FY 2013 Uncompensated Trauma Care Fund Distribution - July 2013

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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 occur during the weeks of July 22, 2013 and July 29, 2013. 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 Process for Hospitals receiving SDA “trauma add on” below for more information.

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) 2011 uncompensated trauma care charges reported by eligible hospitals on the Fiscal Year (FY) 2013 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.

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 changed 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  2013 Uncompensated Trauma Care Applications to calculate the formula to determine the disbursement amounts for the DSHS FY 2013 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 FY2013 uncompensated trauma care funding disbursement. If a hospital receives less in the FY2013 ”trauma add on” payments than in the amount calculated for the DSHS FY2013 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 FY2013.

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 weeks of July 22nd, 2013 and July 29th, 2013.

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):
FY13 Final 3588 Disbursement Summary July 2013

Non-SDA Hospitals (Receiving July 2013 disbursement from DSHS):
FY13 UCC Amount For Non-SDA Hospitals

Hospitals receiving SDA – “trauma add on” (Please read “Process for Hospitals receiving SDA “trauma add on” above):
FY13 UCC Amount For SDA Hospitals

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 Emily Parsons (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