Senate Bill sb2110e1

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    CS for SB 2110                                 First Engrossed



  1                      A bill to be entitled

  2         An act relating to Medicaid services; amending

  3         s. 409.905, F.S.; providing that the Agency for

  4         Health Care Administration may restrict the

  5         provision of mandatory services by mobile

  6         providers; amending s. 409.906, F.S.; providing

  7         that the agency may restrict or prohibit the

  8         provision of services by mobile providers;

  9         providing that Medicaid will not provide

10         reimbursement for dental services provided in

11         mobile dental units, except for certain units;

12         providing an effective date.

13

14  Be It Enacted by the Legislature of the State of Florida:

15

16         Section 1.  Section 409.905, Florida Statutes, is

17  amended to read:

18         409.905  Mandatory Medicaid services.--The agency may

19  make payments for the following services, which are required

20  of the state by Title XIX of the Social Security Act,

21  furnished by Medicaid providers to recipients who are

22  determined to be eligible on the dates on which the services

23  were provided.  Any service under this section shall be

24  provided only when medically necessary and in accordance with

25  state and federal law. Mandatory services rendered by

26  providers in mobile units to Medicaid recipients may be

27  restricted by the agency. Nothing in this section shall be

28  construed to prevent or limit the agency from adjusting fees,

29  reimbursement rates, lengths of stay, number of visits, number

30  of services, or any other adjustments necessary to comply with

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    CS for SB 2110                                 First Engrossed



  1  the availability of moneys and any limitations or directions

  2  provided for in the General Appropriations Act or chapter 216.

  3         (1)  ADVANCED REGISTERED NURSE PRACTITIONER

  4  SERVICES.--The agency shall pay for services provided to a

  5  recipient by a licensed advanced registered nurse practitioner

  6  who has a valid collaboration agreement with a licensed

  7  physician on file with the Department of Health or who

  8  provides anesthesia services in accordance with established

  9  protocol required by state law and approved by the medical

10  staff of the facility in which the anesthetic service is

11  performed. Reimbursement for such services must be provided in

12  an amount that equals not less than 80 percent of the

13  reimbursement to a physician who provides the same services,

14  unless otherwise provided for in the General Appropriations

15  Act.

16         (2)  EARLY AND PERIODIC SCREENING, DIAGNOSIS, AND

17  TREATMENT SERVICES.--The agency shall pay for early and

18  periodic screening and diagnosis of a recipient under age 21

19  to ascertain physical and mental problems and conditions and

20  provide treatment to correct or ameliorate these problems and

21  conditions.  These services include all services determined by

22  the agency to be medically necessary for the treatment,

23  correction, or amelioration of these problems, including

24  personal care, private duty nursing, durable medical

25  equipment, physical therapy, occupational therapy, speech

26  therapy, respiratory therapy, and immunizations.

27         (3)  FAMILY PLANNING SERVICES.--The agency shall pay

28  for services necessary to enable a recipient voluntarily to

29  plan family size or to space children. These services include

30  information; education; counseling regarding the availability,

31  benefits, and risks of each method of pregnancy prevention;


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    CS for SB 2110                                 First Engrossed



  1  drugs and supplies; and necessary medical care and followup.

  2  Each recipient participating in the family planning portion of

  3  the Medicaid program must be provided freedom to choose any

  4  alternative method of family planning, as required by federal

  5  law.

  6         (4)  HOME HEALTH CARE SERVICES.--The agency shall pay

  7  for nursing and home health aide services, supplies,

  8  appliances, and durable medical equipment, necessary to assist

  9  a recipient living at home. An entity that provides services

10  pursuant to this subsection shall be licensed under part IV of

11  chapter 400 or part II of chapter 499, if appropriate.  These

12  services, equipment, and supplies, or reimbursement therefor,

13  may be limited as provided in the General Appropriations Act

14  and do not include services, equipment, or supplies provided

15  to a person residing in a hospital or nursing facility. In

16  providing home health care services, the agency may require

17  prior authorization of care based on diagnosis.

18         (5)  HOSPITAL INPATIENT SERVICES.--The agency shall pay

19  for all covered services provided for the medical care and

20  treatment of a recipient who is admitted as an inpatient by a

21  licensed physician or dentist to a hospital licensed under

22  part I of chapter 395.  However, the agency shall limit the

23  payment for inpatient hospital services for a Medicaid

24  recipient 21 years of age or older to 45 days or the number of

25  days necessary to comply with the General Appropriations Act.

