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Fiscal Watch Details


February 18, 2010

State Budget Proposals Out Soon

As the 2010 Washington State legislative session passes its mid-point, the legislature will be turning its attention to addressing the estimated $2.7 billion budget shortfall for the remainder of the current biennium. Both the House and Senate are expected to release their budget proposals on Monday, February 22. WSHA is supporting a budget solution that uses enhanced revenues rather than simply cutting programs and services. WSHA is also promoting our hospital safety net legislation to obtain additional federal funds to increase Medicaid payments to hospitals. Please stay tuned as we will continue to keep you apprised of developments as they occur. (andrewb@wsha.org)

HRSA Announces Changes to DRDF Submission Process

Health and Recovery Services Administration (HRSA) has announced changes in the DSH Reporting Data File (DRDF) submission process due to conversion to ProviderOne, the state’s new claims and information system. The DRDF is the mechanism by which the state validates Medicaid hospital stays and eligibility information used for disproportionate share hospital applications and Medicare cost reports. With ProviderOne implementation, hospitals will no longer be able to submit their DRDF files using PIC codes. Instead, they will need to use the new unique client ID codes. Other changes in the matching process will also occur.

Due to the blackout period prior to ProviderOne’s scheduled April 15 implementation, HRSA will be able to accept the current file data and formats for the matching process only until March 24. Any data submissions after that date will have to be in the new format, an Excel file requiring the new client ID codes. At this time we do not have implementation details on the new process.

WSHA strongly recommends you submit patient files for matching as soon as possible in order to be able to use the current process. If too many hospitals submit data close to the March 24 date, HRSA may not be able to allow hospitals to have three processing runs, as provided for in the current procedures.

If you have questions regarding the new process, please contact Jennifer Usrey-Scott of the HRSA Division of Rate and Finance at (360) 725-1945. (andrewb@wsha.org)

Community Health Plan Claims Delayed

Claims payment for 2010 services to Community Health Plan enrollees has been delayed due to conversion to a new third party administrator, Perot Systems. Claims for services incurred in 2009 continue to be paid normally through Adaptis, Community Health Plan’s previous third party administrator. Community Health Plan released the following statement regarding the delay:

Community Health Plan is currently experiencing delays in payment production with our new third party administrator. Resolving these issues is receiving the highest priority in our organization. We are aware of the concerns expressed by our hospital partners about the delay in claims payment, and expect to see a normal flow of claims payment in the next two to four weeks. If significant movement in the next two weeks is not achieved, alternate arrangements will be considered. Thank you for providing services to our enrollees and your patience with this situation.

If you have questions or concerns about the delay, please contact Andrew Busz at andrewb@wsha.org. (andrewb@wsha.org)

Webcast Available on Preparing for ProviderOne

On February 12, WSHA hosted a webcast on Preparing for ProviderOne: Providence’s Path to Readiness. Providence Health and Services’ Shelley McDermott and consultants from OTB Solutions shared their experiences in preparing for the April ProviderOne conversion. Following the presentation, they and a number of Department of Social and Health Services staff were on hand to answer a range of technical questions from viewers.

For those unable to view the webcast live, an archived copy of the webcast and slides are available on the WSHA web site. Answers to additional questions submitted during the webcast will be answered in a FAQ format and posted as soon as they are available. (andrewb@wsha.org)

Department of Revenue Adopts Property Tax Exemption Changes

The Department of Revenue has adopted changes to Washington Administrative Code 458-16-260 relating to the property tax exemption provided for non-profit hospitals. The new WAC became effective January 24, 2010. Among other changes, it clarifies that ?administrative and support facilities integral and necessary to the functioning of the licensed hospital? are eligible for the property tax exemption. Click here to see a copy of the revised WAC. (andrewb@wsha.org)


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