Senate Bill sb1276c1

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    Florida Senate - 2002                           CS for SB 1276

    By the Committee on Appropriations; and Senator Silver





    309-2072-02

  1                      A bill to be entitled

  2         An act relating to access to health and human

  3         services; creating s. 408.911, F.S.; providing

  4         a short title; creating s. 408.912, F.S.;

  5         providing legislative findings and intent with

  6         respect to access to state-funded health

  7         services; creating s. 408.913, F.S.; requiring

  8         the Agency for Health Care Administration to

  9         establish as a pilot project a comprehensive

10         health and human services eligibility access

11         system; establishing requirements for each

12         component of the system; creating s. 408.914,

13         F.S.; requiring the Agency for Health Care

14         Administration to phase in implementation of

15         the comprehensive health and human services

16         eligibility access system; specifying

17         timeframes for each implementation phase;

18         requiring that the agency submit a plan for

19         statewide implementation to the Governor and

20         Legislature; creating s. 408.915, F.S.;

21         requiring the Agency for Health Care

22         Administration to develop and implement a pilot

23         project to integrate eligibility determination

24         and information and referral services;

25         establishing requirements for the pilot

26         project; establishing requirements for

27         information and referral; specifying the scope

28         of the project; authorizing the agency to

29         request federal waivers; creating s. 408.916,

30         F.S.; establishing the Health Care Access

31         Steering Committee; providing for membership of

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    Florida Senate - 2002                           CS for SB 1276
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  1         the steering committee; providing duties;

  2         establishing an expiration date for the

  3         steering committee; creating s. 408.917, F.S.;

  4         requiring an evaluation of the pilot project;

  5         requiring a report to the Governor and

  6         Legislature; specifying issues to be addressed

  7         in the report; creating s. 408.918, F.S.;

  8         authorizing the planning, development, and

  9         implementation of the Florida 211 Network;

10         providing objectives for the Florida 211

11         Network; requiring the Agency for Health Care

12         Administration to establish criteria for

13         certification of information and referral

14         entities to participate in the Florida 211

15         Network; providing for revocation of 211

16         numbers from uncertified information and

17         referral entities; providing for assistance in

18         resolving disputes from the Public Service

19         Commission and the Federal Communications

20         Commission; amending s. 409.912, F.S.;

21         authorizing the Agency for Health Care

22         Administration to contract with an entity

23         providing prepaid or fixed-sum health care and

24         social services to elderly recipients; amending

25         s. 430.205, F.S.; requiring the Department of

26         Elderly Affairs and the Agency for Health Care

27         Administration to develop a managed, integrated

28         long-term-care delivery system under a single

29         entity; providing for a pilot project;

30         specifying requirements of the pilot project;

31         specifying requirements for payment rates and

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    Florida Senate - 2002                           CS for SB 1276
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  1         risk-sharing agreements; authorizing the

  2         Department of Elderly Affairs and the Agency

  3         for Health Care Administration to seek federal

  4         waivers to implement the pilot; specifying

  5         requirements for the Department of Children and

  6         Family Services and the Department of Elderly

  7         Affairs concerning eligibility determination

  8         and nursing home preadmission screening;

  9         requiring an evaluation of the pilot project;

10         requiring a report to the Governor and

11         Legislature; specifying issues to be addressed

12         in this report; creating s. 430.041, F.S.;

13         establishing the Office of Long-Term-Care

14         Policy within the Department of Elderly

15         Affairs; requiring the office to make

16         recommendations for coordinating the services

17         provided by state agencies; providing for the

18         appointment of an advisory board to the Office

19         of Long-Term-Care Policy; specifying membership

20         in the advisory board; providing for

21         reimbursement of per diem and travel expenses

22         for members of the advisory board; requiring

23         that the office submit an annual report to the

24         Governor and Legislature; requiring assistance

25         to the office by state agencies and

26         universities; providing an effective date.

27

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

29

30         Section 1.  Section 408.911, Florida Statutes, is

31  created to read:

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    Florida Senate - 2002                           CS for SB 1276
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  1         408.911  Short title.--Sections 408.911-408.918 may be

  2  cited as the "Florida Health and Human Services Access Act."

  3         Section 2.  Section 408.912, Florida Statutes, is

  4  created to read:

  5         408.912  Legislative findings and intent.--

  6         (1)  The Legislature finds that:

  7         (a)  Procedures for accessing state-funded health and

  8  human services are fragmented, which can result in redundant,

  9  incomplete, and inefficient service delivery;

10         (b)  The process for determining eligibility for

11  state-funded health and human services is unnecessarily

12  cumbersome and complex, often requiring repeated visits to an

13  eligibility office to resolve questions regarding family

14  circumstances;

15         (c)  Individuals and families who are eligible for

16  multiple state programs are confronted with multiple,

17  uncoordinated case managers and care plans;

18         (d)  Information and referral entities provide a vital

19  service that informs, guides, directs, and links people to

20  appropriate local health and human services resources and

21  services;

22         (e)  There is no comprehensive, statewide health and

23  human services information and referral system in this state

24  and no way for a person to easily determine the availability

25  of health and human services needed by an individual or

26  family, or the status of the eligibility of an individual or

27  family for such services;

28         (f)  There are no consistent, statewide standards,

29  training, or criteria for technical support regarding

30  information on and referral for health and human services;

31  there are no consistent standards, criteria, or statutory

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  1  framework to guide appropriate sharing of information; and

  2  there is duplicative management and funding of information and

  3  referral systems and processes; and

  4         (g)  There is a demonstrated need for an

  5  easy-to-remember, easy-to-use dialing code that will enable

  6  persons in need, perhaps even critically so, to be directed to

  7  available community resources, and that the use of a single

  8  dialing code, serving as a primary point of contact, will

  9  simplify access to the services and resources of both the

10  government and the nonprofit community.

