HOSPITAL CARE ASSURANCE PROGRAM

The Hospital Care Assurance Program (HCAP) is the Ohio Department of Job and Family Services' mechanism for meeting the federal requirement to provide additional payments to hospitals that provide a disproportionate share of uncompensated services to the indigent and uninsured.

The current HCAP program meets the federal requirement that the assessment rate be uniform across all non-psychiatric hospital providers and that at least 10% of the hospitals receive less than their assessed amount in HCAP funding.

For Federal Fiscal Year 2008 HCAP, the following structure of assessments and federal funds will be used:                          

2008 Hospital Assessments $210,530,000
2008 Federal Share  $325,507,000
2008 Total Available HCAP Funds $536,037,000

 

Preliminary 2008 Uncompensated Care Data:

Uncompensated Care costs for uninsured patients with income below FPL $425,144,000
Uncompensated Care costs for uninsured patients with income above FPL  $491,700,000
Medicaid Shortfall $420,894,000
Total OBRA Cap $1,337,738,000

 

NEWS

For more information, please visit our most recent Frequently Asked Questions about HCAP rules, eligibility, and procedures.  If you have a question about the status of a pending HCAP application or need to request an application, please contact the hospital where you applied or would like to apply for the program.

10/22/2008:: The Centers for Medicare & Medicaid Services (CMS) has granted approval to the 2008 Hospital Care Assurance Program (HCAP) and the program is now set to be completed prior to the end of the calendar year. Ohio hospitals will receive approximately $325.5 million in federal funds to help defray the growing costs of caring for the uninsured and Medicaid enrollees.  The Ohio Department of Job & Family Services (ODJFS) has set the following assessment and payment schedule:
Nov. 7              1st half assessment due to ODJFS
Nov. 17            1st half payment sent to hospitals
Nov. 24            2nd half assessment due    
Dec. 4              2nd half payment sent
ODJFS will be sending final assessment notices and instructions to all participating hospitals this Friday via certified mail, so please check next week to make sure the assessments listed on the notice match those on the 2008 Final HCAP Model.

10/15/2008:: According to ODJFS, the state plan amendment that contains this year's HCAP has been placed in the approval track by CMS.  However, ODJFS must wait until receiving final approval from CMS before setting an assessment and payment schedule.  CMS could still take up to two more months to issue formal approval, but OHA will continue to work with CMS to urge speedy approval.  OHA will provide members immediate notice when final approval of this year's HCAP is granted.

10/2/2008:: Presentation slides on the HCAP update from today's Medicare & Medicaid Seminar are now available.

9/18/2008:: ODJFS has responded to a series of questions posed by CMS regarding the state plan amendment that includes the changes to this year's HCAP.  CMS now has a new 90 day window in which to approve or deny the state plan amendment. 

However, OHA will be working with ODJFS to ensure timely federal approval, so that the process of collecting assessments and making distributions to hospitals can begin as soon as possible.  Please check back periodically for the latest news on HCAP for this year.

9/3/2008:: Presentation slides for the membership meeting on September 5th are now available.

8/27/2008:: CMS has yet to approve of the state plan amendment that includes the distribution methodology for HCAP 2008.  Due to this, the program this year will be delayed and most likely will not begin collecting assessments or paying hospitals until mid-September. 

As soon as CMS issues its approval of HCAP 2008, OHA will release the Department's timeline for assessments and payments, but again, expect your first assessment installment to not be due any earlier than September 15th.  Please note, however, that OHA still does not anticipate significant changes to the Preliminary 2008 HCAP Model when the state plan amendment is eventually approved by CMS. 

8/19/2008:: OHA members will convene Friday, Sept. 5 at the Crowne Plaza Hotel in Dublin to discuss proposed changes to the distribution model made by the OHA HCAP Task Force regarding the 2009 Hospital Care Assurance Program (HCAP). The Task Force is seeking feedback from the membership before finalizing the recommendations that will be presented to the OHA Board for approval. The Board will take action in September on final recommendations to make to the Ohio Department of Job and Family Services (ODJFS).  Additional information will be available at the meeting.  To register for the meeting, please complete and return a registration form Directions to the meeting.

8/11/2008:: ODJFS is still awaiting federal approval of the 2008 HCAP, but at this time, OHA does not anticipate there will be significant changes to the preliminary 2008 model before assessments and payments are collected and made in the next month.  However, the model will not become "final" until CMS officially approves this year's program and ODJFS releases its timeline for assessments and payments.

In HCAP 2009-related news, please save the date of September 5th for another membership meeting.  We will announce the time and location of the meeting shortly, but we anticipate it will be in the Columbus area.  The meeting will provide an opportunity for member hospitals to react to the initial recommendations for HCAP 2009 by the Board's HCAP Task Force prior to the OHA Board making final recommendations for changes to next year's program. 

7/15/2008:: The Ohio General Assembly's Joint Committee on Agency Rule Review (JCARR) yesterday approved the rules that will govern the HCAP assessment and distribution model for 2008.  Only CMS is left to approve the proposed rules before the preliminary model can be finalized. 

Today, ODJFS sent pre-assessment letters to all hospitals, detailing the amounts each hospital is expected to pay in assessments this year.  Hospitals should expect to receive their letter by the end of this week.  Please verify that the data contained in the pre-assessment letter sent to your hospital is accurate, and contact the Department if you find any discrepancies. 

6/10/2008:: Presentation slides from today's HCAP session at the OHA Annual Meeting are now online.

5/27/2008:: A preliminary 2008 HCAP Assessment & Distribution Model is now available.  Please note that this is not the final model, and all numbers are still subject to change.

Also, for those who cannot attend tomorrow's HCAP membership meeting in Columbus, here is a copy of the presentation slides.

5/13/2008:: ANNOUNCEMENT: Membership Meeting on HCAP 2009

OHA and its Hospital Care Assurance Program (HCAP) Task Force will host a membership meeting to discuss issues relating to the 2009 HCAP on Wednesday, May 28 at Brookside Country Club in Columbus from 10 a.m. to noon. OHA has already received proposals to change the distribution for 2009, and attendees will be asked to both comment on these proposals as well as to offer their own suggestions for changes to next year’s HCAP model. Attendees will also be briefed on the status of the 2008 HCAP distribution.

Member hospital CEOs and CFOs are urged to attend the meeting, but only two individuals per hospital can attend due to space limitations.  Admission is free and a continental breakfast will be provided, so please fill out and return a registration form as soon as possible.  If no one from your hospital is able to attend the meeting, please forward any comments or suggestions via email to Ryan Biles and he will make sure the HCAP Task Force receives them.

1/23/2008:: The 2008 federal poverty income guidelines were published in the federal register today. Updated annually by the US Dept. of Health & Human Services, the guidelines are used in a variety of ways to judge eligibility for discounted health care programs, including HCAP. Hospitals should assess HCAP eligibility based on the income guidelines in place on the date of service or admission.

12/20/07:: Last week, both the OHA Finance Committee and OHA Board of Trustees voted to approve the final recommendations of OHA's HCAP Task Force on Principles & Goals for program year 2008.  The Task Force recommended two changes to HCAP for next year, including:

  • That for the 2008 program year and beyond, OHA advocate for the use of already collected, actual Medicaid managed care payment data in both OBRA cap calculations and in the distribution; and
  • That for the 2008 program year and beyond, OHA advocate for technical changes to the DSH Limit Pot (Pot 6), to reflect the total funds available in HCAP 2008.

The recommendations are the result of a year-long process of membership meetings and discussions between the HCAP Task Force and members of the state administration.  Please check back for updates on the status of the Task Force recommendations as the new year progresses.

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