Senate Bill 2023, also known as House Bill 1864, amends various sections of the Tennessee Code Annotated related to Medicaid reimbursement for nursing facilities. The bill introduces new definitions, including "Budget adjustment factor," "New base year period," "Nursing facility," and "Rebase," which clarify the processes and terms used in calculating Medicaid reimbursements. Additionally, the bill modifies timelines for reimbursement rates, changing references from fiscal year 2025-2026 to fiscal year 2026-2027 in several sections, and establishes a new section outlining the rebasing and annual reimbursement process for nursing facilities.

Key amendments include the adjustment of dates in multiple subdivisions and sections, such as changing the effective dates for reimbursement calculations and the establishment of a new base year. The bill also mandates that the Bureau of TennCare must provide notice to legislative committees if there are reductions in payments due to budget shortfalls. The act is set to take effect on July 1, 2026, with provisions for rule promulgation to be in effect by December 31, 2026.

Statutes affected:
Introduced: 71-5-1001, 71-5-1002, 71-5-1003, 71-5-1004, 71-5-1010
Amended with HA0697 -- 04/13/2026: 71-5-1001, 71-5-1002, 71-5-1003, 71-5-1004, 71-5-1010