855 Changes to an additional class of disproportionate share payments  

  • DEPARTMENT OF
    PUBLIC WELFARE

    Changes to an Additional Class of Disproportionate Share Payments

    Purpose of Notice

    [39 Pa.B. 2403]
    [Saturday, May 9, 2009]

       The Department of Public Welfare (Department) is providing final notice of an increase in the allocation for disproportionate share hospital (DSH) payments to certain qualifying Medical Assistance (MA) enrolled hospitals that advance the Department's goal of enhanced access to multiple types of medical care in economically distressed areas of this Commonwealth. There is no change in current qualifying criteria or methodology for determining eligibility for this additional class of DSH payments.

       The State General funds allocated for these annual payments increased to $7.848 million. For Fiscal Year (FY) 2008-2009 only, an additional $4 million in State General funds is allocated for these payments.

       The Department continues to divide payments proportionally between qualifying hospitals based on the percentages of each qualifying hospital's MA inpatient days to the total MA inpatient days of all qualifying hospitals. In making these payments, the Department ensures that no acute care general hospital receives a DSH payment that is in excess of its hospital-specific DSH upper payment limit and the Commonwealth does not exceed its aggregate annual DSH allotment.

       The Department published notice of its intent to increase the FY 2008-2009 allocation for DSH payments to certain qualifying MA enrolled hospitals that advance the Department's goal of enhanced access to multiple types of medical care in economically distressed areas of this Commonwealth at 39 Pa.B. 746 (February 7, 2009). The Department did not receive any public comments during the 30-day public comment period following the publication of the notice and will implement the proposed changes as final.

    Fiscal Impact

       For FY 2008-2009, the fiscal impact related to this increase is $13.162 million ($5.986 million in State funds). The $4.000 million payment of State General Funds will be treated as a one-time payment. The $1.986 million payment of State General Funds will be ongoing.

    ESTELLE B. RICHMAN,   
    Secretary

       Fiscal Note:  14-NOT-598. (1) General Fund:

    MA--Inpatient
    (2) Implementing Year 2008-09 is $1,986,000            
    (3) 1st Succeeding Year 2009-10 is $1,986,000            
    2nd Succeeding Year 2010-11 is $1,986,000            
    3rd Succeeding Year 2011-12 is $1,986,000            
    4th Succeeding Year 2012-13 is $1,986,000            
    5th Succeeding Year 2013-14 is $1,986,000            
    Acute Care Hospitals
    Implementing Year 2008-2009 is    $400,000
    1st Succeeding Year 2009-10 is    $0
    2nd Succeeding Year 2010-11 is    $0
    3rd Succeeding Year 2011-12 is    $0
    4th Succeeding Year 2012-13 is    $0
    5th Succeeding Year 2013-14 is    $0
    MA--Inpatient
    (4) 2007-08 Program--$468,589,000
    2006-07 Program--$513,020,000
    2005-06 Program--$474,693,000
    Acute Care Hosptials
    2007-08 Program--$21,175,000
    2006-07 Program--$14,500,000
    2005-06 Program--$10,800,000

       (7)  MA--Inpatient and Acute Care Hosptials; (8) recommends adoption. Funds have been included in the budget to cover this increase.

    [Pa.B. Doc. No. 09-855. Filed for public inspection May 8, 2009, 9:00 a.m.]

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