HI HR37

Requests the Department of Human Services study the feasibility of increasing Medicaid reimbursement rates for Community Care Foster Family Homes (CCFFHs) and Expanded Adult Residential Care Homes (E-ARCHs) serving Medicaid recipients.

Current CCFFH reimbursement rate is $47.06 per day (maximum $2,500 monthly) compared to nursing homes at $280 per day (maximum $10,100 monthly) for the same patient care.

Directs DHS to review the existing payment model and determine if overall Medicaid savings can be achieved through increased CCFFH and E-ARCH rates, which historically cost two-thirds or less than nursing home placement.

Requires DHS to submit findings, recommendations, and any proposed legislation to the Legislature no later than 20 days before the 2022 Regular Session convening.

Notes that low reimbursement rates cause caregivers to reserve beds for higher-paying private patients, reducing Medicaid patient bed availability and contributing to longer hospital stays and higher overall care costs.