93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
HB6604


 
Introduced 02/09/04, by Dan Reitz
 
SYNOPSIS AS INTRODUCED:
 		













305 ILCS 5/5-5.8c new










    Amends the Illinois Public Aid Code.  Provides that under the Medicaid program, a nursing home may place up to 50% of its beds on layaway; sets forth requirements for placing beds on layaway.  Provides for adjustment of a nursing home's Medicaid payment rate based on the nursing home's layaway or delicensure of beds.
















LRB093 15229 DRJ 47301 b

















FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 











HB6604

LRB093 15229 DRJ 47301 b






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    AN ACT concerning public aid.

 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:


 
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    Section 5. The Illinois Public Aid Code is amended  by 
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adding Section 5-5.8c as follows:
 
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    (305 ILCS 5/5-5.8c  new)
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    Sec. 5-5.8c. Nursing homes; bed layaway.
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    (a) Upon prior written notice to the Department of Public 
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Aid and in accordance with rules adopted by the Department, a 
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nursing facility may place up to 50% of the facility's beds on 
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layaway.  A nursing facility may not
 discharge a resident in 
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order to lay away a bed.  Notice to the
 Department must be given 
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60 days prior to the effective date
 of the layaway.  Beds on 
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layaway shall have the same status as
 voluntarily delicensed 
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and decertified beds.  In
 addition, beds on layaway may be 
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removed from layaway at any
 time on or after one year after the 
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effective date of layaway in
 the facility of origin, with a 
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60-day notice to the
 Department.  A nursing facility that 
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removes beds from layaway
 may not place beds on layaway status 
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for one year after the
 effective date of the removal from 
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layaway.  The Department
 may approve the immediate removal of 
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beds from layaway if
 necessary to provide access to those 
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nursing home beds to
 residents relocated from other nursing 
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homes due to emergency
 situations or closure.  If approval is 
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granted, the
 one-year restriction on placing beds on layaway 
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after a removal
 of beds from layaway shall not apply.  Beds may 
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remain on
 layaway for up to 5 years.
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    (b) For rate
 years beginning on or after July 1, 2005, a 
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nursing facility
 reimbursed under this Article that has placed 
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beds on layaway
 shall have those beds given the same effect as 
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if the beds
 had been delicensed, so long as the beds remain on 
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layaway.  At
 the time of a layaway, a facility may change its 
 


 






HB6604
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LRB093 15229 DRJ 47301 b




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single bed
 election for use in calculating capacity days.  The 
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property payment rate
 increase shall be effective the first day 
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of the month following
 the month in which the layaway of the 
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beds becomes effective.
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    (c) For rate years beginning on or after July 1, 2005,
 a 
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nursing facility that
 has placed beds on layaway shall, for so 
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long as the beds remain
 on layaway, be allowed to do the 
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following:
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        (1) Aggregate the applicable investment per bed limits
 
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    based on the number of beds licensed immediately before
 
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    entering the alternative payment system.
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        (2) Retain or change the facility's single bed election 
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    for
 use in calculating capacity days as provided by rule.
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        (3) Establish capacity days based on the number of beds
 
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    immediately before the layaway and the number of beds after
 
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    the layaway.
 The Department shall increase the facility's 
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    property payment
 rate according to rules adopted by the 
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    Department.
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    (d) If a nursing facility removes a bed from layaway status
 
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    in accordance with rules adopted by the Department, the
 
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    Department shall establish capacity days based on the number
 of 
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    licensed and certified beds in the facility not on layaway
 and 
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    shall reduce the nursing facility's property payment rate in
 
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    accordance with subsection (c).
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    (e) For rate years beginning on or after July 1, 2005,
 a 
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    nursing facility that has delicensed beds after July 1, 2005 by 
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    giving notice
 of the delicensure to the Department of Public 
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    Aid according to
 rules adopted by the Department
 shall be 
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    allowed to do the following:
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        (1) Aggregate the applicable investment per bed limits
 
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    based on the number of beds licensed immediately before
 
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    entering the alternative payment system.
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        (2) Retain or change the facility's single bed election 
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    for
 use in calculating capacity days as provided by rule.
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        (3) Establish capacity days based on the number of beds
 
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    immediately before the delicensure and the number of beds
 
 


 






HB6604
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LRB093 15229 DRJ 47301 b




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    after the delicensure.
 The Department shall increase the 
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    facility's property payment
 rate according to rules 
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    adopted by the Department.
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    (f) Any beds placed on layaway shall not be
 included in 
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    calculating facility occupancy as it pertains to
 leave days as 
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    provided in rules adopted by the Department.
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    (g) The rental rate calculated after placing beds
 on 
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    layaway may not be less than the rental rate before placing
 
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    beds on layaway.
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    (h) A facility that does not utilize the space made
 
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    available as a result of bed layaway or delicensure under this
 
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    Section to reduce the number of beds per room or provide
 more 
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    common space for nursing facility uses or perform other
 
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    activities related to the operation of the nursing facility
 
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    shall have its property rate increase calculated under this  
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    Section reduced according to rules adopted by the Department.