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House Bill 1809

Florida House of Representatives - 1997 HB 1809 By Representative Mackenzie 1 A bill to be entitled 2 An act relating to community health purchasing 3 alliances; amending s. 408.702, F.S.; providing 4 immunity from liability for members of the 5 board of directors of a community health 6 purchasing alliance, and its employees and 7 agents, in the performance of the board's 8 duties; correcting a cross reference; amending 9 s. 408.703, F.S.; providing that a small 10 employer member of an alliance remains eligible 11 for coverage for a specified period following 12 an expansion of business; creating s. 408.7059, 13 F.S.; establishing a pilot project in Broward 14 County to provide health care services to 15 certain uninsured persons; providing certain 16 authority to community health purchasing 17 alliances; providing for licensure of provider 18 networks contracting to provide services under 19 the pilot project; providing rulemaking 20 authority to the Agency for Health Care 21 Administration and the Department of Insurance; 22 repealing s. 408.705, F.S., relating to the 23 boards of directors of community health 24 purchasing alliances; providing an effective 25 date. 26 27 Be It Enacted by the Legislature of the State of Florida: 28 29 Section 1. Subsection (1) and paragraph (j) of 30 subsection (6) of section 408.702, Florida Statutes, are 31 amended to read: 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1809 230-223-97 1 408.702 Community health purchasing alliance; 2 establishment.-- 3 (1) There is hereby created a community health 4 purchasing alliance in each of the 11 health service planning 5 districts established under s. 408.032(5). Each alliance must 6 be operated as a state-chartered, nonprofit private 7 organization organized pursuant to chapter 617. There shall be 8 no liability on the part of, and no cause of action of any 9 nature shall arise against, any member of the board of 10 directors of a community health purchasing alliance, or its 11 employees or agents, for any action taken by the board in the 12 performance of its powers and duties under ss. 408.70-408.706. 13 (6) Each community health purchasing alliance has the 14 following powers, duties, and responsibilities: 15 (j) Ensuring that accountable health partnerships have 16 grievance procedures to be used in resolving disputes between 17 members and an accountable health partnership. A member may 18 appeal to the alliance any grievance that is not resolved by 19 the accountable health partnership. An accountable health 20 partnership that is a health maintenance organization must 21 follow the grievance procedures established in ss. 408.7056 22 and 641.31(5) and 641.311. 23 Section 2. Subsection (6) is added to section 408.703, 24 Florida Statutes, to read: 25 408.703 Small employer members of community health 26 purchasing alliances; eligibility requirements.-- 27 (6) Notwithstanding any other law, if a small employer 28 member loses eligibility to purchase health care through a 29 community health purchasing alliance solely because the 30 business of the small employer member expands to more than 50 31 eligible employees, the small employer member may, at its next 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1809 230-223-97 1 renewal date, purchase coverage through the alliance for an 2 additional year. 3 Section 3. Section 408.7059, Florida Statutes, is 4 created to read: 5 408.7059 Pilot project for health care services.-- 6 (1) The Legislature finds there is insufficient group 7 health insurance coverage available to low-income employees 8 and self-employed persons, and their dependents, that such 9 uninsured individuals represent a significant portion of the 10 uncompensated costs of health care providers, and that 11 uninsured individuals have impaired access to health care 12 services and correspondingly low health status. It is, 13 therefore, the intent of the Legislature to create a pilot 14 project in Broward County that will serve to ensure access to 15 health care services to low-income employees and self-employed 16 persons, who are uninsured, and their dependents. 17 (2) For purposes of this section, "community health 18 purchasing alliance" and "provider network" are limited to 19 those entities in Broward County. 20 (3) A community health purchasing alliance may, in 21 addition to its other powers and duties: 22 (a) Directly contract with provider networks to 23 provide clinic-based health care services that include both 24 preventive and comprehensive care to low-income employees and 25 self-employed persons, who are uninsured, and their 26 dependents. 27 (b) Directly market such provider network services to 28 low-income employees and self-employed persons, who are 29 uninsured, and their dependents, and enroll such individuals 30 as members. 31 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1809 230-223-97 1 (4)(a) The agency shall establish by rule the 2 eligibility requirements for low-income employees and 3 self-employed persons, and their dependents, and establish 4 grievance procedures for members. 5 (b) The agency shall license provider networks 6 contracting to provide services under this section that meet 7 quality of care standards as set forth by rule of the agency. 8 The agency shall adopt standards for quality of care for 9 preventive and comprehensive health care services consistent 10 with prevailing standards for medical practice in the 11 community. 12 (c) The agency shall consult with the department in 13 the development of rules to be adopted by the agency that 14 establish administrative and accounting standards necessary 15 for an efficient contractual relationship between the 16 community health purchasing alliance and provider networks. 17 (5) The department shall consult with the agency in 18 the development of rules to be adopted by the department that 19 provide state licensure, financial reserve requirements, and 20 solvency standards for the provider networks. The standards 21 shall ensure the solvency of provider networks so as to 22 protect the community health purchasing alliance members from 23 loss due to the insolvency or financial instability of a 24 provider network. 25 Section 4. Section 408.705, Florida Statutes, is 26 repealed. 27 Section 5. This act shall take effect upon becoming a 28 law. 29 30 31 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1809 230-223-97 1 ***************************************** 2 HOUSE SUMMARY 3 Provides that the board of directors of a community 4 health purchasing alliance, and its employees or agents, are not liable for actions taken in performing the duties 5 and functions of the board. Provides that a small employer member of an alliance may continue to purchase 6 health care through the alliance for 1 year if the business expands to more than 50 eligible employees. 7 Provides for establishment of a pilot project in Broward County to provide health care services to low-income 8 employees and self-employed persons, who are uninsured, and their dependents, through community health purchasing 9 alliances and provider networks in the county. Authorizes alliances to contract with networks, market network 10 services, and enroll members, under the pilot project. Directs the Agency for Health Care Administration to 11 adopt certain quality of care standards and to license networks providing services under the pilot project. 12 Provides rulemaking authority of the agency and the Department of Insurance with respect to operation of the 13 pilot project. Repeals s. 408.705, F.S., which specifies the composition of a board of directors of a community 14 health purchasing alliance and provides certain other requirements for the board. 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 5