Florida Senate - 2017                          SENATOR AMENDMENT
       Bill No. HB 7117, 1st Eng.
       
       
       
       
       
       
                                Ì449058EÎ449058                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
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                Floor: 1/RE/2R         .                                
             05/03/2017 07:06 PM       .                                
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       Senator Grimsley moved the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Effective October 1, 2018, paragraph (v) is
    6  added to subsection (1) of section 400.141, Florida Statutes, to
    7  read:
    8         400.141 Administration and management of nursing home
    9  facilities.—
   10         (1) Every licensed facility shall comply with all
   11  applicable standards and rules of the agency and shall:
   12         (v) Be prepared to confirm for the agency whether a nursing
   13  home facility resident who is a Medicaid recipient, or whose
   14  Medicaid eligibility is pending, is a candidate for home and
   15  community-based services under s. 409.965(3)(c), no later than
   16  the resident’s 50th consecutive day of residency in the nursing
   17  home facility.
   18         Section 2. Subsection (2) of section 409.912, Florida
   19  Statutes, is amended to read:
   20         409.912 Cost-effective purchasing of health care.—The
   21  agency shall purchase goods and services for Medicaid recipients
   22  in the most cost-effective manner consistent with the delivery
   23  of quality medical care. To ensure that medical services are
   24  effectively utilized, the agency may, in any case, require a
   25  confirmation or second physician’s opinion of the correct
   26  diagnosis for purposes of authorizing future services under the
   27  Medicaid program. This section does not restrict access to
   28  emergency services or poststabilization care services as defined
   29  in 42 C.F.R. s. 438.114. Such confirmation or second opinion
   30  shall be rendered in a manner approved by the agency. The agency
   31  shall maximize the use of prepaid per capita and prepaid
   32  aggregate fixed-sum basis services when appropriate and other
   33  alternative service delivery and reimbursement methodologies,
   34  including competitive bidding pursuant to s. 287.057, designed
   35  to facilitate the cost-effective purchase of a case-managed
   36  continuum of care. The agency shall also require providers to
   37  minimize the exposure of recipients to the need for acute
   38  inpatient, custodial, and other institutional care and the
   39  inappropriate or unnecessary use of high-cost services. The
   40  agency shall contract with a vendor to monitor and evaluate the
   41  clinical practice patterns of providers in order to identify
   42  trends that are outside the normal practice patterns of a
   43  provider’s professional peers or the national guidelines of a
   44  provider’s professional association. The vendor must be able to
   45  provide information and counseling to a provider whose practice
   46  patterns are outside the norms, in consultation with the agency,
   47  to improve patient care and reduce inappropriate utilization.
   48  The agency may mandate prior authorization, drug therapy
   49  management, or disease management participation for certain
   50  populations of Medicaid beneficiaries, certain drug classes, or
   51  particular drugs to prevent fraud, abuse, overuse, and possible
   52  dangerous drug interactions. The Pharmaceutical and Therapeutics
   53  Committee shall make recommendations to the agency on drugs for
   54  which prior authorization is required. The agency shall inform
   55  the Pharmaceutical and Therapeutics Committee of its decisions
   56  regarding drugs subject to prior authorization. The agency is
   57  authorized to limit the entities it contracts with or enrolls as
   58  Medicaid providers by developing a provider network through
   59  provider credentialing. The agency may competitively bid single
   60  source-provider contracts if procurement of goods or services
   61  results in demonstrated cost savings to the state without
   62  limiting access to care. The agency may limit its network based
   63  on the assessment of beneficiary access to care, provider
   64  availability, provider quality standards, time and distance
   65  standards for access to care, the cultural competence of the
   66  provider network, demographic characteristics of Medicaid
   67  beneficiaries, practice and provider-to-beneficiary standards,
   68  appointment wait times, beneficiary use of services, provider
   69  turnover, provider profiling, provider licensure history,
   70  previous program integrity investigations and findings, peer
   71  review, provider Medicaid policy and billing compliance records,
   72  clinical and medical record audits, and other factors. Providers
   73  are not entitled to enrollment in the Medicaid provider network.
   74  The agency shall determine instances in which allowing Medicaid
   75  beneficiaries to purchase durable medical equipment and other
   76  goods is less expensive to the Medicaid program than long-term
   77  rental of the equipment or goods. The agency may establish rules
   78  to facilitate purchases in lieu of long-term rentals in order to
   79  protect against fraud and abuse in the Medicaid program as
   80  defined in s. 409.913. The agency may seek federal waivers
   81  necessary to administer these policies.
   82         (2) The agency may contract with a provider service
   83  network, which may be reimbursed on a fee-for-service or prepaid
   84  basis. Prepaid provider service networks shall receive per
   85  member, per-month payments. A provider service network that does
   86  not choose to be a prepaid plan shall receive fee-for-service
   87  rates with a shared savings settlement. The fee-for-service
   88  option shall be available to a provider service network only for
   89  the first 2 years of the plan’s operation or until the contract
   90  year beginning September 1, 2014, whichever is later. The agency
   91  shall annually conduct cost reconciliations to determine the
   92  amount of cost savings achieved by fee-for-service provider
   93  service networks for the dates of service in the period being
   94  reconciled. Only payments for covered services for dates of
   95  service within the reconciliation period and paid within 6
   96  months after the last date of service in the reconciliation
   97  period shall be included. The agency shall perform the necessary
   98  adjustments for the inclusion of claims incurred but not
   99  reported within the reconciliation for claims that could be
  100  received and paid by the agency after the 6-month claims
  101  processing time lag. The agency shall provide the results of the
  102  reconciliations to the fee-for-service provider service networks
  103  within 45 days after the end of the reconciliation period. The
  104  fee-for-service provider service networks shall review and
  105  provide written comments or a letter of concurrence to the
  106  agency within 45 days after receipt of the reconciliation
  107  results. This reconciliation shall be considered final.
