WSR 02-06-088



(Medical Assistance Administration)

[ Filed March 1, 2002, 3:41 p.m. ]

     Subject of Possible Rule Making: Chapter 388-550 WAC, Federally qualified health centers and rural health clinics.

     Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 74.08.090, 74.09.510, 74.09.522, 42 C.F.R. 405.2400, 42 C.F.R. 491.

     Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: This rule change is necessary to comply with federal financial changes.

Section 702 of the Benefit Improvement and Protection Act (BIPA) of 2000 replaces cost-based reimbursement methodology with Medicaid FQHC/RHC prospective payment system (PPS).
Washington state legislature has instructed Medical Assistance Administration (MAA) to implement the prospective payment system (PPS) in its 2001-2003 biennium budget.

     Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: Centers for Medicare and Medicaid Services--MAA is implementing new federal payment methodology (see above).

     Process for Developing New Rule: The department invites the interested public to review and provide input on the draft language of this rule. Draft material and information about how to participate may be obtained from the department representative listed below.

     Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Myra Davis, MAA, Program Manager, P.O. Box 45533, Olympia, WA 98504-5533, phone (360) 725-1306, fax (360) 586-9727, TDD 1-800-848-5429, e-mail

February 28, 2002

Brian H. Lindgren, Manager

Rules and Policies Assistance Unit

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