11         (2)  It is, therefore, the intent of the Legislature to

12  establish a pilot project to demonstrate the feasibility of

13  combining the easy access to information provided by a

14  comprehensive information and referral service with a

15  streamlined and simplified approach to determining eligibility

16  for state-funded health care and, if feasible, other human

17  services. It is the intent of the Legislature that the state

18  agencies that provide health and human services develop

19  coordinated care management for individuals and families with

20  multiple needs. It is the intent of the Legislature that a

21  comprehensive information and referral system for health and

22  human services be developed in the state. It is further the

23  intent of the Legislature to establish a governing body to

24  guide the implementation of the pilot project and make

25  recommendations to the Legislature for expanding the pilot

26  project to other areas of the state.

27         Section 3.  Section 408.913, Florida Statutes, is

28  created to read:

29         408.913  Comprehensive Health and Human Services

30  Eligibility Access System.--

31

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    Florida Senate - 2002                           CS for SB 1276
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  1         (1)  The Agency for Health Care Administration shall

  2  develop a comprehensive, automated system for access to health

  3  care services. This system shall, to the greatest extent

  4  possible, use the capacity of existing automated systems so as

  5  to maximize the benefit of investments already made in

  6  information technology and minimize additional costs.

  7         (2)  The benefit-eligibility component of the system

  8  shall include simplified access through coordination with

  9  information and referral telephone systems. This does not

10  preclude use of other methods of application, including

11  mail-in applications, office visits, or on-line applications

12  via the Internet. The eligibility component of the system

13  shall include:

14         (a) Improved access to eligibility-status information.

15         (b) Development and sharing of information with

16  eligible individuals and families regarding choices available

17  to them for using health care services.

18         (3)  The state agencies providing the medical,

19  clinical, and related health care support services for special

20  populations, including frail elders, adults with disabilities,

21  and children with special needs shall develop systems for

22  these populations which integrate and coordinate care and

23  improved communication. These systems must include development

24  of standard protocols for care planning and assessment, a

25  focus on family involvement, and methods to communicate across

26  systems, including automated methods, in order to improve

27  integration and coordination of services.

28         Section 4.  Section 408.914, Florida Statutes, is

29  created to read:

30         408.914  Phased implementation plan.--The Agency for

31  Health Care Administration, in consultation with the Health

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  1  Care Access Steering Committee created in s. 408.916, shall

  2  phase in the implementation of the Comprehensive Health and

  3  Human Services Eligibility Access System.

  4         (1)  The first phase of implementation shall be a pilot

  5  project in one or more contiguous counties to demonstrate the

  6  feasibility of integrating eligibility determination for

  7  health care services with information and referral services.

  8         (2)  Upon demonstration of the feasibility of the first

  9  phase of implementation, and subject to appropriation of any

10  necessary resources, the steering committee shall develop a

11  detailed implementation plan for the care-management component

12  of the system. The implementation plan must include the

13  steering committee's recommendation of one or more state

14  agencies that should be designated to implement the

15  care-management component of the system.

16         (3)  Options for further implementation of the system

17  may include a phased implementation of the eligibility

18  component in additional sites before implementing the

19  remaining components of the system or may include

20  implementation of the care management and service system

21  components along with the eligibility components.

22         (4)  The Agency for Health Care Administration, in

23  consultation with the steering committee, shall complete

24  analysis of the initial pilot project by November 1, 2003, and

25  by January 1, 2004, shall submit a plan to the Governor, the

26  President of the Senate, and the Speaker of the House of

27  Representatives for statewide implementation of all components

28  of the system, if warranted. This plan must also include

29  recommendations for incorporating additional public assistance

30  and human services programs into the Comprehensive Health and

31  Human Services Eligibility Access System.

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  1         Section 5.  Section 408.915, Florida Statutes, is

  2  created to read:

  3         408.915  Eligibility pilot project.--The Agency for

  4  Health Care Administration, in consultation with the steering

  5  committee established in s. 408.916, shall develop and

  6  implement a pilot project to integrate the determination of

  7  eligibility for health care services with information and

  8  referral services.

  9         (1)  The pilot project shall operate in one or more

10  contiguous counties, as selected by the agency in consultation

11  with the steering committee.

12         (2)  The pilot project shall focus on developing, to

13  the maximum extent possible, a process for eligibility

14  application which:

15         (a)  Uses a single uniform electronic application

16  process, but permits applying for health services through

17  various entry points, including information and referral

18  providers, state agency program personnel or contracted

19  providers, the mail, or the Internet;

20         (b)  Is linked to a shared database that will have the

21  capability to sort or store information by families as well as

22  individuals;

23         (c)  Permits electronic input and storage of data and

24  electronic verification and exchange of information;

25         (d)  Is compliant with the federal Health Insurance

26  Portability and Accountability Act, as well as all other

27  applicable state and federal confidentiality requirements; and

28         (e)  Includes an initial screening component for

29  referring applicants to other health and human services

30  programs provided through state agencies, including programs

31  addressing developmental delays, developmental disabilities,

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  1  chronic physical illness, mental health needs, substance abuse

  2  needs, elder and aging needs, and other health care needs.