  108         (a) A provider service network that which is reimbursed by
  109  the agency on a prepaid basis shall be exempt from parts I and
  110  III of chapter 641, but must comply with the solvency
  111  requirements in s. 641.2261(2) and meet appropriate financial
  112  reserve, quality assurance, and patient rights requirements as
  113  established by the agency.
  114         (b) A provider service network is a network established or
  115  organized and operated by a health care provider, or group of
  116  affiliated health care providers, which provides a substantial
  117  proportion of the health care items and services under a
  118  contract directly through the provider or affiliated group of
  119  providers and may make arrangements with physicians or other
  120  health care professionals, health care institutions, or any
  121  combination of such individuals or institutions to assume all or
  122  part of the financial risk on a prospective basis for the
  123  provision of basic health services by the physicians, by other
  124  health professionals, or through the institutions. The health
  125  care providers must have a controlling interest in the governing
  126  body of the provider service network organization.
  127         Section 3. Section 409.964, Florida Statutes, is amended to
  128  read:
  129         409.964 Managed care program; state plan; waivers.—The
  130  Medicaid program is established as a statewide, integrated
  131  managed care program for all covered services, including long
  132  term care services as specified under this part. The agency
  133  shall apply for and implement state plan amendments or waivers
  134  of applicable federal laws and regulations necessary to
  135  implement the program, including state plan amendments or
  136  waivers required to implement chapter 2016-109, Laws of Florida.
  137  Before seeking a waiver, the agency shall provide public notice
  138  and the opportunity for public comment and include public
  139  feedback in the waiver application. The agency shall hold one
  140  public meeting in each of the regions described in s.
  141  409.966(2), and the time period for public comment for each
  142  region shall end no sooner than 30 days after the completion of
  143  the public meeting in that region. The agency shall submit any
  144  state plan amendments, new waiver requests, or requests for
  145  extensions or expansions for existing waivers, needed to
  146  implement the managed care program by August 1, 2011.
  147         Section 4. Effective October 1, 2018, section 409.965,
  148  Florida Statutes, is amended to read:
  149         409.965 Mandatory enrollment.—All Medicaid recipients shall
  150  receive covered services through the statewide managed care
  151  program, except as provided by this part pursuant to an approved
  152  federal waiver.
  153         (1) The following Medicaid recipients are exempt from
  154  participation in the statewide managed care program:
  155         (a)(1) Women who are eligible only for family planning
  156  services.
  157         (b)(2) Women who are eligible only for breast and cervical
  158  cancer services.
  159         (c)(3) Persons who are eligible for emergency Medicaid for
  160  aliens.
  161         (2)(a) Persons who are assigned into level of care 1 under
  162  s. 409.983(4) and have resided in a nursing facility for 60 or
  163  more consecutive days are exempt from participation in the long
  164  term care managed care program. For a person who becomes exempt
  165  under this paragraph while enrolled in the long-term care
  166  managed care program, the exemption shall take effect on the
  167  first day of the first month after the person meets the criteria
  168  for the exemption. This paragraph does not affect a person’s
  169  eligibility for the Medicaid managed medical assistance program.
  170         (b) Persons receiving hospice care while residing in a
  171  nursing facility are exempt from participation in the long-term
  172  care managed care program. For a person who becomes exempt under
  173  this paragraph while enrolled in the long-term care managed care
  174  program, the exemption takes effect on the first day of the
  175  first month after the person meets the criteria for the
  176  exemption. This paragraph does not affect a person’s eligibility
  177  for the Medicaid managed medical assistance program.
  178         (3) Notwithstanding subsection (2):
  179         (a) A Medicaid recipient who is otherwise eligible for the
  180  long-term care managed care program, who is 18 years of age or
  181  older, and who is eligible for Medicaid by reason of a
  182  disability is not exempt from the long-term care managed care
  183  program under subsection (2).
  184         (b) A person who is afforded priority enrollment for home
  185  and community-based services under s. 409.979(3)(f) is not
  186  exempt from the long-term care managed care program under
  187  subsection (2).
  188         (c) A nursing facility resident is not exempt from the
  189  long-term care managed care program under paragraph (2)(a) if
  190  the resident has been identified as a candidate for home and
  191  community-based services by the nursing facility administrator
  192  and any long-term care plan case manager assigned to the
  193  resident. Such identification must be made in consultation with
  194  the following persons:
  195         1. The resident or the residents legal representative or
  196  designee;
  197         2. The resident’s personal physician or, if the resident
  198  does not have a personal physician, the facility’s medical
  199  director; and
  200         3. A registered nurse who has participated in developing,
  201  maintaining, or reviewing the individual’s resident care plan as
  202  defined in s. 400.021.
  203         (d) Before determining that a person is exempt from the
  204  long-term care managed care program under paragraph (2)(a), the
  205  agency shall confirm whether the person has been identified as a
  206  candidate for home and community-based services under paragraph
  207  (c). If a nursing facility resident who has been determined
  208  exempt is later identified as a candidate for home and
  209  community-based services, the nursing facility administrator
  210  shall promptly notify the agency. If the agency receives such a
  211  notification, the agency shall make a redetermination regarding
  212  the resident’s exempt status pursuant to paragraph (c).
