Indirect Medical Education Funding for Children's Hospital of the King's Daughters
Biennium
2020-2022
Budget Round
Amended Bill
Half Sheet Number
313 #28c
Description
This amendment adds funding and language directing the Department of Medical Assistance Services to adjust the formula used to calculate indirect medical education reimbursement for managed care discharges at Children's Hospital of the King's Daughters (CHKD). This change would partially restore CHKD's case mix index (CMI) factor, which had been reduced in fiscal year 2020. The change is intended to stabilize CHKD s IME funding levels so the hospital is not subject to dramatic fluctuations in future Medicaid payments that occur with rebasing and changes in federal policy, and would be consistent with historic levels of state support. Language requires the agency to work with the hospital to examine the methodology used to determine the case mix adjustment and factors influencing changes when rebasing occurs. The IME payments are matched by the federal government on a 50/50 basis.