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Proposal would raise Medicaid ambulance rates statewide by 10%; fiscal note estimated at about $5 million yearly
Summary
Senate File 13-26 would increase Medicaid payment rates for ambulance services by 10% statewide (effective July 1, 2026); testimony said a fiscal estimate provided to House-side sponsors placed the cost near $5 million per year ($10 million biennium). The committee adopted an author's amendment and laid the bill over.
Senate File 13-26, introduced by Senator Hauschildt, would increase Medicaid payment rates for ambulance services by 10 percent statewide, extending rate increases to managed care and county-based purchasing. Sponsors said the last Medicaid rate increase for ambulance services occurred in 2016 and applied only outside several large urban centers; the bill would apply statewide and take effect July 1, 2026.
Buck McAlpin of the Minnesota Ambulance Association testified in support and said a fiscal estimate received on the House side indicated a cost of roughly $5 million per year (about $10 million for the biennium). Committee members described the increase as modest but a step toward improving long-term financial sustainability for high-volume EMS systems and rural providers.
An author's amendment (A1) was adopted in committee; the amendment sets the 10-percent change and other technical provisions. The committee laid Senate File 13-26, as amended, over for possible inclusion.
Members discussed broader concerns about impending federal Medicaid changes and the need for state matching or rate restoration to protect rural hospitals and EMS networks. Senator Hochschild noted the potential severe impact of federal-level Medicaid cuts on rural health systems.
The bill was laid over for possible inclusion.
