The bill HB312 amends various sections of the Code of Alabama 1975 to extend the Hospital Provider Privilege Tax until fiscal year 2028. Key modifications include the deletion of references to fiscal years 2023, 2024, and 2025, and the insertion of fiscal years 2027 and 2028 for assessments on privately operated hospitals, maintaining the assessment rate at 6.00 percent of net patient revenue. The bill also updates definitions related to hospital operations and Medicaid reimbursement, removing terms like "Regional Care Organization" while clarifying others. It mandates that if adverse impacts on hospital Medicaid reimbursement are identified, the Medicaid Agency must report these findings to the Chair of the House Ways and Means General Fund Committee for potential amendments.

Additionally, HB312 establishes a Hospital Assessment Account within the Health Care Trust Fund for all hospital assessments, ensuring that these funds cannot replace general revenues or be subject to budget cuts, in compliance with the Alabama Constitution. The bill outlines the financial management of this account, allowing for the carryover of unspent funds and extending the timeline for intergovernmental transfers to the Medicaid Agency until September 30, 2028. It also modifies the payment structure for hospitals, ensuring access payments are available to all hospitals based on fiscal performance, and introduces new provisions for regional care organizations, allowing for more flexibility in contracting with alternate care providers. The act is set to take effect on October 1, 2025.

Statutes affected:
Introduced: 40-26B-70, 40-26B-71, 40-26B-73, 40-26B-77, 40-26B-79, 40-26B-80, 40-26B-81, 40-26B-82, 40-26B-84, 40-26B-88
Engrossed: 40-26B-70, 40-26B-71, 40-26B-73, 40-26B-77, 40-26B-79, 40-26B-80, 40-26B-81, 40-26B-82, 40-26B-84, 40-26B-88
Enrolled: 40-26B-70, 40-26B-71, 40-26B-73, 40-26B-77, 40-26B-79, 40-26B-80, 40-26B-81, 40-26B-82, 40-26B-84, 40-26B-88