CODING: Words stricken are deletions; words underlined are additions.



                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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  4  ______________________________________________________________

  5                                           ORIGINAL STAMP BELOW

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10  ______________________________________________________________

11  Representative(s) Fasano offered the following:

12

13         Amendment to Amendment (152467) (with title amendment) 

14         On page 29, between lines 16 and 17,

15

16  insert:

17         Section 23.  Subsection (20) of section 400.141,

18  Florida Statutes, is amended to read:

19         400.141  Administration and management of nursing home

20  facilities.--Every licensed facility shall comply with all

21  applicable standards and rules of the agency and shall:

22         (20)  Maintain general and professional liability

23  insurance coverage that is in force at all times.

24         Section 24.  (1)  For the period beginning June 30,

25  2001, and ending June 30, 2005, the Agency for Health Care

26  Administration shall provide a report to the Governor, the

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

28  Representatives with respect to nursing homes, which shall:

29         (a)  Be submitted every 6 months.

30         (b)  Delineate information on a monthly basis, if

31  available.

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                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)





  1         (c)  Differentiate between types of facilities based on

  2  their ownership characteristics, size, business structure,

  3  for-profit or not-for-profit status, and any other

  4  characteristics the agency determines useful in analyzing the

  5  varied segments of the nursing home industry.

  6         (2)  The report shall contain:

  7         (a)  The number of Notices of Intent to Litigate

  8  received by the facility each month.

  9         (b)  The number of complaints on behalf of a resident

10  or a resident's legal representative that were filed with the

11  clerk of the court each month.

12         (c)  The month in which the injury which is the basis

13  for a suit occurred or was discovered or, if unavailable, the

14  dates of residency of the resident involved, beginning with

15  the date of initial admission and including the latest

16  discharge date.

17         (d)  Information regarding deficiencies cited,

18  including information used to develop the Nursing Home Guide

19  pursuant to s. 400.191, Florida Statutes, and applicable

20  rules; a summary of data generated on nursing homes by Centers

21  for Medicare and Medicaid Services Nursing Home Quality

22  Information Project; and information collected pursuant to s.

23  400.147(9), Florida Statutes, as amended by this act, relating

24  to litigation.

25

26  Facilities subject to part II of chapter 400, Florida

27  Statutes, must submit the information necessary to compile

28  this report each month on forms provided by the agency.

29         Section 25.  Subsection (9) of section 400.147, Florida

30  Statutes, is amended to read:

31         400.147  Internal risk management and quality assurance

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                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)





  1  program.--

  2         (9)  By the 10th of each month, each facility subject

  3  to this section shall report monthly any liability claim,

  4  which shall include any request for medical records from a

  5  resident, family member, guardian, conservator, personal

  6  representative, or legal representative; each Notice of Intent

  7  to Litigate received by the facility; and each complaint filed

  8  by a resident, family member, guardian, conservator, personal

  9  legal representative, that was filed with the clerk of the

10  court during the prior month filed against it. The report must

11  include copies of the Notices of Intent and complaints filed,

12  the name, date of birth, social security number and, if

13  appropriate, the Medicaid identification number the name of

14  the resident, the date or dates of the incident leading to the

15  claim, if applicable, or dates of residency, and the type of

16  injury or violation of rights alleged to have occurred. This

17  report is confidential as provided by law and is not

18  discoverable or admissible in any civil or administrative

19  action, except in such actions brought by the agency to

20  enforce the provisions of this part.

21         Section 26.  Paragraph (b) of subsection (2) of section

22  409.908, Florida Statutes, is amended to read:

23         409.908  Reimbursement of Medicaid providers.--Subject

24  to specific appropriations, the agency shall reimburse

25  Medicaid providers, in accordance with state and federal law,

26  according to methodologies set forth in the rules of the

27  agency and in policy manuals and handbooks incorporated by

28  reference therein.  These methodologies may include fee

29  schedules, reimbursement methods based on cost reporting,

30  negotiated fees, competitive bidding pursuant to s. 287.057,

31  and other mechanisms the agency considers efficient and

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                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)





  1  effective for purchasing services or goods on behalf of

  2  recipients.  Payment for Medicaid compensable services made on

  3  behalf of Medicaid eligible persons is subject to the

  4  availability of moneys and any limitations or directions

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

  6  Further, nothing in this section shall be construed to prevent

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

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

  9  making any other adjustments necessary to comply with the

10  availability of moneys and any limitations or directions

11  provided for in the General Appropriations Act, provided the

12  adjustment is consistent with legislative intent.

13         (2)

14         (b)  Subject to any limitations or directions provided

15  for in the General Appropriations Act, the agency shall

16  establish and implement a Florida Title XIX Long-Term Care

17  Reimbursement Plan (Medicaid) for nursing home care in order

18  to provide care and services in conformance with the

19  applicable state and federal laws, rules, regulations, and

20  quality and safety standards and to ensure that individuals

21  eligible for medical assistance have reasonable geographic

22  access to such care.

