HI SB912

Requires the Department of Human Services to apply an annual cost increase to long-term care facilities' reimbursement rates for Medicaid patients using an inflation factor applied to the provider's historical costs or basic prospective payment system rates.

Establishes that the annual inflation factor shall be the rate approved by the federal government in the Medicaid state plan.

Addresses financial challenges facing long-term care facilities in Hawaii, which have not received inflationary updates to Medicaid reimbursement rates for several years despite approximately 70% of their patients being covered by state Medicaid.

Effective date: July 1, 2050.