HB 11A

1	A bill to be entitled
2	An act relating to procurement of contractual services by
3	a state agency; creating s. 287.0575, F.S.; providing
4	definitions; providing requirements with respect to the
5	provision of outsourced human services related to mental
6	health, substance abuse, child welfare, or juvenile
7	justice; providing requirements with respect to contracts
8	for such services; requiring state agencies to identify
9	specified costs to human services providers; requiring a
10	fiscal impact statement; providing that failure by a
11	governmental entity to negotiate a contract amendment or
12	remedy a material adverse impact of a new governmental
13	mandate constitutes an agency action or purposes of the
14	Administrative Procedure Act; providing for annual reports
15	by state agencies; amending s. 216.136, F.S.; requiring
16	the Social Services Estimating Conference to convene
17	quarterly for the purpose of developing information
18	related to mental health, substance abuse, child welfare,
19	and juvenile justice services needs; providing an
20	effective date.
21
22	Be It Enacted by the Legislature of the State of Florida:
23
24	Section 1.  Section 287.0575, Florida Statutes, is created
25	to read:
26	287.0575  Outsourced human services related to mental
27	health, substance abuse, child welfare, or juvenile justice.--
28	(1)  For the purposes of this section:
29	(a)  "Material adverse financial impact" means:
30	1.  An increase in reasonable costs to a contractor in
31	performing a contract for the outsourcing of human services
32	related to mental health, substance abuse, child welfare, or
33	juvenile justice that is the lesser of:
34	a.  Five per cent of the maximum obligation amount or unit
35	price of the contract; or
36	b.  Ten thousand dollars in the aggregate as a result of
37	all new governmental mandates taking effect during any calendar
38	year of the contract term; or
39	2.  An action that affects the core purpose and primary
40	intent of a contract for the outsourcing of such services.
41	(b)  "New governmental mandate" means a statutory
42	requirement, administrative rule, regulation, assessment,
43	executive order, judicial order, or other governmental
44	requirement, or an agency policy, that was not in effect when a
45	contract for the outsourcing of human services related to mental
46	health, substance abuse, child welfare, or juvenile justice was
47	originally entered into and that directly imposes an obligation
48	on the contractor to take, or to refrain from taking, any action
49	in order to fulfill its contractual obligation.
50	(2)  To create a more stable business environment for
51	providing outsourced human services related to mental health,
52	substance abuse, child welfare, or juvenile justice and to
53	ensure accountability, eliminate duplication, and improve
54	efficiency with respect to the provision of such services:
55	(a)  Each state agency shall annually submit to the
56	Legislature a list of mandated requirements, forms, and other
57	monitoring requirements that are satisfied through accreditation
58	by appropriate national accreditation organizations.
59	(b)  Each state agency that provides funding for outsourced
60	human services contracts under this section:
61	1.  Shall coordinate with other state agencies that provide
62	funding and designate an agency that will act as the lead agency
63	in ensuring that monitoring activities are coordinated.
64	2.  May delegate monitoring activities to another agency
65	that is monitoring outsourced services for a particular
66	population.
67	3.  Shall develop a common monitoring protocol to be used
68	when services to a particular population are being funded by two
69	or more agencies. The protocol, at a minimum, must:
70	a.  Delineate all program, fiscal, and administrative
71	contract monitoring activities, including all required reporting
72	mechanisms, to provide required program, fiscal, and
73	administrative data.
74	b.  Provide for a master list of core required documents
75	for contract monitoring purposes and provide for the collection
76	of such documents from each service provider.
77	(3)  Contracts to outsource human services related to
78	mental health, substance abuse, child welfare, and juvenile
79	justice shall:
80	(a)  Provide that, in the event that a material change to
81	the scope of the contract is imposed upon a service provider and
82	compliance with such change will have a material adverse
83	financial impact on the service provider, the contracting agency
84	shall negotiate a contract amendment with the service provider
85	to increase the maximum obligation amount or unit price of the
86	contract to offset the material adverse financial impact of the
87	change, provided the service provider furnishes evidence to the
88	contracting agency of such material adverse financial impact
89	along with a request to renegotiate the contract based on the
90	proposed change.
91	(b)  Ensure that payment will be made on all items not
92	under dispute and that in no event will payment be withheld on
93	undisputed issues pending the resolution of disputed issues.
94	(c)  Provide that any dispersed funds that remain
95	unexpended during the contract term be considered as authorized
96	revenue for the purposes of cash flow, program expansion and
97	development, and administrative costs.
98	(d)  Include language authorizing, subject to
99	appropriation, an annual cost-of-living adjustment that reflects
100	increases in the consumer price index or, at a minimum, is
101	comparable to any annual salary increase for state employees. In
102	the absence of a cost-of-living adjustment for state employees,
103	the contract must include language that adjusts human services
104	contracts by reducing the number of services or units contracted
105	for or that requires documentation substantiating the reasons a
106	reduction is not possible. This documentation shall be
107	considered by the Social Service Estimating Conference and
108	reported pursuant to s. 216.136.
109	(4)  State agencies shall provide an analysis of every new
110	form, procedure, or mandate required of a provider of human
111	services related to mental health, substance abuse, child
112	welfare, or juvenile justice under a contract for the
113	outsourcing of such human services that were not in effect when
114	the contract was originally entered into. The analysis shall
115	identify the cost to the provider of any such new requirements
116	and must be transmitted to the provider before any new form,
117	procedure, or mandate may be utilized or implemented. The
118	analysis shall also include a fiscal impact statement from the
119	provider with respect to each new form, procedure, or mandate
120	required or imposed.
121	(5)  Any contractor aggrieved by the refusal or failure of
122	a governmental unit to negotiate a contract amendment to remedy
123	a material adverse impact of a new governmental mandate pursuant
124	to this section constitutes an agency action for the purposes of
125	the Administrative Procedure Act.
126	(6)  By December 30 annually, each agency that contracts
127	for the provision of human services shall prepare a
128	comprehensive list of all contract requirements, mandated
129	reports, outcome measures, and other requirements of a provider.
130	The list shall be submitted to the Governor, the President of
131	the Senate, and the Speaker of the House of Representatives.
132	Section 2.  Paragraph (c) is added to subsection (6) of
133	section 216.136, Florida Statutes, to read:
134	216.136  Consensus estimating conferences; duties and
135	principals.--
136	(6)  SOCIAL SERVICES ESTIMATING CONFERENCE.--
137	(c)  The Social Services Estimating Conference shall be
138	convened quarterly for the purpose of developing information
139	related to mental health, substance abuse, child welfare, or
140	juvenile justice services needs including, but not limited to,
141	enrollment, caseload, utilization, expenditures, and
142	documentation required under s. 287.0575(3)(d), and that
143	reflects population growth and economic trends.
144	Section 3.  This act shall take effect upon becoming a law.

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