CT HB05310

Requires nursing home facilities to spend at least 90 percent of Medicaid funding received from the state on direct care of residents, effective July 1, 2022.

Implements an acuity-based methodology for Medicaid reimbursement of nursing home services with case-mix adjustments based on Minimum Data Set resident assessment data, effective July 1, 2022, and updated quarterly.

Divides allowable costs into five components: direct costs, indirect costs, fair rent, capital-related costs, and administrative and general costs, with specified maximum costs for each component.

Requires nursing home facilities to submit plain language summaries with annual cost reports showing the percentage of Medicaid funding allocated to each cost component, beginning with the cost report year ending September 30, 2022, and annually thereafter, with summaries posted publicly by January 1, 2023.

Authorizes the Commissioner of Social Services to decrease reimbursement rates for nursing homes that fail to comply with the 90 percent direct care spending requirement beginning July 1, 2024, with potential adjustments for facilities with approved capital improvement projects or fair rent increases.