26         (a)  The agency is authorized to implement

27  reimbursement and utilization management reforms in order to

28  comply with any limitations or directions in the General

29  Appropriations Act, which may include, but are not limited to:

30  prior authorization for inpatient psychiatric days; enhanced

31  utilization and concurrent review programs for highly utilized


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    CS for SB 2110                                 First Engrossed



  1  services; reduction or elimination of covered days of service;

  2  adjusting reimbursement ceilings for variable costs; adjusting

  3  reimbursement ceilings for fixed and property costs; and

  4  implementing target rates of increase.

  5         (b)  A licensed hospital maintained primarily for the

  6  care and treatment of patients having mental disorders or

  7  mental diseases is not eligible to participate in the hospital

  8  inpatient portion of the Medicaid program except as provided

  9  in federal law.  However, the department shall apply for a

10  waiver, within 9 months after June 5, 1991, designed to

11  provide hospitalization services for mental health reasons to

12  children and adults in the most cost-effective and lowest cost

13  setting possible.  Such waiver shall include a request for the

14  opportunity to pay for care in hospitals known under federal

15  law as "institutions for mental disease" or "IMD's."  The

16  waiver proposal shall propose no additional aggregate cost to

17  the state or Federal Government, and shall be conducted in

18  Hillsborough County, Highlands County, Hardee County, Manatee

19  County, and Polk County.  The waiver proposal may incorporate

20  competitive bidding for hospital services, comprehensive

21  brokering, prepaid capitated arrangements, or other mechanisms

22  deemed by the department to show promise in reducing the cost

23  of acute care and increasing the effectiveness of preventive

24  care.  When developing the waiver proposal, the department

25  shall take into account price, quality, accessibility,

26  linkages of the hospital to community services and family

27  support programs, plans of the hospital to ensure the earliest

28  discharge possible, and the comprehensiveness of the mental

29  health and other health care services offered by participating

30  providers.

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    CS for SB 2110                                 First Engrossed



  1         (c)  Agency for Health Care Administration shall adjust

  2  a hospital's current inpatient per diem rate to reflect the

  3  cost of serving the Medicaid population at that institution

  4  if:

  5         1.  The hospital experiences an increase in Medicaid

  6  caseload by more than 25 percent in any year, primarily

  7  resulting from the closure of a hospital in the same service

  8  area occurring after July 1, 1995; or

  9         2.  The hospital's Medicaid per diem rate is at least

10  25 percent below the Medicaid per patient cost for that year.

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12  No later than November 1, 2000, the agency must provide

13  estimated costs for any adjustment in a hospital inpatient per

14  diem pursuant to this paragraph to the Executive Office of the

15  Governor, the House of Representatives General Appropriations

16  Committee, and the Senate Budget Committee. Before the agency

17  implements a change in a hospital's inpatient per diem rate

18  pursuant to this paragraph, the Legislature must have

19  specifically appropriated sufficient funds in the 2001-2002

20  General Appropriations Act to support the increase in cost as

21  estimated by the agency. This paragraph is repealed on July 1,

22  2001.

23         (6)  HOSPITAL OUTPATIENT SERVICES.--The agency shall

24  pay for preventive, diagnostic, therapeutic, or palliative

25  care and other services provided to a recipient in the

26  outpatient portion of a hospital licensed under part I of

27  chapter 395, and provided under the direction of a licensed

28  physician or licensed dentist, except that payment for such

29  care and services is limited to $1,500 per state fiscal year

30  per recipient, unless an exception has been made by the

31  agency, and with the exception of a Medicaid recipient under


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    CS for SB 2110                                 First Engrossed



  1  age 21, in which case the only limitation is medical

  2  necessity.

  3         (7)  INDEPENDENT LABORATORY SERVICES.--The agency shall

  4  pay for medically necessary diagnostic laboratory procedures

  5  ordered by a licensed physician or other licensed practitioner

  6  of the healing arts which are provided for a recipient in a

  7  laboratory that meets the requirements for Medicare

  8  participation and is licensed under chapter 483, if required.