  3         (3)  The information and referral provider in the site

  4  selected as the pilot project shall, at a minimum:

  5         (a)  Execute a memorandum of understanding with the

  6  local community volunteer placement centers;

  7         (b)  Implement, or be in the process of implementing, a

  8  shared, web-based, information and eligibility database with

  9  community health providers and funders;

10         (c)  Provide comprehensive information and referral

11  services 24 hours per day, 7 days per week;

12         (d)  Agree, in writing, to become accredited within 3

13  years by a nationally recognized information and referral

14  accrediting agency;

15         (e)  Execute a memorandum of understanding with 911 and

16  other emergency response agencies in the pilot area;

17         (f)  Implement policies and structured training to

18  effectively respond to crisis calls or obtain accreditation by

19  a nationally recognized mental health or crisis accrediting

20  agency;

21         (g)  Obtain teletypewriter and multi-language

22  accessibility, either on-site or through a translation

23  service;

24         (h)  Develop resources to support and publicize

25  information and referral services and provide ongoing

26  education to the public on the availability of such services;

27  and

28         (i)  Provide periodic reports to the Governor, the

29  President of the Senate, and the Speaker of the House of

30  Representatives on the use of the information and referral

31

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    Florida Senate - 2002                           CS for SB 1276
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  1  system and on measures that demonstrate the effectiveness and

  2  efficiency of the information and referral services provided.

  3         (4)  The pilot project shall include eligibility

  4  determinations for the following programs:

  5         (a)  Medicaid under Title XIX of the Social Security

  6  Act.

  7         (b)  Medikids as created in s. 409.8132.

  8         (c)  Florida Healthy Kids as described in s. 624.91 and

  9  within eligibility guidelines provided in s. 409.814.

10         (d)  Eligibility for Florida Kidcare services outside

11  of the scope of Title XIX or Title XXI of the Social Security

12  Act as provided in s. 409.814.

13         (e)  State and local publicly funded health and social

14  services programs as determined appropriate by the steering

15  committee.

16         (5)  If the Secretary of Health Care Administration, in

17  consultation with the steering committee established in s.

18  408.916, determines that it would facilitate operation of the

19  pilot project to obtain federal waiver authority, the

20  appropriate state agency shall request such waiver authority

21  from the appropriate federal agency.

22         Section 6.  Section 408.916, Florida Statutes, is

23  created to read:

24         408.916  Steering committee.--In order to guide the

25  implementation of the pilot project, there is created a Health

26  Care Access Steering Committee.

27         (1)  The steering committee shall be composed of the

28  following members:

29         (a)  The Secretary of Health Care Administration.

30         (b)  The Secretary of Children and Family Services.

31         (c)  The Secretary of Elderly Affairs.

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  1         (d)  The Secretary of Health.

  2         (e)  A representative of the Florida Alliance of

  3  Information and Referral Services.

  4         (2)  The steering committee may designate additional ad

  5  hoc members or technical advisors as the committee finds is

  6  appropriate.

  7         (3)  The Secretary of Health Care Administration shall

  8  be the chairperson of the steering committee.

  9         (4)  The steering committee shall provide oversight to

10  the ongoing implementation of the pilot project, provide

11  consultation and guidance on matters of policy, and provide

12  oversight to the evaluation of the pilot project.

13         (5)  The steering committee shall complete its

14  activities by June 30, 2004, and the authorization for the

15  steering committee ends on that date.

16         Section 7.  Section 408.917, Florida Statutes, is

17  created to read:

18         408.917  Evaluation of the pilot project.--The Agency

19  for Health Care Administration, in consultation with the

20  steering committee, shall conduct or contract for an

21  evaluation of the pilot project under the guidance and

22  oversight of the steering committee. The agency shall ensure

23  that the evaluation is submitted to the Governor and

24  Legislature by January 1, 2004. The evaluation report must

25  address at least the following questions:

26         (1)  What has been the impact of the pilot project on

27  improving access to the process of determining eligibility?

28         (2)  Based on the experience of the pilot project, what

29  is the projected cost of statewide implementation?

30

31

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  1         (3)  What has been the impact of the pilot project on

  2  the caseload trends in publicly funded programs and what is

  3  the projected impact of statewide implementation?

  4         (4)  How has the implementation of the pilot project

  5  affected customer satisfaction with access to eligibility

  6  determination for state-funded health services?

  7         (5)  Does the experience of the pilot project support

  8  continued expansion of the concept?

  9         (6)  What changes or modifications to the concepts of

10  the pilot project are recommended for future sites?

11         Section 8.  Section 408.918, Florida Statutes, is

12  created to read:

13         408.918  Florida 211 Network; uniform certification

14  requirements.--

15         (1)  The Legislature authorizes the planning,

16  development, and, subject to appropriations, the

17  implementation of a statewide Florida 211 Network, which shall

18  serve as the single point of coordination for information and

19  referral for health and human services. The objectives for

20  establishing the Florida 211 Network shall be to:

21         (a)  Provide comprehensive and cost-effective access to

22  health and human services information.

23         (b)  Improve access to accurate information by

24  simplifying and enhancing state and local health and human

25  services information and referral systems and by fostering

26  collaboration among information and referral systems.

