CODING: Words stricken are deletions; words underlined are additions.

House Bill 1633

Florida House of Representatives - 1997 HB 1633 By Representatives Frankel, Wise, Lynn, Flanagan, Brennan, Bloom, Murman, Jacobs, Greene, Spratt, Melvin, Casey, Brown, D. Prewitt, Chestnut, Hafner, Sindler, Lacasa, Betancourt, Heyman, Merchant, Fischer, Ritter, Warner, Sanderson, Effman, (Additional Sponsors on Last Printed Page) 1 A bill to be entitled 2 An act relating to maximization of federal 3 funding for children and families; creating s. 4 409.9072, F.S.; requiring the Agency for Health 5 Care Administration to provide for 6 certification of Medicaid matching funds for 7 services to children and families provided 8 through certain privatization projects of the 9 Department of Children and Family Services; 10 requiring agency and department preapproval of 11 such projects; providing project requirements; 12 providing for reimbursement on a 13 fee-for-service or capitation basis; providing 14 certain department responsibilities; 15 authorizing the agency to apply for federal 16 waivers; requiring the department to provide 17 for certification of certain local funds for 18 services to children and families under Title 19 IV-E of the Social Security Act; requiring 20 return of locally generated funds; providing 21 for reimbursement of state or federal 22 disallowances; amending s. 409.912, F.S.; 23 authorizing agency contracts for child welfare 24 privatization projects approved by the 25 department; providing for funding; providing an 26 effective date. 27 28 Be It Enacted by the Legislature of the State of Florida: 29 30 Section 1. Section 409.9072, Florida Statutes, is 31 created to read: 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1633 115-166A-97 1 409.9072 Medicaid certification of match program and 2 provider agreements for Office of Family Safety and 3 Preservation privatization projects.-- 4 (1) Subject to any limitations provided for in the 5 General Appropriations Act, the Agency for Health Care 6 Administration, in compliance with appropriate federal 7 authorities, shall develop mechanisms to allow for 8 certification of match for covered Medicaid services which are 9 provided by the Office of Family Safety and Preservation of 10 the Department of Children and Family Services, and its 11 privatization projects as authorized in s. 409.1671. 12 (a) The certification of match shall apply only to 13 services provided to Medicaid-eligible children and their 14 families. The Office of Family Safety and Preservation and its 15 privatization projects shall be responsible for identifying 16 local and state dollars which are eligible for federal match 17 and shall work with the agency to establish mechanisms to 18 appropriately designate these funds as matching dollars for 19 eligible Medicaid services. Any state-appropriated or local 20 funds certified pursuant to this section shall be for services 21 to children who are eligible for Medicaid and who receive 22 protective services, emergency shelter, foster care, or 23 adoption services from the Office of Family Safety and 24 Preservation. Any state-appropriated or local funds certified 25 pursuant to this section may also be used for allowable 26 administrative activities. The agency is authorized to develop 27 additional Medicaid-reimbursable services to be provided to 28 this population within the availability of the additional 29 funds generated through the certification process. 30 (b) Privatization projects designated by the Office of 31 Family Safety and Preservation must be preapproved by the 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1633 115-166A-97 1 Department of Children and Family Services and the agency to 2 participate in any certification of match effort. Other public 3 agencies may participate in certification of match projects 4 with the prior approval of the department and the agency. A 5 privatization project must demonstrate that it has the 6 clinical and administrative capability to provide 7 Medicaid-covered services in accordance with the state 8 Medicaid plan and shall agree to: 9 1. Be responsible for verifying that children and 10 their families are Medicaid-eligible at the time services are 11 provided. 12 2. Develop and maintain the financial records needed 13 to document the appropriate use of state and federal funds. 14 3. Comply with all state and federal Medicaid laws, 15 rules, regulations, and policies which regulate Medicaid 16 services. 17 4. Be responsible for reimbursing the cost of any 18 state or federal disallowance that results from failure to 19 comply with state or federal Medicaid laws, rules, or 20 regulations. 21 (2) Privatization projects may receive Medicaid 22 reimbursement for these services either on a fee-for-service 23 basis or a capitation basis. The agency shall develop all 24 Medicaid capitation methodologies and apply standards of care 25 developed by the department. With the agency's approval, the 26 department shall develop provisions for monitoring service 27 delivery, ensuring appropriate provider networks in accordance 28 with s. 409.906, and analysis of administrative and service 29 cost ratios. These capitated privatization projects are exempt 30 from the requirements of chapter 641. 