House Bill No. 198, introduced by Representative Echols, aims to establish a Medicaid reimbursement rate for certain procedures performed at ambulatory surgical centers. The bill mandates that the Louisiana Department of Health (LDH) set reimbursement rates for gastroenterology, ophthalmology, otolaryngology, and dental surgeries at either the rate paid in an outpatient hospital setting or 100% of the Medicare rate, whichever is lower. Additionally, the LDH is required to update these reimbursement rates annually and to promulgate necessary rules and regulations to implement these provisions.

The bill stipulates that the LDH must take all necessary actions, including filing a Medicaid state plan amendment, to implement these changes by October 1, 2026. The act will become effective upon the governor's signature or, if not signed, after the designated time for bills to become law without signature. The proposed law also includes amendments that expand the list of eligible procedures for modified reimbursement rates.