Hocking County commissioners approve joining hospital consortium to increase Medicaid reimbursements; appoint county representative

Hocking County commissioners voted June 5 to join a multi-county consortium that would levy a hospital-related assessment and use the proceeds to secure higher federal Medicaid matching dollars for participating hospitals. Commissioners also appointed a county representative to serve in the multi-county program.

Commissioners described the program as a mechanism used in other states to increase federal matching reimbursement for Medicaid services provided by local hospitals. County discussion at the meeting said the approach has been used in Texas and Florida, and more recently in Pennsylvania, and that participating counties place a local assessment on hospitals; the funds are pooled and used to draw additional federal Medicaid dollars. Presenters said the county’s hospital currently receives Medicaid reimbursement at a rate the meeting characterized as about 73 percent of cost for certain services, and that the consortium’s matching strategy is intended to raise net reimbursement for the hospital.

At the meeting commissioners said the plan would not pass costs on to patients and that the participating hospitals would remit the assessment to the county; county speakers said Muskingum County and other neighboring counties have participated in administering similar arrangements and that Muskingum’s auditor would help coordinate funds and apply for federal reimbursement in some regional arrangements. The hospital’s CEO and CFO appeared to have endorsed the proposal during earlier discussions, according to county remarks.

The commission voted by roll call to adopt the resolution to join the consortium. Commissioners then approved a second motion to nominate and appoint Commissioner Drew as Hocking County’s representative to the consortium. Both motions passed.

County speakers said the counties want to implement an agreement quickly and that several other counties had already joined; the goal discussed at the meeting was to have the consortium arrangements in place before early July to align with budget and state timing. County staff said the arrangement requires local hospital participation and initial local cash flow from the hospital to pay the assessment; the program then seeks federal reimbursement through state and federal Medicaid processes.

No ordinance or assessment rate was set at the June 5 meeting. Commissioners authorized joining the consortium and designating a county representative; further administrative details and any formal hospital assessments would be decided later in the process and would require separate authorizing action.