  9         (8)  NURSING FACILITY SERVICES.--The agency shall pay

10  for 24-hour-a-day nursing and rehabilitative services for a

11  recipient in a nursing facility licensed under part II of

12  chapter 400 or in a rural hospital, as defined in s. 395.602,

13  or in a Medicare certified skilled nursing facility operated

14  by a hospital, as defined by s. 395.002(11), that is licensed

15  under part I of chapter 395, and in accordance with provisions

16  set forth in s. 409.908(2)(a), which services are ordered by

17  and provided under the direction of a licensed physician.

18  However, if a nursing facility has been destroyed or otherwise

19  made uninhabitable by natural disaster or other emergency and

20  another nursing facility is not available, the agency must pay

21  for similar services temporarily in a hospital licensed under

22  part I of chapter 395 provided federal funding is approved and

23  available.

24         (9)  PHYSICIAN SERVICES.--The agency shall pay for

25  covered services and procedures rendered to a recipient by, or

26  under the personal supervision of, a person licensed under

27  state law to practice medicine or osteopathic medicine.  These

28  services may be furnished in the physician's office, the

29  Medicaid recipient's home, a hospital, a nursing facility, or

30  elsewhere, but shall be medically necessary for the treatment

31  of an injury, illness, or disease within the scope of the


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    CS for SB 2110                                 First Engrossed



  1  practice of medicine or osteopathic medicine as defined by

  2  state law.  The agency shall not pay for services that are

  3  clinically unproven, experimental, or for purely cosmetic

  4  purposes.

  5         (10)  PORTABLE X-RAY SERVICES.--The agency shall pay

  6  for professional and technical portable radiological services

  7  ordered by a licensed physician or other licensed practitioner

  8  of the healing arts which are provided by a licensed

  9  professional in a setting other than a hospital, clinic, or

10  office of a physician or practitioner of the healing arts, on

11  behalf of a recipient.

12         (11)  RURAL HEALTH CLINIC SERVICES.--The agency shall

13  pay for outpatient primary health care services for a

14  recipient provided by a clinic certified by and participating

15  in the Medicare program which is located in a federally

16  designated, rural, medically underserved area and has on its

17  staff one or more licensed primary care nurse practitioners or

18  physician assistants, and a licensed staff supervising

19  physician or a consulting supervising physician.

20         (12)  TRANSPORTATION SERVICES.--The agency shall ensure

21  that appropriate transportation services are available for a

22  Medicaid recipient in need of transport to a qualified

23  Medicaid provider for medically necessary and

24  Medicaid-compensable services, provided a client's ability to

25  choose a specific transportation provider shall be limited to

26  those options resulting from policies established by the

27  agency to meet the fiscal limitations of the General

28  Appropriations Act.  The agency may pay for transportation and

29  other related travel expenses as necessary only if these

30  services are not otherwise available.

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    CS for SB 2110                                 First Engrossed



  1         Section 2.  Section 409.906, Florida Statutes, is

  2  amended to read:

  3         409.906  Optional Medicaid services.--Subject to

  4  specific appropriations, the agency may make payments for

  5  services which are optional to the state under Title XIX of

  6  the Social Security Act and are furnished by Medicaid

  7  providers to recipients who are determined to be eligible on

  8  the dates on which the services were provided.  Any optional

  9  service that is provided shall be provided only when medically

10  necessary and in accordance with state and federal law.

11  Optional services rendered by providers in mobile units to

12  Medicaid recipients may be restricted or prohibited by the

13  agency. Nothing in this section shall be construed to prevent

14  or limit the agency from adjusting fees, reimbursement rates,

15  lengths of stay, number of visits, or number of services, or

16  making any other adjustments necessary to comply with the

17  availability of moneys and any limitations or directions

18  provided for in the General Appropriations Act or chapter 216.

19  If necessary to safeguard the state's systems of providing

20  services to elderly and disabled persons and subject to the

21  notice and review provisions of s. 216.177, the Governor may

22  direct the Agency for Health Care Administration to amend the

23  Medicaid state plan to delete the optional Medicaid service

24  known as "Intermediate Care Facilities for the Developmentally

25  Disabled."  Optional services may include:

26         (1)  ADULT DENTURE SERVICES.--The agency may pay for

27  dentures, the procedures required to seat dentures, and the

28  repair and reline of dentures, provided by or under the

29  direction of a licensed dentist, for a recipient who is age 21

30  or older. However, Medicaid will not provide reimbursement for

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    CS for SB 2110                                 First Engrossed



  1  dental services provided in a mobile dental unit, except for a

  2  mobile dental unit:

  3         (a)  Owned by, operated by, or having a contractual

  4  agreement with the Department of Health and complying with

  5  Medicaid's county health department clinic services program

  6  specifications as a county health department clinic services

  7  provider.

