Report Title:

Medicaid; Quest; Adequate Reimbursement

 

Description:

Appropriates $   to DHS for FY 2002-2003 to increase Medicaid reimbursement rate to hospitals and physicians to cover medical services in Medicaid fee-for-service program; and to increase QUEST capitation payments to cover medical services to QUEST participants. (SD1)

 

THE SENATE

S.B. NO.

2026

TWENTY-FIRST LEGISLATURE, 2002

S.D. 1

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

making an appropriation for increased medicaid reimbursement.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that Hawaii's Medicaid and QUEST reimbursement rates to hospitals and physicians are inadequate to cover the cost of providing their services. These fees have only been marginally increased in the past several years. If the State does not contribute its fair share to cover these costs, hospitals and physicians will inevitably turn to private payers to make up the difference. In turn, this cost shifting will invariably increase the cost of health care for Hawaii's employers. The purpose of this Act is to ensure that Hawaii's Medicaid program fairly reimburses hospitals and physicians for providing medical services to Medicaid members, both through the fee for service and the QUEST programs.

SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $      , or so much thereof as may be necessary for fiscal year 2002-2003, to increase the Medicaid reimbursement rate to hospitals and physicians for providing medical services to Medicaid participants in the fee-for-services program, and to increase the capitation payments to QUEST plans to allow them to adequately cover the cost of providing medical services to QUEST participants.

The amount appropriated shall be expended by the department of human services for the purposes of this Act.

SECTION 3. This Act shall take effect on July 1, 2002.