H-1039.1

HOUSE BILL 1810

ByRepresentatives Schmick and Tharinger

AN ACT Relating to rural health payment changes by the health care authority; and adding a new section to chapter 74.09 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1. A new section is added to chapter 74.09 RCW to read as follows:

(1) The legislature recognizes the importance that rural health delivery systems play in maintaining the health of Washington's rural residents and the economic vitality of rural communities.

(2) The authority shall take advantage of federal opportunities to transform care delivery and enhance the financial viability of rural facilities and providers through improved systems of medicare and medicaid payment. In negotiating any rural health payment changes with the centers for medicare and medicaid services, the authority shall ensure any new system meets the following parameters:

(a) The system has been modeled to show short-term and long-term financial viability for all types of rural hospitals, including sole community hospitals, rural prospective payment system hospitals, and all size critical access hospitals;

(b) The system does not require significant state investment on a long-term basis for an oversight board;

(c) Hospital representatives have an opportunity to participate in negotiations with the centers for medicare and medicaid services; and

(d) The system respects local hospital decision making by having voluntary participation in a new payment system.

(3) The authority shall not enter into an agreement on a new rural health payment system with the centers for medicare and medicaid services without prior review and approval from the legislature.

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