Full Text of SB2635 95th General Assembly
SB2635 95TH GENERAL ASSEMBLY
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95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008 SB2635
Introduced 2/15/2008, by Sen. Don Harmon SYNOPSIS AS INTRODUCED: |
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Amends the Illinois Public Aid Code. Provides for an increase in Medicaid rates for nursing homes for the sole purpose of increasing wages for non-supervisory employees. Requires nursing homes to apply for the rate increase. Requires nursing homes to document the use of moneys paid to them under this provision, and provides for penalties if the Department of Healthcare and Family Services determines that a nursing home spent any of the moneys for a purpose other than increasing wages for non-supervisory employees. Effective immediately.
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| FISCAL NOTE ACT MAY APPLY | |
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A BILL FOR
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SB2635 |
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LRB095 17043 DRJ 46066 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 | 5 |
| adding Section 5-5.4d as follows: | 6 |
| (305 ILCS 5/5-5.4d new) | 7 |
| Sec. 5-5.4d. Nursing facilities; rate increase for wage | 8 |
| increases for non-supervisory employees. | 9 |
| (a) A facility licensed by the Department of Public Health | 10 |
| under the Nursing Home Care Act as a skilled nursing facility, | 11 |
| intermediate care facility, or skilled nursing for under age 22 | 12 |
| facility is eligible for an increase in the rates paid to the | 13 |
| facility under this Article for services provided on or after | 14 |
| January 1, 2009. Any increase paid to a facility under this | 15 |
| Section shall be for the sole purpose of increasing wages for | 16 |
| non-supervisory employees of the facility beginning on January | 17 |
| 1, 2009. | 18 |
| The amount available to provide this increase in rates | 19 |
| shall be $75,000,000 in State fiscal year 2009 and $150,000,000 | 20 |
| in State fiscal year 2010 and thereafter, which shall be | 21 |
| applied in an equal per diem increase to the Medicaid rates of | 22 |
| all facilities that elect to participate in this program, | 23 |
| effective January 1, 2009, as determined by the Department |
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SB2635 |
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LRB095 17043 DRJ 46066 b |
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| according to rules. The Department shall attempt to increase | 2 |
| the per diem as much as possible given reasonable estimates of | 3 |
| Medicaid days per participating facilities. The maximum dollar | 4 |
| amounts apply to the date of service of the payments and are | 5 |
| not necessarily equal to the moneys appropriated for this | 6 |
| purpose in any specific year. In no case shall the per diem be | 7 |
| increased by more than $7 per Medicaid day. This amount shall | 8 |
| be included in the rate or other payments made by the | 9 |
| Department of Healthcare and Family Services on behalf of | 10 |
| residents of long-term care facilities under this Article. | 11 |
| The Department shall adopt all rules, including State plan | 12 |
| amendments, that are necessary to obtain available federal | 13 |
| financial participation as provided under Title XIX of the | 14 |
| Social Security Act. | 15 |
| (b) For purposes of this Section, increased wages may | 16 |
| include any payroll tax increases directly associated with the | 17 |
| provision of the wage increases. | 18 |
| (c) A facility must apply to the Department of Healthcare | 19 |
| and Family Services for the rate increase authorized under this | 20 |
| Section and must do so in the form and manner determined by the | 21 |
| Department. | 22 |
| (d) A facility must document that a payment increase | 23 |
| received under this Section was actually used to fund wage | 24 |
| increases for the facility's non-supervisory employees. A | 25 |
| facility may provide that documentation by either of the | 26 |
| following methods: |
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LRB095 17043 DRJ 46066 b |
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| (1) An audited supplement to the facility's cost report | 2 |
| provided by an independent accountant, based on a review of | 3 |
| payroll records, that verifies the expenditures. | 4 |
| (2) A copy of the terms of an executed collective | 5 |
| bargaining agreement between the facility and its | 6 |
| non-supervisory employees that requires the expenditures. | 7 |
| (e) If the Department of Healthcare and Family Services | 8 |
| determines, after notice and a hearing, that any moneys paid to | 9 |
| a facility under this Section were used for a purpose other | 10 |
| than increasing wages for non-supervisory employees, the | 11 |
| Department shall direct the facility to increase wages for the | 12 |
| facility's non-supervisory employees to the extent necessary | 13 |
| to ensure that the entire amount of the increase paid to the | 14 |
| facility under this Section is used for that purpose. In | 15 |
| addition, for the purpose of offsetting the cost of auditing | 16 |
| and enforcement in connection with this Section, the Department | 17 |
| shall recoup from the facility an amount equal to 50% of the | 18 |
| amount of the increase paid to the facility under this Section | 19 |
| that the facility did not use to fund wage increases for its | 20 |
| non-supervisory employees.
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| Section 99. Effective date. This Act takes effect upon | 22 |
| becoming law.
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