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This bill enhances the rate to enhance capitated rates to Medicaid managed care health
plans for the purpose of increasing Medicaid payments to private nursing facilities. Nursing
facility sustainability fees are used as permitted by this bill. At least 88% of the sustainability fee
is used to match Medicaid funds to increase Medicaid payment to private nursing facilities. The
remaining 12% is used for other department purposes. This bill increases reimbursements to
private nursing facilities to support the availability of services and to ensure access to care to the
Medicaid managed care. Rate enhancement requires department documentation to the nurse
facility trade association to ensure the revenue is used in accordance with this bill. The nursing
facility sustainability fee is discontinued if the waiver is unapproved by Centers for Medicare
and Medicaid Services, funding is below state appropriation, the department uses funds for
purposes not permitted in this section, or federal funding becomes unavailable.