House Bill No. [insert number] aims to enhance the Medicaid reimbursement rates for rural health clinics in Louisiana by enacting new provisions under R.S. 40:2116(B)(8) and 2197.1. The bill mandates that types one and two rural health clinics undergo a facility need review to assess the necessity for new or additional facilities or services. Additionally, it requires the Louisiana Department of Health to equalize the Medicaid reimbursement rates between independent rural health clinics (type one) and provider-based clinics (types two and three). Specifically, for the fiscal years 2026-2027 and 2027-2028, the encounter rate for independent rural health clinics will be increased by $41.50, with an annual inflationary adjustment based on the Medicare Economic Index.

Furthermore, the Louisiana Department of Health is tasked with preparing a state plan amendment and adopting necessary rules to implement these provisions, which are subject to approval by the Centers for Medicare and Medicaid Services. The Department is also required to submit monthly reports to the legislature detailing the number of encounters and expenditures for each type one clinic. The bill's provisions will take effect once a specific appropriation for its implementation is enacted by the Louisiana Legislature and will become effective upon the governor's signature or after the designated period for bills to become law without signature.