AHCCCS Fee-For-Service (FFS) rates Update for Home and Community-Based Services and Nursing Facilities Effective 10/1/2019

www.MercyCareAZ.org

September 16, 2019

AHCCCS Fee-For-Service (FFS) rates Update for Home and Community Based Services and Skilled Nursing Facilities Effective 10/1/2019

Applicable to: Mercy Care Long Term Care

Effective for dates of service on or after October 1, 2019, changes were made to the Arizona Health Care Cost Containment System (AHCCCS) Fee-For-Service (FFS) rates for Home and Community Based Services and Skilled Nursing Facilities. These changes address the October 1, 2019 rate increases (which are being required as a pass-through) and the increased labor costs resulting from the Arizona minimum wage increase and employee benefit provisions mandated by Proposition 206.

Detailed information regarding rates is available on the AHCCCS website under the following documents:

Home and Community Based Services Rates Effective 10/01/2019 - 09/30/2020 - indicates an additional increase of 3.6% for the HCBS providers for certain codes, with a further increase of 2.6% effective January 1, 2020.

Nursing Facility Per Diem Rates Effective 10/01/2019 - 09/30/2020 - indicates an additional increase of 1.8% for the Skilled Nursing Facilities on October 1, with a further increase of 1.3% statewide (1.2% for Flagstaff) effective January 1, 2020.

AHCCCS Fee for Service (FFS) Proposed Rates for Designated Fee Schedules Effective 10/01/2019 - 09/30/20 - indicates an increase of 2.6% for the SNFs and 5.0% for the HCBS providers (calculated at 4.9% by AHCCCS in the final analysis).

Since this pass-through rate increase is mandated by AHCCCS, the new rates are automatically passed-through to you by Mercy Care.

As always, don't hesitate to contact your Mercy Care Provider Relations Representative with any questions or comments. You can find this notice and all other provider notices on our Mercy Care website .

Thanks for all you do!