Revises the Disproportionate Share Hospital qualifying criteria and payment methodologies for non+rural community hospitals; to revise the state appropriation for certain DSH categories; and to allow for additional payments after completion of the CMS mandated DSH independent audit for the state fiscal year.

Provides for supplemental Medicaid payments to non-rural, non-state acute care public hospitals.

Establishes home and community based services under the 1915(i) state plan option for Adult Behavioral Health Services concurrent with the Behavioral Health 1915(b) waiver under a capitated contract reimbursement methodology.

Adjusts reimbursement rate paid to non-rural, non-state inpatient hospitals for neonatal and pediatric intensive care units and revise the reimbursement methodology for outlier payment.

Establishes the program criteria and the fee for service reimbursement methodology for diabetes self-management training services rendered in an outpatient hospital setting.

Establish the program criteria and reimbursement methodology for diabetes self-management training services for professional services.

Provides for a one time supplemental payment for inpatient hospital services rendered by non-rural, non-state hospitals designated as a major teaching hospital.

Clarifies reimbursement methodology for the payment of the administration of the influenza vaccine, and to provide the reimbursement methodology for the cost of the influenza vaccine for Medicaid recipients when administered gby pharmacists.

To establish a transitional reimbursement methodology for nursing facilities transitioning from a state owned or operated nursing facility to a private nursing facility.

Increases the reimbursement rates to physicians for obstetrics delivery services.