Bill 3333

                    Current Status

Introducing Body:               House
Bill Number:                    3333
Ratification Number:            43
Act Number:                     175
Primary Sponsor:                P. Harris
Type of Legislation:            JR
Subject:                        Medicaid nursing home fees
Companion Bill Number:          551
Date Bill Passed both Bodies:   Mar 27, 1991
Computer Document Number:       BR1/1153.AC
Governor's Action:              S
Date of Governor's Action:      Apr 09, 1991
Introduced Date:                Jan 24, 1991
Date of Last Amendment:         Feb 12, 1991
Last History Body:              ------
Last History Date:              Apr 09, 1991
Last History Type:              Act No. 175
Scope of Legislation:           Statewide
All Sponsors:                   P. Harris
                                White
                                Short
                                Rama
                                Felder
                                Houck
Type of Legislation:            Joint Resolution

 Bill  Body    Date          Action Description              CMN
 ----  ------  ------------  ------------------------------  ---
 3333  ------  Apr 09, 1991  Act No. 175
 3333  ------  Apr 09, 1991  Signed by Governor
 3333  ------  Apr 03, 1991  Ratified R 43
 3333  Senate  Mar 27, 1991  Read third time, enrolled for
                             ratification
 3333  Senate  Mar 26, 1991  Read second time, notice of
                             general amendments
 3333  Senate  Mar 20, 1991  Committee Report: Favorable     06
 3333  Senate  Feb 14, 1991  Introduced, read first time,    06
                             referred to Committee
 3333  House   Feb 13, 1991  Read third time, sent to
                             Senate
 3333  House   Feb 12, 1991  Amended, read second time
 3333  House   Feb 06, 1991  Committee Report: Favorable     30
 3333  House   Jan 24, 1991  Introduced, read first time,    30
                             referred to Committee

(R43, H3333)

A JOINT RESOLUTION TO APPROPRIATE EXCESS MEDICAID NURSING HOME FEES TO THE HEALTH AND HUMAN SERVICES FINANCE COMMISSION FOR MEDICAID NURSING HOME CARE, TO USE INCREASED FEDERAL MEDICAID MATCHING FUNDS FOR UNANTICIPATED MEDICAID EXPENDITURES, AND TO REQUIRE THAT FUNDS GENERATED MUST BE USED FOR MEDICAID SERVICES.

Whereas, the number of persons enrolled in the state's Medicaid program has increased from two hundred fifty-three thousand, thirteen to two hundred seventy-one thousand, one hundred seventy between July, 1990, and January, 1991. While forty percent of this increase is due to more persons qualifying for Aid to Families with Dependent Children (AFDC), thirty-six percent is due to the increased coverage of pregnant women and children receiving no financial assistance, and another nineteen percent is due to increased coverage of aged or disabled persons receiving no financial assistance; and

Whereas, the number of nursing home patients enrolled in the state's Medicaid program has increased from eight thousand, seven hundred ninety-six to nine thousand, nineteen between July, 1990, and December, 1990. A substantial portion of this increase is due to the repeal of the federal Medicare catastrophic law and federal changes in the Medicaid program and could not be anticipated in the state's fiscal year 1991 budget; and

Whereas, these changes also caused nursing homes to unintentionally underestimate the amount of Medicaid care they would deliver during fiscal year 1991. As a result, many are at risk of failing to comply with the requirements of the Medicaid nursing home permit law; and

Whereas, the unanticipated increase in Medicaid nursing home patients will result in higher than expected Medicaid expenditures but also will generate higher revenues from the Medicaid nursing home permit program; and

Whereas, the intent of this resolution is to:

(1) provide that the revenues generated from Medicaid nursing home permit programs in excess of the $6.3 million anticipated in the fiscal year 1991 appropriations act will be used to help fund the increase in Medicaid nursing home expenditures;

(2) grant the State Health and Human Services Finance Commission greater flexibility to work with other state agencies to identify means of increasing federal matching funds which could then be used to fund the increase in Medicaid expenditures; and

(3) allow the State Health and Human Services Finance Commission to assure the Department of Health and Environmental Control that sufficient funds are available to cover the increase in Medicaid nursing home patients, thereby granting the department greater flexibility in assisting nursing homes at risk of providing more care than authorized in their fiscal year 1991 nursing home permit. Now, therefore,

Be it enacted by the General Assembly of the State of South Carolina:

Health and Human Services Finance Commission

authorized to use certain excess funds Medicaid nursing home care

SECTION 1. (A) Medicaid nursing home permit fees collected pursuant to Section 44-7-84(D) of the 1976 Code by the Department of Health and Environmental Control in excess of $6.3 million are appropriated to the Health and Human Services Finance Commission to help fund the cost of Medicaid nursing home care.

(B) If the Health and Human Services Finance Commission can increase federal matching funds through changes in reimbursement formulas for other state agencies, the commission, with the permission of those state agencies, may use the increase to cover unanticipated increases in Medicaid expenditures.

(C) All of the funds generated for the Health and Human Services Finance Commission by this resolution must be used to cover the costs of Medicaid services. None of these funds may be used to cover administrative costs.

(D) The Health and Human Services Finance Commission may withhold the next three hundred thousand dollars collected under paragraph 38A.20, Part I, of Act 612 of 1990, the General Appropriations Act of 1990-91, that normally would be remitted to the general fund to be used for purposes of this joint resolution. The funds generated by this resolution available in the first quarter of fiscal year 1991-92 must replenish the general fund account under paragraph 38A.20.

Certain Medicaid nursing home permit violations waived

SECTION 2. Penalties assessed against nursing homes for violations of their Medicaid nursing home permits as specified in Section 44-7-90 are waived for fiscal year 1990-91. Penalties as specified in Section 44-7-90(B) must be applied to those nursing home facilities that exceed their permitted days, their census as of January 1, 1991, or their average January census, whichever is greater.

Resolution effective through June 30, 1991

SECTION 3. This resolution is effective through June 30, 1991.

Time effective

SECTION 4. This joint resolution takes effect upon approval by the Governor.

In the Senate House April 3, 1991.

Nick A. Theodore,

President of the Senate

Robert J. Sheheen,

Speaker of the House of

Representatives

Approved the 9th day of April, 1991.

Carroll A. Campbell, Jr.,

Governor

Printer's Date -- December 10, 1997 -- S.