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House Bill 1837

Florida House of Representatives - 1997 HB 1837 By the Committee on Health & Human Services Appropriations and Representative Sanderson 1 A bill to be entitled 2 An act relating to health and human services; 3 amending s. 945.602, F.S.; providing for 4 assignment of the State of Florida Correctional 5 Medical Authority to the Department of Health 6 for administrative purposes; transferring to 7 the department powers and duties of the State 8 of Florida Correctional Medical Authority; 9 transferring the Child Care Food Program from 10 the Department of Education to the Department 11 of Health and providing for hiring preferences; 12 requiring the Department of Children and Family 13 Services to cover any deficit resulting from 14 any judicial decision or lawsuit settlement 15 related to intermediate care facilities for the 16 developmentally disabled; providing for future 17 repeal; providing for privatization of the 18 South Florida State Hospital and providing for 19 hiring preferences; creating s. 409.9127, F.S.; 20 requiring the Agency for Health Care 21 Administration to develop and enforce standards 22 to prohibit conflicts of interest among vendors 23 selected to provide preauthorization and 24 concurrent utilization review management 25 services; authorizing the Department of 26 Children and Family Services to certify local 27 funds as state match for certain children's 28 mental health services and for eligible Title 29 IV-E services for certain children; requiring 30 pass-through of funds to local jurisdictions; 31 prohibiting reduction of certain general 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1837 611-100A-97 1 revenue funds; authorizing the Agency for 2 Health Care Administration to apply for certain 3 federal waivers if local funds are sufficient 4 for state match; providing an effective date. 5 6 Be It Enacted by the Legislature of the State of Florida: 7 8 Section 1. Subsections (1) and (2), and paragraphs (b) 9 and (c) of subsection (7), of section 945.602, Florida 10 Statutes, 1996 Supplement, are amended to read: 11 945.602 State of Florida Correctional Medical 12 Authority; creation; members.-- 13 (1) There is created in the Department of Corrections 14 the State of Florida Correctional Medical Authority which for 15 administrative purposes shall be assigned to the Department of 16 Health. The governing board of the authority shall be 17 composed of nine persons appointed by the Governor subject to 18 confirmation by the Senate. One member must be a member of 19 the Florida Hospital Association; one member must be a member 20 of the Florida League of Hospitals; one member must be a 21 member of the Association of Community Hospitals and Health 22 Systems of Florida Voluntary Hospitals; and one member must be 23 a member of the Florida Medical Association. The authority 24 shall contract with the Department of Health for the provision 25 of administrative support services, including purchasing, 26 personnel, general services, and budgetary matters The 27 Department of Corrections shall provide administrative support 28 and service to the authority. The authority shall not be 29 subject to control, supervision, or direction by the 30 Department of Health or the Department of Corrections. The 31 authority shall annually elect one member to serve as 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1837 611-100A-97 1 chairman. Members shall be appointed for terms of 4 years 2 each. Each member is authorized to continue to serve upon the 3 expiration of his term until his successor is duly appointed 4 as provided in this section. Before entering upon his duties, 5 each member of the authority shall take and subscribe to the 6 oath or affirmation required by the State Constitution. 7 (2) A member of the authority may not be a current 8 employee of the Department of Corrections. Not more than one 9 member of the authority may be a former employee of the 10 Department of Corrections and such member, if appointed, may 11 not be appointed to a term of office which begins within 5 12 years after the date of his or her last employment with by the 13 department. 14 (7) 15 (b) Neither the provisions of this section nor those 16 of chapter 119, or of s. 154.207(7), shall apply to any health 17 care provider under contract with the Department of 18 Corrections except to the extent such provisions would apply 19 to any similar provider entity not under contract with the 20 department. 21 (c) Notwithstanding any general or special law, rule, 22 regulation, or ordinance of any local agency to the contrary, 23 service as a member of an authority by a trustee, director, 24 officer, or employee of a health facility shall not in and of 25 itself constitute a conflict of interest. However, any member 26 of the authority who is employed by, or has received income 27 from, a health facility under consideration by the authority 28 or the Department of Corrections shall not vote on any matter 29 related to such facility. 30 Section 2. All powers, duties and functions, rules, 31 records, personnel, property, and unexpended balances of 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1837 611-100A-97 1 appropriations, allocations, or other funds of the State of 2 Florida Correctional Medical Authority, as established in s. 3 945.602, Florida Statutes, are transferred by a type two 4 transfer, as defined in s. 20.06(2), Florida Statutes, from 5 the Department of Corrections to the Department of Health. 6 Section 3. The Child Care Food Program is transferred 7 by a type two transfer, as defined in s. 20.06(2), Florida 8 Statutes, from the Department of Education to the Department 9 of Health. Current employees of the Department of Education 10 who are assigned to this program shall be given preference in 11 hiring by the Department of Health. 12 Section 4. For the 1997-1998 fiscal year only and 13 notwithstanding any provision of chapter 216, Florida 14 Statutes, to the contrary, and with specific reference to 15 section 216.351, Florida Statutes, the Department of Children 16 and Family Services shall cover, from within the developmental 17 services budget entity, any deficit created by expenditure 18 requirements resulting from any judicial decision or lawsuit 19 settlement related to intermediate care facilities for the 20 developmentally disabled. The department shall either hold 21 funds in reserve or reduce ongoing contractual or other 22 obligations as necessary to implement the provisions of this 23 section. This section is repealed on July 1, 1999. 