The Prompt Cost Report Reimbursement Act aims to improve the reimbursement process for critical access hospitals participating in the Montana Medicaid program. Currently, these hospitals face delays in receiving reimbursements due to the practice of waiting for Medicare's final desk audit before settling cost reports. This bill seeks to align Montana Medicaid's procedures with those of Medicare by instituting a prompt initial settlement upon the submission of cost reports, followed by adjustments after audits. The Department of Public Health and Human Services will perform tentative retroactive adjustments and interim settlements within specified timeframes, ensuring that providers receive timely payments.

Additionally, the bill includes an appropriation of $33,900 from the hospital Medicaid reimbursement account and $33,900 from the federal special revenue fund for the fiscal year beginning July 1, 2025, as well as $7,500 from each fund for the fiscal year beginning July 1, 2026, to support the settlement of these cost reports. The act is designed to take effect immediately upon passage and approval, with retroactive applicability to cost reports submitted prior to the effective date, thereby addressing past delays in reimbursement for critical access hospitals.