Better revenue outlook raises reimbursements for South Dakota’s medical services providers

Capitol News Bureau

PIERRE, S.D. (KELO) — For once, state legislators didn’t have to pinch pennies this year setting reimbursement rates for Medicaid-type of services in South Dakota.

There was enough confidence to grant 2.4% inflationary increases across the board, covering 22 areas of care, for five state departments and the courts system that Governor Kristi Noem had requested.

Lawmakers also gave extra bumps for a half-dozen of them — group care, in-home services, community behavioral health, long-term care, community service providers and psychiatric group care — so they’re no longer under-funded.

The more than $20 million of increases had South Dakota Social Services Secretary Laurie Gill singing hallelujah Tuesday to a state board.

“We feel like we had a good session,” Gill said. “It took a lot of work from our staff to get that done.”

She said the Legislature’s stronger revenue forecasts made for a different lawmaking session because there was more money to fight over.

One of those whose providers will benefit is Tiffany Wolfgang. The state’s director of behavioral health praised the 2.4% inflationary increase and called the full funding “fantastic.”

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