AN ACT to amend Tennessee Code Annotated, Title 71, Chapter 5, relative to TennCare.
Summary
SB1053 amends Tennessee’s TennCare statute to direct the TennCare director to take whatever steps are necessary to allow an enrollee in Part A of the Katie Beckett program to use their allotted wraparound home- and community-based services funds through a health reimbursement arrangement (HRA). The bill specifically contemplates that TennCare may need to seek a federal waiver amendment or a new waiver in order to implement this option.
In practical terms, the bill is aimed at giving certain Katie Beckett families more flexibility in how they access and use home- and community-based support dollars. Rather than limiting assistance to a traditional service-delivery structure, the measure would authorize a consumer-directed reimbursement mechanism for eligible enrollees, subject to federal approval and TennCare implementation.
Impact
The bill would amend Tennessee Code Annotated, Title 71, Chapter 5, by adding a new subsection to Section 71-5-164. It expands the administrative authority of the TennCare director to pursue waiver changes and implement an HRA-based option for Part A Katie Beckett enrollees using wraparound HCBS funds. The measure affects TennCare program administration, Medicaid waiver design, and the families of children or individuals served under the Katie Beckett eligibility pathway.
Sentiment
The available legislative history suggests generally favorable sentiment. The Senate Health and Welfare Committee recommended the bill for passage by a unanimous 9-0 vote and referred it onward to the Senate Finance, Ways, and Means Committee. No committee transcript was provided, but the vote indicates broad support and little visible opposition at the committee stage.
Contention
The main practical issue is not the policy goal itself but implementation: TennCare would need to determine whether a waiver amendment or new federal waiver is required and whether the federal government will approve the HRA option. Any contention would likely center on administrative complexity, federal compliance, and how the reimbursement arrangement would be structured and monitored, rather than on the underlying intent to increase flexibility for Katie Beckett enrollees.