Session is in full swing and moving very rapidly. Below, please find a summary of the top headlines and developments from this week.
7% Rate Reduction: As ARRM informed members earlier this week, DHS sent a letter to legislators informing them that part of Minnesota’s waiver amendment was rejected. Specifically, CMS will not allow rates that received the automatic inflationary adjustment to also receive the 7% in rate increase that providers received since 2013. ARRM understand the magnitude of this issue and has been working diligently with many different groups and stakeholders to find a solution. We will keep members informed as things move quickly and how they can play a role in advocacy efforts.
February Forecast Released: Updated budget projections for the state show a surplus of $329 million. This of course is a drastic improvement to the nearly $200 million deficit that was projected in the November forecast. ARRM released a statement from CEO Sue Schettle on the forecast and the impact of the need to act as a result of the decision from CMS.
Best Life Alliance/DWRS Legislation: The Best Life Alliance bill was introduced in the Senate and House this week, (SF 2889/ HF 3191). The bill as written moves the automatic inflationary date from every five years to every two years and invests the 7% in rate adjustments that have been received since 2013 into the framework.
The bill is scheduled for a hearing in the Senate Human Services Reform Finance and Policy Committee on Monday, March 5th. During that hearing we anticipate the bill will be amended with a potential solution to the 7% rate reduction notice that DHS informed legislators about earlier this week. I will provide a full analysis of that hearing, and any amended language next week.
ARRM’s Policy Bill: ARRM’s Policy Bill (HF 2911/SF 2483) was heard in the Senate Human Services Reform Finance and Policy Committee on Monday. Barb Turner presented the bill, along with our chief author, Sen. Paul Utke (02). During the hearing we were able to successfully amend the bill to extend the deadline for the licensing moratorium exception for un-licensed settings by one year; as well as account for what happens if you have an open bed as of May 30th, 2017 in a setting that you would like to have licensed. The bill was laid over until more clarity is provided as to whether there will be an omnibus bill this session or bills will travel independently.
Looking ahead, our policy bill is tentatively scheduled for a hearing on Tuesday, March 8th in the House Health and Human Service Policy Committee.
Meeting with new MDH Commissioner: On Thursday, ARRM CEO Sue Schettle, along with members Don Priebe (Homeward Bound) and Rod Carlson (Living Well Disability Services) were able to meet with the new Commissioner of the Minnesota Department of Health, Jan Malcom. The meeting was very productive in efforts of informing Commissioner Malcom of what is working on our end when it comes to dealing with abuse and fraud; as well as being able to talk in specifics about ICF services. ARRM looks forward to continuing to grow our relationship with the Department of Health.
Looking Ahead: Next week will be a week filled with legislative hearings as ARRM continues to push our Policy bill forward and deal with the 7% rate reduction. Please watch your emails for Action Alerts that may come out early next week and reach out to me with any questions you may have.
-- Sara Grafstrom, Director of Member Advocacy and Government Relations