The South Dakota Legislature has passed a bill establishing a rate-setting methodology for services delivered by community-based health and human services providers.
Senate Bill 147 passed the House Tuesday on a 61-6 vote. The bill previously passed the Senate, but the Senate had to agree to significant changes after the House Health and Human Services Committee “hoghoused” the bill by replacing all of its original language.
Sen. Deb Peters, R-Hartford, sponsored the legislation, saying appropriators needed more up-to-date information on provider rates to help with the budgeting process. SDAHO’s Public Policy Council supported the measure.
The bill requires that the Department of Social Services and the Department of Human Services jointly establish the methodology at least every five years to increase transparency in the rate-setting process. The analysis would include a review of current cost report data, specific service delivery and staffing requirements, training and fidelity standards associated with related service models, current market factors and current and impending state and federal policies that may impact the cost of service delivery.
