State of Illinois
92nd General Assembly
Legislation

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92_HB4319

 
                                              LRB9212464DJgcB

 1        AN ACT in relation to public aid.

 2        Be it enacted by the People of  the  State  of  Illinois,
 3    represented in the General Assembly:

 4        Section  5.  The  Illinois  Public Aid Code is amended by
 5    changing Section 5-5.4 as follows:

 6        (305 ILCS 5/5-5.4) (from Ch. 23, par. 5-5.4)
 7        Sec. 5-5.4.  Standards of Payment - Department of  Public
 8    Aid.  The Department of Public Aid shall develop standards of
 9    payment  of skilled nursing and intermediate care services in
10    facilities providing such services under this Article which:
11        (1)  Provide  Provides  for  the   determination   of   a
12    facility's  payment for skilled nursing and intermediate care
13    services on a prospective basis.  The amount of  the  payment
14    rate  for  all nursing facilities certified under the medical
15    assistance  program  shall   be   prospectively   established
16    annually   on   the   basis  of  historical,  financial,  and
17    statistical data reflecting actual costs  from  prior  years,
18    which  shall  be applied to the current rate year and updated
19    for inflation, except that the capital cost element for newly
20    constructed facilities shall be based upon projected budgets.
21    The annually established payment rate shall  take  effect  on
22    July 1 in 1984 and subsequent years.  Rate increases shall be
23    provided  annually  thereafter  on July 1 in 1984 and on each
24    subsequent July 1 in the following years, except that no rate
25    increase and no update for inflation shall be provided on  or
26    after   July   1,  1994  and  before  July  1,  2002,  unless
27    specifically provided for in this Section.
28        For facilities  licensed  by  the  Department  of  Public
29    Health  under  the Nursing Home Care Act as Intermediate Care
30    for the Developmentally Disabled facilities or Long Term Care
31    for Under Age 22 facilities, the rates taking effect on  July
 
                            -2-               LRB9212464DJgcB
 1    1,  1998  shall  include  an  increase of 3%.  For facilities
 2    licensed by the Department of Public Health under the Nursing
 3    Home Care Act as Skilled Nursing facilities  or  Intermediate
 4    Care  facilities,  the  rates  taking  effect on July 1, 1998
 5    shall include an increase of 3% plus $1.10 per  resident-day,
 6    as defined by the Department.
 7        For  facilities  licensed  by  the  Department  of Public
 8    Health under the Nursing Home Care Act as  Intermediate  Care
 9    for the Developmentally Disabled facilities or Long Term Care
10    for  Under Age 22 facilities, the rates taking effect on July
11    1, 1999 shall include an increase  of  1.6%  plus  $3.00  per
12    resident-day,  as  defined by the Department.  For facilities
13    licensed by the Department of Public Health under the Nursing
14    Home Care Act as Skilled Nursing facilities  or  Intermediate
15    Care  facilities,  the  rates  taking  effect on July 1, 1999
16    shall include an increase of 1.6% and, for services  provided
17    on  or after October 1, 1999, shall be increased by $4.00 per
18    resident-day, as defined by the Department.
19        For facilities  licensed  by  the  Department  of  Public
20    Health  under  the Nursing Home Care Act as Intermediate Care
21    for the Developmentally Disabled facilities or Long Term Care
22    for Under Age 22 facilities, the rates taking effect on  July
23    1,  2000  shall include an increase of 2.5% per resident-day,
24    as defined by the Department.  For facilities licensed by the
25    Department of Public Health under the Nursing Home  Care  Act
26    as   Skilled   Nursing   facilities   or   Intermediate  Care
27    facilities, the rates taking effect on  July  1,  2000  shall
28    include  an  increase of 2.5% per resident-day, as defined by
29    the Department.
30        For facilities  licensed  by  the  Department  of  Public
31    Health  under  the  Nursing  Home Care Act as skilled nursing
32    facilities or intermediate care  facilities,  a  new  payment
33    methodology  must be implemented for the nursing component of
34    the rate effective July 1, 2003. The Department of Public Aid
 
