HB112 Summary

• Reverses existing law to allow the Alabama Department of Corrections, counties, and municipalities to seek Medicaid reimbursement for acute inpatient hospital services provided to incarcerated adults who are otherwise Medicaid-eligible.

• Requires the Department of Corrections, in conjunction with counties, municipalities, and the Medicaid agency, to develop a process for maximizing federal financial participation and claiming federal reimbursement for qualifying inpatient hospital services.

• Establishes that hospitals invoice the department, county, or municipality for acute inpatient services at contracted or regular rates, with quarterly invoices submitted to the Medicaid agency for federal reimbursement claims, with funds remitted back for allowable costs.

• Requires the department, county, or municipality to assist inmates in completing Medicaid applications and to reimburse the Medicaid agency for administrative costs not covered by federal funds and any disallowances or litigation costs.

• Becomes effective on the first day of the third month following passage and approval, contingent upon federal approval and only if implementation does not jeopardize existing federal funding levels.