An Act to amend the criteria for designation as a regional nursing facility and applicable reimbursement.
Be it enacted by the Legislature of the State of South Dakota:
Section 1. That 34-12-35.12 be AMENDED:
34-12-35.12.
A nursing facility
may submit to the Department of Human Services an application for
designation as a regional nursing facility.
In order to
To obtain the
designation, a nursing facility must:
(1) Be enrolled and in good standing with South Dakota Medicaid;
(2) Provide home and community-based services in the region through an affiliation or a contractual arrangement;
(3) Demonstrate intent to
construct a new nursing facility or
to
substantially remodel an existing
nursing
facility, upon merging with one or more
health care
nursing
facilities within a
thirty
sixty-mile
radius,
unless no other nursing facilities exist within a sixty-mile radius;
(4) Demonstrate that the newly
constructed
nursing facility
or
the
substantially remodeled
nursing
facility will:
(a) Support a homelike
environment
with a cluster, neighborhood, or household model layout;
(b) Contain
single occupancy rooms and toilet areas;Support
access to a continuum of care;
(c) Abide by best practices regarding infection control and prevention;
(d) Allow for private visitation; and
(e) Support other best practices
related to aging
to meet current market needs;
(5) Meet
any other criteria set forth in rules promulgated by the department
for the implementation of this section.
Upon approval of the application
and completion of the construction or remodeling referenced in this
section, the department
shall
must designate
the
newly constructed or substantially remodeled nursing
facility as a regional nursing facility.
Upon a determination by the department that the proposal is
budget-neutral for South Dakota Medicaid, the department shall
reimburse the facility in accordance with the regional nursing
facility rate methodology.
The department shall reimburse a regional nursing facility for
allowable capital costs to construct or substantially remodel the
regional nursing facility based on the number of patients whose care
is paid for by medicaid. To receive reimbursement, the regional
nursing facility must submit invoices to the department specifying
the allowable capital costs sought to be reimbursed. The department
shall reimburse allowable capital costs over thirty years based on
the annual depreciation of the capital.
The department
may
shall
promulgate rules, in accordance with chapter 1-26,
to implement this section.
establishing application procedures, defining allowable capital
costs, and establishing the method for reimbursing allowable capital
costs.