SB 351 — GLOBAL HOSPITAL BUDGETS TASK FORCE

SENATE BILL 351 55TH LEGISLATURE -STATEOFNEWMEXICO-- STATEOFNEWMEXICO- FIRST SESSION, 2021 INTRODUCED BY Gerald Ortiz y Pino 6This 8document 10may ANincorporate ACTamendments RELATINGproposed TOby HEALTH;a committee, but not yet adopted, as well as amendments that have been adopted during the current legislative session.

ESTABLISHINGThe THEdocument GLOBALis HOSPITALa BUDGETStool TASKto FORCEshow TOamendments STUDYin GLOBALcontext HOSPITALand BUDGETS,cannot CREATEbe Aused DEMONSTRATIONfor PROJECT,the DETERMINEpurpose FEDERALof FUNDINGadding IMPACTSamendments ANDto PROVIDElegislation. A RECOMMENDATION TO THE SECRETARY OF HEALTH AND THE SECRETARY OF HUMAN SERVICES TO APPLY FOR FUNDING FROM THE FEDERAL CENTERS FOR MEDICARE AND MEDICAID SERVICES;

AUTHORIZINGh eAN tACT 17g THEo SECRETARYRELATING OF HUMAN SERVICES AND SECRETARY OF HEALTH TO wHEALTH; l n d 18 APPLY FOR FUNDING FROM THE FEDERAL CENTERS FOR MEDICARE AND = = 19 a l MEDICAID SERVICES PURSUANT TO SECTION 1115(A) OF THE FEDERAL i a e r 20 SOCIAL SECURITY ACT TO TEST THE DEMONSTRATION PROJECT UPON THE a t m m 21 TASK FORCE'S RECOMMENDATION.

dESTABLISHING rTHE eGLOBAL 22HOSPITAL cBUDGETS t hr g e si k 23TASK BEFORCE ITTO ENACTEDSTUDY BYGLOBAL HOSPITAL BUDGETS, CREATE A h r i s DEMONSTRATION PROJECT, DETERMINE FEDERAL FUNDING IMPACTS AND h , t, PROVIDE A RECOMMENDATION TO THE LEGISLATURESECRETARY OF HEALTH AND THE STATEe u g e b l e e h SECRETARY OF NEWHUMAN MEXICO:SERVICES TO APPLY FOR FUNDING FROM THE n d d i = = o h FEDERAL CENTERS FOR MEDICARE AND MEDICAID SERVICES;

AUTHORIZING l ] b ,d i a º e THE SECRETARY OF HUMAN SERVICES AND SECRETARY OF HEALTH TO r i = r t e w d m a n bo 24APPLY SECTIONFOR 1.FUNDING FROM THE FEDERAL CENTERS FOR MEDICARE AND d m :

TEMPORARYb PROVISION--GLOBALe HOSPITALd BUDGETSs º o t n = .218449.5AIC March 15, 2021 (1:07pm) s k m e e a n e d r e l u [ TASKA FORCE--DEVELOPMENTd MEDICAID SERVICES PURSUANT TO SECTION 1115(A) OF THE FEDERAL SOCIAL SECURITY ACT TO TEST THE DEMONSTRATION PROJECT FORUPON GLOBALTHE .218449.5TASK HOSPITALFORCE'S BUDGETS--DUTIES.--RECOMMENDATION. A.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

SECTION 1.

TEMPORARY PROVISION--GLOBAL HOSPITAL BUDGETS TASK FORCE--DEVELOPMENT OF DEMONSTRATION PROJECT FOR GLOBAL HOSPITAL BUDGETS--DUTIES.-- A.

