State of Illinois
92nd General Assembly
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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.
 
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 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.".

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