CMS Issues Medicaid Fiscal Responsibility Proposed Rule

Posted on November 21, 2019

The Centers for Medicare & Medicaid Services (CMS) recently released a proposed rule to establish new regulations governing Medicaid supplemental payments and nonfederal financing of the Medicaid program. Key items in the proposed rule include:

  • Requiring states to report provider-level supplemental payments.
  • Establishing new regulatory definitions for Medicaid “base” and “supplemental” payments.
  • Prohibiting higher provider tax rates for Medicaid services than for non-Medicaid services.
  • Requiring new reporting for the federally mandated annual disproportionate share hospital (DSH) audits that would quantify DSH audit findings by hospital.
  • Limiting the duration of broad-based or uniform tax waivers to no more than three years, requiring future approvals from the CMS.
  • Clarifying how public funds can be used in state financing arrangements.

The MHA continues to review the proposed rule and its potential impact on the Michigan Medicaid program and will make its draft comments available prior to the Jan. 17 due date. The association encourages hospitals to review the proposal and submit comments to the CMS. Members with questions should contact Jason Jorkasky at the MHA.

Tags: Medicaid, CMS, Jason Jorkasky

Posted in: Member News

MHA Updates Delivered to You

Subscribe to the MHA Monday Report weekly newsletter or our podcast, the MiCare Champion Cast, to keep informed about the latest healthcare news and events in Michigan.

MHA Monday Report
Contact us to subscribe

MiCare Champion Cast
iTunes | SoundCloud

Media Inquiries

Contact the MHA at
(517) 703-8601

Read the MHA policy on publication via MHA media.

MHA 100 Year Anniversary

Watch the video »