The task force shall function from the date of its appointment until December 1, 2021.SHPACº 2021»SHPAC SHPACº 2023»SHPAC .

h g (2) the department of health, including its o t hr office of primary care and rural health of the public health g e i k division;

h r i s h (3) the university of New Mexico health , t, e u g sciences center;

e b l e e h (4) the New Mexico rural hospital network;

n d d i = = o h (5) the New Mexico hospital association;

andl ] b ,d i a º e tr 17i (6)= advocacyr groupsSHPACº ofand»SHPAC ruralt healthe w ld m a n do 18SHPACº communities(6) inthe thisoffice state.of superintendent of d m :

=b e d s º o t n = 19.218449.5AIC March 15, 2021 (1:07pm) s k m e - 2 - e a n e d r e l C.u [ A d insurance;

Membersand»SHPAC whoSHPACº(6)»SHPAC areSHPACº(7)»SHPAC notadvocacy stategroups employeesof orrural otherwisehealth icommunities a e r 20 reimbursed for per diem and mileage expenses are entitled to a t m m 21 receive per diem and mileage as provided in thethis Perstate. Diem and d r e 22 Mileage Act and shall receive no other compensation, perquisite c e s k 23 or allowance.

eC. a n b 24 D.

TheMembers humanwho servicesare departmentnot maystate acceptemployees gifts,or uotherwise [reimbursed grantsfor per diem and donationsmileage expenses are entitled to supportreceive theper workdiem ofand mileage as provided in the taskPer force.Diem and Mileage Act and shall receive no other compensation, perquisite or allowance.

.218449.5D. - 2 - E.

The human services department may accept gifts, grants and donations to support the work of the task force.

E.

h (1) study global hospital budgets to determine g o t hr prospective changes in health care quality outcomes and g e i k spending within rural hospitals that elect to participate in h r i s the demonstration project;

h , t, (2) create a demonstration project for testing e u g e b l e e h global hospital budgets in rural hospitals that elect to n d d i = = o h participate in the demonstration project, based on the findings l ] b ,d i a º e of the task force, that implements measures that increase the r i = r t e w d m a n o health care quality outcomes and reduce spending;

(3) determine whether testing and e t 17 implementation of the demonstration project would reduce w l n d 18m federal: funding to medical assistance programs in the state;

=b = 19 a l and i a e rd 20s (4)º provideo a recommendation to the secretary a t mn m= 21.218449.5AIC ofMarch health15, and2021 the(1:07pm) secretary of human services to apply for d r e 22 funding from the federal centers for medicare and medicaid c e s k 23m servicese to- test3 the- demonstration project pursuant to Section e a n be 24d 1115(a)r ofe thel federalu Social[ SecurityA Act,d if(3) thedetermine taskwhether force u [ determines that testing and implementingimplementation of the demonstration .218449.5 - 3 - project would not reduce federal funding to medical assistance programs in the state.state;

and (4) provide a recommendation to the secretary of health and the secretary of human services to apply for funding from the federal centers for medicare and medicaid services to test the demonstration project pursuant to Section 1115(a) of the federal Social Security Act, if the task force determines that testing and implementing the demonstration project would not reduce federal funding to medical assistance programs in the state.

The task force shall report its findings and recommendations to the legislative health and human services committee by December 1, 2021.SHPACº 2021»SHPAC SHPACº2023»SHPAC .

By December 1, 2021,SHPACº2021»SHPAC h SHPACº2023»SHPAC , upon the task force's recommendation, the u » r secretary of human services and the secretary of health shall t h g e l i submit an application to the federal centers for medicare and h r i s medicaid services to test the demonstration project recommended h , e h by the global hospital budgets task force pursuant to Section t u g e b l e e , gh 1115(a) of the federal Social Security Act, 42 USCA 1315(a).

n d d i = = o h The secretaries shall cooperate with the federal centers for l ] b ,d i a º r medicare and medicaid services and rural hospitals that elect e r = t e w d m a n o to participate to test the demonstration project upon notice of approvald ofm this: application.

b r e t 17º J.o t n = .218449.5AIC March 15, 2021 (1:07pm) s k m e - 4 - e a n e d r e l u [ A d approval of this application.

J.

w l n d 18 (1) "global hospital budget" means an annually = = 19 a l determined, fixed amount of revenue to fund inpatient and i a e r 20 outpatient service expenses for a hospital;

and a t m m 21 (2) "rural" means a county with a population d r e 22 of less than one hundred thousand residents.

c- e5 s- » g o » r h t i k 23l -i 4g -t h s , e ah t l i w l b l e e , gh n d l h = = b 24, ua [l .218449.5º d i a r e r = , a t e d m a n o d m :

b r e t º o t n = .218449.5AIC March 15, 2021 (1:07pm) s k m e e a n e d r e l u [ A d