Assembly Bill No. 183-Committee on Elections,
Procedures, and Ethics

CHAPTER

486

AN ACT relating to public welfare; creating the fund for the institutional care of the medically indigent; revising the state plan for Medicaid; making an appropriation; and providing other matters properly relating thereto.

[Approved July 16, 1997]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

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Section 1. Chapter 422 of NRS is hereby amended by adding thereto a new section to read as follows:
1. The administrator shall include in the state plan for Medicaid a requirement that the state shall pay the nonfederal share of expenditures for the medical, administrative and transaction costs of a person:
(a) Who is admitted to a hospital, facility for intermediate care or facility for skilled nursing for not less than 30 consecutive days;
(b) Who is covered by the state plan for Medicaid; and
(c) Whose net countable income per month is not more than $775 or 155 percent of the supplemental security income benefit rate established pursuant to 42 U.S.C. § 1382(b)(1), whichever is greater.
2. As used in this section:
(a) "Facility for intermediate care" has the meaning ascribed to it in NRS 449.0038.
(b) "Facility for skilled nursing" has the meaning ascribed to it in NRS 449.0039.
(c) "Hospital" has the meaning ascribed to it in NRS 449.012.
Sec. 2. Section 1 of this act is hereby amended to read as follows:
Section 1. 1. The administrator shall include in the state plan for Medicaid a requirement that the state shall pay the nonfederal share of expenditures for the medical, administrative and transaction costs of a person:
(a) Who is admitted to a hospital, facility for intermediate care or facility for skilled nursing for not less than 30 consecutive days;
(b) Who is covered by the state plan for Medicaid; and
(c) Whose net countable income per month is not more than $775 or [155] 156 percent of the supplemental security income benefit rate established pursuant to 42 U.S.C. § 1382(b)(1), whichever is greater.
2. As used in this section:
(a) "Facility for intermediate care" has the meaning ascribed to it in NRS 449.0038.
(b) "Facility for skilled nursing" has the meaning ascribed to it in NRS 449.0039.
(c) "Hospital" has the meaning ascribed to it in NRS 449.012.
Sec. 3. Chapter 428 of NRS is hereby amended by adding thereto the provisions set forth as sections 4 to 12, inclusive, of this act.
Sec. 4. As used in sections 4 to 12, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 5 to 9, inclusive, have the meanings ascribed to them in those sections.
Sec. 5. "Board" means the board of trustees of the fund.
Sec. 6. "Fund" means the fund for the institutional care of the medically indigent.
Sec. 7. "Interlocal agreement" means an interlocal agreement between the department of human resources and a county to pay the expenses for the institutional care of the medically indigent pursuant to the state plan.
Sec. 8. "Payment" means the amount of money that a county is required to pay each quarter pursuant to an interlocal agreement for the nonfederal share of its expenses for the institutional care of the medically indigent pursuant to the state plan.
Sec. 9. "State plan" means the state plan for Medicaid.
Sec. 10. 1. The fund for the institutional care of the medically indigent is hereby created in the state treasury.
2. The money in the fund must only be used to provide assistance to a county which is unable to make a payment required by an interlocal agreement.
3. The fund must be administered by a board of trustees consisting of 5 county commissioners appointed by the governor from a list of 10 nominees submitted by the board of directors of the Nevada Association of Counties.
4. Each member of the board shall serve a term of 1 year or until his successor has been appointed and has qualified.
5. The position of a member of the board shall be deemed vacated upon his loss of any of the qualifications required for his appointment and, in that event, the governor shall appoint a successor from a list of two nominees submitted by the board of directors of the Nevada Association of Counties.
6. Any interest or money earned on money in the fund must be credited to the fund.
7. Any money remaining in the fund at the end of a fiscal year remains in the fund and does not revert to the state general fund.
Sec. 11. The board may:
1. Enter into any necessary contracts and agreements.
2. Employ personnel as necessary and prescribe their compensation and working conditions.
3. Enter into agreements with the department of administration to obtain the services of consultants, attorneys, auditors, accountants, actuaries and managers of risk.
4. Rent, lease, purchase or otherwise obtain or receive real or personal property.
5. Adopt regulations necessary to carry out the provisions of sections 4 to 12, inclusive, of this act.
Sec. 12. 1. A county which fails to make a payment required by an interlocal agreement may submit a written request to the board to transfer from the fund, on behalf of the county, an amount equal to the payment due, or any portion thereof, to the Medicaid budget account in the state general fund.
2. The board shall consider the following factors in determining whether to approve a request submitted pursuant to subsection 1:
(a) Whether the county has any source of money available to make the payment;
(b) Whether the county has the taxing authority to raise the additional money required to make the payment;
(c) Whether the county has expended its money for the care of indigents in an appropriate manner;
(d) Whether the county has budgeted appropriately for the anticipated amount of its payments; and
(e) Any other factors the board determines are appropriate.
3. If the board determines that a county is unable to make a payment that is due, the board shall transfer an amount equal to the amount of the payment due, or any portion thereof, in the manner prescribed in subsection 1.
4. The board shall prepare and submit a report to the department of administration and the interim finance committee not later than June 30 and December 31 of each year. The report must include the name of each county on whose behalf money was transferred from the fund to the Medicaid budget account since the last report, the amount transferred and the remaining balance in the fund.
Sec. 13. 1. There is hereby appropriated from the state general fund to the Medicaid budget account in the state general fund for the institutional care of the medically indigent:
For the fiscal year 1997-1998 $128,520
For the fiscal year 1998-1999 $1,008,540
2. Any balance of the sums appropriated by subsection 1 remaining at the end of the respective fiscal years must not be committed for expenditure after June 30, and reverts to the state general fund as soon as all payments of money committed have been made.
Sec. 14. 1. The state controller shall, as soon as practicable after June 30, 1997, transfer the sum of $300,000 from the intergovernmental transfer account in the state general fund to the fund for the institutional care of the medically indigent created pursuant to section 10 of this act.
2. The money transferred to the fund for the institutional care of the medically indigent pursuant to subsection 1 may be used to provide assistance to a county for a payment required by an interlocal agreement which became due during the fiscal year 1996-1997.
Sec. 15. 1. This section and sections 1 and 3 to 14, inclusive, of this act become effective on June 30, 1997.
2. Section 2 of this act becomes effective on January 1, 1999.
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