                            -3-               LRB9212464DJgcB
 1    shall develop the new payment methodology using  the  Minimum
 2    Data  Set  (MDS)  as  the  instrument  to collect information
 3    concerning  nursing  home  resident  condition  necessary  to
 4    compute the rate. The Department of Public Aid shall  develop
 5    the  new  payment  methodology  to  meet  the unique needs of
 6    Illinois nursing home residents while  remaining  subject  to
 7    the  appropriations  provided  by the General Assembly. For a
 8    facility that would receive a lower rate  per  patient  under
 9    the  new  system  than the facility received effective on the
10    date immediately  preceding  the  date  that  the  Department
11    implements  the new payment methodology, the rate per patient
12    for the facility shall be held at the level in effect on  the
13    date  immediately  preceding  the  date  that  the Department
14    implements the new payment methodology until a higher rate of
15    reimbursement is achieved by that facility.
16        For facilities  licensed  by  the  Department  of  Public
17    Health  under  the Nursing Home Care Act as Intermediate Care
18    for the Developmentally Disabled facilities or Long Term Care
19    for Under Age 22 facilities, the rates taking effect on March
20    1, 2001 shall include  a  statewide  increase  of  7.85%,  as
21    defined by the Department.
22        For  facilities  licensed  by  the  Department  of Public
23    Health under the Nursing Home Care Act as  Intermediate  Care
24    for the Developmentally Disabled facilities or Long Term Care
25    for Under Age 22 facilities, the rates taking effect on April
26    1,  2002  shall  include  a  statewide  increase  of 2.0%, as
27    defined by the Department.
28        For facilities  licensed  by  the  Department  of  Public
29    Health  under  the  Nursing  Home Care Act as skilled nursing
30    facilities or intermediate care facilities, the rates  taking
31    effect  on July 1, 2001, and each subsequent year thereafter,
32    shall be computed using the most recent cost reports on  file
33    with the Department of Public Aid no later than April 1, 2000
34    updated   for  inflation  to  January  1,  2001.   For  rates
 
                            -4-               LRB9212464DJgcB
 1    effective July 1, 2001 only, rates shall be  the  greater  of
 2    the  rate  computed for July 1, 2001 or the rate effective on
 3    June 30, 2001.
 4        Rates established effective  each  July  1  shall  govern
 5    payment  for  services  rendered throughout that fiscal year,
 6    except that rates  established  on  July  1,  1996  shall  be
 7    increased  by  6.8% for services provided on or after January
 8    1, 1997.  Such rates will be based upon the rates  calculated
 9    for the year beginning July 1, 1990, and for subsequent years
10    thereafter until June 30, 2001 shall be based on the facility
11    cost reports for the facility fiscal year ending at any point
12    in  time  during  the  previous calendar year, updated to the
13    midpoint of the rate year.  The cost report shall be on  file
14    with the Department no later than April 1 of the current rate
15    year.   Should the cost report not be on file by April 1, the
16    Department shall base the rate  on  the  latest  cost  report
17    filed  by  each  skilled  care facility and intermediate care
18    facility, updated to the midpoint of the current  rate  year.
19    In  determining rates for services rendered on and after July
20    1, 1985, fixed time shall not be computed at less than  zero.
21    The  Department shall not make any alterations of regulations
22    which would reduce any component of the Medicaid  rate  to  a
23    level  below what that component would have been utilizing in
24    the rate effective on July 1, 1984.
25        (2)  Shall take into account the actual costs incurred by
26    facilities in providing services for  recipients  of  skilled
27    nursing  and  intermediate  care  services  under the medical
28    assistance program.
29        (3)  Shall   take   into   account   the   medical    and
30    psycho-social characteristics and needs of the patients.
31        (4)  Shall take into account the actual costs incurred by
32    facilities  in  meeting licensing and certification standards
33    imposed and prescribed by the State of Illinois, any  of  its
34    political  subdivisions  or  municipalities  and  by the U.S.
 
                            -5-               LRB9212464DJgcB
 1    Department of Health and Human Services pursuant to Title XIX
 2    of the Social Security Act.
 3        The  Department  of  Public  Aid  shall  develop  precise
 4    standards for payments to reimburse  nursing  facilities  for
 5    any  utilization  of appropriate rehabilitative personnel for
 6    the provision of rehabilitative services which is  authorized
 7    by  federal regulations, including reimbursement for services
 8    provided by qualified therapists or qualified assistants, and
 9    which is in accordance with accepted professional  practices.
10    Reimbursement  also  may  be  made  for  utilization of other
11    supportive personnel under appropriate supervision.
12    (Source: P.A. 91-24, eff. 7-1-99; 91-712, eff. 7-1-00; 92-10,
13    eff. 6-11-01; 92-31, eff. 6-28-01; revised 12-13-01.)

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