HB 5157 — Relating to contingent increase of tax rate on certain eligible acute care hospitals

WEST VIRGINIA LEGISLATURE REGULAR SESSION ENROLLED Committee Substitute for House Bill 5157 ByBYD DelegatesELEGATESR Rohrbach,OHRBACH Criss,, Worrell,RIS, Akers,WORRELL, Chiarelli,AKERS, Summers,CHIARELL, Tully,UMMERS Dittman,, Forsht,ULLY, Fehrenbacher,DITTMA, andORSHT Hornbuckle, [OriginatingFEHRENBACHER in,AND theHORNBUCKLE Committee[Passed onFebruary Finance;14, 2024;

Reportedin oneffect Januaryfrom 29,passage.] 2024]Enr CS for HB 5157 AAN BILLACT to amend and reenact §11-27-38 of the Code of West Virginia, 1931, as amended, relating to increasing the tax rate imposed on certain hospitals up to the maximum amount allowed by the Centers for Medicare and Medicaid Services (CMS).

Contingent increase of tax rate on certain eligible acute care hospitals.

(b) (c) For purposes of this section, prior to approval by CMS of the state plan amendment made pursuant to amendment and reenactment of this section in 2024, the term "eligible acute care hospital" means any inpatient or outpatient hospital conducting business in this state that is not:

1 CS for HB 5157 (2) A critical access hospital, designated as a critical access hospital after meeting all Enr CS for HB 5157 federal eligibility criteria;

(c) (d) There is continued a special revenue account in the State Treasury designated the Medicaid State Share Fund.

The Tax Commissioner shall establish and maintain a separate account and accounting for the funds collected under this section in an account to be designated as the Eligible Acute Care Provider Enhancement Account Eligible Facility Directed Payment Program Enhancement Account.

The amounts collected shall be deposited, within 15 days after receipt by the Tax Commissioner, into the Eligible Acute Care Provider Enhancement Account Eligible Facility Directed Payment Program Enhancement Account.

Disbursements from the Eligible Acute Care Provider Enhancement Account Eligible Facility Directed Payment Program Enhancement Account within the Medicaid State Share Fund may only be used to support West Virginia Medicaid and the directed payment program, or its successor, in accordance with 42 C.F.R.42 C.F.R.

(d) (e) The imposition and collection of taxes imposed by this section is suspended immediately upon the occurrence of any of the following:

2 CS for HB 5157 (1) The effective date of any action by Congress that would disqualify the taxes imposed by this section from counting toward state Medicaid funds available to be used to determine the federal financial participation;

Enr CS for HB 5157 (2) The effective date of any decision, enactment, or other determination by the Legislature or by any court, officer, department, agency, or office of state or federal government that has the effect of disqualifying the tax from counting toward state Medicaid funds available to be used to determine federal financial participation for Medicaid matching funds or creating for any reason a failure of the state to use the assessment of the Medicaid program as described in this section;

and (3) If the tax payments remitted by the eligible acute care hospitals are not used to effectuate the provisions of this article.

(e) (f) Any funds remaining in the Eligible Acute Care Provider Enhancement Account Eligible Facility Directed Payment Program Enhancement Account as of June 30, 2021 2024, and on June 30 of each year thereafter, shall be transferred to the West Virginia Medical Services Fund after that June 30 but no later than the next ensuing September 30.

(f) (g) The changes to the tax rate in this section enacted in the regular session of the Legislature, 2021 2024, are effective July 1, 2021 upon approval by CMS of the state plan amendment.

Enr CS for HB 5157 The Clerk of the House of Delegates and the Clerk of the Senate hereby certify that the foregoing bill is correctly enrolled.

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Clerk of the House of Delegates ...............................................................

Clerk of the Senate Originated in the House of Delegates.

In effect from passage.

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Speaker of the House of Delegates ...............................................................

President of the Senate __________ The within is ................................................

this the...........................................

Day of ..........................................................................................................., 2024.

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Governor 5