  213         Section 5. Subsection (2) and paragraphs (a), (d), (e), and
  214  (f) of subsection (3) of section 409.966, Florida Statutes, are
  215  amended to read:
  216         409.966 Eligible plans; selection.—
  217         (2) ELIGIBLE PLAN SELECTION.—The agency shall select a
  218  limited number of eligible plans to participate in the Medicaid
  219  program using invitations to negotiate in accordance with s.
  220  287.057(1)(c). At least 90 days before issuing an invitation to
  221  negotiate, the agency shall compile and publish a databook
  222  consisting of a comprehensive set of utilization and spending
  223  data consistent with actuarial rate-setting practices and
  224  standards for the 3 most recent contract years consistent with
  225  the rate-setting periods for all Medicaid recipients by region
  226  or county. The source of the data in the databook report must
  227  include the 24 most recent months of both historic fee-for
  228  service claims and validated data from the Medicaid Encounter
  229  Data System. The report must be available in electronic form and
  230  delineate utilization use by age, gender, eligibility group,
  231  geographic area, and aggregate clinical risk score. Separate and
  232  simultaneous procurements shall be conducted in each of the
  233  following regions:
  234         (a) Region A Region 1, which consists of Bay, Calhoun,
  235  Escambia, Franklin, Gadsden, Gulf, Holmes, Jackson, Jefferson,
  236  Leon, Liberty, Madison, Okaloosa, Santa Rosa, Taylor, Wakulla,
  237  and Walton, and Washington Counties.
  238         (b) Region B Region 2, which consists of Alachua, Baker,
  239  Bradford, Citrus, Clay, Columbia, Dixie, Duval, Flagler,
  240  Gilchrist, Hamilton, Hernando, Lafayette, Lake, Levy, Marion,
  241  Nassau, Putnam, St. Johns, Sumter, Suwannee, Union, and Volusia
  242  Bay, Calhoun, Franklin, Gadsden, Gulf, Holmes, Jackson,
  243  Jefferson, Leon, Liberty, Madison, Taylor, Wakulla, and
  244  Washington Counties.
  245         (c) Region C Region 3, which consists of Hardee, Highlands,
  246  Hillsborough, Manatee, Pasco, Pinellas, and Polk Alachua,
  247  Bradford, Citrus, Columbia, Dixie, Gilchrist, Hamilton,
  248  Hernando, Lafayette, Lake, Levy, Marion, Putnam, Sumter,
  249  Suwannee, and Union Counties.
  250         (d) Region D Region 4, which consists of Brevard, Orange,
  251  Osceola, and Seminole Baker, Clay, Duval, Flagler, Nassau, St.
  252  Johns, and Volusia Counties.
  253         (e) Region E Region 5, which consists of Charlotte,
  254  Collier, DeSoto, Glades, Hendry, Lee, and Sarasota Pasco and
  255  Pinellas Counties.
  256         (f) Region F Region 6, which consists of Indian River,
  257  Martin, Okeechobee, Palm Beach, and St. Lucie Hardee, Highlands,
  258  Hillsborough, Manatee, and Polk Counties.
  259         (g) Region G Region 7, which consists of Broward County
  260  Brevard, Orange, Osceola, and Seminole Counties.
  261         (h) Region H Region 8, which consists of Miami-Dade and
  262  Monroe Charlotte, Collier, DeSoto, Glades, Hendry, Lee, and
  263  Sarasota Counties.
  264         (i) Region 9, which consists of Indian River, Martin,
  265  Okeechobee, Palm Beach, and St. Lucie Counties.
  266         (j) Region 10, which consists of Broward County.
  267         (k) Region 11, which consists of Miami-Dade and Monroe
  268  Counties.
  269         (3) QUALITY SELECTION CRITERIA.—
  270         (a) The invitation to negotiate must specify the criteria
  271  and the relative weight of the criteria that will be used for
  272  determining the acceptability of the reply and guiding the
  273  selection of the organizations with which the agency negotiates.
  274  The agency shall give preference to plans that propose
  275  establishing a comprehensive long-term care plan. In addition to
  276  criteria established by the agency, the agency shall consider
  277  the following factors in the selection of eligible plans:
  278         1. Accreditation by the National Committee for Quality
  279  Assurance, the Joint Commission, or another nationally
  280  recognized accrediting body.
  281         2. Experience serving similar populations, including the
  282  organization’s record in achieving specific quality standards
  283  with similar populations.
  284         3. Availability and accessibility of primary care and
  285  specialty physicians in the provider network.
  286         4. Establishment of community partnerships with providers
  287  that create opportunities for reinvestment in community-based
  288  services.
  289         5. Organization commitment to quality improvement and
  290  documentation of achievements in specific quality improvement
  291  projects, including active involvement by organization
  292  leadership.
  293         6. Provision of additional benefits, particularly dental
  294  care and disease management, and other initiatives that improve
  295  health outcomes.
  296         7. Evidence that an eligible plan has obtained signed
  297  contracts or written agreements or signed contracts or has made
  298  substantial progress in establishing relationships with
  299  providers before the plan submits submitting a response.
