Bill > SB249

This bill revises the funding mechanism for uncompensated care and Medicaid payments in New Hampshire, establishing a new framework for hospital reimbursements and financial support. Beginning in fiscal year 2026, the Department of Health and Human Services will provide Medicaid payments to hospitals equal to 91 percent of money collected from a specific tax source, using various payment methods like supplemental payments, managed care directed payments, and disproportionate share hospital (DSH) adjustments. The bill narrowly defines which hospitals can receive these payments, specifying that only general acute care hospitals licensed under state law are eligible, excluding government and special rehabilitation facilities. A new committee is established to study the Medicaid enhancement tax and DSH payments, with members from the senate and house of representatives tasked with reviewing the current system, exploring potential improvements, and drafting recommended legislation by November 1, 2025. The bill also creates separate funds for uncompensated care and DSH payments, ensures all payments are subject to federal Centers for Medicare and Medicaid Services (CMS) approval, and includes provisions for adjusting payments if federal funding changes. Notably, the percentage of funds used for Medicaid hospital payments will be repealed on July 1, 2027, potentially signaling a future review or modification of the funding mechanism.

Budget and Finance, Health and Social Services

https://gc.nh.gov/bill_status/legacy/bs2016/bill_docket.aspx?lsr=1011&sy=2025&sortoption=&txtsessionyear=2025&txtbillnumber=SB249