  8         (b)  Owned by, operated by, or having a contractual

  9  arrangement with a federally qualified health center and

10  complying with Medicaid's federally qualified health center

11  specifications as a federally qualified health center

12  provider.

13         (c)  Rendering dental services to Medicaid recipients,

14  21 years of age and older, at nursing facilities.

15         (d)  Owned by, operated by, or having a contractual

16  agreement with a state-approved dental educational

17  institution.

18         (2)  ADULT HEALTH SCREENING SERVICES.--The agency may

19  pay for an annual routine physical examination, conducted by

20  or under the direction of a licensed physician, for a

21  recipient age 21 or older, without regard to medical

22  necessity, in order to detect and prevent disease, disability,

23  or other health condition or its progression.

24         (3)  AMBULATORY SURGICAL CENTER SERVICES.--The agency

25  may pay for services provided to a recipient in an ambulatory

26  surgical center licensed under part I of chapter 395, by or

27  under the direction of a licensed physician or dentist.

28         (4)  BIRTH CENTER SERVICES.--The agency may pay for

29  examinations and delivery, recovery, and newborn assessment,

30  and related services, provided in a licensed birth center

31  staffed with licensed physicians, certified nurse midwives,


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    CS for SB 2110                                 First Engrossed



  1  and midwives licensed in accordance with chapter 467, to a

  2  recipient expected to experience a low-risk pregnancy and

  3  delivery.

  4         (5)  CASE MANAGEMENT SERVICES.--The agency may pay for

  5  primary care case management services rendered to a recipient

  6  pursuant to a federally approved waiver, and targeted case

  7  management services for specific groups of targeted

  8  recipients, for which funding has been provided and which are

  9  rendered pursuant to federal guidelines. The agency is

10  authorized to limit reimbursement for targeted case management

11  services in order to comply with any limitations or directions

12  provided for in the General Appropriations Act.

13  Notwithstanding s. 216.292, the Department of Children and

14  Family Services may transfer general funds to the Agency for

15  Health Care Administration to fund state match requirements

16  exceeding the amount specified in the General Appropriations

17  Act for targeted case management services.

18         (6)  CHILDREN'S DENTAL SERVICES.--The agency may pay

19  for diagnostic, preventive, or corrective procedures,

20  including orthodontia in severe cases, provided to a recipient

21  under age 21, by or under the supervision of a licensed

22  dentist.  Services provided under this program include

23  treatment of the teeth and associated structures of the oral

24  cavity, as well as treatment of disease, injury, or impairment

25  that may affect the oral or general health of the individual.

26  However, Medicaid will not provide reimbursement for dental

27  services provided in a mobile dental unit, except for a mobile

28  dental unit:

29         (a)  Owned by, operated by, or having a contractual

30  agreement with the Department of Health and complying with

31  Medicaid's county health department clinic services program


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    CS for SB 2110                                 First Engrossed



  1  specifications as a county health department clinic services

  2  provider.

  3         (b)  Owned by, operated by, or having a contractual

  4  arrangement with a federally qualified health center and

  5  complying with Medicaid's federally qualified health center

  6  specifications as a federally qualified health center

  7  provider.

  8         (c)  Rendering dental services to Medicaid recipients,

  9  21 years of age and older, at nursing facilities.

10         (d)  Owned by, operated by, or having a contractual

11  agreement with a state-approved dental educational

12  institution.

13         (7)  CHIROPRACTIC SERVICES.--The agency may pay for

14  manual manipulation of the spine and initial services,

15  screening, and X rays provided to a recipient by a licensed

16  chiropractic physician.

