HF715

This bill focuses on increasing the payment rates for ambulance services under medical assistance in Minnesota. It amends an existing statute to provide higher payment rates and introduces a new system for adjusting payments based on the cost of gasoline:

1. Medical Assistance Payment Increase:

   • It specifies that medical assistance will cover ambulance services, which should be billed according to Medicare criteria.
   • For services delivered from July 1, 2016, onwards, payments for ambulance services in certain rural and less populated areas receive a 5% increase.
   • Starting January 1, 2026, there will be a statewide increase in payment rates for all ambulance services, although the exact percentage of the increase is not specified in the summary provided.

2. Fuel Cost Adjustment:

   • Additionally, from the first day of any calendar quarter starting on or after January 1, 2026, if the average gasoline price exceeds $3.00 per gallon, the payment rate per mile for ambulance services will adjust. This adjustment is one percent up or down for every ten cents change in the price of gasoline from a base price of $3.00.

3. Contract Adjustments for Fuel Costs:

   • Contracts between managed care plans and county-based purchasing plans with providers must include provisions to adjust payments reflecting these fuel price changes. If federal approval is not granted for these fuel adjustments, the contract rates might be modified to remove these provisions.

Overall, the bill intends to ensure that ambulance services are fairly compensated in light of economic changes such as fuel prices, ensuring sustainability of service in both densely and sparsely populated areas.