Human Services

Medical Assistance

SECTION 40-8-20.2

§ 40-8-20.2. Best energy practices for licensed nursing facilities – Energy conservation retention credit.

(a) In order to reduce overall energy consumption and to slow the rate of the growth in state Medicaid expenditures, the state of Rhode Island shall adopt an energy conservation retention credit for licensed nursing facilities that meet the criteria set forth herein. Every licensed nursing facility participating in the Medicaid medical assistance program that: (1) expends funds for energy conservation measures and the use of renewable fuels, energy sources, and so-called "green" sources of energy that result in a reduction of energy consumption; and (2) which methods the facility can demonstrate, to the satisfaction of the department, result in the facility's "pass through" per diem cost being reduced in the next base year in comparison to the immediately preceding base year, shall be permitted to retain the difference in the previous per diem and the new per diem for a period of up to twenty-four (24) months. Provided, that such retained funds shall be utilized by the nursing facility solely for either: (1) costs directly associated with employing labor at the facility; or (2) to pay down any debt of said nursing facility incurred directly through the purchases of energy saving, conservation and renewable energy or so-called "green" devices.

(b) The department of human services shall convene a working group of interested parties, including, but not limited to, public utilities, provider trades associations, labor unions representing nursing home employees, and environmental advocates, to establish best energy practices for this industry.

History of Section.
(P.L. 2007, ch. 73, art. 12, § 2.)