Indiana Code Title 16. Health § 16-21-10-8

Sec. 8. (a) This section does not apply to the use of the incremental fee described in section 13.3 of this chapter.  Subject to subsection (b), the office may develop the following programs designed to increase Medicaid reimbursement for inpatient and outpatient hospital services provided by a hospital to Medicaid recipients:

(b) The office shall not submit to the United States Department of Health and Human Services any Medicaid state plan amendments, waiver requests, or revisions to any Medicaid state plan amendments or waiver requests, to implement or continue the implementation of this chapter until the office has submitted a written report to the budget committee concerning the amendments, waivers, or revisions described in this subsection, including the following:

(c) This subsection applies to the programs described in subsection (a).  The state share dollars for the programs must consist of the following:

The money described in subdivisions (1) and (2) may be used only to fund the part of the payments that exceed the Medicaid reimbursement rates in effect on June 30, 2011.

(d) This subsection applies to the programs described in subsection (a).  If the state is unable to maintain the funding under subsection (c)(3) for the payments at Medicaid reimbursement levels in effect on June 30, 2011, because of budgetary constraints, the office shall reduce inpatient and outpatient hospital Medicaid reimbursement rates under subsection (a)(1) or (a)(2) or request approval from the United States Department of Health and Human Services to increase the fee to prevent a decrease in Medicaid reimbursement for hospital services.  If the United States Department of Health and Human Services does not approve an increase in the fee, the office shall cease to collect the fee and the programs described in subsection (a) are terminated.