HB321 Alabama 2018 Session

Summary

Primary Sponsor

Steve ClouseRepresentative

Republican

Session

Regular Session 2018

Title

Nursing facilities, supplemental privilege assessment and monthly surcharge for Medicaid extended, expiration under certain conditions, Sec. 40-26B-21 am'd.

Summary

HB 321 extends the supplemental privilege assessment and monthly surcharge on nursing facilities to August 31, 2019.

What This Bill Does

HB 321 keeps in place the base privilege assessment and the supplemental and secondary supplemental assessments, along with the monthly surcharge, and extends their expiration date to August 31, 2019. It maintains how these assessments are calculated per bed and how they are treated as allowable costs in Medicaid per diem rate calculations, ensuring Medicaid reimbursements account for these costs. It also allows potential Medicaid rate adjustments if total revenues from the assessments fall below a certain threshold, and it retains administration of the nursing facility Medicaid program by the Alabama Medicaid Agency through at least October 1, 2019.

Who It Affects

• Nursing facilities in Alabama: must pay the privilege assessment, supplemental and secondary supplemental assessments, and monthly surcharge, which affect their operating costs and how they are reimbursed by Medicaid.
• Alabama Medicaid Agency and nursing facility residents/Medicaid program: funding for indigent health care remains in place with ongoing Medicaid rate adjustments tied to these assessments.

Key Provisions

• Extends the supplemental privilege assessment and monthly surcharge to Aug. 31, 2019.
• Maintains base per-bed amounts: $1,899.96 per bed per year for the privilege assessment; supplemental per-bed rates of $1,063.08 (2010-11) and $1,603.08 (2011-2019); monthly surcharge starting at $131.25 per bed, reduced to $43.75; secondary supplemental $401.28 per bed per year (2015-2019).
• Treats total assessments as allowable costs in Medicaid per diem calculations and outlines how rate adjustments are calculated based on resident days and prior baselines.
• Allows reductions in rates and corresponding Medicaid per diem adjustments if total revenues from the assessments fall to 6% or less of facility revenues in a fiscal year.
• Keeps the Alabama Medicaid Agency in charge of the nursing facility Medicaid program through at least Oct 1, 2019.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation