(a) Beginning on October 1, 2016, and ending on September 30, 2025, publicly owned and state-owned hospitals shall begin making intergovernmental transfers to the Medicaid Agency. If the agency begins making payments pursuant to Article 9 of Chapter 6 of Title 22, on or before September 30, 2019, the amount of the intergovernmental transfers shall be calculated for each hospital using a pro-rata basis based on the hospital’s IGT contribution for FY 2018 in relation to the total IGT for FY 2018. Total IGTs for any given fiscal year shall not exceed three hundred thirty-three million, four hundred thirty-four thousand, and forty-eight dollars ($333,434,048) with the exception of an adjustment as described in subsection (d) and to the extent adjustments are required to comply with federal regulations or terms of any waiver issued by the federal government relating to the state‘s Medicaid program. The total intergovernmental transfers shall equal and shall not exceed the amount of state funds necessary for the agency to obtain only those federal matching funds necessary to pay publicly owned and state-owned hospitals for hospital payments. If the agency does not begin making payments pursuant to Article 9 of Chapter 6 of Title 22, on or before September 30, 2022, the total intergovernmental transfers shall equal the amount of state funds necessary for the agency to obtain only those federal matching funds necessary to pay publicly owned and state-owned hospitals for hospital payments.
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Terms Used In Alabama Code 40-26B-77.1

  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • month: means a calendar month. See Alabama Code 1-1-1
  • state: when applied to the different parts of the United States, includes the District of Columbia and the several territories of the United States. See Alabama Code 1-1-1
  • year: means a calendar year; but, whenever the word "year" is used in reference to any appropriations for the payment of money out of the treasury, it shall mean fiscal year. See Alabama Code 1-1-1
(b) These intergovernmental transfers shall be made in compliance with 42 U.S.C. § 1396b.(w).
(c) If a publicly or state-owned hospital commences operations after October 1, 2013, the hospital shall commence making intergovernmental transfers to the Medicaid Agency in the first full month of operation of the hospital after October 1, 2013.
(d) If the Medicaid Agency begins making payments pursuant to Article 9 of Chapter 6 of Title 22, on or before September 30, 2019, notwithstanding any other provision of this article, a private hospital that is subject to payment of the assessment pursuant to this article at the beginning of a state fiscal year, but during the state fiscal year experiences a change in status so that it is subject to the intergovernmental transfer computed under this article, it shall continue to pay the same amount as calculated in Section 40-26B-71, but in the form of an intergovernmental transfer.
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