27         (c)  Electronically connect local information and

28  referral systems to each other, to service providers, and to

29  consumers of information and referral services.

30

31

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  1         (d)  Establish and promote standards for data

  2  collection and for distributing information among state and

  3  local organizations.

  4         (e)  Promote the use of a common dialing access code

  5  and the visibility and public awareness of the availability of

  6  information and referral services.

  7         (f)  Provide a management and administrative structure

  8  to support the Florida 211 Network and establish technical

  9  assistance, training, and support programs for information and

10  referral-service programs.

11         (g)  Test methods for integrating information and

12  referral services with local and state health and human

13  services programs and for consolidating and streamlining

14  eligibility and case-management processes.

15         (h)  Provide access to standardized, comprehensive data

16  to assist in identifying gaps and needs in health and human

17  services programs.

18         (i)  Provide a unified systems plan with a developed

19  platform, taxonomy, and standards for data management and

20  access.

21         (2)  In order to participate in the Florida 211

22  Network, a provider of information and referral services must

23  be certified by the Agency for Health Care Administration. The

24  agency shall develop criteria for certification, as

25  recommended by the Florida Alliance of Information and

26  Referral Services, and shall adopt the criteria as

27  administrative rules.

28         (a)  If any provider of information and referral

29  services or other entity leases a 211 number from a local

30  exchange company and is not certified by the agency, the

31  agency shall, after consultation with the local exchange

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  1  company and the Public Service Commission, request that the

  2  Federal Communications Commission direct the local exchange

  3  company to revoke the use of the 211 number.

  4         (b)  The agency shall seek the assistance and guidance

  5  of the Public Service Commission and the Federal

  6  Communications Commission in resolving any disputes arising

  7  over jurisdiction related to 211 numbers.

  8         Section 9.  Subsection (3) of section 409.912, Florida

  9  Statutes, is amended to read:

10         409.912  Cost-effective purchasing of health care.--The

11  agency shall purchase goods and services for Medicaid

12  recipients in the most cost-effective manner consistent with

13  the delivery of quality medical care.  The agency shall

14  maximize the use of prepaid per capita and prepaid aggregate

15  fixed-sum basis services when appropriate and other

16  alternative service delivery and reimbursement methodologies,

17  including competitive bidding pursuant to s. 287.057, designed

18  to facilitate the cost-effective purchase of a case-managed

19  continuum of care. The agency shall also require providers to

20  minimize the exposure of recipients to the need for acute

21  inpatient, custodial, and other institutional care and the

22  inappropriate or unnecessary use of high-cost services. The

23  agency may establish prior authorization requirements for

24  certain populations of Medicaid beneficiaries, certain drug

25  classes, or particular drugs to prevent fraud, abuse, overuse,

26  and possible dangerous drug interactions. The Pharmaceutical

27  and Therapeutics Committee shall make recommendations to the

28  agency on drugs for which prior authorization is required. The

29  agency shall inform the Pharmaceutical and Therapeutics

30  Committee of its decisions regarding drugs subject to prior

31  authorization.

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  1         (3)  The agency may contract with:

  2         (a)  An entity that provides no prepaid health care

  3  services other than Medicaid services under contract with the

  4  agency and which is owned and operated by a county, county

  5  health department, or county-owned and operated hospital to

  6  provide health care services on a prepaid or fixed-sum basis

  7  to recipients, which entity may provide such prepaid services

  8  either directly or through arrangements with other providers.

  9  Such prepaid health care services entities must be licensed

10  under parts I and III by January 1, 1998, and until then are

11  exempt from the provisions of part I of chapter 641. An entity

12  recognized under this paragraph which demonstrates to the

13  satisfaction of the Department of Insurance that it is backed

14  by the full faith and credit of the county in which it is

15  located may be exempted from s. 641.225.

16         (b)  An entity that is providing comprehensive

17  behavioral health care services to certain Medicaid recipients

18  through a capitated, prepaid arrangement pursuant to the

19  federal waiver provided for by s. 409.905(5). Such an entity

20  must be licensed under chapter 624, chapter 636, or chapter

21  641 and must possess the clinical systems and operational

22  competence to manage risk and provide comprehensive behavioral

23  health care to Medicaid recipients. As used in this paragraph,

24  the term "comprehensive behavioral health care services" means

25  covered mental health and substance abuse treatment services

26  that are available to Medicaid recipients. The secretary of

27  the Department of Children and Family Services shall approve

28  provisions of procurements related to children in the

29  department's care or custody prior to enrolling such children

30  in a prepaid behavioral health plan. Any contract awarded

31  under this paragraph must be competitively procured. In

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  1  developing the behavioral health care prepaid plan procurement

  2  document, the agency shall ensure that the procurement

  3  document requires the contractor to develop and implement a

  4  plan to ensure compliance with s. 394.4574 related to services

  5  provided to residents of licensed assisted living facilities

  6  that hold a limited mental health license. The agency must

  7  ensure that Medicaid recipients have available the choice of

  8  at least two managed care plans for their behavioral health

  9  care services. The agency may reimburse for

10  substance-abuse-treatment services on a fee-for-service basis

11  until the agency finds that adequate funds are available for

12  capitated, prepaid arrangements.