  300         8. Comments submitted in writing by any enrolled Medicaid
  301  provider relating to a specifically identified plan
  302  participating in the procurement in the same region as the
  303  submitting provider.
  304         9. Documentation of policies and procedures for preventing
  305  fraud and abuse.
  306         10. The business relationship an eligible plan has with any
  307  other eligible plan that responds to the invitation to
  308  negotiate.
  309         (d) For the first year of the first contract term, the
  310  agency shall negotiate capitation rates or fee for service
  311  payments with each plan in order to guarantee aggregate savings
  312  of at least 5 percent.
  313         1.For prepaid plans, determination of the amount of
  314  savings shall be calculated by comparison to the Medicaid rates
  315  that the agency paid managed care plans for similar populations
  316  in the same areas in the prior year. In regions containing no
  317  prepaid plans in the prior year, determination of the amount of
  318  savings shall be calculated by comparison to the Medicaid rates
  319  established and certified for those regions in the prior year.
  320         2. For provider service networks operating on a fee-for
  321  service basis, determination of the amount of savings shall be
  322  calculated by comparison to the Medicaid rates that the agency
  323  paid on a fee-for-service basis for the same services in the
  324  prior year.
  325         (d)(e) To ensure managed care plan participation in Regions
  326  A and E Regions 1 and 2, the agency shall award an additional
  327  contract to each plan with a contract award in Region A Region 1
  328  or Region E Region 2. Such contract shall be in any other region
  329  in which the plan submitted a responsive bid and negotiates a
  330  rate acceptable to the agency. If a plan that is awarded an
  331  additional contract pursuant to this paragraph is subject to
  332  penalties pursuant to s. 409.967(2)(i) for activities in Region
  333  A Region 1 or Region E Region 2, the additional contract is
  334  automatically terminated 180 days after the imposition of the
  335  penalties. The plan must reimburse the agency for the cost of
  336  enrollment changes and other transition activities.
  337         (e)(f) The agency may not execute contracts with managed
  338  care plans at payment rates not supported by the General
  339  Appropriations Act.
  340         Section 6. Paragraphs (c) and (j) of subsection (2) of
  341  section 409.967, Florida Statutes, are amended to read:
  342         409.967 Managed care plan accountability.—
  343         (2) The agency shall establish such contract requirements
  344  as are necessary for the operation of the statewide managed care
  345  program. In addition to any other provisions the agency may deem
  346  necessary, the contract must require:
  347         (c) Access.—
  348         1. The agency shall establish specific standards for the
  349  number, type, and regional distribution of providers in managed
  350  care plan networks to ensure access to care for both adults and
  351  children. Each plan must maintain a regionwide network of
  352  providers in sufficient numbers to meet the access standards for
  353  specific medical services for all recipients enrolled in the
  354  plan. The exclusive use of mail-order pharmacies may not be
  355  sufficient to meet network access standards. Consistent with the
  356  standards established by the agency, provider networks may
  357  include providers located outside the region. A plan may
  358  contract with a new hospital facility before the date the
  359  hospital becomes operational if the hospital has commenced
  360  construction, will be licensed and operational by January 1,
  361  2013, and a final order has issued in any civil or
  362  administrative challenge. Each plan shall establish and maintain
  363  an accurate and complete electronic database of contracted
  364  providers, including information about licensure or
  365  registration, locations and hours of operation, specialty
  366  credentials and other certifications, specific performance
  367  indicators, and such other information as the agency deems
  368  necessary. The database must be available online to both the
  369  agency and the public and have the capability to compare the
  370  availability of providers to network adequacy standards and to
  371  accept and display feedback from each provider’s patients. Each
  372  plan shall submit quarterly reports to the agency identifying
  373  the number of enrollees assigned to each primary care provider.
  374  The agency shall conduct, or contract with a third party to
  375  conduct, systematic and ongoing testing of the provider network
  376  databases maintained by each plan to confirm database accuracy,
  377  to confirm that network providers are accepting enrollees, and
  378  to confirm that such enrollees have access to care.
  379         2. Each managed care plan must publish any prescribed drug
  380  formulary or preferred drug list on the plan’s website in a
  381  manner that is accessible to and searchable by enrollees and
  382  providers. The plan must update the list within 24 hours after
  383  making a change. Each plan must ensure that the prior
  384  authorization process for prescribed drugs is readily accessible
  385  to health care providers, including posting appropriate contact
  386  information on its website and providing timely responses to
  387  providers. For Medicaid recipients diagnosed with hemophilia who
  388  have been prescribed anti-hemophilic-factor replacement
  389  products, the agency shall provide for those products and
  390  hemophilia overlay services through the agency’s hemophilia
  391  disease management program.
  392         3. Managed care plans, and their fiscal agents or
  393  intermediaries, must accept prior authorization requests for any
  394  service electronically.
  395         4. Managed care plans serving children in the care and
  396  custody of the Department of Children and Families must maintain
  397  complete medical, dental, and behavioral health encounter
  398  information and participate in making such information available
  399  to the department or the applicable contracted community-based
  400  care lead agency for use in providing comprehensive and
  401  coordinated case management. The agency and the department shall
  402  establish an interagency agreement to provide guidance for the
  403  format, confidentiality, recipient, scope, and method of
  404  information to be made available and the deadlines for
  405  submission of the data. The scope of information available to
  406  the department shall be the data that managed care plans are
  407  required to submit to the agency. The agency shall determine the
  408  plan’s compliance with standards for access to medical, dental,
  409  and behavioral health services; the use of medications; and
  410  followup on all medically necessary services recommended as a
  411  result of early and periodic screening, diagnosis, and
  412  treatment.
