Iowa Code Title VI. Human Services [Chs. 216-255A] § 249O.2. Hospital directed payment program

2. a. For the sole purpose of the hospital directed payment program, the department may impose an assessment on a hospital.  The total amount of assessments collected by the department shall not exceed the amount necessary to fully fund the nonfederal share of the maximum state directed payment allowed under federal regulations.

b. The department shall establish requirements for timely payment of an assessment, and any penalties for late payment or nonpayment of an assessment.  Any assessment imposed under this section shall constitute a debt due the state and may be collected by civil action under any method provided by law.

c. The department and a third-party administrator contracted with the department may collectively assess and collect an administrative fee of no more than four percent of the amount of each assessment imposed.

4. a. The hospital directed payment program shall not be administered, an assessment shall not be imposed, and a hospital shall not be required to pay an assessment if federal financial participation is not available, or if the hospital directed payment program and imposition of an assessment are not approved by the centers for Medicare and Medicaid services.

b. If federal law or policy significantly impacts the hospital directed payment program as determined by the department, the department, in collaboration with stakeholders, may terminate the hospital directed payment program.