The newsroom includes access to CHA News, which provides timely information to members every Thursday and is at the core of CHA benefits. In addition, it is also home to resources such as toolkits and talking points designed to help member hospitals and health systems communicate with internal and external audiences on a range of current health care-related issues. Links to CHA media statements and press releases can also be found here.
Newsroom
CHA Urges Support of Bill to Increase Preparedness Funding
Today, CHA sent the attached letter to the California congressional delegation supporting House Resolution 4776, the Hospital Preparedness Reauthorization Act of 2018.
The bill would increase the level of federal funding to the Hospital Preparedness Program, the only source of federal funding authorized to support regional health care system preparedness and readiness for natural disasters and threats. CHA established the CHA Hospital Preparedness Program through this grant funding. In its letter, CHA notes that the program is critical to establishing necessary resources and sustained support for hospitals in all-hazards disaster planning and response.
CHA Distributes 2017-19 Hospital Fee Program Schedules
On Jan. 12 the Department of Health Care Services (DHCS) sent hospitals invoices covering the first six fee-for-service cycles of the 2017-19 Hospital Fee Program. The first invoice has a due date of Feb. 5; hospitals will receive the first fee-for-service payment on Feb. 26. On Friday, CHA distributed hospital-specific schedules to assist in tracking when the fees are due to DHCS and when fee-for-service payments should be received. The schedules were created using the draft model that was sent to hospitals last week in CHA News, and include an estimate of the pledge contribution to the California Health Foundation and Trust (if applicable). The information in the schedules represents CHA’s best estimates based on the portions of the program currently approved by the Centers for Medicare & Medicaid Services. If any hospital does not pay its fees to DHCS in full and on time, all hospitals will receive decreased supplemental fee-for-service payments.
CHA has also included estimates for the Medi-Cal managed care components of the 2017-19 Hospital Fee Program. However, it is important to note that the managed care components of the program have not been approved by the Centers for Medicare & Medicaid Services and, therefore, the payment amounts in the draft model are very preliminary. Furthermore, the supplemental Medi-Cal managed care payments made through the new directed payment mechanism have been estimated using inpatient utilization data publicly reported to the Office of Statewide Health Planning and Development for the fiscal year ending in 2015. However, in actuality, the directed payments will be made for inpatient and outpatient services provided to in-network patients during the current state fiscal year. CHA will continue to update members through CHA News; all updates can be found on the CHA website.
Small House Skilled-Nursing Facilities Pilot Program Seeks Participants
The California Department of Public Health has released two All Facilities Letters, 17-29 and 17-30, related to the Small House Skilled-Nursing Facilities Pilot Program. The program, authorized by Senate Bill 1228 (Chapter 671, Statutes of 2012), allows the department to authorize the development and operation of up to 10 small house skilled-nursing facilities that are licensed to provide skilled-nursing care and supportive care to patients in small, homelike, residential settings that incorporate emerging patient-centered health care concepts. The department also released program standards that outline location, building design, staffing and training requirements. Interested facilities are encouraged to review application procedures, scoring criteria and the participation agreement.
MedPAC Recommends Medicare Payment Updates for 2019
The Medicare Payment Advisory Commission (MedPAC) met last week to vote on its recommendations for Medicare fee-for-service payment and policy changes for federal fiscal year and calendar year 2019. The commission did not change its payment update recommendations from the draft recommendations discussed in December, including a recommendation to update hospital inpatient and outpatient payments as determined by current law, which is expected to result in an increase of approximately 1.25 percent.
In addition, the commission passed a recommendation, by a vote of 14-2, that Congress eliminate the physician Merit-Based Incentive Payment System and replace it with a voluntary value-based payment system that would require physicians to be measured in groups on population-based measures. MedPAC also discussed its mandated reports on the effects of the hospital readmissions reduction program and coverage of telehealth services in Medicare and commercial plans. Presentation materials are available and a transcript will be posted to MedPAC’s website. The commission will include its approved recommendations in a March report to Congress.
New Law Modifies Notice, Planning Requirements for Long-Term Care Facilities
The California Department of Public Health has released All Facilities Letter 18-10, clarifying that, when long-term care facilities have a change in licensure or operation that will result in an ability to care for residents, they must meet new notice and planning requirements. Assembly Bill 275 (Chapter 185, Statutes of 2017), which took effect Jan. 1, requires facilities to provide 60 days’ notice to residents and the state long-term care ombudsman, as well as notify in writing the Department of Health Care Services and any affected health plan at least 60 days before the change. The law also specifies requirements for community meetings, proposed relocation plans, resident assessments and withdrawal of closure.
DHCS Issues Final Concept Paper on Medi-Cal Waiver
The Department of Health Care Services (DHCS) has revised and published a document outlining the state’s concept for a Medi-Cal waiver that would go into effect Sept. 1, replacing the state’s current waiver for hospital financing and uninsured care that expires Aug. 31.
Health Care Reform Targets Fraud and Abuse; Compliance Manual Addresses Complex Laws
To help pay for the nearly $1 trillion implementation cost of health care reform, President Obama directed federal and state authorities to expand their use of recovery audits to reduce fraudulent, wasteful or abusive practices within Medicare, Medicaid and other government programs. Under this directive, hospitals should expect increased scrutiny of government reimbursement of health care.
CMS Proposes Rule to Streamline Telemedicine Accreditation Requirements
The Centers for Medicare & Medicaid Services (CMS) has issued a proposed rule that would alter its Conditions of Participation for hospitals, including Critical Access Hospitals, to allow them to use information provided by other Medicare-approved hospitals in making credentialing and privileging decisions for off-site physicians providing telemedicine services.
CMS Posts Provider Information on IRF PPS Changes
In response to inquiries from the provider community, the Center for Medicare & MediCal Services (CMS) has posted to its website a transcript of their November 12 provider conference call regarding changes to the Medicare Benefit Policy Manual (MBPM) and new requirements for the inpatient rehabilitation facilities prospective payment system (IRF PPS). In addition, CMS has posted three additional documents based on “Frequently Asked Questions” (FAQs) received from IRFs across the country.
Recent Developments Announced on CHA’s Medi-Cal Rate Lawsuits
On March 26, the court granted CHA’s motion to intervene in Independent Living Center of Southern California, et al, v. Shewry, a lawsuit currently pending in federal court challenging the 2008 10 percent Medi-Cal rate cuts.

