Senate Bill 0432
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                                   SB 432
    By Senators Kirkpatrick, Casas, Rossin and Childers
    5-136A-00                                             See HB 9
  1                      A bill to be entitled
  2         An act relating to Medicaid managed health
  3         care; amending s. 409.912, F.S.; authorizing
  4         the Agency for Health Care Administration to
  5         contract with entities providing behavioral
  6         health care services to certain Medicaid
  7         recipients in certain counties under certain
  8         circumstances; providing requirements;
  9         providing limitations; providing definitions;
10         providing an effective date.
11
12  Be It Enacted by the Legislature of the State of Florida:
13
14         Section 1.  Paragraph (b) of subsection (3) of section
15  409.912, is amended to read:
16         409.912  Cost-effective purchasing of health care.--The
17  agency shall purchase goods and services for Medicaid
18  recipients in the most cost-effective manner consistent with
19  the delivery of quality medical care.  The agency shall
20  maximize the use of prepaid per capita and prepaid aggregate
21  fixed-sum basis services when appropriate and other
22  alternative service delivery and reimbursement methodologies,
23  including competitive bidding pursuant to s. 287.057, designed
24  to facilitate the cost-effective purchase of a case-managed
25  continuum of care. The agency shall also require providers to
26  minimize the exposure of recipients to the need for acute
27  inpatient, custodial, and other institutional care and the
28  inappropriate or unnecessary use of high-cost services.
29         (3)  The agency may contract with:
30         (b)1.a.  An entity that is providing comprehensive
31  behavioral inpatient and outpatient mental health care
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CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                                   SB 432
    5-136A-00                                             See HB 9
  1  services and is licensed under chapter 624, chapter 636, or
  2  chapter 641. Unless otherwise authorized by law, the agency
  3  shall limit such contract to services provided to certain
  4  Medicaid recipients in Baker, Clay, Dade, Duval, Escambia,
  5  Hillsborough, Highlands, Hardee, Manatee, Nassau, Okaloosa,
  6  and Polk, Santa Rosa, St. Johns, and Walton Counties, through
  7  a capitated, prepaid arrangement pursuant to the federal
  8  waiver provided for by s. 409.905(5). Such an entity must
  9  become licensed under chapter 624, chapter 636, or chapter 641
10  by December 31, 1998, and is exempt from the provisions of
11  part I of chapter 641 until then. However, if the entity
12  assumes risk, the Department of Insurance shall develop
13  appropriate regulatory requirements by rule under the
14  insurance code before the entity becomes operational.
15         b.  In any county in which the agency seeks to
16  implement its authority to award contracts as provided in this
17  subparagraph that has a Medicaid population in excess of
18  300,000, the agency shall award one contract for every 100,000
19  Medicaid recipients.
20         c.  The agency shall set as part of the competitive
21  procurement an allowable medical/loss ratio to limit
22  administrative costs and shall use industry standards, which
23  shall be adjusted based upon size of the plan.
24         d.  In developing the behavioral health care prepaid
25  plan procurement document, the agency shall consult and
26  coordinate with the Department of Children and Family Services
27  and the Department of Juvenile Justice. The Department of
28  Children and Family Services shall approve the sections of the
29  behavioral health care prepaid plan procurement document that
30  relate to children in the care and custody of the Department
31  of Children and Family Services and the families of such
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CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                                   SB 432
    5-136A-00                                             See HB 9
  1  children. The Department of Juvenile Justice shall approve the
  2  sections of the behavioral health care prepaid plan
  3  procurement document that relate to children in the care and
  4  custody of the Department of Juvenile Justice and the families
  5  of such children.
  6         e.  In any county that has a provider service network
  7  as authorized in this section, which provides behavioral
  8  health care services and is in operation as of October 1,
  9  2000, the agency shall not include those recipients served by
10  the provider service network in the behavioral health prepaid
11  plan, pursuant to this paragraph.
12         2.  As used in this paragraph:
13         a.  "Behavioral health care" includes mental health and
14  substance abuse services.
15         b.  "District" means any district of the Department of
16  Children and Family Services.
17         c.  "Therapeutic or supportive foster care homes" means
18  any foster care program operated by a Medicaid community
19  mental health provider which is a licensed residential child
20  caring or child placing agency as defined in s. 409.175.
21         d.  "Specialized therapeutic foster care" means any
22  foster care program provided under the Medicaid community
23  mental health program service entitled specialized therapeutic
24  foster care.
