TennCare Likely To Begin ‘Special Payments’ to Hospitals That Serve Most Beneficiaries
TennCare, Tennessee's Medicaid managed care program, this month will likely begin to make "special payments" to the 100 hospitals statewide that serve the most TennCare beneficiaries, the Tennessean reports. The quarterly payments, estimated to cost $100 million by the end of the year, will begin later this month after the federal government approves the plan (Lewis, Tennessean, 10/3). The state's safety net hospitals will share $50 million, "other essential hospitals" will share $45 million and children's hospitals will share $5 million, the AP/Memphis Commercial Appeal reports. Hospitals must have a "high volume of TennCare use or uncompensated TennCare costs" to qualify for payments. In addition, hospitals must have a contract with at least one TennCare managed care organization and with TennCare Select, Tennessee's health care plan for special needs children and the "back up" plan for TennCare (AP/Memphis Commercial Appeal, 10/3). Tennessee's hospitals estimate that they have been underpaid by about $1 billion since TennCare began in 1994. "We still have a significant loss, but we'll take anything at this point,'' Craig Becker, president of the Tennessee Hospital Association, said. The hospitals that serve TennCare's 1.4 million beneficiaries ''provide a crucial service to their communities," John Tighe, health care policy deputy to Gov. Don Sundquist (R), said (Tennessean, 10/3).
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