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MedicaidReimbursementMedium impact

Bed Reserve Coverage Changes Resulting from the Save Medicaid Access and Resources Together (SMART) Act

Illinois Medicaid - HFS·IL · Geriatrics·Provider Notice
Effective date
Jul 1, 2012
We identified it
Jun 20, 2026
Days to comply

Summary

Effective July 1, 2012, Medicaid bed reserve payments have been discontinued for nursing facilities and institutions for mental diseases, though facilities must still report bed reserves electronically to avoid claim rejections. Facilities are still required to hold beds during hospitalizations but will no longer receive payment for doing so.

Action Required

Action needed
Continue reporting bed reserves electronically using the MEDI system to prevent entire month's LTC claim rejections when conflicts exist between long term care and hospital dates of service. Update billing workflows to account for discontinued bed reserve payments while maintaining required reporting.