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Subcommittee extends ground ambulance assessment, tightens penalty (HB 2097)

TennCare Subcommittee · March 3, 2026
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Summary

House Bill 2097 extends the ground ambulance assessment for one year and replaces a $50-per-day delinquency penalty with a 5% monthly principal penalty; the subcommittee approved the bill 7–0.

Representative Reedy presented House Bill 2097 to extend the ground ambulance assessment for another year and to change how delinquent payments are penalized. Reedy told the committee the assessment, created in 2018, helps close the gap between ambulance transport expenses and Medicaid reimbursements and enables federal draw-downs that support services. He said the fund "draws down over $20,000,000 in federal funds that is then paid back out to these services based on the Medicaid transport."

The bill also changes the penalty for delinquent payments from a flat $50 per calendar day to 5% of the principal per month. After a brief round of remarks the clerk recorded "7 ayes and no nays," and the subcommittee advanced HB 2097 to full insurance.