NOTICES
DEPARTMENT OF
PUBLIC WELFARE
Inpatient Hospital Services
[37 Pa.B. 269]
[Saturday, January 13, 2007]The Department of Public Welfare (Department) announces its intent to revise its payment method for inpatient hospital services. These revisions will affect acute care general hospitals, private psychiatric hospitals, psychiatric units of general hospitals, rehabilitation hospitals and rehabilitation units of general hospitals.
Effective January 14, 2007, the Department proposes to change its payment methodology for inpatient services as follows:
Base Payment Rate
The Department intends to increase each hospital's or hospital unit's base payment rate for inpatient services provided on a fee-for-service basis by 4.16%.
Inpatient Disproportionate Share; Volume Disproportionate Share; Outpatient Disproportionate Share; and Direct Medical Education Payments
The Department intends to increase Inpatient Disproportionate Share payments by 3.5%, with no change in the current methodology for determining eligibility for those payments. For Fiscal Year (FY) 2006-2007, the aggregate amount of Inpatient Disproportionate Share payments is to be limited to $65.344 million in total funds.
The Department intends to increase Volume Disproportionate Share payments by 3.5%, with no change in the current methodology for determining eligibility for those payments. For FY 2006-2007, the aggregate amount of Volume Disproportionate Share payments is to be limited to $10.412 million in total funds.
The Department intends to increase Outpatient Disproportionate Share payments by 4%, with no change in the current methodology for determining eligibility for those payments. For FY 2006-2007, the aggregate amount of Outpatient Disproportionate Share payments is to be limited to $62.526 million in total funds.
The Department intends to increase Medical Education payments by 3.5%, with no change in the current methodology for determining eligibility for those payments. For FY 2006-2007, the aggregate amount of Medical Education payments is to be limited to $80.642 million in total funds.
Fiscal Impact
The necessary funding required for these payment provisions has been provided for in the Department's FY 2006-2007 budget. This change will result in a cost of $13.374 million in total funds ($7.208 million in Federal funds, $6.166 million in State funds) for FY 2006-2007.
Public Comment
Interested persons are invited to submit written comments regarding this notice to the Department of Public Welfare, Office of Medical Assistance Programs, c/o Deputy Secretary's Office, Attn: Regulations Coordinator, Room 515, Health and Welfare Building, Harrisburg, PA 17120. Comments received within 30 days will be reviewed and considered for any subsequent revision of the notice.
Person's with a disability who require an auxiliary aid or service may submit comments using the AT&T Relay Service at (800) 654-5984 (TDD users) or (800) 654-5988 (voice users).
ESTELLE B. RICHMAN,
SecretaryFiscal Note: 14-NOT-499. (1) General Fund:
MA-Inpatient MA-Outpatient (2) Implementing Year 2006-07 is $5,888,000 $279,000 1st succeeding Year 2007-08 is $18,992,000 $1,135.000 2nd succeeding Year 2008-09 is $18,992,000 $1,135.000 3rd succeeding Year 2009-10 is $18,992,000 $1,135,000 4th succeeding Year 2010-11 is $18,992,000 $1,135,000 5th succeeding Year 2011-12 is $18,992,000 $1,135,000 (3) 2005-06 Program-- $474,693,000 $945,950,000 2004-05 Program-- $531,785,000 $842,991,000 2003-04 Program-- $411,042,000 $677,979,000 (7) Medical Assistance-Inpatient (MA-Inpatient); Medical Assistance-Outpatient (MA-Outpatient); (8) recommends adoption. Funds have been included to cover these increased costs.
[Pa.B. Doc. No. 07-54. Filed for public inspection January 12, 2007, 9:00 a.m.]
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