HOUSE CONCURRENT RESOLUTION NO. 100
(By Delegates Boggs, Reynolds, Brown, Fragale, Craig,
Campbell, Evans, Walters and Guthrie)
Requesting the Committees on Finance of both houses of the
Legislature jointly conduct a detailed study of the
reimbursement rate structures and rate adjustment processes
for private providers paid by the Department of Health and
Human Resources.
Whereas, The Department of Health and Human Resources relies
upon and contracts with private providers to provide many mandated
services to the citizens of the State of West Virginia; and
Whereas, The Department of Health and Human Resources has total
and absolute control and authority to establish the rates it pays
to private providers for the provision of these services; and
Whereas, There is widespread inconsistency in how the
Department of Health and Human Resources establishes rates for
various types of providers in various programs. Some providers,
such as hospitals and nursing homes, have their reimbursement rates
reviewed and adjusted annually. Providers in other programs have
gone as long as fourteen years without having a reimbursement rate
adjustment; and
Whereas, The cost of doing business for providers increases from year to year based upon the consumer price index (for January
2008 the rate was 4.28%) and the United States Department of Labor
employee cost index; and
Whereas, Stagnate reimbursement rates make it difficult for
private providers to compete for and retain high quality staff; and
Whereas, Adequate reimbursement rates are required in order to
insure that private providers are able to provide quality care and
services to the citizens of this state; and
Whereas, The provision of high quality and effective community
based services prevents the increased utilization of more costly
institutionally based services, thereby resulting in an overall
savings to the state; and
Whereas, It is in the public interest for the Legislature to
explore alternative structures and processes for reviewing and
adjusting reimbursement rates paid by the Department of Health and
Human Resources to private providers; therefore, be it
Resolved by the Legislature of West Virginia:
That the Committees on Finance of both houses of the
Legislature jointly conduct a detailed study of the reimbursement
rate structures and rate adjustment processes for private providers
paid by the Department of Health and Human Resources. The study
shall examine all rates paid to all types of providers including,
but not limited to, residential care providers, foster parents,
developmental disability service providers and comprehensive community mental health centers. The study will also examine the
feasibility of establishing an annual rate review process within
the Department of Health and Human Resources which may include a
mechanism for implementing annual cost of living increases; and, be
it
Further Resolved, That the Committees on Finance jointly
report back to the Legislature no later than the first day of
January, 2009 with a report and recommendations concerning their
findings so that the Legislature may promptly act upon the
commencement of the 2009 regular session of the West Virginia
Legislature, should the Legislature determine that it is
appropriate to do so in light of the report and recommendations of
the Committees on Finance.
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