This bill amends RCW 74.09.5225 to establish new criteria for critical access hospital designations specifically for hospitals located on islands within public hospital districts in Skagit County. It introduces provisions that allow hospitals certified as critical access hospitals by the Centers for Medicare and Medicaid Services on or after January 1, 2026, to be eligible for medical assistance payments. Additionally, it maintains a moratorium on new hospital participation in critical access hospital payments, with exceptions for those that applied for certification before January 1, 2005, and outlines the Washington rural health access preservation pilot's purpose and requirements.

The bill also details the Washington rural health access preservation pilot, which aims to create an alternative service and payment system to sustain essential services in rural communities. It emphasizes that participation in the pilot is optional and includes provisions for hospitals to exit the pilot if it does not meet their community's needs. Furthermore, it mandates that payments for services delivered by participating public health care service districts be based on a value-based payment methodology, ensuring sufficient funding for essential services while adjusting payment amounts based on quality and value metrics. The bill requires progress reports to the legislature and outlines the use of funds appropriated for the pilot to assist hospitals in transitioning to the new payment methodology.

Statutes affected:
Original bill: 74.09.5225