2024 -- S 2602 | |
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LC005257 | |
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STATE OF RHODE ISLAND | |
IN GENERAL ASSEMBLY | |
JANUARY SESSION, A.D. 2024 | |
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A N A C T | |
RELATING TO TAXATION -- NURSING FACILITIES PROVIDER ASSESSMENT ACT | |
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Introduced By: Senator Samuel W. Bell | |
Date Introduced: March 01, 2024 | |
Referred To: Senate Finance | |
It is enacted by the General Assembly as follows: | |
1 | SECTION 1. Section 44-51-3 of the General Laws in Chapter 44-51 entitled "Nursing |
2 | Facility Provider Assessment Act" is hereby amended to read as follows: |
3 | 44-51-3. Imposition of assessment — Nursing facilities. |
4 | (a) For purposes of this section, the following words and phrases are construed as follows: |
5 | (1) a “nursing Nursing facility” means a person or governmental unit licensed in |
6 | accordance with chapter 17 of title 23 to establish, maintain, and operate a nursing facility. |
7 | (2) "Intermediate care facility for individuals with intellectual disabilities" or "intermediate |
8 | care facility" means a residential facility for persons with intellectual disabilities that is certified to |
9 | meet the requirements of 42 CFR 442, Subpart C. |
10 | (b)(1) An assessment is imposed upon the gross patient revenue received by every nursing |
11 | facility in each month beginning January 1, 2008, at a rate of five and one-half percent (5.5%) for |
12 | services provided on or after January 1, 2008. Every provider shall pay the monthly assessment no |
13 | later than the twenty-fifth (25th) day of each month following the month of receipt of gross patient |
14 | revenue. |
15 | (2) An assessment is imposed upon the gross patient revenue received by every |
16 | intermediate care facility in each month beginning July 1, 2024, at a rate of five and one-half |
17 | percent (5.5%) for services provided on or after July 1, 2024. Every provider shall pay the monthly |
18 | assessment no later than the twenty-fifth day of each month following the month of receipt of gross |
19 | patient revenue. |
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1 | (c) The assessment imposed by this section shall be repealed on the effective date of the |
2 | repeal or a restricted amendment of those provisions of the Medicaid Voluntary Contribution and |
3 | Provider-Specific Tax Amendments of 1991 (P.L. 102-234) that permit federal financial |
4 | participation to match state funds generated by taxes. |
5 | (d) If, after applying the applicable federal law and/or rules, regulations, or standards |
6 | relating to health care providers, the tax administrator determines that the assessment rate |
7 | established in subsection (b) of this section exceeds the maximum rate of assessment that federal |
8 | law will allow without reduction in federal financial participation, then the tax administrator is |
9 | directed to reduce the assessment to a rate equal to the maximum rate which the federal law will |
10 | allow without reduction in federal participation. Provided, however, that the authority of the tax |
11 | administrator to lower the assessment rate established in subsection (b) of this section shall be |
12 | limited solely to such determination. |
13 | (e) In order that the tax administrator may properly carry out his/her responsibilities under |
14 | this section, the director of the department of human services shall notify the tax administrator of |
15 | any damages in federal law and/or any rules, regulations, or standards which affect any rates for |
16 | health care provider assessments. |
17 | SECTION 2. Rhode Island Medicaid Reform Act of 2008 Resolution. |
18 | WHEREAS, The General Assembly enacted Chapter 12.4 of Title 42 entitled “The Rhode |
19 | Island Medicaid Reform Act of 2008”; and |
20 | WHEREAS, A legislative enactment is required pursuant to Rhode Island general laws |
21 | section 42-12.4-1, et seq.; and |
22 | WHEREAS, Rhode Island general laws section 42-7.2-5(3)(i) provides that the secretary |
23 | of the executive office of health and human services is responsible for the review and coordination |
24 | of any Medicaid section 1115 demonstration waiver requests and renewals as well as any initiatives |
25 | and proposals requiring amendments to the Medicaid state plan or category II or III changes as |
26 | described in the demonstration, “with potential to affect the scope, amount, or duration of publicly- |
27 | funded health care services, provider payments or reimbursements, or access to or the availability |
28 | of benefits and services provided by Rhode Island general and public laws”; and |
29 | WHEREAS, In pursuit of a more cost-effective consumer choice system of care that is |
30 | fiscally sound and sustainable, the secretary requests legislative approval of the following proposal |
31 | to amend the demonstration; and |
32 | WHEREAS, Implementation of adjustments may require amendments to the Rhode |
33 | Island’s Medicaid state plan and/or section 1115 waiver under the terms and conditions of the |
34 | demonstration. Further, adoption of new or amended rules, regulations and procedures may also |
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1 | be required; Now therefore be it: |
2 | RESOLVED, That the executive office of health and humans services proposes to add |
3 | intermediate care facilities to the nursing facility tax; |
4 | RESOLVED, That the secretary of the executive office of health and human services is |
5 | authorized to pursue and implement any waiver amendments, state plan amendments, and/or |
6 | changes to the applicable department's rules, regulations and procedures approved herein and as |
7 | authorized by Rhode Island General Laws section 42-12-4; and be it further; |
8 | RESOLVED, That the Secretary of State be and hereby is authorized and directed to |
9 | transmit duly certified copies of this resolution to the governor of the State of Rhode Island and to |
10 | the Rhode Island executive office of health and human services. |
11 | SECTION 3. This act shall take effect upon passage. |
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EXPLANATION | |
BY THE LEGISLATIVE COUNCIL | |
OF | |
A N A C T | |
RELATING TO TAXATION -- NURSING FACILITIES PROVIDER ASSESSMENT ACT | |
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1 | This act would provide a definition for intermediate care facility for individuals with |
2 | intellectual disabilities and would include the facilities under the nursing facility assessment and |
3 | would include a Joint Resolution to amend the Medicaid Section 1115 Demonstration waiver |
4 | request to authorize the addition of the intermediate care facilities to the tax. |
5 | This act would take effect upon passage. |
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