13         1.  By January 1, 2001, the agency shall modify the

14  contracts with the entities providing comprehensive inpatient

15  and outpatient mental health care services to Medicaid

16  recipients in Hillsborough, Highlands, Hardee, Manatee, and

17  Polk Counties, to include substance-abuse-treatment services.

18         2.  By December 31, 2001, the agency shall contract

19  with entities providing comprehensive behavioral health care

20  services to Medicaid recipients through capitated, prepaid

21  arrangements in Charlotte, Collier, DeSoto, Escambia, Glades,

22  Hendry, Lee, Okaloosa, Pasco, Pinellas, Santa Rosa, Sarasota,

23  and Walton Counties. The agency may contract with entities

24  providing comprehensive behavioral health care services to

25  Medicaid recipients through capitated, prepaid arrangements in

26  Alachua County. The agency may determine if Sarasota County

27  shall be included as a separate catchment area or included in

28  any other agency geographic area.

29         3.  Children residing in a Department of Juvenile

30  Justice residential program approved as a Medicaid behavioral

31  health overlay services provider shall not be included in a

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  1  behavioral health care prepaid health plan pursuant to this

  2  paragraph.

  3         4.  In converting to a prepaid system of delivery, the

  4  agency shall in its procurement document require an entity

  5  providing comprehensive behavioral health care services to

  6  prevent the displacement of indigent care patients by

  7  enrollees in the Medicaid prepaid health plan providing

  8  behavioral health care services from facilities receiving

  9  state funding to provide indigent behavioral health care, to

10  facilities licensed under chapter 395 which do not receive

11  state funding for indigent behavioral health care, or

12  reimburse the unsubsidized facility for the cost of behavioral

13  health care provided to the displaced indigent care patient.

14         5.  Traditional community mental health providers under

15  contract with the Department of Children and Family Services

16  pursuant to part IV of chapter 394 and inpatient mental health

17  providers licensed pursuant to chapter 395 must be offered an

18  opportunity to accept or decline a contract to participate in

19  any provider network for prepaid behavioral health services.

20         (c)  A federally qualified health center or an entity

21  owned by one or more federally qualified health centers or an

22  entity owned by other migrant and community health centers

23  receiving non-Medicaid financial support from the Federal

24  Government to provide health care services on a prepaid or

25  fixed-sum basis to recipients.  Such prepaid health care

26  services entity must be licensed under parts I and III of

27  chapter 641, but shall be prohibited from serving Medicaid

28  recipients on a prepaid basis, until such licensure has been

29  obtained.  However, such an entity is exempt from s. 641.225

30  if the entity meets the requirements specified in subsections

31  (14) and (15).

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  1         (d)  No more than four provider service networks for

  2  demonstration projects to test Medicaid direct contracting.

  3  The demonstration projects may be reimbursed on a

  4  fee-for-service or prepaid basis.  A provider service network

  5  which is reimbursed by the agency on a prepaid basis shall be

  6  exempt from parts I and III of chapter 641, but must meet

  7  appropriate financial reserve, quality assurance, and patient

  8  rights requirements as established by the agency.  The agency

  9  shall award contracts on a competitive bid basis and shall

10  select bidders based upon price and quality of care. Medicaid

11  recipients assigned to a demonstration project shall be chosen

12  equally from those who would otherwise have been assigned to

13  prepaid plans and MediPass.  The agency is authorized to seek

14  federal Medicaid waivers as necessary to implement the

15  provisions of this section.  A demonstration project awarded

16  pursuant to this paragraph shall be for 4 years from the date

17  of implementation.

18         (e)  An entity that provides comprehensive behavioral

19  health care services to certain Medicaid recipients through an

20  administrative services organization agreement. Such an entity

21  must possess the clinical systems and operational competence

22  to provide comprehensive health care to Medicaid recipients.

23  As used in this paragraph, the term "comprehensive behavioral

24  health care services" means covered mental health and

25  substance abuse treatment services that are available to

26  Medicaid recipients. Any contract awarded under this paragraph

27  must be competitively procured. The agency must ensure that

28  Medicaid recipients have available the choice of at least two

29  managed care plans for their behavioral health care services.

30         (f)  An entity in Pasco County or Pinellas County that

31  provides in-home physician services to Medicaid recipients

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  1  with degenerative neurological diseases in order to test the

  2  cost-effectiveness of enhanced home-based medical care. The

  3  entity providing the services shall be reimbursed on a

  4  fee-for-service basis at a rate not less than comparable

  5  Medicare reimbursement rates. The agency may apply for waivers

  6  of federal regulations necessary to implement such program.

  7  This paragraph expires shall be repealed on July 1, 2002.

  8         (g)  Children's provider networks that provide care

  9  coordination and care management for Medicaid-eligible

10  pediatric patients, primary care, authorization of specialty

11  care, and other urgent and emergency care through organized

12  providers designed to service Medicaid eligibles under age 18.

13  The networks shall provide after-hour operations, including

14  evening and weekend hours, to promote, when appropriate, the

15  use of the children's networks rather than hospital emergency

16  departments.

17         (h)  An entity authorized in s. 430.205 to contract

18  with the agency and the Department of Elderly Affairs to

19  provide health care and social services on a prepaid or

20  fixed-sum basis to elderly recipients. Such prepaid healthcare

21  services entities are exempt from the provisions of part I of

22  chapter 641 for the first 3 years of operation. An entity

23  recognized under this paragraph that demonstrates to the

24  satisfaction of the Department of Insurance that it is backed

25  by the full faith and credit of one or more counties in which

26  it operates may be exempted from s. 641.225.

