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92_SB0161ham003 LRB9203647DJgcam08 1 AMENDMENT TO SENATE BILL 161 2 AMENDMENT NO. . Amend Senate Bill 161, AS AMENDED, 3 by replacing everything after the enacting clause with the 4 following: 5 "Section 5. The Illinois Public Aid Code is amended by 6 changing Section 5-5.4 as follows: 7 (305 ILCS 5/5-5.4) (from Ch. 23, par. 5-5.4) 8 Sec. 5-5.4. Standards of Payment - Department of Public 9 Aid. The Department of Public Aid shall develop standards of 10 payment of skilled nursing and intermediate care services in 11 facilities providing such services under this Article which: 12 (1) Provides for the determination of a facility's 13 payment for skilled nursing and intermediate care services on 14 a prospective basis. The amount of the payment rate for all 15 nursing facilities certified under the medical assistance 16 program shall be prospectively established annually on the 17 basis of historical, financial, and statistical data 18 reflecting actual costs from prior years, which shall be 19 applied to the current rate year and updated for inflation, 20 except that the capital cost element for newly constructed 21 facilities shall be based upon projected budgets. The 22 annually established payment rate shall take effect on July 1 -2- LRB9203647DJgcam08 1 in 1984 and subsequent years. Rate increases shall be 2 provided annually thereafter on July 1 in 1984 and on each 3 subsequent July 1 in the following years, except that no rate 4 increase and no update for inflation shall be provided on or 5 after July 1, 1994 and before July 1, 2001, unless 6 specifically provided for in this Section. 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, 1998 shall include an increase of 3%. For facilities 12 licensed by the Department of Public Health under the Nursing 13 Home Care Act as Skilled Nursing facilities or Intermediate 14 Care facilities, the rates taking effect on July 1, 1998 15 shall include an increase of 3% plus $1.10 per resident-day, 16 as defined by the Department. 17 For facilities licensed by the Department of Public 18 Health under the Nursing Home Care Act as Intermediate Care 19 for the Developmentally Disabled facilities or Long Term Care 20 for Under Age 22 facilities, the rates taking effect on July 21 1, 1999 shall include an increase of 1.6% plus $3.00 per 22 resident-day, as defined by the Department. For facilities 23 licensed by the Department of Public Health under the Nursing 24 Home Care Act as Skilled Nursing facilities or Intermediate 25 Care facilities, the rates taking effect on July 1, 1999 26 shall include an increase of 1.6% and, for services provided 27 on or after October 1, 1999, shall be increased by $4.00 per 28 resident-day, as defined by the Department. 29 For facilities licensed by the Department of Public 30 Health under the Nursing Home Care Act as Intermediate Care 31 for the Developmentally Disabled facilities or Long Term Care 32 for Under Age 22 facilities, the rates taking effect on July 33 1, 2000 shall include an increase of 2.5% per resident-day, 34 as defined by the Department. For facilities licensed by the -3- LRB9203647DJgcam08 1 Department of Public Health under the Nursing Home Care Act 2 as Skilled Nursing facilities or Intermediate Care 3 facilities, the rates taking effect on July 1, 2000 shall 4 include an increase of 2.5% per resident-day, as defined by 5 the Department. 6 A Task Force on Long Term Care Funding is created for the 7 main purpose of examining new Medicaid reimbursement formulas 8 that more directly recognize the cost of care and patient 9 acuity levels for geriatric facilities, intermediate care 10 facilities for the developmentally disabled, skilled 11 pediatric facilities, and sheltered care facilities; the Task 12 Force is not limited to that purpose, however. The Task Force 13 shall make a report and recommendations to the Director of 14 Public Aid, the Secretary of Human Services, and the General 15 Assembly no later than April 1, 2002. The Task Force shall 16 consist of (i) one member appointed by the President of the 17 Senate, one member appointed by the Speaker of the House of 18 Representatives, one member appointed by the Minority Leader 19 of the Senate, and one member appointed by the Minority 20 Leader of the House of Representatives and (ii) the following 21 members appointed by the Director of Public Aid: a 22 representative designated by the Department of Public Aid, a 23 representative designated by the Department of Human 24 Services, a representative designated by the Department on 25 Aging, a representative designated by the AARP, a 26 representative designated by the Illinois Health Care 27 Association, a representative designated by the Illinois 28 Council on Long Term Care, a representative designated by 29 Life Services Network, a representative designated by the 30 County Nursing Home Association of Illinois, a representative 31 designated by the Illinois Nursing Home Administrators 32 Association, a representative designated by the Long Term 33 Care Nurses Association, and a representative from organized 34 labor that represents individuals employed in long term care -4- LRB9203647DJgcam08 1 settings. The Director of Public Aid shall appoint the 2 representative from the Department of Public Aid as a 3 Co-Chairperson of the Task Force and shall appoint one of the 4 other members of the Task Force to serve as the other 5 Co-Chairperson. The second Co-Chairperson shall be a 6 representative from the private-sector membership on the Task 7 Force. The Department of Public Aid shall provide staff to 8 the Task Force. All Task Force members shall serve without 9 compensation but may be reimbursed for their necessary 10 expenses incurred in performing their duties. This paragraph 11 is inoperative after June 30, 2002. 12 Rates established effective each July 1 shall govern 13 payment for services rendered throughout that fiscal year, 14 except that rates established on July 1, 1996 shall be 15 increased by 6.8% for services provided on or after January 16 1, 1997. Such rates will be based upon the rates calculated 17 for the year beginning July 1, 1990, and for subsequent years 18 thereafter shall be based on the facility cost reports for 19 the facility fiscal year ending at any point in time during 20 the previous calendar year, updated to the midpoint of the 21 rate year The cost report shall be on file with the 22 Department no later than April 1 of the current rate year. 23 Should the cost report not be on file by April 1, the 24 Department shall base the rate on the latest cost report 25 filed by each skilled care facility and intermediate care 26 facility, updated to the midpoint of the current rate year. 27 In determining rates for services rendered on and after July 28 1, 1985, fixed time shall not be computed at less than zero. 29 The Department shall not make any alterations of regulations 30 which would reduce any component of the Medicaid rate to a 31 level below what that component would have been utilizing in 32 the rate effective on July 1, 1984. 33 (2) Shall take into account the actual costs incurred by 34 facilities in providing services for recipients of skilled -5- LRB9203647DJgcam08 1 nursing and intermediate care services under the medical 2 assistance program. 3 (3) Shall take into account the medical and 4 psycho-social characteristics and needs of the patients. 5 (4) Shall take into account the actual costs incurred by 6 facilities in meeting licensing and certification standards 7 imposed and prescribed by the State of Illinois, any of its 8 political subdivisions or municipalities and by the U.S. 9 Department of Health and Human Services pursuant to Title XIX 10 of the Social Security Act. 11 The Department of Public Aid shall develop precise 12 standards for payments to reimburse nursing facilities for 13 any utilization of appropriate rehabilitative personnel for 14 the provision of rehabilitative services which is authorized 15 by federal regulations, including reimbursement for services 16 provided by qualified therapists or qualified assistants, and 17 which is in accordance with accepted professional practices. 18 Reimbursement also may be made for utilization of other 19 supportive personnel under appropriate supervision. 20 (Source: P.A. 90-9, eff. 7-1-97; 90-588, eff. 7-1-98; 91-24, 21 eff. 7-1-99; 91-712, eff. 7-1-00.) 22 Section 99. Effective date. This Act takes effect on 23 July 1, 2001.".