Senate approves hospital assessment change with reporting safeguards

The Utah Senate on the floor approved S.B. 126 after adopting a sponsor amendment that adds reporting and accountability measures intended to ensure equitable distribution of Medicaid assessment proceeds.

Sponsor Senator Bickers said the bill expands hospital assessments to outpatient services "to bring those in line" with inpatient assessments and to help smaller and outlying hospitals. "This bill simply would allow that to happen with outpatient service as well," Bickers said.

Senator Anderegg moved an amendment described on the floor as consensus language worked out with hospitals and other stakeholders. "This amendment simply puts in the requirements that they have to follow, the reporting that they have to follow," Anderegg said, adding the provision allows for withholding of some assessment dollars if reporting requirements are not met. Senator Vickers backed the amendment as adding appropriate accountability and transparency.

Senator Kennedy spoke in support of the bill, framing it as a mechanism to leverage federal dollars so hospitals can adequately staff and pay healthcare workers.

The Senate adopted the amendment and later read S.B. 126 a third time; the clerk reported a roll call of 23 yay votes, 0 nay votes (6 absent). Sponsors said the amendment aims to ensure hospital assessment dollars are used equitably among hospitals, ACOs and pharmaceutical reimbursements and to safeguard Medicaid reimbursement rates.

What's next: With Senate approval, S.B. 126 will be transmitted to the House for consideration. The amendment assigns reporting obligations to entities receiving assessment funds and authorizes enforcement steps described on the floor (including withholding assessments) if reporting is not completed.