House advances bill requiring rate study for Medicaid home- and community-based providers

The House advanced House Bill 13 on second reading on Feb. 18, 2025, adopting committee amendments and ordering the bill for third reading. The measure directs the Agency of Human Services to determine reasonable and adequate Medicaid reimbursement rates for home- and community-based service providers and for designated and specialized service agencies.

Supporters said the rate study aims to capture the full cost of providing in-home and community-based services, including workforce, inflation and state and federal mandates. "H 13 requires the secretary of human services to determine reasonable and adequate rates for home and community based providers, designated agencies, and specialized service agencies," said Member from Mulcah, who spoke at length on the bill. "These rates must account for state and federal mandates, the cost of goods and services, inflation, and labor market pressures."

The bill defines the covered providers (home health agencies; residential care; enhanced residential care; adult day…