Regulation Review committee approves DSS maternity alternative‑payment rule after extended questioning from members

The Legislative Regulation Review Committee on Aug. 26 approved regulation 2024‑027a from the Department of Social Services (DSS) to implement alternative payment methodologies for maternity care, including a bundled payment episode. The committee voted to accept the Legislative Commissioners’ Office recommendation of approval in whole with technical corrections.

Committee members spent the bulk of the meeting questioning DSS officials about provider outreach, how the maternity episode is defined and how payments and quality will be measured. Fatima Williams, identified in the meeting as deputy Medicaid director and coauthor of the bundle, told the committee that the agency worked with providers and an actuarial firm to analyze historical utilization and to define what is included and excluded from the maternity episode. “We worked with providers very closely right from the beginning of this bundle development,” Williams said.

Members repeatedly asked whether the payment levels would leave providers financially whole. Nina Holmes of DSS said recent legislative funding for rate increases is under analysis and that the department will provide more detail once that analysis is complete. “There was some money…