Effective Date of Rule: Thirty-one days after filing.

     Purpose: The purpose of new sections WAC 388-105-0050 and 388-105-0055 is to make it clear when an AFH, AL, ARC or EARC contractor may request an additional payment from a Medicaid client or from a third party on behalf of a Medicaid client.

     The anticipated effect is to prevent a Medicaid recipient from paying for services, items, activities, or room and board covered by the Medicaid rate and required to be provided by the contractor. Also, to prevent supplementation of the Medicaid rate, whereby, a contractor requires a payment unrelated to a service, item, activity, or room and board from the Medicaid client in order for the client to reside in the facility.

     Statutory Authority for Adoption: RCW 74.39A.901.

      Adopted under notice filed as WSR 06-24-065 on December 4, 2006.

     Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 2, Amended 0, Repealed 0.

     Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0;      Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 2, Amended 0, Repealed 0.

     Date Adopted: January 26, 2007.

Jim Schnellman, Chief

Office of Administrative Resources

     (2) The AFH, ARC, EARC, or AL contractor may not request supplemental payment of a Medicaid recipient's daily rate for services or items that are covered in the daily rate, and the contractor is required to provide:

     (a) Under licensing chapters 388-76 or 78A WAC and chapter 388-110 WAC; and/or

     (b) In accordance with his or her contract with the department.

     (3) Before a contractor may request supplemental payments, the contractor must have a supplemental payment policy that has been given to all applicants for admittance and current residents. In the policy, the contractor must inform the applicant for admittance or current resident that:

     (a) The department Medicaid payment plus any client participation assigned by the department is payment in full for the services, items, activities, room and board required by the resident's negotiated service plan per chapter 388-78A WAC or the negotiated care plan per chapter 388-76 WAC and its contract with the department; and

     (b) Additional payments requested by the contractor are for services, items, activities, room and board not covered by the Medicaid per diem rate.

     (4) For services, items and activities, the supplementation policy must comply with RCW 70.129.030(4).

     (5) For units or bedrooms for which the contractor may request supplemental payments, the contractor must include in the supplemental payment policy the:

     (a) Units and/or bedrooms for which the contractor may request supplementation;

     (b) Action the contractor will take when a private pay resident converts to Medicaid and the resident or a third party is unwilling or unable to pay a supplemental payment in order for the resident to remain in his or her unit or bedroom. When the only units or bedrooms available are those for which the contractor charges a supplemental payment, the contractor's policy may require the Medicaid resident to move from the facility. However, the contractor must give the Medicaid resident thirty days notice before requiring the Medicaid resident to move.

     (6) For the Medicaid resident for whom the contractor receives supplemental payments, the contractor must indicate in the resident's record the:

     (a) Unit or bedroom for which the contractor is receiving a supplemental payment;

     (b) Services, items, or activities for which the contractor is receiving supplemental payments;

     (c) Who is making the supplemental payments;

     (d) Amount of the supplemental payments; and

     (e) Private pay charge for the unit or bedroom for which the contractor is receiving a supplemental payment.

     (7) When the contractor receives supplemental payment for a unit or bedroom, the contractor must notify the Medicaid resident's case manager of the supplemental payment.

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