CODING: Words stricken are deletions; words underlined are additions.
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Senator Williams moved the following amendment:
SENATE AMENDMENT
Bill No. CS/HB 4283
Amendment No.
CHAMBER ACTION
Senate House
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11 Senator Williams moved the following amendment:
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13 Senate Amendment (with title amendment)
14 Delete everything after the enacting clause
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16 and insert:
17 Section 1. Florida Employee Long-Term-Care Plan Act.--
18 (1) The Legislature finds that state expenditures for
19 long-term-care services continue to increase at a rapid rate
20 and that the state faces increasing pressure in its efforts to
21 meet the long-term-care needs of the public.
22 (a) It is the intent of the Legislature that the
23 Division of State Group Insurance and the Department of
24 Elderly Affairs implement a self-funded or fully insured,
25 voluntary, long-term-care plan for public employees and their
26 families.
27 (b) The Department of Elderly Affairs and the Division
28 of State Group Insurance shall jointly design the plan to
29 provide long-term-care coverage for public employees and
30 family members of public employees. The Division of State
31 Group Insurance and the Department of Elderly Affairs shall
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SENATE AMENDMENT
Bill No. CS/HB 4283
Amendment No.
1 enter into an interagency agreement defining their roles with
2 regard to plan development and design. Joint planning expenses
3 shall be shared to the extent that funded planning activities
4 are consistent with the goals of the department and the
5 division. Eligible plan participants must include active and
6 retired officers and employees of all branches and agencies of
7 state and local government and their spouses, children,
8 stepchildren, parents, and parents-in-law; active and retired
9 federal employees residing in the state and their spouses,
10 children, stepchildren, parents, and parents-in-law residing
11 in the state; and the surviving spouses, children,
12 stepchildren, parents, and parents-in-law of such deceased
13 officers and employees, whether active or retired at the time
14 of death.
15 (c) This act in no way affects the Division of State
16 Group Insurance's authority pursuant to s. 110.123.
17 (2) As used in this section, the term:
18 (a) "Department" means the Department of Elderly
19 Affairs.
20 (b) "Division" means the Division of State Group
21 Insurance.
22 (c) "Self-funded" means that plan benefits and costs
23 are funded from contributions made by or on behalf of
24 participants and trust fund investment revenue.
25 (d) "Plan" means the Florida Employee Long-Term-Care
26 Plan.
27 (3) The division and the department shall, in
28 consultation with public employers and employees and
29 representatives from unions and associations representing
30 state, university, local government, and other public
31 employees, establish and supervise the implementation and
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Amendment No.
1 administration of a self-funded, long-term-care plan entitled
2 "Florida Employee Long-Term-Care Plan."
3 (a) The division shall, in consultation with the
4 department, the Department of Management Services, and the
5 Department of Insurance, contract for actuarial,
6 professional-administrator, and other services for the Florida
7 Employee Long-Term-Care Plan.
8 (b) When contracting for a professional administrator,
9 the division shall consider, at a minimum, the entity's
10 previous experience and expertise in administering group
11 long-term-care self-funded plans or long-term-care insurance
12 programs; the entity's demonstrated ability to perform its
13 contractual obligations in the state and in other
14 jurisdictions; the entity's projected administrative costs;
15 the entity's capability to adequately provide service
16 coverage, including a sufficient number of experienced and
17 qualified personnel in the areas of marketing, claims
18 processing, recordkeeping, and underwriting; the entity's
19 accessibility to public employees and other qualified
20 participants; and the entity's financial soundness and
21 solvency.
22 (c) Any contract with a professional administrator
23 entered into by the division must require that the state be
24 held harmless and indemnified for any financial loss caused by
25 the failure of the professional administrator to comply with
26 the terms of the contract.
27 (d) The division shall explore innovations in
28 long-term-care financing and service delivery with regard to
29 possible future inclusion in the plan. Such innovative
30 financing and service-delivery mechanisms may include managed
31 long-term care and plans that set aside assets with regard to
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1 eligibility for Medicaid-funded long-term-care services in the
2 same proportion that private long-term-care insurance benefits
3 are used to pay for long-term care.
4 (4) The division and the department shall coordinate,
5 directly or through contract, marketing of the plan. Expenses
6 related to such marketing shall be reimbursed from funds of
7 the plan.
8 (5) The division shall contract with the State Board
9 of Administration for the investment of funds in the Florida
10 Employee Long-Term-Care Plan reserve fund. Plan funds are not
11 state funds. The moneys shall be held by the State Board of
12 Administration on behalf of enrollees and invested and
13 disbursed in accordance with a trust agreement approved by the
14 division and the State Board of Administration and in
15 accordance with the provisions of sections 215.44-215.53,
16 Florida Statutes. Moneys in the trust fund may be used only
17 for the purposes specified in the trust agreement.
18 (6) A Florida Employee Long-term Care Plan Board of
19 Directors is created, composed of seven members who shall
20 serve 2-year terms, to be appointed as follows:
21 (a) The Secretary of the Department of Elderly Affairs
22 shall appoint a member who is a plan participant.
23 (b) The Insurance Commissioner shall appoint an
24 actuary.
25 (c) The Attorney General shall appoint an attorney
26 licensed to practice law in this state.
27 (d) The Governor shall appoint three members from a
28 broad cross-section of the residents of this state.
29 (e) The division shall appoint a member.
30 (7) The board of directors of the Florida Long-term
31 Care Plan shall:
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1 (a) Prepare an annual report of the plan, with the
2 assistance of an actuarial consultant, to be submitted to the
3 Speaker of the House of Representatives, the President of the
4 Senate, the Governor, and the Minority Leaders of the Senate
5 and the House of Representatives.
6 (b) Approve the appointment of an executive director
7 jointly recommended by the division and the department to
8 serve as the chief administrative and operational officer of
9 the Florida Employee Long-term Care Plan.
10 (c) Approve the terms of the division's third-party
11 administrator contract.
12 (d) Implement such other policies and procedures as
13 necessary to assure the soundness and efficient operation of
14 the plan.
15 (8) Members of the board may not receive a salary, but
16 may be reimbursed for travel, per diem, and administrative
17 expenses related to their duties. Board expenses and costs for
18 the annual report and other administrative expenses must be
19 borne by the plan. State funds may not be contributed toward
20 costs associated with board members or their activities
21 conducted on behalf of and for the benefit of plan
22 beneficiaries.
23 (9) This section expires July 1, 1999.
24 Section 2. This act shall take effect July 1, 1998;
25 however, no action to award a contract or implement any plan
26 of care shall occur prior to July 1, 1999.
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30 And the title is amended as follows:
31 Delete everything before the enacting clause
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SENATE AMENDMENT
Bill No. CS/HB 4283
Amendment No.
1 and insert:
2 A bill to be entitled
3 An act relating to long-term care; requiring
4 the Department of Elderly Affairs and the
5 Division of State Group Insurance to design a
6 long-term-care plan for public employees and
7 their families; requiring the division to
8 coordinate marketing of the plan; providing for
9 use of plan funds for marketing expenses;
10 authorizing the division to contract with the
11 State Board of Administration to invest certain
12 funds; providing limitations; creating a
13 Florida Employee Long-Term-Care Plan Board of
14 Directors; providing for board membership,
15 terms, and duties; requiring an annual report;
16 providing for expenses of the board;
17 prohibiting use of state funds for certain
18 costs; providing for expiration of the act;
19 providing an effective date.
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