IL HB4851

Beginning October 1, 2026 (rate year 2027), modifies how the Medicaid inpatient utilization rate is calculated for determining hospital eligibility for inpatient adjustment payments under the Illinois Public Aid Code.

Excludes all days of care funded by the U.S. Department of Veterans Affairs from both the numerator and denominator of the utilization rate calculation for certain qualifying hospitals.

Applies specifically to hospitals licensed to operate from more than one location within contiguous counties under a single license, where the original hospital was in a county with fewer than 125,000 inhabitants and the second facility is in a contiguous county with fewer than 235,000 inhabitants.

Defines VA-funded days of care to include authorized VA community care provided at non-VA hospitals.

Takes effect immediately upon becoming law.