PURPOSE: This rule describes the procedures for the direct deposit of MO HealthNet provider payments. This requirement is being implemented due to the reduction and consolidation of Department of Social Services’ mail room staff with the Office of Administration; handling, cost for postage, printing, and mailing paper checks; and will eliminate the cost of returned or lost checks.

1. (1) Effective October 1, 2010, the MO HealthNet Division will require enrolled providers to have their MO HealthNet checks automatically deposited to an authorized bank account.

2. (2) MO HealthNet providers must complete the Application for Provider Direct Deposit Form MO 886-3089 available on the MO HealthNet Division website at www.dss.mo.gov/mhd, unless otherwise agreed upon by the Department of Social Services.

   1. (A) The completed application authorizes the Office of Administration to deposit MO HealthNet payments into an authorized checking or savings account.
   2. (B) A provider’s account may only be debited when an error has occurred resulting in an erroneous payment to the provider.

   3. (C) Direct deposit will begin following:

      1. 1. Submission of a properly completed

application form to the Department of Social Services, MO HealthNet Division;

1. 2. The successful processing of a test

transaction through the banking system; and

1. 3. Authorization to make payment using

the direct deposit option by the MO Health- Net Division.

1. (D) The state will conduct direct deposit through the automated clearing house system, utilizing an originating depository financial and Procedure of General Applicability

institution. The rules of the National Automated Clearing House Association and its member local Automated Clearing House Associations shall apply, as limited or modified by law.

1. (3) All direct deposit applications must be signed with an original signature by the provider enrolled in the MO HealthNet program when that provider is an individual. Applications on behalf of groups or businesses (except those described in this rule) must be signed with an original signature by the individual (officer) with fiscal responsibility for the group or business. Signature stamps or other facsimiles will not be accepted.
2. (4) The MO HealthNet Division will terminate or suspend the direct deposit option for administrative or legal actions, including, but not limited to, ownership change, duly executed liens or levies, legal judgments, notice of bankruptcy, administrative sanctions for the purpose of ensuring program compliance, death of a provider, and closure or abandonment of an account.

AUTHORITY: section 208.201, RSMo Supp. 2009.* Original rule filed Oct. 4, 1993, effective June 6, 1994. Amended: Filed June 1, 2010, effective Dec. 30, 2010.

*Original authority: 208.201, RSMo 1987, amended 2007.