Updates the fee schedule for home health therapy services.

Target Case Management Payment Methodology.

Removing benzodiazepines, barbiturates, and agents used to promote smoking cessation from the state's excluded drug list in accordance with section 1927(d)(7) of the Social Security Act and section 2502 of the Affordable Care Act.

Define the targeted case management payment methodology.

Provides that inpatient hospital services furnished by non-designated public hospitals will be reimbursed under an All Patient Refined Diagnosis Related Group (APR-DRG) prospective payment methodology.

Provides a new supplemental payment to freestanding skilled nursing facilities under the Quality and Accountability Supplemental Payment Program.

Federal Medical Assistance Percentage (FMAP) - Formal Request for Additional Information (RAI).

Provides for disproportionate share hospital payments for the State fiscal year ending September 30, 2013.

Allows for the re-calculation of the prospective payment system reimbursement rate for non-governmental nursing facilities toreflect the newly mandated nursing facility sustainability fee.

Revises the interim payment methodology for hospital-based nursing facilities to 100 percent of billed charges, effective October 1, 2013.