{"data":{"id":"us-ky/krs-142.361","jurisdiction":"us-ky","citation":"KRS 142.361","heading":"Provider assessment on nursing facility services -- Disposition of revenues -","body":"- Administrative regulations -- Application to amend waiver -- Circumstances\nrendering provisions void.\n(1) (a) A provider assessment is hereby imposed on nursing facility se rvices as\nprovided in this subsection.\n(b) The base for the assessment shall be determined on July 1 of each year,\nbeginning on July 1, 2004, by dividing total gross revenues received by all\nnursing facilities for nursing facility services during the prior fiscal year by the\ntotal patient days for all nursing facilities attributable to nursing facility\nservices during the prior fiscal year. The resulting amount shall be the base for\nthe assessment imposed under this subsection, and shall be called the \"average\ndaily revenue per patient bed.\"\n(c) The assessment shall be imposed as follows:\n1. a. At a uniform rate per non -Medicare patient day of up to one\npercent (1%) of the average daily revenue per patient bed applied\nto actual non-Medicare patient bed days by each nursing facility on\nor after July 1, 2004, for the provision of nursing facility services\nthat are provided at a non-hospital based facility:\ni. Containing licensed intermediate care facility beds as of\nSeptember  1, 2005; and\nii. With a facility total bed capacity of sixty (60) or fewer beds.\nb. This rate shall apply for qualifying providers beginning July 1,\n2004. Any tax liability for tax periods beginning on or after July 1,\n2004, attributable to the imposition of the levy under KRS 142.307\nor the levy imposed by 2004 Ky. Acts ch. 142, sec. 1, shall be\nretroactively recalculated at the rate provided in this subsection,\nand no penalties or interest shall apply to any outstanding amounts.\n2. At a uniform rate per non -Medicare patient day of up t o two percent\n(2%) of the average daily revenue per patient bed applied to actual non -\nMedicare patient bed days by each nursing facility on or after July 1,\n2004, for the provision of nursing facility services that are provided at a\nhospital-based nursing facilities; and\n3. At a rate per non-Medicare patient day not to exceed six percent (6%) of\nthe average daily revenue per patient bed applied to actual non-Medicare\npatient bed days by each nursing facility on or after July 1, 2004. This\nrate shall not apply to any provider assessed under subparagraphs 1. or 2.\nof this paragraph.\n4. Notwithstanding the provisions of subparagraphs 1. to 3. of this\nparagraph, no provider assessment shall be levied under this subsection\non a state veterans' nursing home on or after July 1, 2004.\n(d) The rates established by paragraph (c) of this subsection are maximum rates.\nThe rates may be adjusted annually on July 1 of each year by the Department\nfor Medicaid Services. Notification of any rate change shall be provided to the\nDepartment of Revenue a nd to taxpayers in writing at least thirty (30) days\nprior to the new rate going into effect.\n(2) The assessment imposed under subparagraph 3. of paragraph (c) of subsection (1) of\nthis section is not required to be uniform, and the rate of assessment per non-\nMedicare day may be variable based upon a facility's total annual census days if\ndeemed an acceptable waivered class by the Centers for Medicare and Medicaid\nServices.\n(3) All revenues collected pursuant to subsection (1) of this section shall be depos ited\nin the Medical Assistance Revolving Trust Fund (MART) and transferred on a\nquarterly basis to the Department for Medicaid Services.\n(4) The Department for Medicaid Services shall promulgate administrative regulations\nto ensure that a portion of the re venues generated from the assessment imposed by\nsubsection (1) of this section and federal matching funds be used to increase\nreimbursement rates for nursing facilities. The regulations shall, at a minimum:\n(a) Provide that the rate increases shall be used  to fully phase in those providers\nwhose current rates are less than the Medicaid price-based rates;\n(b) Correct for inflation adjustments for the past two (2) years; and\n(c) Re-base the rates to recognize current wage and benefit levels in the industry.\n(5) The remaining revenue generated by the assessments levied under subsection (1) of\nthis section and federal matching funds shall be used to supplement the medical\nassistance related general fund appropriations of the Department for Medicaid\nServices. Not withstanding KRS 48.500 and 48.600, the MART fund shall be\nexempt from any state budget reduction acts.\n(6) (a) On or before July 1, 2004, the Cabinet for Health and Family Services,\nDepartment for Medicaid Services shall submit an application to the Feder al\nCenters for Medicare and Medicaid Services to request a waiver of the\nuniformity tax requirement pursuant to 42 C.F.R. sec. 433.68(e)(2). If an\napplication to the Centers for Medicare and Medicaid Services for a waiver of\nthe uniformity requirements is denied, the Department for Medicaid Services\nmay resubmit the application with appropriate changes to receive an approved\nwaiver.\n(b) On or before July 1, 2005, the Cabinet for Health and Family Services,\nDepartment for Medicaid Services, shall submit an a pplication to the Federal\nCenters for Medicare and Medicaid Services to amend the waiver of the\nuniformity tax requirement granted in 2004. If the application to Centers for\nMedicare and Medicaid Services for an amendment to the previously granted\nwaiver i s denied, the Department for Medicaid Services may resubmit the\napplication with appropriate changes to receive an approved amendment to the\nwaiver.\n(7) Assessments imposed pursuant to this section shall begin on July 1, 2004, but are\nnot due and payable u ntil rates are increased as provided in subsection (5) of this\nsection.\n(8) The provisions of this section shall be considered null and void if the uniformity\nwaiver or plan amendment to increase rates is not approved by the Centers for\nMedicare and Medicaid Services.","path":["KRS Chapter 142"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29225","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:36Z","sha256":"97043d287d7c4f1ac38547d02fe69a46cea7e2579b2c9a28823bb53bf96d4864","source_id":"us-ky","stale":false,"prev":"us-ky/krs-142.359","next":"us-ky/krs-142.363"},"notice":"GroundRules: Original legal text. Not legal advice."}