17         (8)  COMMUNITY MENTAL HEALTH SERVICES.--The agency may

18  pay for rehabilitative services provided to a recipient by a

19  mental health or substance abuse provider licensed by the

20  agency and under contract with the agency or the Department of

21  Children and Family Services to provide such services.  Those

22  services which are psychiatric in nature shall be rendered or

23  recommended by a psychiatrist, and those services which are

24  medical in nature shall be rendered or recommended by a

25  physician or psychiatrist. The agency must develop a provider

26  enrollment process for community mental health providers which

27  bases provider enrollment on an assessment of service need.

28  The provider enrollment process shall be designed to control

29  costs, prevent fraud and abuse, consider provider expertise

30  and capacity, and assess provider success in managing

31  utilization of care and measuring treatment outcomes.


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    CS for SB 2110                                 First Engrossed



  1  Providers will be selected through a competitive procurement

  2  or selective contracting process. In addition to other

  3  community mental health providers, the agency shall consider

  4  for enrollment mental health programs licensed under chapter

  5  395 and group practices licensed under chapter 458, chapter

  6  459, chapter 490, or chapter 491. The agency is also

  7  authorized to continue operation of its behavioral health

  8  utilization management program and may develop new services if

  9  these actions are necessary to ensure savings from the

10  implementation of the utilization management system. The

11  agency shall coordinate the implementation of this enrollment

12  process with the Department of Children and Family Services

13  and the Department of Juvenile Justice. The agency is

14  authorized to utilize diagnostic criteria in setting

15  reimbursement rates, to preauthorize certain high-cost or

16  highly utilized services, to limit or eliminate coverage for

17  certain services, or to make any other adjustments necessary

18  to comply with any limitations or directions provided for in

19  the General Appropriations Act.

20         (9)  DIALYSIS FACILITY SERVICES.--Subject to specific

21  appropriations being provided for this purpose, the agency may

22  pay a dialysis facility that is approved as a dialysis

23  facility in accordance with Title XVIII of the Social Security

24  Act, for dialysis services that are provided to a Medicaid

25  recipient under the direction of a physician licensed to

26  practice medicine or osteopathic medicine in this state,

27  including dialysis services provided in the recipient's home

28  by a hospital-based or freestanding dialysis facility.

29         (10)  DURABLE MEDICAL EQUIPMENT.--The agency may

30  authorize and pay for certain durable medical equipment and

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    CS for SB 2110                                 First Engrossed



  1  supplies provided to a Medicaid recipient as medically

  2  necessary.

  3         (11)  HEALTHY START SERVICES.--The agency may pay for a

  4  continuum of risk-appropriate medical and psychosocial

  5  services for the Healthy Start program in accordance with a

  6  federal waiver. The agency may not implement the federal

  7  waiver unless the waiver permits the state to limit enrollment

  8  or the amount, duration, and scope of services to ensure that

  9  expenditures will not exceed funds appropriated by the

10  Legislature or available from local sources. If the Health

11  Care Financing Administration does not approve a federal

12  waiver for Healthy Start services, the agency, in consultation

13  with the Department of Health and the Florida Association of

14  Healthy Start Coalitions, is authorized to establish a

15  Medicaid certified-match program for Healthy Start services.

16  Participation in the Healthy Start certified-match program

17  shall be voluntary, and reimbursement shall be limited to the

18  federal Medicaid share to Medicaid-enrolled Healthy Start

19  coalitions for services provided to Medicaid recipients. The

20  agency shall take no action to implement a certified-match

21  program without ensuring that the amendment and review

22  requirements of ss. 216.177 and 216.181 have been met.

23         (12)  HEARING SERVICES.--The agency may pay for hearing

24  and related services, including hearing evaluations, hearing

25  aid devices, dispensing of the hearing aid, and related

26  repairs, if provided to a recipient by a licensed hearing aid

27  specialist, otolaryngologist, otologist, audiologist, or

28  physician.

29         (13)  HOME AND COMMUNITY-BASED SERVICES.--The agency

30  may pay for home-based or community-based services that are

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    CS for SB 2110                                 First Engrossed



  1  rendered to a recipient in accordance with a federally

  2  approved waiver program.

  3         (14)  HOSPICE CARE SERVICES.--The agency may pay for

  4  all reasonable and necessary services for the palliation or

  5  management of a recipient's terminal illness, if the services

  6  are provided by a hospice that is licensed under part VI of

  7  chapter 400 and meets Medicare certification requirements.

