State of Illinois
92nd General Assembly
Legislation

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[ Senate Amendment 002 ]


92_SB1978enr

 
SB1978 Enrolled                                LRB9214473DJmb

 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    adding Section 5-5.04 as follows:

 6        (305 ILCS 5/5-5.04 new)
 7        Sec. 5-5.04. Medicaid Hospital and Physician Payment Task
 8    Force.
 9        (a)  The General Assembly finds:
10             (1)  Through  the  Medicaid  program,  the  Illinois
11        Department of Public Aid insures approximately  1,500,000
12        people, or about one out of every 8 Illinois residents.
13             (2)  The  Illinois Department of Public Aid pays for
14        2 out of every 5 births in this State.
15             (3)  The average Illinois hospital receives  12%  of
16        its  patient  revenue  from Medicaid, with some hospitals
17        far more dependent on the Medicaid program.
18             (4)  Hospitals are required by State and federal law
19        to examine and stabilize or  appropriately  transfer  all
20        persons  who  come  to  the emergency room, regardless of
21        their ability to pay.
22             (5)  A number of  Illinois  residents  do  not  have
23        health insurance and do not qualify for Medicaid, causing
24        hospitals to provide care for which they are not paid.
25             (6)  Illinois hospitals are significant contributors
26        to the Illinois economy and employ over 200,000 people.
27             (7)  A  Medicaid  program  that  pays reasonably for
28        services promotes  and  enhances  a  strong  health  care
29        system,  thereby  improving access to quality health care
30        for all the people of Illinois.
31        (b)  There is established within the Illinois  Department
 
SB1978 Enrolled             -2-                LRB9214473DJmb
 1    of  Public Aid a Medicaid Hospital and Physician Payment Task
 2    Force (the "Task Force").  The  Task  Force  shall  have  the
 3    following members:
 4             (1)  The  Director of Public Aid, ex officio, or his
 5        or her designee.
 6             (2)  The Director of Public Health, ex  officio,  or
 7        his or her designee.
 8             (3)  Four members of the General Assembly, appointed
 9        one  each  by  the  President of the Senate, the Minority
10        Leader of  the  Senate,  the  Speaker  of  the  House  of
11        Representatives,  and the Minority Leader of the House of
12        Representatives. The members appointed by  the  President
13        of   the   Senate   and  the  Speaker  of  the  House  of
14        Representatives shall serve  as  co-chairs  of  the  Task
15        Force.
16             (4)  Nine  members  appointed  by  the  Director  of
17        Public  Aid  as  follows:  3  members  recommended by the
18        Illinois Hospital Association; one member recommended  by
19        the   Illinois   Rural  Health  Association;  one  member
20        recommended by the Illinois State  Chamber  of  Commerce;
21        one  member  recommended  by  the  Cook  County Bureau of
22        Health Services; 2 members recommended  by  the  Illinois
23        State  Medical  Society; and one member recommended by an
24        advocacy organization representing Medicaid recipients.
25        (c)  The Illinois Department of Public Aid shall  provide
26    technical and staff support to the Task Force.
27        (d)  The  Task  Force shall conduct a comprehensive study
28    of the Medicaid program to ascertain the  adequacy  of  rates
29    for  inpatient  and  outpatient  hospital  care to ensure the
30    continued availability of hospital care in this State and  to
31    ascertain the adequacy of rates for physician services.
32        (e)  The   Task  Force  shall  report  its  findings  and
33    recommendations to the Governor and the General  Assembly  on
34    or  before  January  1,  2003.  The Task Force's report shall
 
SB1978 Enrolled             -3-                LRB9214473DJmb
 1    include, but need not be limited to,  an  evaluation  of  the
 2    adequacy  of Medicaid hospital and physician payment rates by
 3    examining the following:
 4             (1)  Payment-to-cost   comparisons   for    Medicaid
 5        inpatient and outpatient hospital services.
 6             (2)  The  impact  of  Medicaid  hospital payments on
 7        hospital patient care margins.
 8             (3)  Comparison of Illinois  Medicaid  hospital  and
 9        physician  payments  to  Medicaid  hospital and physician
10        payments in other states.
11             (4)  The impact of Medicaid hospital  and  physician
12        payment  rates  on  access  to  health  care for Illinois
13        residents.
14             (5)  The impact of Medicaid hospital  and  physician
15        payment  rates on the quality of health care available to
16        Illinois residents.
17             (6)  The impact of Medicaid hospital  and  physician
18        payment  rates  on  the  cost of health care for Illinois
19        residents.
20             (7)  Recommendations for  changes  in  the  Medicaid
21        payment system for hospitals and physicians.
22        (f)  The  Task  Force  shall  retain independent experts,
23    with experience in health  care  finance  and  economics,  to
24    assist it in conducting its study and preparing its report.
25        (g)  This Section is repealed on January 1, 2004.

26        Section  99.  Effective date.  This Act takes effect upon
27    becoming law.

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