SB288 Alabama 2011 Session

Summary

Primary Sponsor

Del Marsh

Republican

Session

Regular Session 2011

Title

Nursing facilities, Medicaid reimbursement, supplement assessment extended, supplemental provider privilege assessment increased, inflation factor moved to zero, Medicaid Agency authorized to create reimbursement formula for ventilator care units, Secs. 40-26B-21, 40-26B-22, 40-26B-23, 40-26B-24, 40-26B-25, 40-26B-26 am'd.; Act 2010-520, 2010 Reg. Sess. am'd.

Summary

SB288 would extend and raise the nursing facility supplemental assessments, pause inflation in Medicaid nursing facility rates for a period, and authorize a ventilator-unit reimbursement formula.

What This Bill Does

If enacted, the bill would extend the supplemental privilege tax on nursing facilities through August 31, 2013 and raise the annual amount per bed from $1,063.08 to $1,603.08 starting September 1, 2011. It would set the inflation factor used to determine overall Medicaid nursing facility rates to zero from October 1, 2011 to September 30, 2013 (except for calculating cost-center ceilings). It would authorize the Alabama Medicaid Agency to create a special reimbursement formula for dedicated ventilator care units in nursing facilities. Revenues from these assessments would be treated as allowable costs in Medicaid rate calculations and affect per diem reimbursements accordingly.

Who It Affects

• Nursing facilities would pay higher supplemental assessments per bed per year and have those costs included in Medicaid rate calculations, extending through 2013.
• The Alabama Medicaid Agency (and related state funds) would implement the new reimbursement methods, adjust rates, and manage the revenue from these assessments to support Medicaid nursing facility programs.

Key Provisions

• Extend the supplemental privilege tax assessment on nursing facilities through August 31, 2013, with the rate per bed increasing from $1,063.08 (Sept 1, 2010–Aug 31, 2011) to $1,603.08 (Sept 1, 2011–Aug 31, 2013).
• From October 1, 2011 through September 30, 2013, set the automatic inflation factor for overall Medicaid nursing facility rates to zero (except for calculating cost center ceilings).
• Authorize the Medicaid Agency to create a special reimbursement model for dedicated ventilator care units in nursing facilities.
• Treat the supplemental and privilege tax assessments as allowable costs in Medicaid rate calculations and adjust per diem payments accordingly.
• Direct how revenues are collected and used, including deposit to the Alabama Health Care Trust Fund and limits on how the funds may be used for Medicaid purposes.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Medicaid Agency