FEE SCHEDULE NEWS:

• Updates to the Out of State Hospital Cost-to-Charge Ratios, Adjusted Cost-to-Charge Ratio for ASCs per County and Kentucky Hospitals Cost-to-Charge Ratios became effective April 1, 2017. The next expected updates are for April 1, 2018.
• Anesthesia services.  The anesthesia time unit rounding was increased from 6 to 8 minutes.

REGULATORY ACTIVITY:

• Kentucky posted Hospital and ASC cost to charge ratios effective April 1, 2017.
• Labor Secretary Derrick Ramsey announced the appointment of Chief Administrative Law Judge Robert L. Swisher as the Acting Commissioner for the Department of Workers’ Claims beginning April 1st.

• Additional information is available at http://labor.kentucky.gov/workersclaims. Department of Workers' Claims is located at 657 Chamberlin Ave, Frankfort, KY 40601. Other questions concerning Department of Workers' Claims can be addressed by calling (502) 564-5550.

LEGISLATIVE ACTIONS:

• House Bill 223
  Amend KRS 360.040 to make the state interest rate for most civil judgments, including judgments for prejudgment interest, 6 percent; provide that the judgment interest rate for unpaid child support is 12 percent; provide that the judgment interest rate on a contract, promissory note, or other written obligation is the rate established in that contract, promissory note, or other written obligation; amend KRS 342.040 to establish a 6 percent interest rate for worker's compensation orders and settlements; allow the administrative law judge to raise the interest rate to 12 percent; amend KRS 360.010 to conform; specify that the new interest rates only apply to judgments, orders, and settlements entered after the effective date of this Act. Effective Date: June 30, 2017.
• House Bill 276
  The enacted legislation repeals various sections in KRS Chapters 11, 15., 18A, 36, 64, 146, 147, 153, 158, 164, 171, 177, 198B, 205, 211, 216, 336, 342, and 403 to abolish inactive boards, commissions, committees, and councils, including the Agricultural Resource Development Authority, the Architectural Barriers Advisory Committee, the Athletic Trainers Advisory Council, the Auto and Truck Recyclers Licensing Advisory Board, the Capitol Centennial Commission, the Cardiovascular Disease Initiative, the Child Support Enforcement Commission, the Children’s Health Insurance Program Advisory Council, the Diabetes Research Board, the Council on Domestic Violence and Sexual Assault, the Advisory Committee for Educational Improvement, the e-Health Network Board, the Council for Families and Children, the Family Health Care Providers Board, the Innovation Commission, the Labor-Management Advisory Council, the My Old Kentucky Home Advisory Commission, the National Guard and Reserve Employers’ Council, the Natural History Museum Board of Directors, the Personnel Steering Committee, the Public Officials Compensation Commission, the Southern Growth Policies Board, the Underground Railroad Advisory Council, the War of 1812 Bicentennial Commission, the Workers’ Compensation Advisory Council, the Bicentennial Commission, the Health Care Infrastructure Authority, and the Historical Events Celebration Commission; amend KRS 148.400 to direct the use of funds in the “My Old Kentucky Home Endowment Fund”; amend KRS 403.705 to decrease the responsibilities of local domestic violence coordinating councils and to direct any recommendations be transferred to the commissioner of the Department for Community Based Services; repeal, reenact and amend KRS 407.707 to create a Sexual Assault Response Team Advisory Committee attached to the Department for Community Based Services, staffed as necessary by the secretary of the Cabinet for Health and Family Services; transfer any committee recommendations to the commissioner of the Department for Community Based Services; require the secretary to make certain appointments; establish continuation of service of members of the Sexual Assault Response Team Advisory Committee; direct transfer of funds of abolished boards, commissions, committees, and councils to the appropriate cabinets and agencies; amend various KRS sections to conform. It Establish the "Citizen and Taxpayer Stewardship Act of 2017"; direct the Cabinet for Health and Family Services utilize enhanced eligibility verification and periodic continuing monitoring of enrollees and applicants' finances and wealth; establish a process when discrepancies between reported finances and actual finances are discovered; recommend use of photographic ID within benefits programs such as food stamps or TANF; direct information sharing practices to better determine eligibility and establish a monitoring infrastructure; recommend how to refer cases of fraud and identity fraud; direct a resource limit for the food stamps program; recommends the use of the work requirements established for able-bodied Medicaid recipients in the KY HEALTH 1115 Waiver within the food stamps and TANF programs and any other benefits reform; prohibit seeking off waivers from 7 U.S.C. Section 2015 in any form; direct that progress reports and final presentations about the updates and direction of the benefits programs be given to the IJC on Health and Welfare and the Medicaid Oversight and Advisory Committee; request that all updates be completed, legislation recommended, and any necessary waivers requested by December 31, 2018.  Effective Date: June 30, 2017.

• House Bill 293
  The bill amends KRS 12.020 and 336.020 to rename divisions within the Labor cabinet, move the Division of Workers' Compensation Funds to the Department of Workers' Claims, move the Office of General Counsel from the Department of Workers' Claims to the Labor Cabinet's Office of General Counsel, and abolish the Workers' Compensation Advisory Council; amend KRS 336.164, 336.165, 342.120, 342.122, and 342.382 to conform; amend KRS 342.215 and 342.230 to exempt Workers' Compensation Board members, department employees, and administrative law judges from the classified service; repeal KRS 342.0012, relating to the Workers' Compensation Advisory Council; confirm Executive Order 2016-855. Effective Date: June30, 2017.

