Florida Senate - 2025                             CS for SB 1490
       
       
        
       By the Committee on Health Policy; and Senator Harrell
       
       
       
       
       
       588-03165-25                                          20251490c1
    1                        A bill to be entitled                      
    2         An act relating to the Children’s Medical Services
    3         program; transferring operation of the Children’s
    4         Medical Services Managed Care Plan from the Department
    5         of Health to the Agency for Health Care
    6         Administration, effective on a specified date;
    7         providing construction as to judicial and
    8         administrative actions pending as of a specified date
    9         and time; requiring the department’s Children’s
   10         Medical Services (CMS) program to collaborate with the
   11         agency in the care of children and youth with special
   12         health care needs; requiring the CMS program to
   13         conduct certain clinical eligibility screenings and
   14         provide ongoing consultation to the agency for a
   15         specified purpose; amending s. 409.974, F.S.;
   16         requiring the CMS program to transfer operation of
   17         certain managed care contracts from the department to
   18         the agency effective on a specified date; requiring
   19         the CMS program to conduct clinical eligibility
   20         screening for certain children and youth with special
   21         health care needs; requiring the program to provide
   22         ongoing consultation to the agency for a specified
   23         purpose; requiring the agency to establish specific
   24         measures for evaluation of services provided to
   25         children and youth with special health care needs;
   26         requiring the agency to contract with an independent
   27         evaluator to conduct the evaluation of services
   28         provided; specifying requirements for the evaluation;
   29         requiring the agency to submit the results of the
   30         evaluation to the Governor and the Legislature by a
   31         specified date; amending s. 391.016, F.S.; revising
   32         the purposes and functions of the CMS program;
   33         amending s. 391.021, F.S.; revising definitions;
   34         amending s. 391.025, F.S.; revising the scope of the
   35         CMS program; amending s. 391.026, F.S.; revising the
   36         powers and duties of the department to conform to
   37         changes made by the act; providing for the future
   38         repeal of s. 391.026(8) through (11), F.S., relating
   39         to the department’s oversight and administration of
   40         the CMS program; repealing s. 391.028, F.S., relating
   41         to administration of the program; amending s. 391.029,
   42         F.S.; revising program eligibility requirements;
   43         conforming provisions to changes made by the act;
   44         amending s. 391.0315, F.S.; conforming provisions to
   45         changes made by the act; providing for future repeal
   46         of specified provisions; repealing ss. 391.035,
   47         391.037, 391.045, 391.047, 391.055, and 391.071, F.S.,
   48         relating to provider qualifications, physicians and
   49         private sector services, provider reimbursements,
   50         third-party payments, service delivery systems under
   51         the program, and quality of care requirements,
   52         respectively; amending s. 391.097, F.S.; conforming a
   53         provision to changes made by the act; repealing part
   54         II of ch. 391, F.S., consisting of ss. 391.221 and
   55         391.223, F.S., relating to Children’s Medical Services
   56         councils and panels; amending ss. 409.166, 409.811,
   57         409.813, 409.8134, 409.814, 409.815, 409.8177,
   58         409.818, 409.912, 409.9126, 409.9131, 409.920, and
   59         409.962, F.S.; conforming provisions to changes made
   60         by the act; requiring the agency to develop a
   61         comprehensive plan to redesign the Florida Medicaid
   62         Model Waiver for home and community-based services to
   63         include children who receive private duty nursing
   64         services; providing requirements for the redesign of
   65         the waiver plan; requiring the agency to submit a
   66         report to the Governor and the Legislature by a
   67         specified date; providing requirements for the report;
   68         providing effective dates.
   69          
   70  Be It Enacted by the Legislature of the State of Florida:
   71  
   72         Section 1. Transfer of operation of the Children’s Medical
   73  Services Managed Care Plan.—
   74         (1)Effective July 1, 2025, all statutory powers, duties,
   75  functions, records, personnel, pending issues, existing
   76  contracts, administrative authority, administrative rules, and
   77  unexpended balances of appropriations, allocations, and other
   78  funds for the operation of the Department of Health’s Children’s
   79  Medical Services Managed Care Plan are transferred to the Agency
   80  for Health Care Administration.
   81         (2)The transfer of operations of the Children’s Medical
   82  Services Managed Care Plan does not affect the validity of any
   83  judicial or administrative action pending as of 11:59 p.m. on
   84  the day before the effective date of the transfer to which the
   85  Department of Health’s Children’s Medical Services Managed Care
   86  Plan is at that time a party, and the Agency for Health Care
   87  Administration shall be substituted as a party in interest in
   88  any such action.
   89         (3)The Department of Health’s Children’s Medical Services
   90  program shall collaborate with the Agency for Health Care
   91  Administration in the care of children and youth with special
   92  health care needs. The Department of Health’s Children’s Medical
   93  Services program shall do all of the following:
   94         (a)Conduct clinical eligibility screening for children and
   95  youth with special health care needs who are eligible for or
   96  enrolled in Medicaid or the Children’s Health Insurance Program.
   97         (b)Provide ongoing consultation to the Agency for Health
