TennCare - As introduced, requires the bureau to reimburse a public or private air ambulance service that bills for transports and has a base of operations in this state that provides a covered emergency or nonemergency service to a TennCare recipient at a rate not less than 67.5 percent of the federal medicare program's allowable charge for participating providers. - Amends TCA Title 68 and Title 71.

SB 138 requires the TennCare program to reimburse air ambulance services operating within Tennessee at a rate of at least 67.5% of the federal Medicare program's standard rate for participating providers. This directly affects public and private air ambulance companies with a Tennessee base that provide covered emergency or nonemergency transports to TennCare recipients. The bill mandates this reimbursement rate for all covered services, applying to transports occurring on or after the law's effective date. It amends Tennessee Code Sections 71-5-165 (Title 71) and related provisions in Title 68.