23         1.  Changes of ownership or of licensed operator do not

24  qualify for increases in reimbursement rates associated with

25  the change of ownership or of licensed operator. The agency

26  shall amend the Title XIX Long Term Care Reimbursement Plan to

27  provide that the initial nursing home reimbursement rates, for

28  the operating, patient care, and MAR components, associated

29  with related and unrelated party changes of ownership or

30  licensed operator filed on or after September 1, 2001, are

31  equivalent to the previous owner's reimbursement rate.

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                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)





  1         2.  The agency shall amend the long-term care

  2  reimbursement plan and cost reporting system to create direct

  3  care and indirect care subcomponents of the patient care

  4  component of the per diem rate. These two subcomponents

  5  together shall equal the patient care component of the per

  6  diem rate. Separate cost-based ceilings shall be calculated

  7  for each patient care subcomponent. The direct care

  8  subcomponent of the per diem rate shall be limited by the

  9  cost-based class ceiling, and the indirect care subcomponent

10  shall be limited by the lower of the cost-based class ceiling,

11  by the target rate class ceiling, or by the individual

12  provider target. The agency shall adjust the patient care

13  component effective January 1, 2002. The cost to adjust the

14  direct care subcomponent shall be net of the total funds

15  previously allocated for the case mix add-on. The agency shall

16  make the required changes to the nursing home cost reporting

17  forms to implement this requirement effective January 1, 2002.

18         3.  The direct care subcomponent shall include salaries

19  and benefits of direct care staff providing nursing services

20  including registered nurses, licensed practical nurses, and

21  certified nursing assistants who deliver care directly to

22  residents in the nursing home facility. This excludes nursing

23  administration, MDS, and care plan coordinators, staff

24  development, and staffing coordinator.

25         4.  All other patient care costs shall be included in

26  the indirect care cost subcomponent of the patient care per

27  diem rate. There shall be no costs directly or indirectly

28  allocated to the direct care subcomponent from a home office

29  or management company.

30         5.  On July 1 of each year, the agency shall report to

31  the Legislature direct and indirect care costs, including

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                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)





  1  average direct and indirect care costs per resident per

  2  facility and direct care and indirect care salaries and

  3  benefits per category of staff member per facility.

  4         6.  In order to offset the cost of liability insurance

  5  and subject to appropriations included in the General

  6  Appropriations Act, the agency shall amend Under the plan to

  7  allow for, interim rate adjustments, beginning January 2003,

  8  by adjusting the operating cost component shall not be granted

  9  to reflect increases in the cost of general or professional

10  liability insurance for nursing homes unless the following

11  criteria are met: have at least a 65 percent Medicaid

12  utilization in the most recent cost report submitted to the

13  agency, and the increase in general or professional liability

14  costs to the facility for the most recent policy period

15  affects the total Medicaid per diem by at least 5 percent.

16  This rate adjustment shall not result in the per diem

17  exceeding the class ceiling. This provision shall be

18  implemented to the extent existing appropriations are

19  available.

20

21  It is the intent of the Legislature that the reimbursement

22  plan achieve the goal of providing access to health care for

23  nursing home residents who require large amounts of care while

24  encouraging diversion services as an alternative to nursing

25  home care for residents who can be served within the

26  community. The agency shall base the establishment of any

27  maximum rate of payment, whether overall or component, on the

28  available moneys as provided for in the General Appropriations

29  Act. The agency may base the maximum rate of payment on the

30  results of scientifically valid analysis and conclusions

31  derived from objective statistical data pertinent to the

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                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)





  1  particular maximum rate of payment.

  2         Section 27.  In order to expedite the availability of

  3  general and professional liability insurance for nursing

  4  homes, the agency, subject to appropriations included in the

  5  General Appropriation Act, shall advance $6 million for the

  6  purpose of capitalizing the risk retention group. The terms of

  7  repayment may not extend beyond 3 years from the date of

  8  funding.

  9

10

11  ================ T I T L E   A M E N D M E N T ===============

12  And the title is amended as follows:

13         On page 33, line 14, after the semicolon,

14

15  insert:

16         amending s. 400.141, F.S.; requiring licensed

17         nursing home facilities to maintain general and

18         professional liability insurance coverage;

19         requiring facilities to submit information and

20         the Agency for Health Care Administration to

21         provide reports regarding facilities'

22         litigation, complaints, and deficiencies;

23         amending s. 400.147, F.S.; revising reporting

24         requirements under facility internal risk

25         management and quality assurance programs;

26         amending s. 409.908, F.S.; requiring the agency

27         to amend the Florida Title XIX Long-Term Care

28         Reimbursement Plan (Medicaid) for nursing home

29         care to allow for interim rate adjustments to

30         offset the cost of liability insurance;

31         providing for funding to expedite the

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                                                   HOUSE AMENDMENT

    hbd-08                               Bill No. HB 703, 1st Eng.

    Amendment No. ___ (for drafter's use only)





  1         availability of nursing home liability

  2         insurance;

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