MEDICAID – Adds to existing law to provide legislative approval for the Department of Health and Welfare to submit a state plan amendment regarding change in encounter rate due to change in scope of services.
Signed by Governor on 04/02/26 Session Law Chapter 308 Effective: 04/02/2026; 07/01/2026 IDAPA Sunset Clause - SECTION 2
Summary
The bill authorizes the Idaho Department of Health and Welfare to amend the Medicaid state plan to change prospective payment system (PPS) encounter rates for federally qualified health centers and rural health clinics when they add, drop, or expand services. Clinics must give the department 60 days’ notice, wait six months of continuous operation, and show at least a 4.5% increase in cost per visit to qualify for a new rate. The law also voids certain existing Medicaid rules after October 1 2026 and takes effect immediately as an emergency measure.
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