Date: 02/13/2006

Final
BILL SUMMARY for HB06-1186

HOUSE COMMITTEE ON HEALTH AND HUMAN SERVICES

Votes: View--> Action Taken:
Refer the bill to the Committee on Appropriations.PASS


01:42 PM -- House Bill 06-1186

Representative White, sponsor, presented the bill regarding the timely determination of eligibility for Medicaid. He stated some counties are not processing Medicaid applications in a timely manner. He stated some Medicaid providers have not been reimbursed for up to one year for services they have provided to Medicaid clients. He answered questions about how the bill might improve the timeliness of payments to providers.

The following persons testified.

01:49 PM -- Pat Ratliff, Colorado Counties, Inc., stated her opposition to the bill. She stated "substantially complete" application is the crux of the issue for counties. Counties continue to struggle with incomplete applications, especially for long-term care clients. She answered questions about types of problems encountered on applications. Representative Berens described the bill as creating a process where there currently is none. Ms. Ratliff discussed the counties' desire for a broader approach to Medicaid application and eligibility determination problems. Representative White stated $12 to $13 million is currently owed to Medicaid providers for services already provided.

02:05 PM -- Ed Kahn, Colorado Center on Law and Policy, stated his groups includes attorneys for the plaintiffs in the CBMS (Colorado Benefits Management System) lawsuit against the state. He stated his opposition to the bill and listed specific objections to the bill. These include the lack of a "hold harmless" clause for applicants. He answered questions about his idea for a better solution to the problem of late processing of Medicaid applications. He stated CBMS continues to have significant problems.

02:12 PM -- Dana Olson, Laurel Manor Care Center, described her work on a task force to resolve provider reimbursement problems in Colorado Springs. Approximately $2 million is owned by Medicaid to these providers. She described a situation faced by a long-term care provider who had to write off $35,000 due to a patient ultimately being determined ineligible for Medicaid.

02:17 PM -- Chris Cosgrove, The Spearly Center, stated 80 percent of the clients in her long-term care center are Medicaid enrollees. She described problems encountered by patients when their Medicaid eligibility is delayed. She answered questions about incomplete Medicaid applications. She stated the center has had to wait up to three years for an application to be processed by the county.

02:22 PM -- John Brammeier, Pinon Management, stated Pinon manages 17 long-term care facilities in Colorado. He described cash flow problems encountered by facilities when Medicaid reimbursement is delayed. Because of low margins, delayed reimbursements can affect a facility's ability to meet payroll. He stated the bill will create incentives and accountability among the counties and state. He answered questions about the current availability of grievance processes.

02:34 PM -- Janet Fox Stephens, Colorado Health and Hospital Association, stated the association's highest legislative priority is the uninsured. HB 1186 goes a long way to make sure Medicaid eligibles are covered by the program.

02:37 PM -- Deborah Isner, Parkmoor Village Health Care Center, stated Medicaid applications processing has been an ongoing problem for her facility. She stated her facility is currently awaiting almost $600,000 in Medicaid reimbursements. At this time, she will not admit any other Medicaid-pending clients to her facility due to the uncertainty of application processing. Problems with Medicaid reimbursements have negatively affected her staff.

02:41 PM -- Bob Jones, Life Care Centers of America, stated half of his clients are Medicaid clients. He stated his company has approximately $1 million in outstanding Medicaid reimbursements. Counties that are slow to process Medicaid applications have indicated problems are due to insufficient staffing.

02:45 PM -- Janet Snipes, Holly Heights Nursing Home, stated she stopped accepting Medicaid-pending clients a few years ago. She described timely filing requirements providers must adhere to when requesting reimbursement. Representative White answered questions about possible penalties against counties that do not process applications in a timely manner.

02:52 PM -- Arlene Miles, Colorado Healthcare Association, described her work with the Department of Health Care Policy and Financing to resolve approximately $14 million in outstanding reimbursements to long-term care facilities. She stated current law already allows the state to process delayed Medicaid applications. House bill 1186 changes the law so that the state will be required to process an application at a provider's request. Ms. Miles answered questions about current remedies for addressing outstanding Medicaid reimbursements and reasons for delayed application processing.

03:07 PM -- Jennifer Miles, Colorado Community Health Network, stated the community health centers face many of the same reimbursement experienced by long-term care providers. Representative White answered questions about seeking payments from individual recipients.


03:12 PM

Representative White made concluding remarks. He stated delayed applications have caused problems for individuals and providers alike. Committee members discussed reasons for their votes.
BILL:HB06-1186
TIME: 03:16:51 PM
MOVED:Cloer
MOTION:Refer the bill to the Committee on Appropriations. The bill passed 9-4.
SECONDED:Stafford
VOTE
Berens
Yes
Cloer
Yes
Green
Yes
Kerr
Yes
Lundberg
Yes
McGihon
No
Riesberg
Yes
Soper
Yes
Stafford
Yes
Sullivan
No
Weissmann
Yes
Frangas
No
Boyd
No
Final YES: 9 NO: 4 EXC: 0 ABS: 0 FINAL ACTION: PASS