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Frequently Asked Questions

Frequently Asked Questions are used to provide additional information and/or statutory guidance not found in State Medicaid Director Letters, State Health Official Letters, or CMCS Informational Bulletins. The different sets of FAQs as originally released can be accessed below.

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Are federal matching funds available for services provided during a PE period when the individual is subsequently found to not be eligible after the completion of a full Medicaid application?

Yes, services covered under the state plan rendered during the PE period will qualify for federal match regardless of the ultimate Medicaid eligibility decision. The standards that states can set for hospitals and the findings from reviews of hospital performance relative to those standards are intended to ensure that hospitals are making appropriate PE determinations and following state hospital PE procedures. When problems are identified, states should take corrective action to ensure future compliance with state policies and procedures.

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FAQ ID:92111

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Our state uses multiple cost centers (routine and ancillary) in the calculation of our inpatient hospital Upper Payment Limit (UPL). Do the templates permit the use of multiple cost centers?

Yes, the templates allow the use of multiple cost centers. For example, if the state uses a cost methodology for ancillary services and a per-diem methodology for routine services, the state will complete one cost template and one per-diem template in order to account for these two cost centers. Every hospital would be featured in each of the two templates; however, to differentiate their provider information, the state would append the Medicare Certification Number (Medicare ID) (variable 112) with a letter, such as an -A or a -B. For example, if the Medicare ID was 123456, it would be depicted in the cost template as 123456-A and in the per diem template as 123456-B. If a Medicare Certification Number is not available then the state should append the Medicaid Provider Number. If there are multiple cost centers under either the cost or per-diem methodology, the state would separate out the cost centers within their respective templates. Each cost center should be associated with only one appended letter and these should be described in the notes tab. When using multiple cost centers, the state should insert a new tab in the templates that summarizes the UPL gap calculations for each of the ownership categories (state government owned, non-state government owned, and private), unless a summary worksheet is already included in the workbook.

FAQ ID:92261

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Can and should states require their hospitals to assist individuals in filling out the full Medicaid application?

States have the option to require hospitals to assist individuals in submitting the full application, which can help connect more people to longer-term coverage. While we encourage states to do so, to promote ongoing coverage, as noted above, a full application cannot be required as a condition of receiving a hospital PE determination, as the purpose of PE is to promote quick access to care on an interim basis while the full application process is underway. States can strike a reasonable balance by using the full application for hospital PE determinations, but clearly delineating which questions are necessary for PE purposes. States and hospitals can also use inserts or additional language to differentiate between the hospital PE application and the full application.

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FAQ ID:91581

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What if my state is implementing a real-time eligibility system?

Real-time eligibility determinations make the role of PE different than it has been in the past. In situations in which the individual files a full application right away, the PE period would likely be considerably shorter-and eliminated altogether, as a practical matter, if a real-time determination is made. However, even with the most modernized systems, there invariably will be individuals for whom a real-time eligibility determination will not be possible. There also will be individuals who will not be comfortable with the online application, or ready with the information needed to complete a full online application and will instead opt to apply later or use a paper application. In such situations and for such individuals, PE remains a useful tool to facilitate prompt coverage and enrollment in the program. States have flexibility to in effect minimize the length of the PE periods by requiring that hospitals and other qualified entities assist individuals in submitting the single streamlined application online, as long as the individual is not required to submit the full application online as a condition of qualifying for PE.

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FAQ ID:91586

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Can states use a simplified method for income counting as an option for all groups eligible for PE, including hospital PE, or is this option limited to children and pregnant women? Are hospitals expected to be trained to calculate MAGI rules?

Yes. A simplified method of determining income (e.g., using use of gross income rather than or other simplified approximation of MAGI) per 42 CFR 435.1102(a) is permitted for all types of PE. Our regulations at 42 CFR 435.1102(a) discuss the use of simplified income methods and clearly state that full MAGI-based eligibility determinations cannot be used to determine PE. This requirement applies to all forms of PE, including hospital PE, per 42 CFR 435.1103(a) and 435.1110(a).

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FAQ ID:91591

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Can states allow providers to use "non-filer" tax rules to determine household composition for hospital PE?

Yes. A reasonable and simplified way of determining household composition for purposes of determining presumptive eligibility, including under hospital PE, would be to apply the rules for individuals who do not file taxes (i.e. the non-filer rules) as described at 42 CFR 435.603(f).

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FAQ ID:91596

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For which populations must hospitals be able to determine PE?

At a minimum, states must implement hospital PE to ensure that hospitals are able to make PE determinations for all of the populations included in section 435.1102 and section 435.1103 (that is, all MAGI-eligible groups: pregnant women, infants, and children, parents and caretaker relatives, the adult group, if covered by the state, individuals above 133 percent of the Federal Poverty Level under age 65, if covered by the state, individuals eligible for family planning services, if covered by the state, former foster care children, and certain individuals needing treatment for breast or cervical cancer, if covered by the state). States may allow hospitals to determine PE for other groups, such as the aged, blind, and disabled, and those whose eligibility is established by section 1115 waiver authority. States permitting hospital PE for other groups are responsible for providing information on relevant state policies and procedures and information on how hospitals should fulfill their responsibilities in making presumptive eligibility determinations for such individuals.

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FAQ ID:91606

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Does hospital PE apply to the Children's Health Insurance Program (CHIP)?

The hospital PE provision in the Affordable Care Act is just for Medicaid state plan and 1115 groups and does not apply to separate CHIP state plan or CHIP 1115 groups. However, hospitals can determine PE for CHIP if a state designates a hospital as a qualified entity under CHIP authorities. A state that covers children and pregnant women in a separate CHIP may elect to have certain qualified entities determine PE for them, and the state determines what types of entities may be qualified entities, which may include hospitals.

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FAQ ID:91616

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Can a hospital make hospital PE determinations for non-patients?

Yes, hospital PE is not limited to patients of the hospital. Hospitals can assist with PE determinations for family members and may also enroll eligible individuals from the broader community.

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FAQ ID:91626

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Do states have to limit PE periods for pregnant women to one period per pregnancy? Or, can they limit them to one PE period per calendar year?

Per our regulations at 42 CFR 435.1103(a), pregnant women may have one PE period per pregnancy. If a woman is pregnant more than once in a calendar year, they may have more than one PE period in a calendar year due to the multiple pregnancies.

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FAQ ID:91631

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