  413         (j) Prompt payment.—Managed care plans shall comply with
  414  ss. 641.315, 641.3155, and 641.513, and the agency shall impose
  415  fines, and may impose other sanctions, on a plan that willfully
  416  fails to comply with ss. 641.315, 641.3155, and 641.513 or s.
  417  409.982(5).
  418         Section 7. Effective January 1, 2018, paragraph (p) is
  419  added to subsection (2) of section 409.967, Florida Statutes, to
  420  read:
  421         409.967 Managed care plan accountability.—
  422         (2) The agency shall establish such contract requirements
  423  as are necessary for the operation of the statewide managed care
  424  program. In addition to any other provisions the agency may deem
  425  necessary, the contract must require:
  426         (p) Robust primary care networks.—A health insurer or
  427  health maintenance organization selected as a managed care plan
  428  under this part may not, directly or indirectly, purchase, own,
  429  or otherwise have a controlling interest in any primary care
  430  group or practice in this state.
  431         Section 8. Subsection (2) of section 409.968, Florida
  432  Statutes, is amended to read:
  433         409.968 Managed care plan payments.—
  434         (2) Provider service networks shall may be prepaid plans
  435  and receive per-member, per-month payments negotiated pursuant
  436  to the procurement process described in s. 409.966. Provider
  437  service networks that choose not to be prepaid plans shall
  438  receive fee-for-service rates with a shared savings settlement.
  439  The fee-for-service option shall be available to a provider
  440  service network only for the first 2 years of its operation. The
  441  agency shall annually conduct cost reconciliations to determine
  442  the amount of cost savings achieved by fee-for-service provider
  443  service networks for the dates of service within the period
  444  being reconciled. Only payments for covered services for dates
  445  of service within the reconciliation period and paid within 6
  446  months after the last date of service in the reconciliation
  447  period must be included. The agency shall perform the necessary
  448  adjustments for the inclusion of claims incurred but not
  449  reported within the reconciliation period for claims that could
  450  be received and paid by the agency after the 6-month claims
  451  processing time lag. The agency shall provide the results of the
  452  reconciliations to the fee-for-service provider service networks
  453  within 45 days after the end of the reconciliation period. The
  454  fee-for-service provider service networks shall review and
  455  provide written comments or a letter of concurrence to the
  456  agency within 45 days after receipt of the reconciliation
  457  results. This reconciliation is considered final.
  458         Section 9. Section 409.971, Florida Statutes, is amended to
  459  read:
  460         409.971 Managed medical assistance program.—The agency
  461  shall make payments for primary and acute medical assistance and
  462  related services using a managed care model. By January 1, 2013,
  463  the agency shall begin implementation of the statewide managed
  464  medical assistance program, with full implementation in all
  465  regions by October 1, 2014.
  466         Section 10. Subsections (1) and (2) of section 409.974,
  467  Florida Statutes, are amended to read:
  468         409.974 Eligible plans.—
  469         (1) ELIGIBLE PLAN SELECTION.—The agency shall select
  470  eligible plans for the managed medical assistance program
  471  through the procurement process described in s. 409.966. The
  472  agency shall notice invitations to negotiate no later than
  473  January 1, 2013.
  474         (a) The agency shall procure at least three two plans and
  475  up to four plans for Region A Region 1. At least one plan shall
  476  be a provider service network if any provider service networks
  477  submit a responsive bid.
  478         (b) The agency shall procure at least four plans and up to
  479  eight two plans for Region B Region 2. At least one plan shall
  480  be a provider service network if any provider service networks
  481  submit a responsive bid.
  482         (c) The agency shall procure at least five three plans and
  483  up to 10 five plans for Region C Region 3. At least one plan
  484  must be a provider service network if any provider service
  485  networks submit a responsive bid.
  486         (d) The agency shall procure at least three plans and up to
  487  six five plans for Region D Region 4. At least one plan must be
  488  a provider service network if any provider service networks
  489  submit a responsive bid.
  490         (e) The agency shall procure at least three two plans and
  491  up to four plans for Region E Region 5. At least one plan must
  492  be a provider service network if any provider service networks
  493  submit a responsive bid.
  494         (f) The agency shall procure at least three four plans and
  495  up to five seven plans for Region F Region 6. At least one plan
  496  must be a provider service network if any provider service
  497  networks submit a responsive bid.
  498         (g) The agency shall procure at least three plans and up to
  499  five six plans for Region G Region 7. At least one plan must be
  500  a provider service network if any provider service networks
  501  submit a responsive bid.
  502         (h) The agency shall procure at least five two plans and up
  503  to 10 four plans for Region H Region 8. At least one plan must
  504  be a provider service network if any provider service networks
  505  submit a responsive bid.
  506         (i) The agency shall procure at least two plans and up to
  507  four plans for Region 9. At least one plan must be a provider
  508  service network if any provider service networks submit a
  509  responsive bid.
  510         (j) The agency shall procure at least two plans and up to
  511  four plans for Region 10. At least one plan must be a provider
  512  service network if any provider service networks submit a
  513  responsive bid.
  514         (k) The agency shall procure at least five plans and up to
  515  10 plans for Region 11. At least one plan must be a provider
  516  service network if any provider service networks submit a
  517  responsive bid.