  8         (15)  INTERMEDIATE CARE FACILITY FOR THE

  9  DEVELOPMENTALLY DISABLED SERVICES.--The agency may pay for

10  health-related care and services provided on a 24-hour-a-day

11  basis by a facility licensed and certified as a Medicaid

12  Intermediate Care Facility for the Developmentally Disabled,

13  for a recipient who needs such care because of a developmental

14  disability.

15         (16)  INTERMEDIATE CARE SERVICES.--The agency may pay

16  for 24-hour-a-day intermediate care nursing and rehabilitation

17  services rendered to a recipient in a nursing facility

18  licensed under part II of chapter 400, if the services are

19  ordered by and provided under the direction of a physician.

20         (17)  OPTOMETRIC SERVICES.--The agency may pay for

21  services provided to a recipient, including examination,

22  diagnosis, treatment, and management, related to ocular

23  pathology, if the services are provided by a licensed

24  optometrist or physician.

25         (18)  PHYSICIAN ASSISTANT SERVICES.--The agency may pay

26  for all services provided to a recipient by a physician

27  assistant licensed under s. 458.347 or s. 459.022.

28  Reimbursement for such services must be not less than 80

29  percent of the reimbursement that would be paid to a physician

30  who provided the same services.

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    CS for SB 2110                                 First Engrossed



  1         (19)  PODIATRIC SERVICES.--The agency may pay for

  2  services, including diagnosis and medical, surgical,

  3  palliative, and mechanical treatment, related to ailments of

  4  the human foot and lower leg, if provided to a recipient by a

  5  podiatric physician licensed under state law.

  6         (20)  PRESCRIBED DRUG SERVICES.--The agency may pay for

  7  medications that are prescribed for a recipient by a physician

  8  or other licensed practitioner of the healing arts authorized

  9  to prescribe medications and that are dispensed to the

10  recipient by a licensed pharmacist or physician in accordance

11  with applicable state and federal law.

12         (21)  REGISTERED NURSE FIRST ASSISTANT SERVICES.--The

13  agency may pay for all services provided to a recipient by a

14  registered nurse first assistant as described in s. 464.027.

15  Reimbursement for such services may not be less than 80

16  percent of the reimbursement that would be paid to a physician

17  providing the same services.

18         (22)  STATE HOSPITAL SERVICES.--The agency may pay for

19  all-inclusive psychiatric inpatient hospital care provided to

20  a recipient age 65 or older in a state mental hospital.

21         (23)  VISUAL SERVICES.--The agency may pay for visual

22  examinations, eyeglasses, and eyeglass repairs for a

23  recipient, if they are prescribed by a licensed physician

24  specializing in diseases of the eye or by a licensed

25  optometrist.

26         (24)  CHILD-WELFARE-TARGETED CASE MANAGEMENT.--The

27  Agency for Health Care Administration, in consultation with

28  the Department of Children and Family Services, may establish

29  a targeted case-management pilot project in those counties

30  identified by the Department of Children and Family Services

31  and for the community-based child welfare project in Sarasota


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    CS for SB 2110                                 First Engrossed



  1  and Manatee counties, as authorized under s. 409.1671. These

  2  projects shall be established for the purpose of determining

  3  the impact of targeted case management on the child welfare

  4  program and the earnings from the child welfare program.

  5  Results of the pilot projects shall be reported to the Child

  6  Welfare Estimating Conference and the Social Services

  7  Estimating Conference established under s. 216.136. The number

  8  of projects may not be increased until requested by the

  9  Department of Children and Family Services, recommended by the

10  Child Welfare Estimating Conference and the Social Services

11  Estimating Conference, and approved by the Legislature. The

12  covered group of individuals who are eligible to receive

13  targeted case management include children who are eligible for

14  Medicaid; who are between the ages of birth through 21; and

15  who are under protective supervision or postplacement

16  supervision, under foster-care supervision, or in shelter care

17  or foster care. The number of individuals who are eligible to

18  receive targeted case management shall be limited to the

19  number for whom the Department of Children and Family Services

20  has available matching funds to cover the costs. The general

21  revenue funds required to match the funds for services

22  provided by the community-based child welfare projects are

23  limited to funds available for services described under s.

24  409.1671. The Department of Children and Family Services may

25  transfer the general revenue matching funds as billed by the

26  Agency for Health Care Administration.

27         Section 3.  This act shall take effect July 1, 2001.

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