§1519.6. Funding and budget
A. The health care services division shall be an organizational unit within the LSU
HSC-NO and shall be budgeted as a single appropriation separate and distinct from the
appropriation or budget for any other institution or school under the supervision and
management of the board. Funds from other institutions, schools, or divisions under the
management of the board shall not be used to offset any deficit which may occur within the
health care services division, and, conversely, funds from the health care services division
shall not be used to offset any deficit which may occur within other institutions, schools, or
divisions under the management of the board.
B. The LSU Health Sciences Center-New Orleans is authorized to establish and
maintain such funds for the division as the board deems appropriate.
C. Revenues from the Medicaid program for Medicaid costs included in the
operating budget for hospitals operated by the LSU Health Sciences Center-New Orleans and
the LSU Health Sciences Center-Shreveport shall not exceed the amount of such revenues
which are budgeted and allocated for such purpose in the Medicaid budget until
implementation by the Louisiana Department of Health of a common Medicaid payment
methodology for all state and nonstate acute care hospitals. To ensure compliance with the
Rural Hospital Preservation Act, any Medicaid common payment methodology applicable
to a rural hospital as defined in R.S. 40:1189.3 shall maximize Medicaid reimbursement as
required by R.S. 40:1189.4(A)(2). If the amount of such revenues budgeted and allocated
for such purpose in the Medicaid budget is revised during a fiscal year, the Louisiana
Department of Health shall notify the board of such revision. Upon receipt of the
notification, the board shall adjust the operating budget for these hospitals which adjustment
shall be in conformity with the revision.
D. The LSU Health Sciences Center shall continue its commitment to collaborate
with and support rural physicians and rural hospitals throughout Louisiana through
sponsoring continuing medical education, furnishing medical consultation to physicians, and
rendering other support as may be appropriate, within available resources. Notwithstanding
any other provision of law to the contrary, neither the LSU Health Sciences Center-New
Orleans nor any subdivision or affiliate thereof, either directly or indirectly through their
medical staff members, faculty practice plan members, employees, independent contractors,
agents or assigns shall undertake to offer in any parish a health care service provided at the
time by a rural hospital in that parish without first consulting with each such rural hospital
in the parish, and affording each such rural hospital the maximum practical opportunity to
participate in the provision of such health care services. For the purposes of this Subsection,
"rural hospital" means a hospital defined in the Rural Hospital Preservation Act.
E.(1) Notwithstanding any provision of law to the contrary, the LSU Health Sciences
Center-health care services division, the LSU Health Sciences Center-New Orleans, and the
LSU Health Sciences Center-Shreveport are hereby authorized and directed to deposit into
the state general fund all receipts of lease payments for the public-private partnership leases
of state hospital buildings and equipment net of clinic and hospital lease payments made by
the LSU Health Sciences Center-health care services division.
(2) The health care services division shall transfer to the Louisiana Department of
Health, or its successor, all revenues received from the public-private partnership hospitals
for the provision of accountable care services.
Acts 1997, No. 3, §1, eff. July 1, 1997; Acts 1999, No. 141, §1, eff. June 9, 1999;
Acts 1999, No. 802, §1, eff. July 2, 1999; Acts 2003, No. 906, §1, eff. July 1, 2003; Acts
2004, No. 629, §1; Acts 2005, No. 182, §1, eff. June 28, 2005; Acts 2005, No. 328, §1; Acts
2006, No. 521, §1; Acts 2016, No. 601, §1, eff. June 17, 2016; Acts 2019, No. 21, §1; Acts
2019, No. 404, §5, eff. July 1, 2020.