27         Section 10.  Section 430.205, Florida Statutes is

28  amended to read:

29         430.205  Community care service system.--

30         (1)(a)  The department, through the area agency on

31  aging, shall fund in each planning and service area at least

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  1  one community care service system that provides case

  2  management and other in-home and community services as needed

  3  to help the older person maintain independence and prevent or

  4  delay more costly institutional care.

  5         (b)  For fiscal year 2001-2002 only, in each county

  6  having a population over 2 million, the department, through

  7  the area agency on aging, shall fund in each planning and

  8  service area more than one community care service system that

  9  provides case management and other in-home and community

10  services as needed to help elderly persons maintain

11  independence and prevent or delay more costly institutional

12  care. This paragraph expires July 1, 2002.

13         (2)  Core services and other support services may be

14  furnished by public or private agencies or organizations.

15  Each community care service system must be under the direction

16  of a lead agency that coordinates the activities of individual

17  contracting agencies providing community-care-for-the-elderly

18  services.  When practicable, the activities of a community

19  care service area must be directed from a multiservice senior

20  center and coordinated with other services offered therein.

21  This subsection does not require programs in existence prior

22  to the effective date of this act to be relocated.

23         (3)  The department shall define each core service that

24  is to be provided or coordinated within a community care

25  service area and establish rules and minimum standards for the

26  delivery of core services. The department may conduct or

27  contract for demonstration projects to determine the

28  desirability of new concepts of organization, administration,

29  or service delivery designed to prevent the

30  institutionalization of functionally impaired elderly persons.

31  Evaluations shall be made of the cost-avoidance of such

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  1  demonstration projects, the ability of the projects to reduce

  2  the rate of placement of functionally impaired elderly persons

  3  in institutions, and the impact of projects on the use of

  4  institutional services and facilities.

  5         (4)  A preservice and inservice training program for

  6  community-care-for-the-elderly service providers and staff may

  7  be designed and implemented to help assure the delivery of

  8  quality services. The department shall specify in rules the

  9  training standards and requirements for the

10  community-care-for-the-elderly service providers and staff.

11  Training must be sufficient to ensure that quality services

12  are provided to clients and that appropriate skills are

13  developed to conduct the program.

14         (5)  Any person who has been classified as a

15  functionally impaired elderly person is eligible to receive

16  community-care-for-the-elderly core services. Those elderly

17  persons who are determined by protective investigations to be

18  vulnerable adults in need of services, pursuant to s.

19  415.104(3)(b), or to be victims of abuse, neglect, or

20  exploitation who are in need of immediate services to prevent

21  further harm and are referred by the adult protective services

22  program, shall be given primary consideration for receiving

23  community-care-for-the-elderly services. As used in this

24  subsection, "primary consideration" means that an assessment

25  and services must commence within 72 hours after referral to

26  the department or as established in accordance with department

27  contracts by local protocols developed between department

28  service providers and the adult protective services program.

29         (6) Notwithstanding other requirements of this chapter,

30  the Department of Elderly Affairs and the Agency for Health

31  Care Administration shall develop a model system to transition

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  1  all state-funded services for elderly individuals in one of

  2  the department's planning and service areas to a managed,

  3  integrated long-term-care delivery system under the direction

  4  of a single entity.

  5         (a)  The duties of the model system shall include

  6  organizing and administering service delivery for the elderly;

  7  obtaining contracts for services with providers in the area;

  8  monitoring the quality of services provided; determining

  9  levels of need and disability for payment purposes; and other

10  activities determined by the department and the agency in

11  order to operate the model system.

12         (b)  The agency and the department shall integrate all

13  funding for services to individuals over the age of 65 in the

14  model planning and service areas into a single per-person

15  per-month payment rate. The funds to be integrated shall

16  include:

17         1.  Community-care-for-the-elderly funds;

18         2.  Home-care-for-the-elderly funds;

19         3.  Local services program funds;

20         4.  Contracted services funds;

21         5.  Alzheimer's disease initiative funds;

22         6.  Medicaid home and community-based waiver services

23  funds;

24         7.  Funds for all Medicaid services authorized in ss.

25  409.905 and 409.906, including Medicaid nursing home services;

26  and

27         8.  Funds paid for Medicare premiums, coinsurance and

28  deductibles for persons dually eligible for Medicaid and

29  Medicare as prescribed in s. 409.908(13).

30

31

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  1  The department and the agency shall not make payments for

  2  services for people age 65 and older except through the model

  3  delivery system.

  4         (c)  The entity selected to administer the model system

  5  shall develop a comprehensive health and long-term-care

  6  service delivery system through contracts with providers of

  7  medical, social, and long-term-care services sufficient to

  8  meet the needs of the population age 65 and older. The entity

  9  selected to administer the model system shall not directly

10  provide services other than intake, assessment, and referral

11  services.