  518  
  519  If no provider service network submits a responsive bid, the
  520  agency shall procure no more than one less than the maximum
  521  number of eligible plans permitted in that region. Within 12
  522  months after the initial invitation to negotiate, the agency
  523  shall attempt to procure a provider service network. The agency
  524  shall notice another invitation to negotiate only with provider
  525  service networks in those regions where no provider service
  526  network has been selected.
  527         (2) QUALITY SELECTION CRITERIA.—In addition to the criteria
  528  established in s. 409.966, the agency shall consider evidence
  529  that an eligible plan has obtained signed contracts or written
  530  agreements or signed contracts or has made substantial progress
  531  in establishing relationships with providers before the plan
  532  submits submitting a response. The agency shall evaluate and
  533  give special weight to evidence of signed contracts with
  534  essential providers as defined by the agency pursuant to s.
  535  409.975(1). The agency shall exercise a preference for plans
  536  with a provider network in which more than over 10 percent of
  537  the providers use electronic health records, as defined in s.
  538  408.051. When all other factors are equal, the agency shall
  539  consider whether the organization has a contract to provide
  540  managed long-term care services in the same region and shall
  541  exercise a preference for such plans.
  542         Section 11. Subsection (1) of section 409.978, Florida
  543  Statutes, is amended to read:
  544         409.978 Long-term care managed care program.—
  545         (1) Pursuant to s. 409.963, the agency shall administer the
  546  long-term care managed care program described in ss. 409.978
  547  409.985, but may delegate specific duties and responsibilities
  548  for the program to the Department of Elderly Affairs and other
  549  state agencies. By July 1, 2012, the agency shall begin
  550  implementation of the statewide long-term care managed care
  551  program, with full implementation in all regions by October 1,
  552  2013.
  553         Section 12. Subsection (1) of section 409.979, Florida
  554  Statutes, is amended to read:
  555         409.979 Eligibility.—
  556         (1) PREREQUISITE CRITERIA FOR ELIGIBILITY.—Medicaid
  557  recipients who meet all of the following criteria are eligible
  558  to receive long-term care services and, unless exempt under s.
  559  409.965, must receive long-term care services by participating
  560  in the long-term care managed care program. The recipient must
  561  be:
  562         (a) Sixty-five years of age or older, or age 18 or older
  563  and eligible for Medicaid by reason of a disability.
  564         (b) Determined by the Comprehensive Assessment Review and
  565  Evaluation for Long-Term Care Services (CARES) preadmission
  566  screening program to require nursing facility care as defined in
  567  s. 409.985(3).
  568         Section 13. Subsection (2) and paragraphs (c), (d), and (e)
  569  of subsection (3) of section 409.981, Florida Statutes, are
  570  amended to read:
  571         409.981 Eligible long-term care plans.—
  572         (2) ELIGIBLE PLAN SELECTION.—The agency shall select
  573  eligible plans for the long-term care managed care program
  574  through the procurement process described in s. 409.966. The
  575  agency shall procure:
  576         (a) At least three two plans and up to four plans for
  577  Region A Region 1. At least one plan must be a provider service
  578  network if any provider service networks submit a responsive
  579  bid.
  580         (b) At least three Two plans and up to six plans for Region
  581  B Region 2. At least one plan must be a provider service network
  582  if any provider service networks submit a responsive bid.
  583         (c) At least five three plans and up to eight five plans
  584  for Region C Region 3. At least one plan must be a provider
  585  service network if any provider service networks submit a
  586  responsive bid.
  587         (d) At least three plans and up to six five plans for
  588  Region D Region 4. At least one plan must be a provider service
  589  network if any provider service network submits a responsive
  590  bid.
  591         (e) At least three two plans and up to four plans for
  592  Region E Region 5. At least one plan must be a provider service
  593  network if any provider service networks submit a responsive
  594  bid.
  595         (f) At least three four plans and up to five seven plans
  596  for Region F Region 6. At least one plan must be a provider
  597  service network if any provider service networks submit a
  598  responsive bid.
  599         (g) At least three plans and up to four six plans for
  600  Region G Region 7. At least one plan must be a provider service
  601  network if any provider service networks submit a responsive
  602  bid.
  603         (h) At least five two plans and up to 10 four plans for
  604  Region H Region 8. At least one plan must be a provider service
  605  network if any provider service networks submit a responsive
  606  bid.
  607         (i) At least two plans and up to four plans for Region 9.
  608  At least one plan must be a provider service network if any
  609  provider service networks submit a responsive bid.
  610         (j) At least two plans and up to four plans for Region 10.
  611  At least one plan must be a provider service network if any
  612  provider service networks submit a responsive bid.
  613         (k) At least five plans and up to 10 plans for Region 11.
  614  At least one plan must be a provider service network if any
  615  provider service networks submit a responsive bid.
  616  
  617  If no provider service network submits a responsive bid in a
  618  region other than Region 1 or Region 2, the agency shall procure
  619  no more than one less than the maximum number of eligible plans
  620  permitted in that region. Within 12 months after the initial
  621  invitation to negotiate, the agency shall attempt to procure a
  622  provider service network. The agency shall notice another
  623  invitation to negotiate only with provider service networks in
  624  regions where no provider service network has been selected.
  625         (3) QUALITY SELECTION CRITERIA.—In addition to the criteria
  626  established in s. 409.966, the agency shall consider the
  627  following factors in the selection of eligible plans:
  628         (c) Whether a plan is proposing to establish a
  629  comprehensive long-term care plan and whether the eligible plan
  630  has a contract to provide managed medical assistance services in
  631  the same region.
