| 1 | The Elder & Long-Term Care Committee recommends the following: |
| 2 |
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| 3 | Council/Committee Substitute |
| 4 | Remove the entire bill and insert: |
| 5 | A bill to be entitled |
| 6 | An act relating to Medicaid reimbursement to nursing |
| 7 | homes; amending s. 409.908, F.S.; requiring the Agency for |
| 8 | Health Care Administration to establish a Nursing Home |
| 9 | Voluntary Competitive Bid Pilot Program for certain |
| 10 | nursing homes in two counties for a specified period; |
| 11 | permitting licensed nursing homes to bid on rates for |
| 12 | Medicaid certified beds under certain circumstances; |
| 13 | requiring the agency to provide a list of approved bidders |
| 14 | to social service providers; requiring the agency to |
| 15 | evaluate the pilot program by a specified time; requiring |
| 16 | a report to the Governor and Legislature; providing an |
| 17 | effective date. |
| 18 |
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| 19 | Be It Enacted by the Legislature of the State of Florida: |
| 20 |
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| 21 | Section 1. Paragraph (a) of subsection (2) of section |
| 22 | 409.908, Florida Statutes, is amended to read: |
| 23 | 409.908 Reimbursement of Medicaid providers.--Subject to |
| 24 | specific appropriations, the agency shall reimburse Medicaid |
| 25 | providers, in accordance with state and federal law, according |
| 26 | to methodologies set forth in the rules of the agency and in |
| 27 | policy manuals and handbooks incorporated by reference therein. |
| 28 | These methodologies may include fee schedules, reimbursement |
| 29 | methods based on cost reporting, negotiated fees, competitive |
| 30 | bidding pursuant to s. 287.057, and other mechanisms the agency |
| 31 | considers efficient and effective for purchasing services or |
| 32 | goods on behalf of recipients. If a provider is reimbursed based |
| 33 | on cost reporting and submits a cost report late and that cost |
| 34 | report would have been used to set a lower reimbursement rate |
| 35 | for a rate semester, then the provider's rate for that semester |
| 36 | shall be retroactively calculated using the new cost report, and |
| 37 | full payment at the recalculated rate shall be effected |
| 38 | retroactively. Medicare-granted extensions for filing cost |
| 39 | reports, if applicable, shall also apply to Medicaid cost |
| 40 | reports. Payment for Medicaid compensable services made on |
| 41 | behalf of Medicaid eligible persons is subject to the |
| 42 | availability of moneys and any limitations or directions |
| 43 | provided for in the General Appropriations Act or chapter 216. |
| 44 | Further, nothing in this section shall be construed to prevent |
| 45 | or limit the agency from adjusting fees, reimbursement rates, |
| 46 | lengths of stay, number of visits, or number of services, or |
| 47 | making any other adjustments necessary to comply with the |
| 48 | availability of moneys and any limitations or directions |
| 49 | provided for in the General Appropriations Act, provided the |
| 50 | adjustment is consistent with legislative intent. |
| 51 | (2)(a)1. Reimbursement to nursing homes licensed under |
| 52 | part II of chapter 400 and state-owned-and-operated intermediate |
| 53 | care facilities for the developmentally disabled licensed under |
| 54 | chapter 393 must be made prospectively. |
| 55 | 2. Unless otherwise limited or directed in the General |
| 56 | Appropriations Act, reimbursement to hospitals licensed under |
| 57 | part I of chapter 395 for the provision of swing-bed nursing |
| 58 | home services must be made on the basis of the average statewide |
| 59 | nursing home payment, and reimbursement to a hospital licensed |
| 60 | under part I of chapter 395 for the provision of skilled nursing |
| 61 | services must be made on the basis of the average nursing home |
| 62 | payment for those services in the county in which the hospital |
| 63 | is located. When a hospital is located in a county that does not |
| 64 | have any community nursing homes, reimbursement must be |
| 65 | determined by averaging the nursing home payments, in counties |
| 66 | that surround the county in which the hospital is located. |
| 67 | Reimbursement to hospitals, including Medicaid payment of |
| 68 | Medicare copayments, for skilled nursing services shall be |
| 69 | limited to 30 days, unless a prior authorization has been |
| 70 | obtained from the agency. Medicaid reimbursement may be extended |
| 71 | by the agency beyond 30 days, and approval must be based upon |
| 72 | verification by the patient's physician that the patient |
| 73 | requires short-term rehabilitative and recuperative services |
| 74 | only, in which case an extension of no more than 15 days may be |
| 75 | approved. Reimbursement to a hospital licensed under part I of |
| 76 | chapter 395 for the temporary provision of skilled nursing |
| 77 | services to nursing home residents who have been displaced as |
| 78 | the result of a natural disaster or other emergency may not |
| 79 | exceed the average county nursing home payment for those |
| 80 | services in the county in which the hospital is located and is |
| 81 | limited to the period of time which the agency considers |
| 82 | necessary for continued placement of the nursing home residents |
| 83 | in the hospital. |
| 84 | 3. The agency shall establish a Nursing Home Voluntary |
| 85 | Competitive Bid Pilot Program in two counties for a 12-month |
| 86 | period for nursing homes licensed under chapter 400 with empty |
| 87 | Medicaid certified beds. Opening bids must be at a rate below |
| 88 | existing Medicaid reimbursement rates within the catchment area. |
| 89 | All nursing homes with a standard license in the pilot area can |
| 90 | voluntarily participate in the program. A nursing home may not |
| 91 | participate in the pilot program while it has a conditional |
| 92 | license. No rules shall prohibit Medicaid beneficiaries or their |
| 93 | families from choosing among those facilities that are Medicaid |
| 94 | certified. The agency shall update and provide a list of |
| 95 | approved bidders within the pilot areas to all social service |
| 96 | providers in that area, including hospitals, assisted living |
| 97 | facilities, and any entity that makes referrals to nursing |
| 98 | homes. |
| 99 | 4. The agency shall evaluate the pilot program after the |
| 100 | 12-month period is completed, including an evaluation of the |
| 101 | effectiveness of the program, the impact, if any, on quality of |
| 102 | care, and the amount of savings to the state and submit a report |
| 103 | to the Governor, the Speaker of the House of Representatives, |
| 104 | and the President of the Senate no later than 90 days after the |
| 105 | completion of the pilot program. |
| 106 | Section 2. This act shall take effect July 1, 2005. |