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SB 2023

TennCare - As introduced, extends the nursing home annual assessment fee to June 30, 2027; makes other related revisions. - Amends TCA Title 71, Chapter 5, Part 10.

114th Regular Session (2025-2026)

Tennessee extends nursing home assessment fees through 2027 to sustain TennCare Medicaid funding for long-term care facilities.

Companion House Bill substituted
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Bill Summary · SB 2023

Legislative bill overview

SB 2023 extends Tennessee's nursing home annual assessment fee—a charge on nursing facilities—through June 30, 2027, and makes related technical adjustments to the TennCare program under state law. The fee is currently set to expire and this bill prevents that expiration while potentially modifying how the fee operates.

Why is this important

Nursing home assessment fees fund TennCare (Tennessee's Medicaid program), which covers healthcare for low-income residents, including long-term care in nursing facilities. Extension of this fee directly impacts both facility operations and the state's ability to sustain Medicaid funding for vulnerable populations, including elderly and disabled nursing home residents.

Potential points of contention

  • Cost to facilities: Nursing homes may argue the fee increases their operational burden and could be passed to residents or reduced through service cuts, while supporters contend it's necessary to maintain Medicaid reimbursement rates
  • Duration and predictability: The 2027 sunset date creates ongoing uncertainty for both facilities and the state budget; debate may center on whether longer-term authorization is needed
  • Rate adequacy: The underlying tension of whether assessment revenue translates to adequate Medicaid payments for nursing home care, affecting facility viability and quality of care standards

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

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