  632         (c)(d) Whether a plan offers consumer-directed care
  633  services to enrollees pursuant to s. 409.221.
  634         (d)(e) Whether a plan is proposing to provide home and
  635  community-based services in addition to the minimum benefits
  636  required by s. 409.98.
  637         Section 14. Subsections (1) and (2) of section 409.982,
  638  Florida Statutes, are amended to read:
  639         409.982 Long-term care managed care plan accountability.—In
  640  addition to the requirements of s. 409.967, plans and providers
  641  participating in the long-term care managed care program must
  642  comply with the requirements of this section.
  643         (1) PROVIDER NETWORKS.—Managed care plans may limit the
  644  providers in their networks based on credentials, quality
  645  indicators, and price. For the first 12 months of a contract
  646  period following a procurement for the long-term care managed
  647  care program under s. 409.981, if a plan has been period between
  648  October 1, 2013, and September 30, 2014, each selected for a
  649  region encompassing a county that the plan was not serving
  650  immediately prior to the procurement, the plan must offer a
  651  network contract to all nursing homes in that county which meet
  652  the recredentialing requirements and to all hospices in that
  653  county which meet the credentialing requirements specified in
  654  the plan’s contract with the agency the following providers in
  655  the region:
  656         (a) Nursing homes.
  657         (b) Hospices.
  658         (c) Aging network service providers that have previously
  659  participated in home and community-based waivers serving elders
  660  or community-service programs administered by the Department of
  661  Elderly Affairs. After a provider specified in this subsection
  662  has actively participated in a managed care plan’s network for
  663  12 months of active participation in a managed care plan’s
  664  network, the plan may exclude the provider any of the providers
  665  named in this subsection from the plan’s network for failure to
  666  meet quality or performance criteria. If a the plan excludes a
  667  provider from its network under this subsection the plan, the
  668  plan must provide written notice to all recipients who have
  669  chosen that provider for care. The notice must be provided at
  670  least 30 days before the effective date of the exclusion. The
  671  agency shall establish contract provisions governing the
  672  transfer of recipients from excluded residential providers. The
  673  agency shall require a plan that excludes a provider from its
  674  network or that fails to renew the plan’s contract with a
  675  provider under this subsection to report to the agency the
  676  quality or performance criteria the plan used in deciding to
  677  exclude the provider and to demonstrate how the provider failed
  678  to meet those criteria.
  679         (2) SELECT PROVIDER PARTICIPATION.—Except as provided in
  680  this subsection, providers may limit the managed care plans they
  681  join. Nursing homes and hospices that are enrolled Medicaid
  682  providers must participate in all eligible plans selected by the
  683  agency in the region in which the provider is located, with the
  684  exception of plans from which the provider has been excluded
  685  under subsection (1).
  686         Section 15. Section 456.0625, Florida Statutes, is created
  687  to read:
  688         456.0625 Direct primary care agreements.—
  689         (1) As used in this section, the term:
  690         (a) “Direct primary care agreement” means a contract
  691  between a primary care provider and a patient, the patient’s
  692  legal representative, or an employer which meets the
  693  requirements specified under subsection (3) and which does not
  694  indemnify for services provided by a third party.
  695         (b) “Primary care provider” means a health care
  696  practitioner licensed under chapter 458, chapter 459, chapter
  697  460, or chapter 464 or a primary care group practice that
  698  provides medical services to patients which are commonly
  699  provided without referral from another health care provider.
  700         (c) “Primary care service” means the screening, assessment,
  701  diagnosis, and treatment of a patient for the purpose of
  702  promoting health or detecting and managing disease or injury
  703  within the competency and training of the primary care provider.
  704         (2) A primary care provider or an agent of the primary care
  705  provider may enter into a direct primary care agreement for
  706  providing primary care services. Section 624.27 applies to a
  707  direct primary care agreement.
  708         (3)A direct primary care agreement must:
  709         (a) Be in writing.
  710         (b) Be signed by the primary care provider or an agent of
  711  the primary care provider and the patient, the patient’s legal
  712  representative, or an employer.
  713         (c) Allow a party to terminate the agreement by giving the
  714  other party at least 30 days’ advance written notice. The
  715  agreement may provide for immediate termination due to a
  716  violation of the physician-patient relationship or a breach of
  717  the terms of the agreement.
  718         (d) Describe the scope of primary care services that are
  719  covered by the monthly fee.
  720         (e) Specify the monthly fee and any fees for primary care
  721  services not covered by the monthly fee.
  722         (f) Specify the duration of the agreement and any automatic
  723  renewal provisions.
  724         (g) Offer a refund to the patient of monthly fees paid in
  725  advance if the primary care provider ceases to offer primary
  726  care services for any reason.
  727         (h) Contain, in contrasting color and in not less than 12
  728  point type, the following statements on the same page as the
  729  applicant’s signature:
  730         1. This agreement is not health insurance, and the primary
  731  care provider will not file any claims against the patient’s
  732  health insurance policy or plan for reimbursement of any primary
  733  care services covered by this agreement.
  734         2. This agreement does not qualify as minimum essential
  735  coverage to satisfy the individual shared responsibility
  736  provision of the federal Patient Protection and Affordable Care
  737  Act, Pub. L. No. 111-148.
  738         3. This agreement is not workers’ compensation insurance
  739  and may not replace the employer’s obligations under chapter
  740  440, Florida Statutes.
