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Bill

HB 195

TennCare - As introduced, establishes separate reimbursement rates for ground-based rural ambulance services and urban ambulance services provided to TennCare recipients; allows for certain rural ambulance service providers to receive emergency medical services equipment grants. - Amends TCA Title 71.

114th Regular Session (2025-2026) Introduced by Brock Martin

HB 195 establishes higher TennCare reimbursement rates for rural ground ambulances and creates equipment grants for qualifying rural EMS providers, increasing state Medicaid costs.

Placed on s/c cal Finance, Ways, and Means Subcommittee for 4/14/2025
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Bill Summary · HB 195

Legislative bill overview

HB 195 creates separate reimbursement rates for ground ambulance services based on whether they operate in rural or urban areas under Tennessee's Medicaid program (TennCare). The bill also establishes a grant program to help certain rural ambulance providers purchase emergency medical services equipment.

Why is this important

Rural ambulance services often operate at lower volumes and higher per-call costs than urban services, making financial sustainability difficult. This bill attempts to address those economic differences while ensuring rural communities maintain adequate emergency response capacity. The equipment grants could help modernize rural EMS infrastructure that often lags behind urban systems.

Potential points of contention

  • Cost to TennCare: Higher reimbursement rates for rural services will increase state Medicaid spending, requiring budget allocation or cuts elsewhere
  • Definition disputes: How "rural" versus "urban" ambulance services are defined could significantly affect which providers qualify and receive funding
  • Grant program criteria: The bill's vagueness on which rural providers qualify and how grants are awarded could create fairness concerns and administrative complexity
  • Urban provider concerns: Urban ambulance services may argue the rate structure undervalues their services or creates unfair competition

Compiled from official sources — confirm details with the bill’s official record.

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