12         (d)  The department shall determine which of the

13  department's planning and services areas is to be designated

14  as a model area by means of a request for proposals. The

15  department shall select an area to be designated as a model

16  area and the entity to administer the model system based on

17  demonstration of capacity of the entity to:

18         1.  Develop contracts with providers currently under

19  contract with the department, area agencies on aging, or

20  community-care-for-the-elderly lead agencies;

21         2.  Provide a comprehensive system of appropriate

22  medical and long-term-care services that provides high-quality

23  medical and social services to assist older individuals in

24  remaining in the least-restrictive setting;

25         3.  Demonstrate a quality assurance and quality

26  improvement system satisfactory to the department and the

27  agency;

28         4.  Develop a system to identify participants who have

29  special health care needs such as polypharmacy, mental health

30  and substance abuse problems, falls, chronic pain, nutritional

31

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  1  deficits, and cognitive deficits, in order to respond to and

  2  meet these needs;

  3         5.  Use a multi-discliplinary team approach to

  4  participant management which ensures that information is

  5  shared among providers responsible for delivering care to a

  6  participant;

  7         6.  Ensure medical oversight of care plans and service

  8  delivery, regular medical evaluation of care plans, and the

  9  availability of medical consultation for case managers and

10  service coordinators;

11         7.  Develop, monitor, and enforce quality-of-care

12  requirements;

13         8.  Secure subcontracts with providers of medical,

14  nursing home, and community-based long-term-care services

15  sufficient to assure access to and choice of providers;

16         9.  Ensure a system of case management and service

17  coordination which includes educational and training standards

18  for case managers and service coordinators;

19         10.  Develop a business plan that considers the ability

20  of the applicant to organize and operate a risk-bearing

21  entity;

22         11.  Furnish evidence of adequate liability insurance

23  coverage or an adequate plan of self-insurance to respond to

24  claims for injuries arising out of the furnishing of health

25  care; and

26         12.  Provide, through contract or otherwise, for

27  periodic review of its medical facilities as required by the

28  department and the agency.

29

30  The department shall give preference in selecting an area to

31  be designated as a model area to that in which the

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  1  administering entity is an existing area agency on aging or

  2  community-care-for-the-elderly lead agency demonstrating the

  3  ability to perform the functions described in this paragraph.

  4         (e)  The department in consultation with the selected

  5  entity shall develop a statewide proposal regarding the

  6  long-term use and structure of a program that addresses a risk

  7  pool to reduce financial risk.

  8         (f)  The department and the agency shall develop

  9  capitation rates based on the historical cost experience of

10  the state in providing acute and long-term-care services to

11  the population over 65 years of age in the area served.

12         1.  Payment rates in the first 2 years of operation

13  shall be set at no more than 100 percent of the costs to the

14  state of providing equivalent services to the population of

15  the model area for the year prior to the year in which the

16  model system is implemented, adjusted forward to account for

17  inflation and population growth. In subsequent years, the rate

18  shall be negotiated based on the cost experience of the model

19  system in providing contracted services, but may not exceed 95

20  percent of the amount that would have been paid by the state

21  in the model planning and service area absent the model

22  integrated service delivery system.

23         2.  The agency and the department may develop

24  innovative risk-sharing agreements that limit the level of

25  custodial nursing home risk that the administering entity

26  assumes, consistent with the intent of the Legislature to

27  reduce the use and cost of nursing home care. Under

28  risk-sharing arrangements, the agency and the department may

29  reimburse the administering entity for the cost of providing

30  nursing home care for Medicaid-eligible participants who have

31

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  1  been permanently placed and remain in nursing home care for

  2  more than 1 year.

  3         (g)  The department and the Agency for Health Care

  4  Administration shall seek federal waivers necessary to

  5  implement the requirements of this section.

  6         (h)  The Department of Children and Family Services

  7  shall develop a streamlined and simplified eligibility system

  8  and shall outstation a sufficient number and quality of

  9  eligibility-determination staff with the administering entity

10  to assure determination of Medicaid eligibility for the

11  integrated service delivery system in the model planning and

12  service area within 10 days after receipt of a complete

13  application.

14         (i)  The Department of Elderly Affairs shall make

15  arrangements to outstation a sufficient number of nursing home

16  preadmission screening staff with the administering entity to

17  assure timely assessment of level of need for long-term-care

18  services in the model area.

19         (j)  The Department of Elderly Affairs shall conduct or

20  contract for an evaluation of the pilot project. The

21  department shall submit the evaluation to the Governor and the

22  Legislature by January 1, 2005.  The evaluation must address

23  the effects of the pilot project on the effectiveness of the

24  entity providing a comprehensive system of appropriate and

25  high-quality medical and long-term-care services to elders in

26  the least-restrictive setting and make recommendations on a

27  phased-in implementation expansion for the rest of the state.

28         Section 11.  Section 430.041, Florida Statutes, is

29  created to read:

30         430.041  Office of Long-Term-Care Policy.--

31

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  1         (1)  There is established in the Department of Elderly

  2  Affairs the Office of Long-Term-Care Policy to evaluate the

  3  state's long-term-care service delivery system and make

  4  recommendations to increase the availability and the use of

  5  noninstitutional settings to provide care to the elderly and

  6  ensure coordination among the agencies responsible for the

  7  long-term-care continuum.

  8         (2)  The purpose of the Office of Long-Term-Care Policy

  9  is to:

10         (a)  Ensure close communication and coordination among

11  state agencies involved in developing and administering a more

12  efficient and coordinated long-term-care service delivery

13  system in this state;

14         (b)  Identify duplication and unnecessary service

15  provision in the long-term-care system and make

16  recommendations to decrease inappropriate service provision;

17         (c)  Review current programs providing long-term-care

18  services to determine whether the programs are cost effective,

19  of high quality, and operating efficiently and make

20  recommendations to increase consistency and effectiveness in

21  the state's long-term-care programs;

22         (d)  Develop strategies for promoting and implementing

23  cost-effective home and community-based services as an

24  alternative to institutional care which coordinate and

25  integrate the continuum of care needs of the elderly; and

26         (e)  Assist the Office of Long-Term-Care Policy

27  Advisory Council as necessary to help implement this section.

28         (3)  The Director of the Office of Long-Term-Care

29  Policy shall be appointed by, and serve at the pleasure of,

30  the Governor. The director shall report to, and be under the

31  general supervision of, the Secretary of Elderly Affairs and

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  1  shall not be subject to supervision by any other employee of

  2  the department.

