offices of the Medicaid managed care
12 organization are located. In addition, the director of the department of social services or the
13 director's designee may cancel or refuse to issue, extend or reinstate a Medicaid contract
EXPLANATION — Matter enclosed in bold-faced brackets [thus] in the above bill is not enacted and is intended
to be omitted from the law. Matter in bold-face type in the above bill is proposed language.

HCS HB 1410 2
14 agreement to any Medicaid managed care organization which fails to pay such delinquent
15 reimbursement allowance required by sections 208.431 to 208.437 unless under appeal.
16 3. Except as otherwise provided in this section, failure to pay a delinquent
17 reimbursement allowance imposed under sections 208.431 to 208.437 shall be grounds for
18 denial, suspension or revocation of a license granted by the department of insurance, financial
19 institutions and professional registration. The director of the department of insurance, financial
20 institutions and professional registration may deny, suspend or revoke the license of a Medicaid
21 managed care organization with a contract under 42 U.S.C. Section 1396b(m) which fails to pay
22 a managed care organization's delinquent reimbursement allowance unless under appeal.
23 4. Nothing in sections 208.431 to 208.437 shall be deemed to effect or in any way limit
24 the tax-exempt or nonprofit status of any Medicaid managed care organization with a contract
25 under 42 U.S.C. Section 1396b(m) granted by state law.
26 5. Sections 208.431 to 208.437 shall expire on September 30, [2018] 2019.
208.471. 1. The department of social services shall make payments to those hospitals
2 which have a Medicaid provider agreement with the department. [Prior to June 30, 2002, the
3 payment shall be in an annual, aggregate statewide amount which is at least the same as that paid
4 in fiscal year 1991-1992 pursuant to rules in effect on August 30, 1991, under the federally
5 approved state plan amendments.]
6 2. [Beginning July 1, 2002, sections 208.453 to 208.480 shall expire one hundred eighty
7 days after the end of any state fiscal year in which the aggregate federal reimbursement
8 allowance (FRA) assessment on hospitals is more than eighty-five percent of the sum of
9 aggregate direct Medicaid payments, uninsured add-on payments and enhanced graduate medical
10 education payments, unless during such one hundred eighty-day period, such payments or
11 assessments are adjusted prospectively by the director of the department of social services to
12 comply with the eighty-five percent test imposed by this subsection. Enhanced graduate medical
13 education payments shall not be included in the calculation required by this subsection if the
14 general assembly appropriates the state's share of such payments from a source other than the
15 federal reimbursement allowance. For purposes of this section, direct Medicaid payments,
16 uninsured add-on payments and enhanced graduate medical education payments shall:
17 (1) Include direct Medicaid payments, uninsured add-on payments and enhanced
18 graduate medical education payments as defined in state regulations as of July 1, 2000;
19 (2) Include pay

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