1. (1) Contingent upon legislative appropriation, the department of public health and human services shall develop a report to document the adequacy of current medicaid rates compared to reported medicaid service provider costs at least once every 4 years.

2. (2) The report must consider the following data sources in the development of rate adequacy:

   1. (a) medicaid service provider cost report information submitted as required in 53-6-1603;
   2. (b) claims data;
   3. (c) United States bureau of labor statistics data;
   4. (d) internal revenue service data;
   5. (e) United States department of agriculture data;
   6. (f) United States census bureau data
   7. (g) peer state comparisons; and
   8. (h) any other relevant regional and national data considered appropriate by the department.
3. (3) The report must provide information to support a biennial or supplemental budget request as necessary to adjust medicaid service provider reimbursement rates to ensure rate adequacy.
4. (4) The department shall provide the report at least once every 4 years to the office of budget and program planning, the children, families, health, and human services interim committee, and the interim budget committee in accordance with 5-11-210. The first report is due by September 1, 2026.
5. (5) In accordance with the Montana Procurement Act, the department may contract with a cost-based reporting expert to assist in completing subsections (1) through (4).

History: En. Sec. 4, Ch. 654, L. 2025.