31 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1633 115-166A-97 1 (3) For privatization projects which operate on a 2 fee-for-service basis, the privatization project may assign a 3 qualified organization to serve as a gatekeeper, which may be 4 responsible for the authorization of all mental health and 5 substance abuse services for children enrolled in the 6 privatization projects. With the approval of the agency, the 7 department shall develop quality of care standards for the 8 providers who deliver these services. The privatization 9 project may also provide case management services to 10 coordinate care and linkages with Medicaid-enrolled providers 11 and other agencies. 12 (4) The agency is authorized to request and implement 13 any federal waivers necessary to implement this section. 14 Section 2. Title IV-E revenues generated by local 15 public entities.-- 16 (1) Subject to any limitations provided for in the 17 General Appropriations Act, the Department of Children and 18 Family Services, in compliance with appropriate federal 19 authorities, shall develop policies and procedures to allow 20 for certification of local funds which have been publicly 21 appropriated or generated in other ways for services to the 22 department's clients or administrative activities. 23 (2) Any federal Title IV-E reimbursement above those 24 anticipated in the General Appropriations Act, and received as 25 a result of matching funds generated at the district level, 26 and all reimbursements generated as a result of local publicly 27 appropriated funds shall be returned to the district that 28 generated those funds. 29 (3) The department shall be responsible for 30 reimbursing the cost of any state or federal disallowances. 31 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1633 115-166A-97 1 Section 3. Paragraph (d) is added to subsection (3) of 2 section 409.912, Florida Statutes, 1996 Supplement, to read: 3 409.912 Cost-effective purchasing of health care.--The 4 agency shall purchase goods and services for Medicaid 5 recipients in the most cost-effective manner consistent with 6 the delivery of quality medical care. The agency shall 7 maximize the use of prepaid per capita and prepaid aggregate 8 fixed-sum basis services when appropriate and other 9 alternative service delivery and reimbursement methodologies, 10 including competitive bidding pursuant to s. 287.057, designed 11 to facilitate the cost-effective purchase of a case-managed 12 continuum of care. The agency shall also require providers to 13 minimize the exposure of recipients to the need for acute 14 inpatient, custodial, and other institutional care and the 15 inappropriate or unnecessary use of high-cost services. 16 (3) The agency may contract with: 17 (d) An entity that provides behavioral health care, 18 through a child welfare privatization project approved by the 19 Department of Children and Family Services, to Medicaid 20 recipients enrolled in the MediPass program. Payments may be 21 made on a prepaid capitation or fixed-sum basis. The entity 22 may provide such prepaid services either directly or through 23 arrangements with other providers. 24 Section 4. State administrative costs.--The Department 25 of Children and Family Services and the Agency for Health Care 26 Administration may withhold sufficient funds from federal 27 revenues earned to cover the costs of the additional 28 infrastructure needed to implement the provisions of this act. 29 Section 5. This act shall take effect July 1, 1997. 30 31 5 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1633 115-166A-97 1 ***************************************** 2 HOUSE SUMMARY 3 Requires the Agency for Health Care Administration to 4 provide for certification of matching funds for Medicaid services to children and families provided through 5 privatization projects of the Office of Family Safety and Preservation of the Department of Children and Family 6 Services. Requires the agency and department to preapprove such projects, and provides project 7 requirements. Provides for reimbursement on a fee-for-service or capitation basis. Provides department 8 responsibilities relating to ensuring provision of services and quality of care and analyzing costs. 9 Authorizes the agency to apply for federal waivers and to contract for behavioral health care services provided 10 through an approved privatization project. Requires the department to provide for certification of certain local 11 funds for services to children and families under Title IV-E of the Social Security Act. Requires return of 12 locally generated funds to the district that generated them. Provides responsibility of the department for 13 reimbursement of the cost of any state or federal disallowances. Authorizes the department and agency to 14 withhold funds from federal revenues earned, to implement the act. 15 16 17 ***************************************** 18 ADDITIONAL SPONSORS 19 Horan, Ritchie, Logan, Dennis, Turnbull, Byrd, Wasserman 20 Schultz and Culp 21 22 23 24 25 26 27 28 29 30 31 6