AGING AND DISABILITY SERVICES ADMINISTRATION

2008 BH "Dear Administrator" Letters

April 21, 2008
                                                                                   
ADSA:  BH #2008-006
SSb 6807 – Voluntary Medicaid Termination

Dear Boarding Home Administrator:

On March 28, 2008, the Governor signed into law SSB 6807, after a veto of Section 2 of the bill.  Because of an emergency clause, the bill went into effect immediately.  The bill affects the transfer or discharge of long-term care residents from boarding homes that voluntarily terminate their contracts with the Medicaid program.  The bill added a new section to the boarding home licensing chapter 18.20 Revised Code of Washington.

The main provisions of the new law on voluntary termination from the Medicaid program are as follows.  Please read the enclosed law for the specific details.

• You cannot transfer or discharge certain residents using termination of your Medicaid contract as the basis for the transfer or discharge.  The law affects facility residents who were receiving Medicaid on the day before the effective date of your withdrawal from Medicaid, as well as facility residents who have paid privately for at least two years and who become eligible for Medicaid within 180 days of the effective withdrawal date.
• You must comply with the oral and written notice requirements to prospective residents if you withdraw from the Medicaid program.
• The Medicaid contract that exists on the day the termination of your contract takes effect will continue in effect for specific residents and for specific purposes.
• The provisions do not apply to a resident admitted on or after the effective date of the boarding home’s termination of contract.
• You must give the department and all residents sixty days advance written notice of your intent to withdraw from participation in the Medicaid program.
• If you are currently participating in the Medicaid program you must give certain oral and written notices specified in the law to prospective residents.  The written notice must include the components outlined in the law.

Please remember that the new law went into effect March 28, 2008.  You are now responsible for meeting all of the new requirements. 
For any legal questions please contact your legal counsel.  If you have any licensing questions please contact your RCS field manager.

Sincerely,

Joyce Pashley Stockwell, Director
Residential Care Services
Enclosure:  SSB 6807, Chapter 251 Laws of 2008