KRS 142.315 — Tax on gross revenues of psychiatric residential treatment facility services

(1) A tax shall be imposed on psychiatric residential treatment facility services at a
uniform rate of up to five and one -half percent (5.5%) on gross revenues received
by e ach provider after July 1, 2005, for the provision of psychiatric residential
treatment facility services.
(2) The Department for Medicaid Services shall promulgate administrative regulations
to ensure that a portion of the revenues generated from the asse ssment levied under
this section and federal matching funds shall be used for rate increases for
psychiatric residential treatment facility services to recognize cost increases,
including current wage and benefit levels in the industry.
(3) The remaining revenue generated from the assessment levied under this section and
federal matching funds shall be used to supplement the medical -assistance-related
general fund appropriations of the Department for Medicaid Services.
(4) On or before July 1, 2005, the Cab inet for Health and Family Services, Department
for Medicaid Services, shall submit an application to the Centers for Medicare and
Medicaid Services to request any necessary waiver pursuant to 42 C.F.R. secs.
433.56 and 433.68.
(5) If an application to the Centers for Medicare and Medicaid Services for a waiver is
denied, the Department for Medicaid Services may resubmit the application with
appropriate changes to receive an approved waiver.
(6) The assessment imposed pursuant to this section shall begin on July 1, 2005, but is
not due and payable until rates are increased pursuant to this provision.
(7) The provisions of this section shall be null and void if the waiver or plan
amendment to increase rates is not approved by the Centers for Medicare and
Medicaid Services.
(8) If the assessment provided for in this section is disallowed by the Centers for
Medicare and Medicaid Services, all collections under this section shall cease.