25         3.  Children residing in a Department of Juvenile
26  Justice residential program approved as a Medicaid behavioral
27  health overlay services provider shall not be included in a
28  behavioral health care prepaid plan pursuant to this
29  paragraph.
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CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                                   SB 432
    5-136A-00                                             See HB 9
  1         4.  When implementing the behavioral health care
  2  prepaid program in Baker, Clay, Dade, Duval, Nassau, or St.
  3  Johns Counties, the agency shall not include the following:
  4         a.  Dependent children placed by the Department of
  5  Children and Family Services or a licensed child placing
  6  agency into a licensed residential group care facility which
  7  is operated by a Medicaid community mental health provider.
  8         b.  Dependent children of the department receiving
  9  therapeutic or supportive foster home care.
10         c.  Services to children in the care or custody of the
11  department while they are in an emergency shelter.
12         d.  Children served under the community mental health
13  program specialized therapeutic foster care.
14         5.  When implementing the behavioral health care
15  prepaid program in Baker, Clay, Dade, Duval, Nassau, or St.
16  Johns Counties, the agency shall require that any existing
17  licensed child caring or child placing agency that is also a
18  Medicaid community mental health program provider be part of
19  the provider network.
20         6.  The agency and the department shall approve
21  behavioral health care criteria and protocols for services
22  provided to children referred from the child protection team
23  for followup services.
24         7.  In each the behavioral health care prepaid plan,
25  substance abuse services shall be reimbursed on a
26  fee-for-service basis from state Medicaid funds until such
27  time as the agency determines that adequate funds are
28  available for prepaid methods. The agency shall ensure that
29  any contractors for prepaid behavioral health services shall
30  propose practical methods of integrating mental health and
31  substance abuse services, including opportunities for
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CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                                   SB 432
    5-136A-00                                             See HB 9
  1  community-based substance abuse agencies to become partners in
  2  the provider networks established at a district or area level,
  3  and to participate in the development of protocols for
  4  substance abuse services.
  5         8.  In developing the behavioral health care prepaid
  6  plan procurement document, the agency shall ensure that
  7  conversion to a prepaid system of delivery shall not result in
  8  the displacement of indigent care patients from facilities
  9  receiving state funding to provide indigent behavioral health
10  care to facilities licensed under chapter 395 which do not
11  receive state subsidies unless the unsubsidized facilities are
12  reimbursed for the costs of all treatment, including medical
13  treatment which is a precondition to admission into a
14  subsidized facility. Traditional inpatient mental health
15  providers licensed pursuant to chapter 395 must be included in
16  any provider network for prepaid behavioral health services.
17         9.  The agency shall notify the Legislature of the
18  status and plans to expand the behavioral managed care
19  projects to those counties designated in this paragraph by
20  October 1, 2001. With respect to any county or district in
21  which expansion of behavioral managed care projects cannot be
22  accomplished within the 3-year timeframe, the plan must
23  clearly state the reasons the timeframe cannot be met and the
24  efforts that should be made to address the obstacles, which
25  may include alternatives to behavioral managed care. The plan
26  must also address the status of services to children and their
27  families in the care and custody of the department and
28  Juvenile Justice. The plan must address how the services for
29  those children and families will be integrated into the
30  comprehensive behavioral health care program or how services
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CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                                   SB 432
    5-136A-00                                             See HB 9
  1  will be provided using alternative methods over the 3-year
  2  phase-in.
  3         10.  For counties not specifically designated in this
  4  paragraph, a local planning process shall be completed prior
  5  to the agency expanding behavioral managed care projects to
  6  other areas. The planning process shall be completed with
  7  local community participation, including, but not limited to,
  8  input from community-based mental health, substance abuse,
  9  child welfare, and delinquency providers currently under
10  contract with the Department of Children and Family Services,
11  the Department of Juvenile Justice, or the agency. Facilities
12  licensed under chapter 395 shall be included in the local
13  planning process.
14         Section 2.  This act shall take effect October 1, 2000.
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17                       LEGISLATIVE SUMMARY
18
      Authorizes the Agency for Health Care Administration to
19    contract with entities providing behavioral health care
      services to certain Medicaid recipients in specified
20    counties through a capitated, prepaid arrangement
      pursuant to a federal waiver. Provides contract
21    requirements and limitations. (See bill for details.)
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