SB 264 Summary

• Establishes new quality accountability measures for nursing facilities to earn quality incentive payments under Medicaid, replacing previous measures with 23 specific criteria including resident satisfaction scores, staffing retention rates, and facility amenities.

• Sets maximum quality incentive payment at $16.44 per Medicaid day, calculated as the number of points awarded multiplied by $3.29 per point, with points awarded for meeting individual accountability measures.

• Creates a new quality bonus payment system for nursing facilities earning more than 5 points, paid from residual budgeted amounts after quality incentive payments, distributed proportionally based on qualifying facilities' point days.

• Requires nursing facility customer satisfaction surveys to include specific questions about resident ability to choose bedtime, wake time, and personalize rooms, with results used to award quality incentive points.

• Increases reimbursement rates by 5.08 percent for fiscal year 2013 for direct care, ancillary and support, tax, and capital costs; eliminates previous accountability measures tied to nursing hours, occupancy rates, and case-mix scores.