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91_SB0668eng SB668 Engrossed LRB9104110DJcd 1 AN ACT to amend the Illinois Public Aid Code by changing 2 Section 5-5.4. 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, 1999, unless 28 specifically provided for in this Section. For facilities 29 licensed by the Department of Public Health under the Nursing 30 Home Care Act as Intermediate Care for the Developmentally 31 Disabled facilities or Long Term Care for Under Age 22 SB668 Engrossed -2- LRB9104110DJcd 1 facilities, the rates taking effect on July 1, 1998 shall 2 include an increase of 3%. For facilities licensed by the 3 Department of Public Health under the Nursing Home Care Act 4 as Skilled Nursing facilities or Intermediate Care 5 facilities, the rates taking effect on July 1, 1998 shall 6 include an increase of 3% plus $1.10 per resident-day, as 7 defined by the Department. Rates established effective each 8 July 1 shall govern payment for services rendered throughout 9 that fiscal year, except that rates established on July 1, 10 1996 shall be increased by 6.8% for services provided on or 11 after January 1, 1997, and except that for those facilities 12 with rates less than the actual, audited costs, rates 13 established on July 1, 1999 shall be increased to no less 14 than the lower of the average costs in the facility's 15 geographic area as defined by the Department or the 16 facility's actual audited, adjusted costs. In no case shall 17 a facility's July 1, 1999 rate be less than its January 1, 18 1998 rate. Such rates will be based upon the rates calculated 19 for the year beginning July 1, 1990, and for subsequent years 20 thereafter shall be based on the facility cost reports for 21 the facility fiscal year ending at any point in time during 22 the previous calendar year, updated to the midpoint of the 23 rate year. The cost report shall be on file with the 24 Department no later than April 1 of the current rate year. 25 Should the cost report not be on file by April 1, the 26 Department shall base the rate on the latest cost report 27 filed by each skilled care facility and intermediate care 28 facility, updated to the midpoint of the current rate year. 29 In determining rates for services rendered on and after July 30 1, 1985, fixed time shall not be computed at less than zero. 31 The Department shall not make any alterations of regulations 32 which would reduce any component of the Medicaid rate to a 33 level below what that component would have been utilizing in 34 the rate effective on July 1, 1984. SB668 Engrossed -3- LRB9104110DJcd 1 (2) Shall take into account the actual costs incurred by 2 facilities in providing services for recipients of skilled 3 nursing and intermediate care services under the medical 4 assistance program. 5 (3) Shall take into account the medical and 6 psycho-social characteristics and needs of the patients. 7 (4) Shall take into account the actual costs incurred by 8 facilities in meeting licensing and certification standards 9 imposed and prescribed by the State of Illinois, any of its 10 political subdivisions or municipalities and by the United 11 States Department of Health, Education and Welfare pursuant 12 to Title XIX of the Social Security Act. 13 The Department of Public Aid shall develop precise 14 standards for payments to reimburse nursing facilities for 15 any utilization of appropriate rehabilitative personnel for 16 the provision of rehabilitative services which is authorized 17 by federal regulations, including reimbursement for services 18 provided by qualified therapists or qualified assistants, and 19 which is in accordance with accepted professional practices. 20 Reimbursement also may be made for utilization of other 21 supportive personnel under appropriate supervision. 22 (Source: P.A. 89-21, eff. 7-1-95; 89-499, eff. 6-28-96; 90-9, 23 eff. 7-1-97; 90-588, eff. 7-1-98.) 24 Section 99. Effective date. This Act takes effect July 25 1, 1999.