• House Bill 299
  The enacted legislation amends KRS 342.213 to abolish the Workers' Compensation Nominating Commission; create the Workers' Compensation Nominating Committee; set the number and experience of members; describe the duties and responsibilities of the committee; amend KRS 12.020, 336.020, and 342.228 to conform; confirm Executive Order 2016-319. Effective Date June 30, 2017.

• House Bill 305
  The enacted legislations purpose of the measure is to establish procedures for involuntary treatment for alcohol and other drug abuse. Section 1 amends KRS 222.431 to specify that no person shall be ordered to undergo alcohol and other drug abuse treatment unless the person can reasonably benefit from treatment in accordance with a qualified health professional's recommendation.  Section 2 amends KRS 222.432 to provide that a judge can order a person to undergo treatment for up to one year; clarifies that the petition for treatment may be initiated in a District Court in the county in which the person resides on a permanent or temporary basis; clarifies that the petitioner is responsible for only those costs of evaluation and treatment not covered by a third party payor; and clarifies that no petitioner shall be required to place a deposit with the court to cover the costs of evaluation and treatment.  Section 3 amends KRS 222.433 to clarify that the petitioner can choose the qualified health professionals who will evaluate the respondent; allows an examination of a qualified health professional performed within the last three months to be admissible as one of the required examinations; allows the petitioners an opportunity to file the correct paperwork and to gather additional evidence; allows for the renewal of the petition for treatment beyond one year; allows the court order to be amended to place the respondent in a more appropriate treatment program; and specifies that the fee for any appointed counsel for the respondent shall not exceed $500.  Section 4 amends KRS 222.434 to clarify that the District Court of any county where the person may be found may issue a 72-hour emergency treatment order, and to specify the procedures to be followed in contempt proceedings.  Section 5 creates a new section of KRS 222.430 to 222.437 to require treatment programs to notify the court when the respondent fails to appear or participate in treatment as ordered by the court.  Section 6 amends KRS 222.435 to allow the petitioner, or a person chosen by the petitioner, to transport the respondent to a hospital, to an examination, or to a treatment program.  Section 7 creates a new section of KRS 222.430 to 222.437 to provide that proceedings are not open to the public and that any court records of a respondent are confidential.  Section 8 amends KRS 222.470 to require Medicaid and private insurers to use comparative medical necessity and reimbursement methodology to cover alcohol and other drug abuse treatment services.  Section 9 amends KRS 620.100 to raise the maximum payment for legal representation for minors and/or indigent custodians in dependency, neglect, and abuse cases with final disposition in District Court from $250 to $500 (consistent with Circuit/Family Court).   Effective Date: June 30, 2017.

• Senate Bill 151
  The bill amends KRS 337.010, 338.021, 341.070, 342.690, and 344.030 to provide that neither a franchisee nor an employee of a franchisee shall be deemed to be an employee of the franchisor for purposes of KRS Chapters 337, 338, 341, 342, and 344, respectively; provide that neither a franchisor or employee of a franchisor shall be deemed to be an employee of the franchisee for purposes of KRS Chapters 337, 338, 341, 342, and 344, respectively; define "franchisee" and "franchisor.” Effective Date: June 30, 2017.

REGULATORY ACTIVITY:

• Kentucky Labor Cabinet: Department of Workers' Claims: Reminder - per 803 KAR 25:010 § 3(1) (b) effective July 1, 2017, the department of workers’ claims will no longer accept paper filings. If you wish to file a claim, please log on to (link below) and register with the Litigation Management System (LMS) https://kyworkersclaims.lms.ky.gov. Additional information is available at http://labor.kentucky.gov/workersclaims. Department of Workers' Claims is located at 657 Chamberlin Ave, Frankfort, KY 40601. Other questions concerning Department of Workers' Claims can be addressed by calling (502) 564-5550.

FEE SCHEDULE NEWS:

• Updates to the Out of State Hospital Cost-to-Charge Ratios, Adjusted Cost-to-Charge Ratio for ASCs per County and Kentucky Hospitals Cost-to-Charge Ratios became effective April 1, 2016. The next expected updates are for April 1, 2017.
• The state has adopted changes to the Physicians fee schedule effective October 7, 2016. The fee schedule is based on 2014 CPT codes, descriptions and modifiers. The update also included a change to anesthesia services.  The anesthesia time unit rounding was increased from 6 to 8 minutes.

REGULATORY ACTIVITY:

• As of November 1, 2016, the Department of Workers’ Claims will no longer be serving pleadings in paper form on attorneys or parties who have registered to use the Litigation Management Service and have elected to receive notifications from the Department in electronic form except the initial application for resolution of a claim.  This includes ALJ orders and Opinions.  When an order or Opinion is issued, it will appear in the “Notifications” tab of all attorneys associated to the claim in which it is issued and will appear in “Documents” tab on the Claims Detail page of that claim.