HF 2518 Iowa House · 2025-2026 Regular Session

A bill for an act relating to the department of health and human services and reporting requirements for shelter care, residential treatment, and Medicaid provider reimbursement rates, and establishing provider reimbursement rates for Medicaid home and community-based waiver services.

HF 2518 requires Iowa's Department of Health and Human Services to establish new processes for reviewing and adjusting Medicaid reimbursement rates for specific providers. It mandates biennial reviews of shelter care and residential treatment costs against current rates (reporting by October 1), annual comparisons of medical service rates to Medicare (non-dental) or neighboring states' Medicaid (dental) (reporting by January 15), and four-year updates to home and community-based waiver service rates using provider cost data. Providers must submit annual cost and supply data by July 1, which the department uses to develop cost-based reimbursement systems. The bill ensures regular rate adjustments based on actual costs and market data, with detailed fiscal impact reports submitted to lawmakers before implementing new rates.
Bill status passed 3 of 5 stages cleared
Introduction
Feb 2026
Committee Review
Mar 2026
House Passage
Feb 2026
Senate Passage
Governor
Introduced Feb 16, 2026 Last action Mar 12, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Reprinted · 4 edits
MODERATE
The bill was reprinted with significant substantive changes to the reporting and review requirements for health reimbursement rates. The scope of the review was narrowed to exclude dental services from the federal Medicare comparison, and the reporting deadline was moved from October 1 to January 15. Additionally, the bill now explicitly mandates that providers submit actual cost data annually and establishes a requirement to update the rate calculation base period every four years.
Scope change
The scope of the medical assistance rate review was narrowed to exclude dental services from the federal Medicare comparison, and the bill now explicitly requires providers to submit actual cost data to the department.
REQUIREMENT

The requirement to compare medical assistance rates to federal Medicare was modified to exclude dental services, which must now be compared only to contiguous state Medicaid rates.

A new requirement was added mandating that providers submit actual cost of service and supply data to the department by July 1 of each fiscal year.

A new requirement was added to establish a new base period for calculating rate models at least once every four years.

TIMELINE

The deadline for submitting the annual medical assistance rate review report was changed from October 1 to January 15 of each calendar year.

Floor votes · House Feb 25, 2026

How they voted

910
Passed · 8 other
Total votes 99
Feb 25, 2026
D Democratic32
26 Yea 6
81% Yea
R Republican67
65 Yea 2
97% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
12
Key actions
5
Committee
3
Amendments
2
Mar 10, 2026
Legislature · Passed
Subcommittee recommends amendment and passage.
legislature
Mar 5, 2026
Legislature · Passed
Subcommittee Meeting: 03/10/2026 3:00PM Room 315.
legislature
Mar 3, 2026
Upper · Passed
Subcommittee: Costello, Lofgren, and Zimmer.
upper
Feb 25, 2026
Lower · Passed
Passed House, yeas 92, nays 0.
lower
Feb 25, 2026
Lower · Passed
Amendment H-8036 adopted.
lower
Feb 24, 2026
Introduced
Amendment H-8036 filed.
lower
Feb 16, 2026
Introduced
Introduced, placed on calendar.
lower
0 primary · 0 co-sponsors

Sponsors

No sponsor information available.