TN SB1797

Requires managed care organizations (MCOs) in TennCare to contract with any qualified nursing facility certified by CMS that is willing to accept the same terms and conditions offered to other participating facilities, excluding reimbursement rates.

Grants the Bureau of TennCare exclusive authority to terminate nursing facility participation in the program; MCOs cannot independently terminate, suspend, or deny contracts with qualified nursing facilities.

Prohibits MCOs from including "termination without cause" or "termination for convenience" provisions in nursing facility contracts; such provisions are void and unenforceable as contrary to public policy.

Requires MCOs to report concerns about nursing facility performance or compliance to the Bureau and continue honoring contracts while the Bureau reviews allegations and makes determinations.

Takes effect July 1, 2026, applying to policies, plans, and contracts entered into, renewed, amended, or delivered on or after that date.