HOUSE BILL No. 4627

 

May 19, 2015, Introduced by Rep. Lane and referred to the Committee on Appropriations.

 

     A bill to amend 1939 PA 280, entitled

 

"The social welfare act,"

 

by amending section 109 (MCL 400.109), as amended by 2012 PA 48.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 109. (1) The following medical services may be provided

 

under this act:

 

     (a) Hospital services that an eligible individual may receive

 

consist of medical, surgical, or obstetrical care, together with

 

necessary drugs, X-rays, physical therapy, prosthesis,

 

transportation, and nursing care incident to the medical, surgical,

 

or obstetrical care. The period of inpatient hospital service shall

 

be the minimum period necessary in this type of facility for the

 

proper care and treatment of the individual. Necessary

 

hospitalization to provide dental care shall be provided if

 

certified by the attending dentist with the approval of the


 

department of community health. An individual who is receiving

 

medical treatment as an inpatient because of a diagnosis of

 

tuberculosis or mental disease may receive service under this

 

section, notwithstanding the mental health code, 1974 PA 258, MCL

 

330.1001 to 330.2106, and 1925 PA 177, MCL 332.151 to 332.164. The

 

department of community health shall pay for hospital services

 

according to the state plan for medical assistance adopted under

 

section 10 and approved by the United States department of health

 

and human services.

 

     (b) An eligible individual may receive physician services

 

authorized by the department of community health. The service may

 

be furnished in the physician's office, the eligible individual's

 

home, a medical institution, or elsewhere in case of emergency. A

 

physician shall be paid a reasonable charge for the service

 

rendered. Reasonable charges shall be determined by the department

 

of community health and shall not be more than those paid in this

 

state for services rendered under title XVIII.

 

     (c) An eligible individual may receive nursing home services

 

in a state licensed nursing home, a state-licensed adult foster

 

care facility, a medical care facility, or other facility or

 

identifiable unit of that facility, certified by the appropriate

 

authority as meeting established standards for a nursing home under

 

the laws and rules of this state and the United States department

 

of health and human services, to the extent found necessary by the

 

attending physician, dentist, or certified Christian Science

 

practitioner. An eligible individual may receive nursing services

 

in an extended care services program established under section


 

22210 of the public health code, 1978 PA 368, MCL 333.22210, to the

 

extent found necessary by the attending physician when the combined

 

length of stay in the acute care bed and short-term nursing care

 

bed exceeds the average length of stay for medicaid hospital

 

diagnostic related group reimbursement. The department of community

 

health shall not make a final payment under title XIX for benefits

 

available under title XVIII without documentation that title XVIII

 

claims have been filed and denied. The department of community

 

health shall pay for nursing home services according to the state

 

plan for medical assistance adopted according to section 10 and

 

approved by the United States department of health and human

 

services. A county shall reimburse a county maintenance of effort

 

rate determined on an annual basis for each patient day of medicaid

 

nursing home services provided to eligible individuals in long-term

 

care facilities or adult foster care facilities owned by the county

 

and licensed to provide nursing home services. For purposes of

 

determining rates and costs described in this subdivision, all of

 

the following apply:

 

     (i) For county owned facilities with per patient day updated

 

variable costs exceeding the variable cost limit for the county

 

facility, county maintenance of effort rate means 45% of the

 

difference between per patient day updated variable cost and the

 

concomitant nursing home-class variable cost limit, the quantity

 

offset by the difference between per patient day updated variable

 

cost and the concomitant variable cost limit for the county

 

facility. The county rate shall not be less than zero.

 

     (ii) For county owned facilities with per patient day updated


 

variable costs not exceeding the variable cost limit for the county

 

facility, county maintenance of effort rate means 45% of the

 

difference between per patient day updated variable cost and the

 

concomitant nursing home class variable cost limit.

 

     (iii) For county owned facilities with per patient day updated

 

variable costs not exceeding the concomitant nursing home class

 

variable cost limit, the county maintenance of effort rate shall

 

equal zero.

 

     (iv) For the purposes of this section: "per patient day updated

 

variable costs and the variable cost limit for the county facility"

 

shall be determined according to the state plan for medical

 

assistance; for freestanding county facilities the "nursing home

 

class variable cost limit" shall be determined according to the

 

state plan for medical assistance and for hospital attached county

 

facilities the "nursing class variable cost limit" shall be

 

determined pursuant according to the state plan for medical

 

assistance plus $5.00 per patient day; and "freestanding" and

 

"hospital attached" shall be determined according to the federal

 

regulations.

 

     (v) If the county maintenance of effort rate computed under

 

this section exceeds the county maintenance of effort rate in

 

effect as of September 30, 1984, the rate in effect as of September

 

30, 1984 shall remain in effect until a time that the rate computed

 

under this section is less than the September 30, 1984 rate. This

 

limitation remains in effect until December 31, 2017. For each

 

subsequent county fiscal year the maintenance of effort may not

 

increase by more than $1.00 per patient day each year.


 

     (vi) For county owned facilities, reimbursement for plant costs

 

will continue to be based on interest expense and depreciation

 

allowance unless otherwise provided by law.

 

     (d) An eligible individual may receive pharmaceutical services

 

from a licensed pharmacist of the person's choice as prescribed by

 

a licensed physician or dentist and approved by the department of

 

community health. In an emergency, but not routinely, the

 

individual may receive pharmaceutical services rendered personally

 

by a licensed physician or dentist on the same basis as approved

 

for pharmacists.

 

     (e) An eligible individual may receive other medical and

 

health services as authorized by the department of community

 

health.

 

     (f) Psychiatric care may also be provided according to the

 

guidelines established by the department of community health to the

 

extent of appropriations made available by the legislature for the

 

fiscal year.

 

     (g) An eligible individual may receive screening, laboratory

 

services, diagnostic services, early intervention services, and

 

treatment for chronic kidney disease under guidelines established

 

by the department of community health. A clinical laboratory

 

performing a creatinine test on an eligible individual under this

 

subdivision shall include in the lab report the glomerular

 

filtration rate (eGFR) of the individual and shall report it as a

 

percent of kidney function remaining.

 

     (2) The director of the department of community health shall

 

provide notice to the public, according to applicable federal


 

regulations, and shall obtain the approval of the committees on

 

appropriations of the house of representatives and senate of the

 

legislature of this state, of a proposed change in the statewide

 

method or level of reimbursement for a service, if the proposed

 

change is expected to increase or decrease payments for that

 

service by 1% or more during the 12 months after the effective date

 

of the change.

 

     (3) If the department of community health requires a federal

 

waiver or amendment to the state plan for medical assistance to

 

implement the changes to the provisions of this section, the

 

department of community health shall apply immediately upon

 

enactment of the amendatory act that added this subsection for that

 

federal waiver or amendment to the state plan for medical

 

assistance.

 

     (4) (3) As used in this act:

 

     (a) "Title XVIII" means title XVIII of the social security

 

act, 42 USC 1395 to 1395kkk-1.

 

     (b) "Title XIX" means title XIX of the social security act, 42

 

USC 1396 to 1396w-5.

 

     (c) "Title XX" means title XX of the social security act, 42

 

USC 1397 to 1397m-5.