AL SB362

Repeals Article 9 (Sections 22-6-150 through 22-6-165) of Alabama Code authorizing the establishment of regional care organizations for providing Medicaid services, as no beneficiaries are currently enrolled in such organizations and the program has not been implemented.

Amends Medicaid statutes to remove references to regional care organizations and redirect the managed care framework toward integrated care networks instead, which serve specific Medicaid beneficiary populations including nursing facility residents and dual Medicare-Medicaid eligible individuals.

Modifies hospital payment provisions (Sections 40-26B-79, 40-26B-80, 40-26B-81, 40-26B-82) to establish payment methodologies based on APR-DRG rates and fee schedules, with hospital access payments ensuring aggregate payments equal the upper payment limit set by federal regulation.

Continues intergovernmental transfer requirements for publicly and state-owned hospitals with a cap of $333,434,048 annually to obtain federal matching funds for hospital payments under the Medicaid program.

Effective on the first day of the third month following passage and approval by the Governor.