FY 2012 Uncompensated Trauma Care Fund Distribution - June 2012

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The Texas Department of State Health Services (DSHS) Office of EMS & Trauma Systems Coordination is pleased to announce that the Uncompensated Trauma Care Fund distributions will occur during the week of June 25, 2012.  A hospital not receiving the Medicaid Standard Dollar Amount -- “trauma add on” will receive its uncompensated trauma care disbursement from DSHS in the next week. See New Process for Hospitals receiving SDA “trauma add on” below for more information.

Background Info:

Background Info:

Texas Health and Safety Code Chapter §780.004 directs DSHS to use 96% of funds in the DTF/EMS Account (3588 monies) to fund a portion of uncompensated trauma care provided at hospitals designated as state trauma facilities or a hospital meeting “in active pursuit” requirements.

Uncompensated Trauma Care Disbursement Methodology:

Calculations are made in the following manner:

  • Calendar Year (CY) 2010 uncompensated trauma care charges reported by eligible hospitals on the Fiscal Year (FY) 2012 Uncompensated Trauma Care Fund Application (Hospital Allocation) were used in the funding formula.  
  • Fifteen percent (15%) of the total amount of funds available was divided equally amongst all eligible applicants.
  • The remaining eighty-five percent (85%) was distributed to eligible applicants based on the percentage of uncompensated trauma care a hospital provided in relation to the total uncompensated trauma care provided by all the eligible hospitals that applied.

New Process for Hospitals receiving SDA “trauma add on”

Effective Fiscal Year 2012
    Senate Bill 7 from the 82nd Texas Special Legislative Session S(1) amended Chapter §780.004 of the Health and Safety Code, to authorize the Texas Department of State Health Services (DSHS) to transfer $26,000,000 from the Designated Trauma Facility and Emergency Medical Services Account (Comptroller’s Account 5111) to Health and Human Services Commission (HHSC) to maximize the receipt of federal funds that HHSC receives under the medical assistance program (MAP), established under Chapter 32 of the Human Resources Code.  To facilitate the effort to maximize receipt of MAP federal funds, HHSC amended its Medicaid hospital reimbursement rule in 1 Texas Administrative Code 355 to create a “trauma add on” for designated trauma facilities that qualify for Standard Dollar Amount (SDA) payments from HHSC.  The statute requires hospitals to be held harmless and in a given fiscal year to receive at a minimum the amount disbursed using the DSHS funding methodology outlined in Chapter §780.004.

    The uncompensated trauma care disbursement process will change for hospitals receiving the SDA “trauma add on” effective FY 2012.  DSHS is required to follow the same methodology as in years past to calculate the amount of the uncompensated trauma care disbursement for each eligible hospital, including the SDA hospitals receiving the “trauma add on.”  DSHS has entered the data provided in the FY 2012 Uncompensated Trauma Care Applications to calculate the formula to determine the disbursement amounts for the DSHS FY 2012 uncompensated trauma care disbursement. At the end of the fiscal year, HHSC will provide DSHS with the amounts hospitals received from the SDA “trauma add on.” The statute requires that DSHS compare the total amount each SDA hospital received in the HHSC “trauma add on” payments to the amount calculated for the DSHS FY 2012 uncompensated trauma care funding disbursement. If a hospital receives less in the FY2012 “trauma add on” payments than in the amount calculated for the DSHS FY 2012 uncompensated trauma care disbursement, then DSHS will make a disbursement to the hospital to cover the difference. If a hospital receives more from the HHSC “trauma add on” payments than the DSHS uncompensated trauma care disbursement, then the hospital will not receive a payment from DSHS in FY 2012.

Process for Hospitals that do not receive SDA “trauma add on” : A hospital not receiving the SDA “trauma add on” will receive its disbursement from DSHS in the same method (direct deposit or paper warrant) as in past years during the week of June 25 and into the week of July 2nd, 2012.

Funding Information:   The disbursement amounts for the SDA and Non-SDA hospitals can be viewed by clicking on the Excel spreadsheets below: 

Calculation spreadsheet indicating disbursement amount for each hospital (SDA and non-SDA hospitals):
FY12 Final 3588 Disbursement Summary June 2012 (Excel)

Non-SDA Hospitals (Receiving June 2012 disbursement from DSHS):
FY12 UCC Amount For Non-SDA Hospitals  (Excel)

Hospitals receiving SDA – “trauma add on” (Please read “New Process” above):
FY12 UCC Amount For SDA Hospitals (Excel)

Questions:

If you have questions about the SDA “trauma add on,” please contact Laura Skaggs, HHSC Hospital Rate Analysis at (512) 462-6239 or laura.skaggs@hhsc.state.tx.us

Please contact me (emily.parsons@dshs.state.tx.us; 512-834-6794) if you have any questions about the uncompensated trauma care funding.

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Last updated July 22, 2013