Bill
HB 2776
Illinois LTC provider assessments must comply with federal rules and ensure all increased revenues fund nursing facility staffing incentives or quality of care, without raising cer
Summary — HB 2776 (Long‑Term Care Provider Assessments)
Note on source material
- The document provided contains two distinct HB 2776 texts from different states: (1) an Arizona bill (Rep. Christopher Mathis) establishing a “Rural Watershed Sustainability Initiative Fund” and (2) an Illinois bill (Rep. Eva‑Dina Delgado) amending long‑term care provider assessments. This summary focuses on the Illinois long‑term care (LTC) provider assessment provisions (the title you supplied: DHFS‑LTC PROVIDER ASSESSMENTS). A brief note about the Arizona text is provided at the end.
Purpose and intent
- The Illinois measure clarifies limits and conditions on any future increases to the authorized LTC provider assessment (a per‑occupied‑bed‑day assessment on nursing facilities). Its intent is to ensure assessment increases comply with federal rules, direct additional revenues to resident care improvements (especially staffing incentives), and preserve established rate relationships and protections for certain facilities.
Key provisions
- Any increase in an assessment authorized under 305 ILCS 5/5B‑2 must:
1. Comply with all applicable federal regulations governing provider assessments (including CMS rules).
2. Require that all revenues from the assessment increase be applied to nursing facility rates for staffing incentives (referenced to paragraphs (6) and (6.5) of Section 5‑5.2) or used to improve quality of care (referenced to paragraph (l) of Section 5‑5.2).
3. Not raise the $7 per occupied bed‑day assessed rate that currently applies to non‑profit nursing facilities without Medicaid‑certified beds or to any county‑owned-and‑operated nursing facility.
4. Maintain the existing 2.1:1 ratio between the highest and lowest assessment rates.
5. Not increase any tax (assessment) rate proportionally more than any other tax rate.
- The act is effective immediately upon becoming law.
- The bill incorporates and references existing tiered assessment schedules and rebasing language that determine facility tax rates by annual Medicaid resident days per annum.
Who is affected
- Primary: Nursing facilities and long‑term care providers in Illinois (both for‑profit and non‑profit), especially those participating in Medicaid.
- Secondary: Illinois Department of Healthcare and Family Services (DHFS) / state Medicaid agency (implementation, rebasing, and ensuring federal compliance) and the Centers for Medicare & Medicaid Services (CMS), since federal approvals/waivers are required for assessments and payment methodologies.
Procedural status and timeline (selected)
- Introduced (IL): Feb 6, 2025 by Rep. Eva‑Dina Delgado.
- Referred to Rules Committee (and later licensing/appropriations committee activity); read and considered in committee hearings during March–April 2025.
- Placed on General State Calendar; committee reports filed and distributed; multiple calendar actions in late April–early May 2025.
- 2025‑05‑07: Laid on the table subject to call; companion SB 703 noted.
Related bills
- SB 703 (companion).
Brief note on the Arizona material in the file
- The Arizona HB 2776 (Rep. Christopher Mathis) creates a Rural Watershed Sustainability Initiative Fund (one‑time appropriation $500,000 for FY2025‑26), authorizes grantmaking to rural watershed groups, allows up to 15% for administration, and requires annual reporting. That text appears to be a separate bill and is not part of the Illinois LTC assessment amendments summarized above.
Compiled from official sources — confirm details with the bill’s official record.
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