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F I S C A L I M P A C T R E P O R T





SPONSOR: Rodarte DATE TYPED: 01/27/00 HB
SHORT TITLE: State Support for Nursing Facilities SB 126
ANALYST: Taylor


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY00 FY01 FY00 FY01
$ 2,500.0 Recurring General Fund
$ 6,502.5 Recurring Federal Funds



(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



Human Services Department (HSD)



SUMMARY



Synopsis of Bill



Senate Bill 126 appropriates $2.5 million from the state general fund to the Human Services Department to provide funds for the recruitment, retention and salary enhancement of direct care providers in New Mexico's licensed nursing homes. The bill prohibits the department and nursing home facilities receiving the money from using any of it for administrative purposes.



FISCAL IMPLICATIONS



The general fund cost is $2.5 million. HSD reports that the general fund appropriation would leverage $6.5 million in federal funds.



ADMINISTRATIVE IMPLICATIONS



HSD analysis notes the legislation would require them to restructure rates to pass through salary increases and to develop policies to track nursing home salary payments. They also report that to implement the increases provided in the bill their medical management information system will need to be changed.



SUBSTANTIVE ISSUES



HSD notes the bill does not define direct care providers. They suggest amending the bill so there is no question as to which providers are to be provided salary increases.



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