  3         (4)  The Office of Long-Term-Care Policy shall have an

  4  advisory council, whose chair shall be the Director of the

  5  Office of Long-Term-Care Policy. The purposes of the advisory

  6  council are to provide assistance and direction to the office

  7  and to ensure that the appropriate state agencies are properly

  8  implementing recommendations from the office.

  9         (a)  The advisory council shall consist of:

10         1.  A member of the Senate, appointed by the President

11  of the Senate;

12         2.  A member of the House of Representatives, appointed

13  by the Speaker of the House of Representatives;

14         3.  The Director of the Office of Long-Term-Care

15  Policy;

16         4.  The Secretary of Health Care Administration;

17         5.  The Secretary of Elderly Affairs;

18         6.  The Secretary of Children and Family Services;

19         7.  The Secretary of Health;

20         8.  The Executive Director of the Department of

21  Veterans' Affairs;

22         9.  A representative of the Florida Association of Area

23  Agencies on Aging, appointed by the Governor;

24         10.  A representative of the Florida Association of

25  Aging Service Providers, appointed by the Governor;

26         11.  A representative of the Florida Association of

27  Homes for the Aging, appointed by the Governor; and

28         12.  Two representatives of people using long-term-care

29  services, appointed by the Governor from groups representing

30  elderly persons.

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  1         (b)  Members shall serve without compensation, but are

  2  entitled to receive reimbursement for travel and per diem as

  3  provided in s. 112.061.

  4         (c)  The advisory council shall meet at the call of its

  5  chair or at the request of a majority of its members. During

  6  its first year of existence, the advisory council shall meet

  7  at least monthly.

  8         (d)  Members of the advisory council appointed by the

  9  Governor shall serve at the pleasure of the Governor and shall

10  be appointed to 4-year staggered terms in accordance with s.

11  20.052.

12         (5)(a)  The Department of Elderly Affairs shall provide

13  administrative support and services to the Office of

14  Long-Term-Care Policy.

15         (b)  The office shall call upon appropriate agencies of

16  state government, including the centers on aging in the State

17  University System, for assistance needed in discharging its

18  duties.

19         (c)  Each state agency represented on the Office of

20  Long-Term-Care Policy Advisory Council shall make at least one

21  employee available to work with the Office of Long-Term-Care

22  Policy. All state agencies and universities shall assist the

23  office in carrying out its responsibilities prescribed by this

24  section.

25         (d)  Each state agency shall pay from its own funds any

26  expenses related to its support of the Office of

27  Long-Term-Care Policy and its participation on the advisory

28  council. The Department of Elderly Affairs shall be

29  responsible for expenses related to participation on the

30  advisory council by members appointed by the Governor.

31

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  1         (6)(a)  By December 1, 2002, the office shall submit to

  2  the advisory council a preliminary report of its findings and

  3  recommendations on improving the long-term-care continuum in

  4  this state. The report shall contain recommendations and

  5  implementation proposals for policy changes, as well as

  6  legislative and funding recommendations that will make the

  7  system more effective and efficient. The report shall contain

  8  a specific plan for accomplishing the recommendations and

  9  proposals. Thereafter, the office shall revise and update the

10  report annually and resubmit it to the advisory council for

11  review and comments by November 1 of each year.

12         (b)  The advisory council shall review and recommend

13  any suggested changes to the preliminary report, and each

14  subsequent annual update of the report, within 30 days after

15  the receipt of the preliminary report. Suggested revisions,

16  additions, or deletions shall be made to the Director of the

17  Office of Long-Term-Care Policy.

18         (c)  The office shall submit its final report, and each

19  subsequent annual update of the report, to the Governor and

20  the Legislature within 30 days after the receipt of any

21  revisions, additions, or deletions suggested by the advisory

22  council, or after the time such comments are due to the

23  office.

24         Section 12.  This act shall take effect upon becoming a

25  law.

26

27

28

29

30

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  1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  2                         Senate Bill 1276

  3

  4  Establishes the Office of Long-Term-Care Policy in the
    Department of Elderly Affairs to evaluate the state's
  5  long-term care service delivery system, make recommendations
    and ensure coordination among the agencies responsible for the
  6  long-term care continuum.

  7  Establishes a 13-member advisory council to provide assistance
    and direction to the Office of Long-Term-Care.
  8
    Requires that the Office of Long-Term-Care submit a
  9  preliminary report of its findings and recommendations to the
    advisory council by December 1, 2002, and annual updates
10  thereafter by November 1.

11  Authorizes the Department of Elderly Affairs and the Agency
    for Health Care Administration to develop an integrated,
12  managed long-term care pilot project to provide a
    comprehensive health and long-term care service delivery
13  system for individuals age 65 and older.

14  Requires an evaluation of the integrated, managed long-term
    care pilot project no later than January 1, 2005, and
15  recommendations for a phased statewide implementation.

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

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