Senate Bill No. 336

(By Senators Ferns and Takubo)

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[Introduced January 27. 2015; referred to the Committee on Government Organization; and then to the Committee on the Judiciary.]

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A BILL to repeal §16-29B-19, §16-29B-20, §16-29B-21 and §16-29B-21a of the Code of West Virginia, 1931, as amended; and to amend and reenact §16-29B-10 of said code; all relating generally to powers and duties of the Health Care Authority; eliminating authority of the Health Care Authority to conduct rate review and set rates for hospitals; and establishing grandfathering clause.

Be it enacted by the Legislature of West Virginia:

            That §16-29B-19, §16-29B-20, §16-29B-21 and §16-29B-21a of the Code of West Virginia, 1931, as amended, be repealed; and that §16-29B-10 of said code be amended and reenacted, all to read as follows:

ARTICLE 29B. HEALTH CARE AUTHORITY.

§16-29B-10. Jurisdiction of the board.

            (a) Notwithstanding any other provision of this code or state law, after July 1, 1984 2015, the jurisdiction of the board or authority as to rates for health services care shall extend to all hospitals as defined herein doing business in the State of West Virginia (with the exception of hospitals owned and operated by the federal government) ceases to exist. Any rate review order in place or executed by a hospital based upon a rate set prior to July 1, 2015, may not be modified or altered based solely upon the amendment to this section during the 2015 Regular Session of the Legislature.

            (b) Those costs or charges associated with individual health care providers or health care provider groups providing inpatient or outpatient services under a contractual agreement with hospitals (excluding simple admitting privileges) shall be under the jurisdiction of the board. The jurisdiction of the board shall not extend to the regulation of rates of private health care providers or health care groups providing inpatient or outpatient services under a contractual agreement with hospitals when the provision of such service is outside the hospital setting, and shall not extend to the regulation of rates of all other private health care providers practicing outside the hospital setting: Provided, That such practice outside of the hospital setting is not found to be an evasion of the purposes of this article.

            NOTE: The purpose of this bill is to alter the powers and duties of the Health Care Authority. It changes the authority of the Health Care Authority to collect from hospitals a financial obligation based upon gross revenue to amount based upon net revenue and to eliminates the authority of the Health Care Authority regarding rate review for hospitals.

            Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.