SJ0046 96TH GENERAL ASSEMBLY

SJ0046 LRB096 11680 DRJ 22334 r

SENATE JOINT RESOLUTION

WHEREAS, The American Recovery and Reinvestment Act has been duly passed by the United States Congress and signed into law on February 17, 2009 by President Barack Obama; and

WHEREAS, Among its many provisions, the Act provides additional Medicaid assistance to the states through enhanced federal matching funds for 27 months beginning in April of 2009; and

WHEREAS, It is estimated that Illinois will be eligible to receive an estimated $3 billion as a result of the enhanced federal matching funds over the 27-month period; and

WHEREAS, Eligibility will be contingent, in part, on Medicaid providers being paid in a timely fashion; and

WHEREAS, Medicaid providers are forced to bear the financial burden of the State's failure to pay Medicaid bills on time, which forces providers to absorb the costs of short-term borrowing to keep their programs afloat; and

WHEREAS, Failure to timely pay providers for services rendered not only places the State's service delivery system at risk, but threatens the lives, safety, and well-being of Illinois' poor, many of whom are the very oldest and very youngest in our State; and

WHEREAS, The American Recovery and Reinvestment Act not only provides Illinois with the opportunity to correct this problem, but indeed requires the State to reduce payment cycles to 30 days by June 1, 2009 for many Medicaid providers to qualify for the enhanced federal matching funds; and

WHEREAS, This 3-month grace period provides Illinois with a window of time to address the chronic payment cycle problems that have plagued the State's Medicaid reimbursement system; therefore, be it

RESOLVED, BY THE SENATE OF THE NINETY-SIXTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, THE HOUSE OF REPRESENTATIVES CONCURRING HEREIN, that enhanced federal matching funds must first be used to pay past-due Medicaid bills to providers whose payment cycles must be at 30 days prior to June 1, 2009 for the State to continue to receive the enhanced federal matching funds; and be it further

RESOLVED, That the State of Illinois direct all other necessary resources to paying past-due Medicaid bills to providers whose payment cycles must be at 30 days prior to June 1, 2009 for the State to continue to receive the enhanced matching funds to the extent that enhanced federal matching funds are insufficient to meet the 30-day mandate; and be it further

RESOLVED, That the General Assembly, in cooperation with the Governor, the Attorney General, the Comptroller, and the Treasurer take all necessary actions to meet this priority; and be it further

RESOLVED, That suitable copies of this resolution be delivered to the Governor, the Attorney General, the Comptroller, and the Treasurer.