In accordance with the public notice requirements of 42 CFR 447.205 and Section 1902(a)(13)(A) of the Social Security Act, the Indiana Family and Social Services Administration, Office of Medicaid Policy and Planning (OMPP) publishes this notice of proposed changes to the reimbursement methodology for nursing facilities.

The OMPP proposes to remove the expiration date for the Medicaid reimbursement enhancements financed by the quality assessment fee (QAF), and the expiration date for collecting the quality assessment fee, which have been a component of nursing facility reimbursement since July 1, 2003. Other changes include revisions to the quality rate add-on and the total quality score value-based purchasing (VBP) methodology. OMPP is also clarifying and updating several other sections of the rule including changes to definitions and terminology. These changes are to be effective July 1, 2019.

The Medicaid reimbursement enhancements financed by the QAF will not result in a change to Medicaid reimbursement as these reimbursement provisions are currently part of the approved State Plan. The other changes are intended to have a neutral fiscal impact to Medicaid reimbursement in the aggregate.

A copy of this notice is now on file at the Indiana Government Center South, 402 West Washington Street, Room W451, Indianapolis, Indiana and open for public inspection. Also, a copy of this notice is now available and may be inspected by contacting the local county division of family resources office, except in Marion County, where public inspection may be made at 402 West Washington Street, Room W374, Indianapolis, Indiana.

Written comments may be directed to IFSSA, Office of Medicaid Policy and Planning, Attention: Kathleen Leonard, 402 West Washington Street, Room W374, MS07, Indianapolis, IN 46207-7083. Correspondence should be identified in the following manner: "COMMENT RE: VBP FOR NURSING FACILITIES". Written comments will be made available for public inspection at the address herein of the OMPP.

Jennifer Walthall, M.D., MPH

Secretary

Office of the Secretary of Family and Social Services