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92_SB1978sam002 LRB9214473DJmbam01 1 AMENDMENT TO SENATE BILL 1978 2 AMENDMENT NO. . Amend Senate Bill 1978 by replacing 3 the title with the following: 4 "AN ACT in relation to public aid."; and 5 by replacing everything after the enacting clause with the 6 following: 7 "Section 5. The Illinois Public Aid Code is amended by 8 adding Section 5-5.04 as follows: 9 (305 ILCS 5/5-5.04 new) 10 Sec. 5-5.04. Medicaid Hospital and Physician Payment Task 11 Force. 12 (a) The General Assembly finds: 13 (1) Through the Medicaid program, the Illinois 14 Department of Public Aid insures approximately 1,500,000 15 people, or about one out of every 8 Illinois residents. 16 (2) The Illinois Department of Public Aid pays for 17 2 out of every 5 births in this State. 18 (3) The average Illinois hospital receives 12% of 19 its patient revenue from Medicaid, with some hospitals 20 far more dependent on the Medicaid program. 21 (4) Hospitals are required by State and federal law -2- LRB9214473DJmbam01 1 to examine and stabilize or appropriately transfer all 2 persons who come to the emergency room, regardless of 3 their ability to pay. 4 (5) A number of Illinois residents do not have 5 health insurance and do not qualify for Medicaid, causing 6 hospitals to provide care for which they are not paid. 7 (6) Illinois hospitals are significant contributors 8 to the Illinois economy and employ over 200,000 people. 9 (7) A Medicaid program that pays reasonably for 10 services promotes and enhances a strong health care 11 system, thereby improving access to quality health care 12 for all the people of Illinois. 13 (b) There is established within the Illinois Department 14 of Public Aid a Medicaid Hospital and Physician Payment Task 15 Force (the "Task Force"). The Task Force shall have the 16 following members: 17 (1) The Director of Public Aid, ex officio, or his 18 or her designee. 19 (2) The Director of Public Health, ex officio, or 20 his or her designee. 21 (3) Four members of the General Assembly, appointed 22 one each by the President of the Senate, the Minority 23 Leader of the Senate, the Speaker of the House of 24 Representatives, and the Minority Leader of the House of 25 Representatives. The members appointed by the President 26 of the Senate and the Speaker of the House of 27 Representatives shall serve as co-chairs of the Task 28 Force. 29 (4) Nine members appointed by the Director of 30 Public Aid as follows: 3 members recommended by the 31 Illinois Hospital Association; one member recommended by 32 the Illinois Rural Health Association; one member 33 recommended by the Illinois State Chamber of Commerce; 34 one member recommended by the Cook County Bureau of -3- LRB9214473DJmbam01 1 Health Services; 2 members recommended by the Illinois 2 State Medical Society; and one member recommended by an 3 advocacy organization representing Medicaid recipients. 4 (c) The Illinois Department of Public Aid shall provide 5 technical and staff support to the Task Force. 6 (d) The Task Force shall conduct a comprehensive study 7 of the Medicaid program to ascertain the adequacy of rates 8 for inpatient and outpatient hospital care to ensure the 9 continued availability of hospital care in this State and to 10 ascertain the adequacy of rates for physician services. 11 (e) The Task Force shall report its findings and 12 recommendations to the Governor and the General Assembly on 13 or before January 1, 2003. The Task Force's report shall 14 include, but need not be limited to, an evaluation of the 15 adequacy of Medicaid hospital and physician payment rates by 16 examining the following: 17 (1) Payment-to-cost comparisons for Medicaid 18 inpatient and outpatient hospital services. 19 (2) The impact of Medicaid hospital payments on 20 hospital patient care margins. 21 (3) Comparison of Illinois Medicaid hospital and 22 physician payments to Medicaid hospital and physician 23 payments in other states. 24 (4) The impact of Medicaid hospital and physician 25 payment rates on access to health care for Illinois 26 residents. 27 (5) The impact of Medicaid hospital and physician 28 payment rates on the quality of health care available to 29 Illinois residents. 30 (6) The impact of Medicaid hospital and physician 31 payment rates on the cost of health care for Illinois 32 residents. 33 (7) Recommendations for changes in the Medicaid 34 payment system for hospitals and physicians. -4- LRB9214473DJmbam01 1 (f) The Task Force shall retain independent experts, 2 with experience in health care finance and economics, to 3 assist it in conducting its study and preparing its report. 4 (g) This Section is repealed on January 1, 2004. 5 Section 99. Effective date. This Act takes effect upon 6 becoming law.".