HB 0577CS

CHAMBER ACTION




1The Health & Families Council recommends the following:
2
3     Council/Committee Substitute
4     Remove the entire bill and insert:
5
A bill to be entitled
6An act relating to Medicaid; amending s. 409.912, F.S.;
7authorizing the Agency for Health Care Administration to
8implement a federal waiver to administer an integrated,
9fixed-payment delivery system for Medicaid recipients;
10providing applicability; creating s. 409.91212, F.S.;
11requiring the Agency for Health Care Administration to
12establish a comprehensive geriatric fall prevention
13program for certain Medicaid recipients; directing the
14agency to develop the program as an expansion of a certain
15pilot project conducted in Miami-Dade County; requiring
16the agency to evaluate the program and report to the
17Legislature; requiring a plan and timetable for statewide
18implementation contingent upon certain findings;
19specifying a timeframe for implementing a certain form of
20reimbursement; providing a contingent effective date.
21
22Be It Enacted by the Legislature of the State of Florida:
23
24     Section 1.  Paragraph (e) of subsection (5) of section
25409.912, Florida Statutes, is amended, and paragraph (f) is
26added to that subsection, to read:
27     409.912  Cost-effective purchasing of health care.--The
28agency shall purchase goods and services for Medicaid recipients
29in the most cost-effective manner consistent with the delivery
30of quality medical care. To ensure that medical services are
31effectively utilized, the agency may, in any case, require a
32confirmation or second physician's opinion of the correct
33diagnosis for purposes of authorizing future services under the
34Medicaid program. This section does not restrict access to
35emergency services or poststabilization care services as defined
36in 42 C.F.R. part 438.114. Such confirmation or second opinion
37shall be rendered in a manner approved by the agency. The agency
38shall maximize the use of prepaid per capita and prepaid
39aggregate fixed-sum basis services when appropriate and other
40alternative service delivery and reimbursement methodologies,
41including competitive bidding pursuant to s. 287.057, designed
42to facilitate the cost-effective purchase of a case-managed
43continuum of care. The agency shall also require providers to
44minimize the exposure of recipients to the need for acute
45inpatient, custodial, and other institutional care and the
46inappropriate or unnecessary use of high-cost services. The
47agency shall contract with a vendor to monitor and evaluate the
48clinical practice patterns of providers in order to identify
49trends that are outside the normal practice patterns of a
50provider's professional peers or the national guidelines of a
51provider's professional association. The vendor must be able to
52provide information and counseling to a provider whose practice
53patterns are outside the norms, in consultation with the agency,
54to improve patient care and reduce inappropriate utilization.
55The agency may mandate prior authorization, drug therapy
56management, or disease management participation for certain
57populations of Medicaid beneficiaries, certain drug classes, or
58particular drugs to prevent fraud, abuse, overuse, and possible
59dangerous drug interactions. The Pharmaceutical and Therapeutics
60Committee shall make recommendations to the agency on drugs for
61which prior authorization is required. The agency shall inform
62the Pharmaceutical and Therapeutics Committee of its decisions
63regarding drugs subject to prior authorization. The agency is
64authorized to limit the entities it contracts with or enrolls as
65Medicaid providers by developing a provider network through
66provider credentialing. The agency may competitively bid single-
67source-provider contracts if procurement of goods or services
68results in demonstrated cost savings to the state without
69limiting access to care. The agency may limit its network based
70on the assessment of beneficiary access to care, provider
71availability, provider quality standards, time and distance
72standards for access to care, the cultural competence of the
73provider network, demographic characteristics of Medicaid
74beneficiaries, practice and provider-to-beneficiary standards,
75appointment wait times, beneficiary use of services, provider
76turnover, provider profiling, provider licensure history,
77previous program integrity investigations and findings, peer
78review, provider Medicaid policy and billing compliance records,
79clinical and medical record audits, and other factors. Providers
80shall not be entitled to enrollment in the Medicaid provider
81network. The agency shall determine instances in which allowing
82Medicaid beneficiaries to purchase durable medical equipment and
83other goods is less expensive to the Medicaid program than long-
84term rental of the equipment or goods. The agency may establish
85rules to facilitate purchases in lieu of long-term rentals in
86order to protect against fraud and abuse in the Medicaid program
87as defined in s. 409.913. The agency may seek federal waivers
88necessary to administer these policies.
89     (5)  By December 1, 2005, the Agency for Health Care
90Administration, in partnership with the Department of Elderly
91Affairs, shall create an integrated, fixed-payment delivery
92system for Medicaid recipients who are 60 years of age or older.
93The Agency for Health Care Administration shall implement the
94integrated system initially on a pilot basis in two areas of the
95state. In one of the areas enrollment shall be on a voluntary
96basis. The program must transfer all Medicaid services for
97eligible elderly individuals who choose to participate into an
98integrated-care management model designed to serve Medicaid
99recipients in the community. The program must combine all
100funding for Medicaid services provided to individuals 60 years
101of age or older into the integrated system, including funds for
102Medicaid home and community-based waiver services; all Medicaid
103services authorized in ss. 409.905 and 409.906, excluding funds
104for Medicaid nursing home services unless the agency is able to
105demonstrate how the integration of the funds will improve
106coordinated care for these services in a less costly manner; and
107Medicare coinsurance and deductibles for persons dually eligible
108for Medicaid and Medicare as prescribed in s. 409.908(13).
109     (e)  The agency may seek federal waivers and adopt rules as
110necessary to administer the integrated system and may implement
111an approved waiver. The agency must receive specific
112authorization from the Legislature prior to implementing the
113waiver for the integrated system.
114     (f)  It is the intent of the Legislature that if any
115conflict exists between the provisions contained in this section
116and other provisions of this chapter that relate to the
117implementation of the Medicaid integrated system, the provisions
118contained in this section shall control.
119     Section 2.  Section 409.91212, Florida Statutes, is created
120to read:
121     409.91212  Medicaid comprehensive geriatric fall prevention
122program.--
123     (1)(a)  The Agency for Health Care Administration shall
124establish a comprehensive geriatric fall prevention program for
125Medicaid recipients in Miami-Dade County. The program shall be
126evidence-based and shall expand the geriatric fall prevention
127demonstration project awarded under contract in 2002 by the
128Agency for Health Care Administration. The program shall serve
129up to 7,000 Medicaid recipients during the first year of
130operation and shall be in operation within 120 days after the
131effective date of this act.
132     (b)  The agency shall evaluate the cost-effectiveness and
133clinical effectiveness of the program and report its findings to
134the President of the Senate and the Speaker of the House of
135Representatives by January 1, 2009. If the findings indicate the
136program is cost-effective and clinically effective, the report
137shall include a plan and timetable for statewide implementation.
138In evaluating the cost-effectiveness and clinical effectiveness
139of the program, the agency must consider findings from program
140evaluations and site visit reports relating to the demonstration
141project described in paragraph (a).
142     (2)  Services provided under subsection (1) shall be
143reimbursed on the same basis as provided for under the
144demonstration project contracts described in subsection (1).
145Beginning on the first day of operation in the third year of
146program implementation, as authorized under this section,
147services shall be reimbursed only on a capitated, risk-adjusted
148basis.
149     Section 3.  This act shall take effect July 1, 2006;
150however, section 2 shall take effect only if a specific
151appropriation to implement the Medicaid comprehensive geriatric
152fall prevention program as created in s. 409.91212, Florida
153Statutes, in this act is made in the General Appropriations Act
154for fiscal year 2006-2007.


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