State of Illinois
91st General Assembly
Legislation

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91_HB4610

 
                                               LRB9112338DJpc

 1        AN ACT to amend the Illinois Public Aid Code by  changing
 2    Section 5-5.4 and repealing Article V-E.

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

 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
23    in 1984  and  subsequent  years.   Rate  increases  shall  be
24    provided  annually  thereafter  on July 1 in 1984 and on each
25    subsequent July 1 in the following years, except that no rate
26    increase and no update for inflation shall be provided on  or
27    after   July   1,  1994  and  before  July  1,  2000,  unless
28    specifically provided for in this Section.
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
 
                            -2-                LRB9112338DJpc
 1    for Under Age 22 facilities, the rates taking effect on  July
 2    1,  1998  shall  include  an  increase of 3%.  For facilities
 3    licensed by the Department of Public Health under the Nursing
 4    Home Care Act as Skilled Nursing facilities  or  Intermediate
 5    Care  facilities,  the  rates  taking  effect on July 1, 1998
 6    shall include an increase of 3% plus $1.10 per  resident-day,
 7    as defined by the Department.
 8        For  facilities  licensed  by  the  Department  of Public
 9    Health under the Nursing Home Care Act as  Intermediate  Care
10    for the Developmentally Disabled facilities or Long Term Care
11    for  Under Age 22 facilities, the rates taking effect on July
12    1, 1999 shall include an increase  of  1.6%  plus  $3.00  per
13    resident-day,  as  defined by the Department.  For facilities
14    licensed by the Department of Public Health under the Nursing
15    Home Care Act as Skilled Nursing facilities  or  Intermediate
16    Care  facilities,  the  rates  taking  effect on July 1, 1999
17    shall include an increase of 1.6% and, for services  provided
18    on  or after October 1, 1999, shall be increased by $4.00 per
19    resident-day, as defined by the Department.
20        Rates established effective  each  July  1  shall  govern
21    payment  for  services  rendered throughout that fiscal year,
22    except that rates  established  on  July  1,  1996  shall  be
23    increased  by  6.8% for services provided on or after January
24    1, 1997, and except that for those facilities with rates less
25    than the actual, audited costs, rates established on July  1,
26    2000  shall  be  increased  to  no less than the lower of the
27    average costs in the facility's geographic area as defined by
28    the Department or the  facility's  actual  audited,  adjusted
29    costs.   In  no  case shall a facility's July 1, 2000 rate be
30    less than its July 1, 1999 rate.  The repeal of  Article  V-E
31    by  this  amendatory  Act  of the 91st General Assembly shall
32    have no effect on the rates paid to facilities.   Such  rates
33    will  be  based  upon  the  rates  calculated  for  the  year
34    beginning  July  1, 1990, and for subsequent years thereafter
 
                            -3-                LRB9112338DJpc
 1    shall be based on the facility cost reports for the  facility
 2    fiscal  year  ending at any point in time during the previous
 3    calendar year, updated to the midpoint of the rate year.  The
 4    cost report shall be on file with  the  Department  no  later
 5    than  April  1  of  the  current  rate year.  Should the cost
 6    report not be on file by April 1, the Department  shall  base
 7    the rate on the latest cost report filed by each skilled care
 8    facility  and  intermediate  care  facility,  updated  to the
 9    midpoint of the current rate year.  In determining rates  for
10    services rendered on and after July 1, 1985, fixed time shall
11    not  be computed at less than zero.  The Department shall not
12    make any alterations of regulations which  would  reduce  any
13    component  of  the  Medicaid  rate to a level below what that
14    component would have been utilizing in the rate effective  on
15    July 1, 1984.
16        (2)  Shall take into account the actual costs incurred by
17    facilities  in  providing  services for recipients of skilled
18    nursing and intermediate  care  services  under  the  medical
19    assistance program.
20        (3)  Shall    take   into   account   the   medical   and
21    psycho-social characteristics and needs of the patients.
22        (4)  Shall take into account the actual costs incurred by
23    facilities in meeting licensing and  certification  standards
24    imposed  and  prescribed by the State of Illinois, any of its
25    political subdivisions or municipalities and  by  the  United
26    States  Department  of Health, Education and Welfare pursuant
27    to Title XIX of the Social Security Act.
28        The  Department  of  Public  Aid  shall  develop  precise
29    standards for payments to reimburse  nursing  facilities  for
30    any  utilization  of appropriate rehabilitative personnel for
31    the provision of rehabilitative services which is  authorized
32    by  federal regulations, including reimbursement for services
33    provided by qualified therapists or qualified assistants, and
34    which is in accordance with accepted professional  practices.
 
                            -4-                LRB9112338DJpc
 1    Reimbursement  also  may  be  made  for  utilization of other
 2    supportive personnel under appropriate supervision.
 3    (Source: P.A. 90-9, eff. 7-1-97; 90-588, eff. 7-1-98;  91-24,
 4    eff. 7-1-99.)

 5        (305 ILCS 5/Art. V-E rep.)
 6        Section  6.  The  Illinois  Public Aid Code is amended by
 7    repealing Article V-E.

 8        Section 99.  Effective date.  This Act takes effect  upon
 9    becoming law.

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