  741         Section 16. Section 624.27, Florida Statutes, is created to
  742  read:
  743         624.27 Application of code as to direct primary care
  744  agreements.—
  745         (1) A direct primary care agreement, as defined in s.
  746  456.0625, does not constitute insurance and is not subject to
  747  any chapter of the Florida Insurance Code. The act of entering
  748  into a direct primary care agreement does not constitute the
  749  business of insurance and is not subject to any chapter of the
  750  Florida Insurance Code.
  751         (2) A primary care provider or an agent of a primary care
  752  provider is not required to obtain a certificate of authority or
  753  license under any chapter of the Florida Insurance Code to
  754  market, sell, or offer to sell a direct primary care agreement
  755  pursuant to s. 456.0625.
  756         Section 17. Except as otherwise provided in this act, this
  757  act shall take effect July 1, 2017.
  758  
  759  ================= T I T L E  A M E N D M E N T ================
  760  And the title is amended as follows:
  761         Delete everything before the enacting clause
  762  and insert:
  763                        A bill to be entitled                      
  764         An act relating to health care services; amending s.
  765         400.141, F.S.; requiring that nursing home facilities
  766         be prepared to provide confirmation within a specified
  767         timeframe to the Agency for Health Care Administration
  768         as to whether certain nursing home facility residents
  769         are candidates for certain services; amending s.
  770         409.912, F.S.; deleting the fee-for-service option as
  771         a basis for the reimbursement of Medicaid provider
  772         service networks; amending s. 409.964, F.S.; providing
  773         that covered services for long-term care under the
  774         Medicaid managed care program are those specified in
  775         part IV of ch. 409, F.S.; requiring the agency to
  776         apply for and implement state plan amendments or
  777         waivers of applicable federal laws in order to
  778         implement specified Florida law; deleting an obsolete
  779         provision; amending s. 409.965, F.S.; providing that
  780         certain residents of nursing facilities are exempt
  781         from participation in the long-term care managed care
  782         program; providing for application of the exemption;
  783         providing that eligibility for the Medicaid managed
  784         medical assistance program is not affected by such
  785         provisions; providing conditions under which the
  786         exemption does not apply; requiring the agency to
  787         confirm whether certain persons have been identified
  788         as candidates for home and community-based services;
  789         requiring a certain notice to the agency by nursing
  790         facility administrators; amending s. 409.966, F.S.;
  791         requiring that a required databook consist of data
  792         that is consistent with actuarial rate-setting
  793         practices and standards; requiring that the source of
  794         such data include the 24 most recent months of
  795         validated data from the Medicaid Encounter Data
  796         System; deleting provisions relating to a report and
  797         report requirements; revising the designation and
  798         county makeup of regions of the state for purposes of
  799         procuring health plans that may participate in the
  800         Medicaid program; adding a factor that the agency must
  801         consider in the selection of eligible plans; deleting
  802         a provision for certain additional benefits to receive
  803         particular consideration; deleting an obsolete
  804         provision; amending s. 409.967, F.S.; requiring the
  805         agency to test provider network databases maintained
  806         by Medicaid managed care plans; requiring the agency
  807         to impose fines, and authorizing the agency to impose
  808         other sanctions, on plans that fail to comply with
  809         certain claim payment requirements; prohibiting
  810         certain health insurers or health maintenance
  811         organizations from owning or having a controlling
  812         interest in any primary care group or practice in the
  813         state; amending s. 409.968, F.S.; requiring provider
  814         service networks to be prepaid plans; deleting a fee
  815         for-service option for Medicaid reimbursement for
  816         provider service networks; amending s. 409.971, F.S.;
  817         deleting an obsolete provision; amending s. 409.974,
  818         F.S.; revising the number of eligible Medicaid health
  819         care plans the agency must procure for certain regions
  820         in the state; deleting provisions that require the
  821         agency to issue an invitation to negotiate under
  822         certain circumstances; deleting preference for certain
  823         plans; deleting an obsolete provision; amending s.
  824         409.978, F.S.; deleting an obsolete provision;
  825         amending s. 409.979, F.S.; providing that certain
  826         exempt Medicaid recipients are not required to receive
  827         long-term care services through the long-term care
  828         managed care program; amending s. 409.981, F.S.;
  829         revising the number of eligible Medicaid health care
  830         plans the agency must procure for certain regions in
  831         the state; deleting provisions that require the agency
  832         to issue an invitation to negotiate under certain
  833         circumstances; deleting a requirement that the agency
  834         consider a specific factor relating to the selection
  835         of managed medical assistance plans; amending s.
  836         409.982, F.S.; revising parameters under which a long
  837         term care managed care plan must contract with nursing
  838         homes and hospices; specifying that the agency must
  839         require certain plans to report information on the
  840         quality or performance criteria used in making a
  841         certain determination; creating s. 456.0625, F.S.;
  842         defining terms; authorizing primary care providers or
  843         their agents to enter into direct primary care
  844         agreements for providing primary care services;
  845         providing applicability; specifying requirements for
  846         direct primary care agreements; creating s. 624.27,
  847         F.S.; providing construction and applicability of the
  848         Florida Insurance Code as to direct primary care
  849         agreements; providing an exception for primary care
  850         providers or their agents from certain requirements
  851         under the code under certain circumstances; providing
  852         effective dates.