Bill > SF2682

This bill modifies hospital payment rates for various types of hospitals in Minnesota, primarily focusing on how the state calculates reimbursement for inpatient services. The bill establishes a new rebasing schedule for hospital payment rates, effective July 1, 2025, which will require the commissioner to recalculate rates based on the most recent Medicare cost reports. For critical access hospitals (smaller hospitals in rural areas that provide essential healthcare services), the bill changes the payment methodology to reimburse hospitals at 100 percent of their base year costs, adjusted for inflation using a hospital cost index. The bill also requires the commissioner to consider various factors when setting rates, including the impact on specific types of services like pediatric care, behavioral health, trauma services, and services provided by small rural hospitals. The rebasing process aims to ensure that total aggregate payments remain budget neutral, meaning the overall amount paid to hospitals should not significantly change. Additionally, the bill specifies that years impacted by pandemics or public health emergencies cannot be used as base years for calculating hospital payment rates, and requires the commissioner to provide the legislature with a detailed analysis of the estimated changes in hospital discharge payment rates by January 15 of each rebasing year.

Health and Social Services

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF2682&ssn=0&y=2025