Eliminate hospital inflation for FY 2016 and continue prior year reductions for teaching hospitals
Biennium
2014-2016
Budget Round
Initial Bill
Half Sheet Number
301#14s
Description
This amendment eliminates funding and modifies language included in the introduced budget that provided an inflation adjustment of 2.5 percent in fiscal year 2016 for inpatient hospital services. The 2013 Medicaid Forecast included an inflation adjustment of 2.5 percent each year for Medicaid-funded inpatient hospital services. The introduced budget removed funding for the fiscal year 2015 inflation adjustment only. In addition, the amendment eliminates an adjustment for prior year inflation amounts used in the calculation of an inflation adjustment for the state teaching hospitals in fiscal year 2016. The introduced budget eliminated this adjustment for the teaching hospitals in fiscal year 2015. Language is modified to reflect these changes for inpatient hospital operating rates in the second year.