24 Section 5. The Department of Children and Family 25 Services shall develop a request for proposals by October 1, 26 1997, for the purpose of locating a suitable contractor for 27 the operation of South Florida State Hospital. The department 28 may contract with a private provider to construct up to a 29 350-bed facility and to operate all aspects of daily 30 operations within this facility. The contractor shall operate 31 South Florida State Hospital as a state-owned mental health 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1837 611-100A-97 1 institution that serves voluntarily or involuntarily committed 2 indigent adults who meet the Baker Act criteria and who reside 3 in the South Florida State Hospital service area. As a 4 state-owned mental health institution, South Florida State 5 Hospital shall remain a participant in the mental health 6 disproportionate share program so long as the defined client 7 population receives eligible services. Current hospital 8 employees shall be given first preference for continued 9 employment by the selected contract provider. The department 10 shall make every reasonable effort to find suitable job 11 placements for employees who wish to remain within the Florida 12 Career Service System. 13 Section 6. Section 409.9127, Florida Statutes, is 14 created to read: 15 409.9127 Preauthorization and concurrent utilization 16 review; conflict of interest standards.-- 17 (1) The Agency for Health Care Administration shall be 18 solely responsible for developing and enforcing standards to 19 prohibit financial and other conflicts of interest among 20 vendors selected to provide preauthorization and concurrent 21 utilization review management with direct-service 22 organizations providing alcohol, substance abuse, mental 23 health, or related services to clients who have services 24 authorized through the preauthorization and concurrent 25 utilization review management system established to achieve 26 cost savings in the provision of alcohol, substance abuse, 27 mental health, or related services. The agency may require the 28 posting of a surety bond to guarantee that no financial or 29 other conflicts of interest exist or will exist among vendors 30 selected to provide preauthorization and concurrent 31 utilization review management services. 5 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1837 611-100A-97 1 (2) Vendors selected to conduct preauthorization or 2 concurrent utilization review management, or both, may be 3 peer-review organizations, qualified licensed clinical 4 practitioners, or public or private organizations that 5 demonstrate the ability to conduct such reviews according to 6 criteria developed by the agency and that have no financial or 7 other conflict of interest with any direct-service 8 organization providing alcohol, substance abuse, mental 9 health, or related services. Selection of vendors shall be 10 accomplished through a competitive process. 11 Section 7. In order to implement Specific 12 Appropriations 330 and 334 through 352 of the 1997-1998 13 General Appropriations Act, the Department of Children and 14 Family Services is authorized to certify local funds as state 15 match for children's mental health services funded by Medicaid 16 in excess of the amount of state general revenue matching 17 funds appropriated for such services through the 1997-1998 18 General Appropriations Act. The department is also authorized 19 to certify local funds as state match for eligible Title IV-E 20 services for children under the supervision and custody of the 21 state in excess of the amount of state general revenue 22 matching funds appropriated for such services by the 1997-1998 23 General Appropriations Act in Specific Appropriations 334 24 through 352. Federal Medicaid or Title IV-E funds provided to 25 the state as federal financial participation consequent to 26 certified local matching funds shall automatically be passed 27 through to the local jurisdiction that provided the certified 28 local match. Certified local match shall in no way result in a 29 reduction of state general revenue for the local areas that 30 provided the local match and shall not be considered in any 31 allocation formula of state general revenue funds for the same 6 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1837 611-100A-97 1 purposes. The Agency for Health Care Administration is 2 authorized to apply for federal waivers to modify the state 3 Medicaid plan to include optional Medicaid in-home and 4 therapeutic services for Medicaid-eligible children if the 5 state match for such services is provided by local funds 6 certified by the department as state match. Such services 7 shall only be available in communities that provide the 8 certified match. 9 Section 8. This act shall take effect July 1, 1997. 10 11 ***************************************** 12 HOUSE SUMMARY 13 Provides for assignment of the State of Florida 14 Correctional Medical Authority to the Department of Health for administrative purposes and transfers to the 15 department powers and duties of the State of Florida Correctional Medical Authority. Transfers the Child Care 16 Food Program from the Department of Education to the Department of Health and provides for hiring preferences. 17 Requires the Department of Children and Family Services to cover any deficit resulting from any judicial decision 18 or lawsuit settlement related to intermediate care facilities for the developmentally disabled. Provides for 19 privatization of the South Florida State Hospital and provides for hiring preferences. Requires the Agency for 20 Health Care Administration to develop and enforce standards to prohibit conflicts of interest among vendors 21 selected to provide preauthorization and concurrent utilization review management services. Authorizes the 22 Department of Children and Family Services to certify local funds as state match for certain children's mental 23 health services and for eligible Title IV-E services for certain children, requires pass-through of funds to local 24 jurisdictions, prohibits reduction of certain general revenue funds, and authorizes the Agency for Health Care 25 Administration to apply for certain federal waivers if local funds are sufficient for state match. See bill for 26 details. 27 28 29 30 31 7