HomeLatest NewsState News6% Medicaid Increase Started July 1!

6% Medicaid Increase Started July 1!

Beginning July 1, the Medicaid reimbursement rate saw a 6% inflationary increase. This comes from the 2022 legislative session, where SDAHO staff worked hard to help promote the need for increased Medicaid rates to SD legislators.

The following services are receiving a 6.0 percent inflationary increase:

  • Instate DRG (diagnostic related groups) Inpatient Hospital Services, Instate DRG Exempt Inpatient Hospitals/Hospital Units, and Instate APC (ambulatory payment classifications) Outpatient Hospital Services
  • Optometric Services
  • Chiropractic Services
  • Nutritionists and Dietician Services
  • Clinic Services
  • Eyeglasses
  •  Diabetes Self-Management Training
  • Nurse Midwife Services
  • Community Transportation
  • Secure Medical Transportation
  • Air and Ground Ambulance Transportation
  • Home Health Agencies
  • Independent Mental Health Practitioners Services
  • Nutrition Items
  • Personal Care Services
  • Child Private Duty Nursing
  • Freestanding Birth Centers
  • Disproportionate Share Hospital Payment Pools
  • Graduate Medical Education Payment Pools

Updated fee schedules can be found on the DSS Provider Fee Schedule page. If you have any questions, please contact Jacob Parsons, SDAHO’s Director of Fiscal Policy.


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