SP0758
LD 1864
Session - 126th Maine Legislature
 
LR 2914
Item 1
Bill Tracking, Additional Documents Chamber Status

An Act To Support Nursing Facilities and Home Care for Seniors and Create a Tax Credit for Primary Care Professionals Practicing in Underserved Areas

Emergency preamble. Whereas,  acts and resolves of the Legislature do not become effective until 90 days after adjournment unless enacted as emergencies; and

Whereas,  many nursing facilities are under imminent threat of closure as a result of chronic underfunding; and

Whereas,  additional funding provided as soon as possible could prevent the closure of nursing homes, many of which are in rural locations; and

Whereas,  additional funding provided as soon as possible could assist seniors to age in place without their needing to transfer to nursing facilities; and

Whereas,  nursing facilities and adult day services are essential parts of the continuum of health care; and

Whereas,  in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 36 MRSA §5219-LL  is enacted to read:

§ 5219-LL Primary care access credit

1 Definitions.   As used in this section, unless the context otherwise indicates, the following terms have the following meanings.
A "Eligible primary care professional" means a person licensed under Title 32, chapter 31, subchapter 3 or subchapter 4; Title 32, chapter 36, subchapter 4; or Title 32, chapter 48, subchapter 2 and who, on or after January 1, 2013:

(1) First begins practicing primary care medicine in the State by joining an existing health care practice in an underserved area or establishing a new health care practice or purchasing an existing health care practice in an underserved area;

(2) Agrees to practice full time for at least 5 years in an underserved area;

(3) Is certified under subsection 3 to be eligible by the Department of Health and Human Services; and

(4) Has an unpaid student loan owed to an institution for course work directly related to that person's training in primary care medicine.

B "Underserved area" means an area in the State that is a health professional shortage area or medically underserved area or that contains a medically underserved population as defined by the federal Department of Health and Human Services, Health Resources and Services Administration.
2 Credit.   For tax years beginning on or after January 1, 2014 but before January 1, 2019, an eligible primary care professional is allowed a credit against the taxes due under this Part as follows.
A The credit may be claimed in the first year that the eligible primary care professional meets the conditions of eligibility for at least 6 months and each of the 4 subsequent years or until the student loan of the eligible primary care professional is paid in full, whichever comes first.
B The credit may be claimed in an amount equal to the annual payments made on the student loan not to exceed $6,000 in the first year, $9,000 in the 2nd year, $12,000 in the 3rd year, $15,000 in the 4th year and $18,000 in the 5th year.
C The credit may not reduce the tax due under this Part to less than zero.
3 Eligibility limitation; certification.   The Department of Health and Human Services shall certify up to 5 eligible primary care professionals each year. The Department of Health and Human Services shall monitor certified primary care professionals to ensure that they continue to be eligible for the credit under this section and shall decertify any primary care professional who ceases to meet the conditions of eligibility. The Department of Health and Human Services shall notify the bureau whenever a primary care professional is certified or decertified. A decertified primary care professional ceases to be eligible for the credit under this section beginning with the tax year during which the primary care professional is decertified.
4 Rules.   The Department of Health and Human Services may adopt rules to implement this section. Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2-A.
5 Annual report.   By January 15, 2016 and annually thereafter, the Department of Health and Human Services and the bureau shall submit a report to the joint standing committee of the Legislature having jurisdiction over taxation matters. The report must indicate the number of eligible primary care professionals certified and decertified each year by the Department of Health and Human Services pursuant to this section and the total annual loss of revenue attributable to the credit under subsection 2.

Sec. 2. Transfer; Fund for a Healthy Maine; General Fund. Notwithstanding any other provision of law, the State Controller shall transfer $4,547,371 from the Fund for a Healthy Maine to the unappropriated surplus of the General Fund no later than June 30, 2015.

Sec. 3. Department of Health and Human Services directed to increase reimbursement rates for adult day services. The Department of Health and Human Services shall adopt rules on an emergency basis to increase reimbursement rates for adult day services programs in Chapter 101: MaineCare Benefits Manual, Chapter II, Sections 19 and 26 and Chapter 5: Office of Elder Services Policy Manual, Sections 61 and 63 to $12 per hour beginning July 1, 2014. Following adoption of the emergency rules, the department shall complete nonemergency rulemaking to implement this section. Rules adopted pursuant to this section are routine technical rules as described in the Maine Revised Statutes, Title 5, chapter 375, subchapter 2-A.

Sec. 4. Appropriations and allocations. The following appropriations and allocations are made.

HEALTH AND HUMAN SERVICES, DEPARTMENT OF (FORMERLY DHS)

Long Term Care - Office of Aging and Disability Services 0420

Initiative: Appropriates funds for an increase in the reimbursement rate for adult day services to $12 per hour.

