LEGAL NOTICE

COMMONWEALTH OF VIRGINIA

DEPARTMENT OF MEDICAL ASSISTANCE SERVICES

NOTICE OF INTENT TO AMEND

(Pursuant to §1902(a)(13) of the Act (U.S.C. 1396a(a)(13))

THE VIRGINIA STATE PLAN FOR MEDICAL ASSISTANCE

This Notice was posted on June 30, 2026

The Virginia Department of Medical Assistance Services (DMAS) hereby affords the public notice of its intention to amend the Virginia State Plan for Medical Assistance to provide for changes to the Methods and Standards for Establishing Payment Rates — Inpatient Hospital Care (12 VAC 30-70).  

This notice is intended to satisfy the requirements of 42 C.F.R. § 447.205 and of § 1902(a)(13) of the Social Security Act, 42 U.S.C. § 1396a(a)(13).  A copy of this notice is available for public review from Meredith Lee, DMAS, 600 Broad Street, Suite 1300, Richmond, VA  23219, or via e-mail at: Meredith.Lee@dmas.virginia.gov. 

DMAS is specifically soliciting input from stakeholders, providers and beneficiaries, on the potential impact of the proposed changes discussed in this notice.  Comments or inquiries may be submitted, in writing, within 30 days of this notice publication to Meredith Lee and such comments are available for review at the same address.  Comments may also be submitted, in writing, on the Town Hall public comment forum attached to this notice.

This notice is available for public review on the Regulatory Town Hall (https://townhall.virginia.gov) on the General Notices page, found at:  https://townhall.virginia.gov/L/generalnotice.cfm

Methods & Standards for Establishing Payment Rates-Inpatient Hospital Care (12 VAC 30-70)

In accordance with the 2026 Appropriations Act, Items 291.BB.6 and BB.7, the state plan is being revised to maintain the rate ceilings that were in effect as of June 30, 2026 for psychiatric residential treatment facilities (PRFTs) and participating addiction and recovery treatment services (ARTS) residential services. Effective July 1, 2026, DMAS shall eliminate rebasing and inflation adjustments for PRTFs and qualifying ARTS residential services providers.

The expected decrease in annual fee-for-service aggregate expenditures is $428,179 in state general funds and $486,363 in federal funds in federal fiscal year 2026 and $3,044,313 in state general funds and $3,352,203 in federal funds in federal fiscal year 2027.