| 
                |||
| 1 | A bill to be entitled | ||
| 2 | An act relating to assessments for the Florida Birth- | ||
| 3 | Related Neurological Injury Compensation Plan; amending s. | ||
| 4 | 766.314, F.S.; providing that assessments shall not be | ||
| 5 | required for children born in a family practice teaching | ||
| 6 | hospital; updating terminology; providing for retroactive | ||
| 7 | application; providing an effective date. | ||
| 8 | |||
| 9 | Be It Enacted by the Legislature of the State of Florida: | ||
| 10 | |||
| 11 | Section 1. Paragraph (a) of subsection (4) of section | ||
| 12 | 766.314, Florida Statutes, is amended, and subsection (7) of | ||
| 13 | said section is reenacted for the purpose of incorporating a | ||
| 14 | reference to subsection (4) of said section, to read: | ||
| 15 | 766.314 Assessments; plan of operation.-- | ||
| 16 | (4) The following persons and entities shall pay into the | ||
| 17 | association an initial assessment in accordance with the plan of | ||
| 18 | operation: | ||
| 19 | (a) On or before October 1, 1988, each hospital licensed | ||
| 20 | under chapter 395 shall pay an initial assessment of $50 per | ||
| 21 | infant delivered in the hospital during the prior calendar year, | ||
| 22 | as reported to the Agency for Health Care Administration; | ||
| 23 | provided, however, that a hospital owned or operated by the | ||
| 24 | state or a county, special taxing district, or other political | ||
| 25 | subdivision of the state shall not be required to pay the | ||
| 26 | initial assessment or any assessment required by subsection (5). | ||
| 27 | The term "infant delivered" includes live births and not | ||
| 28 | stillbirths, but the term does not include infants delivered by | ||
| 29 | employees or agents of the former Board of Regents, the Board of | ||
| 30 | Governors, or the board of trustees of a state universityor | ||
| 31 | those born in a teaching hospital as defined in s. 408.07 or a | ||
| 32 | family practice teaching hospital as defined in s. 395.806. The | ||
| 33 | initial assessment and any assessment imposed pursuant to | ||
| 34 | subsection (5) may not include any infant born to a charity | ||
| 35 | patient (as defined by rule of the Agency for Health Care | ||
| 36 | Administration) or born to a patient for whom the hospital | ||
| 37 | receives Medicaid reimbursement, if the sum of the annual | ||
| 38 | charges for charity patients plus the annual Medicaid | ||
| 39 | contractuals of the hospital exceeds 10 percent of the total | ||
| 40 | annual gross operating revenues of the hospital. The hospital is | ||
| 41 | responsible for documenting, to the satisfaction of the | ||
| 42 | association, the exclusion of any birth from the computation of | ||
| 43 | the assessment. Upon demonstration of financial need by a | ||
| 44 | hospital, the association may provide for installment payments | ||
| 45 | of assessments. | ||
| 46 | (7)(a) The Department of Insurance shall undertake an | ||
| 47 | actuarial investigation of the requirements of the plan based on | ||
| 48 | the plan's experience in the first year of operation and any | ||
| 49 | additional relevant information, including without limitation | ||
| 50 | the assets and liabilities of the plan. Pursuant to such | ||
| 51 | investigation, the Department of Insurance shall establish the | ||
| 52 | rate of contribution of the entities listed in paragraph (5)(c) | ||
| 53 | for the tax year beginning January 1, 1990. Following the | ||
| 54 | initial valuation, the Department of Insurance shall cause an | ||
| 55 | actuarial valuation to be made of the assets and liabilities of | ||
| 56 | the plan no less frequently than biennially. Pursuant to the | ||
| 57 | results of such valuations, the Department of Insurance shall | ||
| 58 | prepare a statement as to the contribution rate applicable to | ||
| 59 | the entities listed in paragraph (5)(c). However, at no time | ||
| 60 | shall the rate be greater than 0.25 percent of net direct | ||
| 61 | premiums written. | ||
| 62 | (b) If the Department of Insurance finds that the plan | ||
| 63 | cannot be maintained on an actuarially sound basis based on the | ||
| 64 | assessments and appropriations listed in subsections (4) and | ||
| 65 | (5), the department shall increase the assessments specified in | ||
| 66 | subsection (4) on a proportional basis as needed. | ||
| 67 | Section 2. This act shall take effect upon becoming a law | ||
| 68 | and those provisions eliminating assessments for children born | ||
| 69 | in a family practice teaching hospital shall be given | ||
| 70 | retroactive application to July 1, 1997. | ||