CA AB81

Extends skilled nursing facility (SNF) quality assurance fee collection through December 31, 2022 (previously set to expire July 31, 2020) and establishes enforcement mechanisms including 7% annual interest on unpaid fees after 60 days, penalties up to 50% of unpaid amounts, and ability to offset payments to related facilities.

Modifies SNF reimbursement rates for August 1, 2020 through December 31, 2022, establishing annual aggregate rate increases of 3.62% (2020), 3.5% (2021), and 2.4% (2022) plus mandated costs, while exempting freestanding pediatric subacute care units from quality assurance fees.

Extends Skilled Nursing Facility Quality and Accountability Supplemental Payment System and Special Fund through December 31, 2022, ceasing supplemental payments January 1, 2023, and requires department to develop successor quality-based payment methodology by September 1, 2021.

Authorizes department to audit SNF costs and revenues related to COVID-19 emergency Medicaid payments to ensure funds were used for allowable patient care costs and to recoup identified overpayments.

Modifies Mental Health Services Act provisions by allowing counties to extend 2020-21 fiscal year plans without new regulatory action, delaying fund reversions from July 2019-2020 to July 2021, and permitting prudent reserve use for housing assistance during 2020-21 fiscal year.