Hillsborough County commissioners on a special morning session approved a non ad valorem special assessment totaling $359,799,513 to fund the county’s Hospital-Directed Payment Program, or DPP, a supplemental program intended to increase Medicaid managed care payments to local hospitals.
The resolution, approved by a 5-0 vote, authorizes the county to levy the assessment only on property owned or leased by assessed hospitals and to collect the amount directly by billing each affected hospital.
Kevin Wagner, Health Care Services Department, described the program during the public hearing: "This is a public hearing to consider the approval of the special assessment resolution and assessment role related to the hospital director payment program referred to as DPP." He said the DPP is "a supplemental program meant to bridge the difference between the Medicaid reimbursement rates and the actual cost of providing care by leveraging federal funds to increase the Medicaid managed care payments to hospitals providing the care to those patients."
Wagner specified how the assessment is calculated: it "will be calculated for each hospital based upon the rate of 67,609 per available inpatient bed and 1.17 of net outpatient revenue for you assessed property for each assessed property" and that "the total assessment amount is $359,799,513." He also said that "payments made to the hospitals will not be passed along to patients of the assessed hospitals as a surcharge or any other form of additional charge."
County staff noted the resolution includes the county’s own costs for development, levy, administration and collection of the assessment and that the item was noticed under the county’s local provider participation fund ordinance, chapter 46, article 7 of the Hillsborough County Code. "The resolution is structured to include the county's costs associated with the development, levy, administration, and collection of the assessment," Wagner said.
Before the motion, County staff clarified voting requirements. "You're absolutely correct, commissioner, because it's a resolution. It requires 4 affirmative votes to pass it," said Miss Beck when asked to confirm the threshold.
Commissioner Myers moved to approve the resolution and thanked staff and local hospitals for their work: "First, I wanna thank staff for rushing this item to us for approval... And I do agree with our chair coming in off of vacation. But more importantly is to thank the hospitals for all that you all do to support our clients that come in to your hospital for service." Commissioner Cohen seconded the motion. The clerk recorded the vote as 5 to 0 in favor; the chair announced, "Motion carries 5 to 0."
The public hearing was opened and then closed with no speakers; county staff noted hospital representatives were present in the meeting room but — for brevity — did not speak. A registered speaker, Matthew King, was noted as having signed up but the speaker slot was waived.
The resolution authorizes the county to bill assessed hospitals and use the proceeds to enhance Medicaid payments to hospitals through the DPP structure set out in the resolution. The county said the assessment will be imposed only on property owned and leased by the assessed hospitals and will be collected from those hospitals directly by billing each affected hospital.
No other actions, amendments or follow-up assignments were recorded on the item during the meeting. The commission adjourned shortly after the vote.