GENERAL FUND 2013-14 2014-15
All Other
$0 $57,095
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GENERAL FUND TOTAL $0 $57,095

Low-cost Drugs To Maine's Elderly 0202

Initiative: Allocates funds on a one-time basis for access to transitional assistance for Medicare Savings Program members who are losing state assistance with Medicare Part D plan selection.

FUND FOR A HEALTHY MAINE 2013-14 2014-15
All Other
$0 $275,000
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FUND FOR A HEALTHY MAINE TOTAL $0 $275,000

Medical Care - Payments to Providers 0147

Initiative: Appropriates and allocates funds for an increase in the reimbursement rate for adult day services to $12 per hour.

GENERAL FUND 2013-14 2014-15
All Other
$0 $46,416
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GENERAL FUND TOTAL $0 $46,416

FEDERAL EXPENDITURES FUND 2013-14 2014-15
All Other
$0 $75,109
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FEDERAL EXPENDITURES FUND TOTAL $0 $75,109

Nursing Facilities 0148

Initiative: Provides one-time funding for increased reimbursements under the MaineCare program for nursing facilities.

GENERAL FUND 2013-14 2014-15
All Other
$0 $4,915,699
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GENERAL FUND TOTAL $0 $4,915,699

FEDERAL EXPENDITURES FUND 2013-14 2014-15
All Other
$0 $7,951,780
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FEDERAL EXPENDITURES FUND TOTAL $0 $7,951,780

Nursing Facilities 0148

Initiative: Provides one-time funds for increased nursing home costs.

GENERAL FUND 2013-14 2014-15
All Other
$0 $206,459
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GENERAL FUND TOTAL $0 $206,459

FEDERAL EXPENDITURES FUND 2013-14 2014-15
All Other
$0 $333,975
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FEDERAL EXPENDITURES FUND TOTAL $0 $333,975

Nursing Facilities 0148

Initiative: Adjusts funds to reflect additional nursing home provider tax revenue.

GENERAL FUND 2013-14 2014-15
All Other
$0 ($772,049)
inline graphic sline.gif inline graphic sline.gif
GENERAL FUND TOTAL $0 ($772,049)

OTHER SPECIAL REVENUE FUNDS 2013-14 2014-15
All Other
$0 $772,049
inline graphic sline.gif inline graphic sline.gif
OTHER SPECIAL REVENUE FUNDS TOTAL $0 $772,049

Office of Aging and Disability Services Central Office 0140

Initiative: Appropriates funds for an increase in the reimbursement rate for adult day services to $12 per hour.

GENERAL FUND 2013-14 2014-15
All Other
$0 $71,521
inline graphic sline.gif inline graphic sline.gif
GENERAL FUND TOTAL $0 $71,521

HEALTH AND HUMAN SERVICES, DEPARTMENT OF (FORMERLY DHS)
DEPARTMENT TOTALS 2013-14 2014-15
GENERAL FUND
$0 $4,525,141
FEDERAL EXPENDITURES FUND
$0 $8,360,864
FUND FOR A HEALTHY MAINE
$0 $275,000
OTHER SPECIAL REVENUE FUNDS
$0 $772,049
inline graphic sline.gif inline graphic sline.gif
DEPARTMENT TOTAL - ALL FUNDS $0 $13,933,054

Emergency clause. In view of the emergency cited in the preamble, this legislation takes effect when approved.

summary

This bill provides a primary care access tax credit to up to 5 eligible primary care professionals each year who practice in an underserved area in the State. It creates a graduated schedule for claiming the credit allowing an eligible primary care professional to claim an amount equal to the annual payments made on the professional's student loan not to exceed $6,000 in the first year, $9,000 in the 2nd year, $12,000 in the 3rd year, $15,000 in the 4th year and $18,000 in the 5th year.

This bill also provides that the primary care access credit is available for tax years beginning on or after January 1, 2014 but before January 1, 2019. It requires the Department of Health and Human Services and the Department of Administrative and Financial Services, Maine Revenue Services to submit an annual report to the joint standing committee of the Legislature having jurisdiction over taxation matters beginning on January 15, 2016 indicating the number of eligible primary care professionals certified and decertified each year by the Department of Health and Human Services and the total annual loss of revenue attributable to the primary care access credit.

This bill uses one-time tobacco settlement funds from the Fund for a Healthy Maine to support health services for the elderly, including nursing home funding, transitional assistance with Medicare Part D plan selection and an increase for adult day services reimbursement. This bill also uses one-time tobacco settlement funds from the Fund for a Healthy Maine for the primary care access tax credit.


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