   98  Care Administration to ensure high-quality, family-centered,
   99  coordinated health services within an effective system of care
  100  for children and youth with special health care needs.
  101         Section 2. Subsection (4) of section 409.974, Florida
  102  Statutes, is amended to read:
  103         409.974 Eligible plans.—
  104         (4) CHILDREN’S MEDICAL SERVICES NETWORK.—
  105         (a)The Department of Health’s Children’s Medical Services
  106  program shall do all of the following:
  107         1.Effective July 1, 2025, transfer to the agency the
  108  operation of managed care contracts procured by the department
  109  for Medicaid and Children’s Health Insurance Program services
  110  provided to children and youth with special health care needs
  111  who are enrolled in the Children’s Medical Services Managed Care
  112  Plan.
  113         2.Conduct clinical eligibility screening for children and
  114  youth with special health care needs who are eligible for or are
  115  enrolled in Medicaid or the Children’s Health Insurance Program.
  116         3.Provide ongoing consultation to the agency to ensure
  117  high-quality, family-centered, coordinated health services are
  118  provided within an effective system of care for children and
  119  youth with special health care needs.
  120         (b)The agency shall establish specific measures of access,
  121  quality, and costs of providing health care services to children
  122  and youth with special health care needs. The agency shall
  123  contract with an independent evaluator to conduct an evaluation
  124  of services provided. The evaluation must include, but need not
  125  be limited to, all of the following:
  126         1.A performance comparison of plans contracted to provide
  127  services to children and youth with special health care needs as
  128  well as plans contracted to serve a broader population of
  129  Managed Medical Assistance enrollees. The performance comparison
  130  must be based on the measures established by the agency and
  131  differentiated based on the age and medical condition or
  132  diagnosis of patients receiving services under each plan.
  133         2.For each plan, an assessment of cost savings, patient
  134  choice, access to services, coordination of care, person
  135  centered planning, health and quality-of-life outcomes, patient
  136  and provider satisfaction, and provider networks and quality of
  137  care.
  138  
  139  The agency shall submit the results of the evaluation to the
  140  Governor, the President of the Senate, and the Speaker of the
  141  House of Representatives by January 15, 2028 Participation by
  142  the Children’s Medical Services Network shall be pursuant to a
  143  single, statewide contract with the agency that is not subject
  144  to the procurement requirements or regional plan number limits
  145  of this section. The Children’s Medical Services Network must
  146  meet all other plan requirements for the managed medical
  147  assistance program.
  148         Section 3. Subsection (1) of section 391.016, Florida
  149  Statutes, is amended to read:
  150         391.016 Purposes and functions.—The Children’s Medical
  151  Services program is established for the following purposes and
  152  authorized to perform the following functions:
  153         (1) Provide to children and youth with special health care
  154  needs a family-centered, comprehensive, and coordinated
  155  statewide managed system of care that links community-based
  156  health care with multidisciplinary, regional, and tertiary
  157  pediatric specialty care. The program shall coordinate and
  158  maintain a consistent medical home for participating children.
  159         Section 4. Subsections (1), (2), and (4) of section
  160  391.021, Florida Statutes, are reordered and amended to read:
  161         391.021 Definitions.—When used in this act, the term:
  162         (2)(1) “Children’s Medical Services Managed Care Plan
  163  network” or “plan network” means a statewide managed care
  164  service system that includes health care providers, as defined
  165  in this section.
  166         (1)(2) “Children and youth with special health care needs”
  167  means those children and youth younger than 21 years of age who
  168  have chronic and serious physical, developmental, behavioral, or
  169  emotional conditions and who require health care and related
  170  services of a type or amount beyond that which is generally
  171  required by children and youth.
  172         (4) “Eligible individual” means a child or youth with a
  173  special health care need or a female with a high-risk pregnancy,
  174  who meets the financial and medical eligibility standards
  175  established in s. 391.029.
  176         Section 5. Subsection (1) of section 391.025, Florida
  177  Statutes, is amended to read:
  178         391.025 Applicability and scope.—
  179         (1) The Children’s Medical Services program consists of the
  180  following components:
  181         (a) The newborn screening program established in s. 383.14
  182  and the newborn, infant, and toddler hearing screening program
  183  established in s. 383.145.
  184         (b) The regional perinatal intensive care centers program
  185  established in ss. 383.15-383.19.
  186         (c) The developmental evaluation and intervention program,
  187  including the Early Steps Program established in ss. 391.301
  188  391.308.
  189         (d) The Children’s Medical Services Managed Care Plan
  190  through the end of June 30, 2025 network.
  191         (e)The Children’s Multidisciplinary Assessment Team.
  192         (f)The Medical Foster Care Program.
  193         (g)The Title V Children and Youth with Special Health Care
  194  Needs program.
  195         (h)The Safety Net Program.
  196         (i)Child Protection Teams and sexual abuse treatment
  197  programs established under s. 39.303.
  198         (j)The State Child Abuse Death Review Committee and local
  199  child abuse death review committees established in s. 383.402.
  200         Section 6. Section 391.026, Florida Statutes, is amended to
  201  read:
  202         391.026 Powers and duties of the department.—The department
  203  shall have the following powers, duties, and responsibilities:
  204         (1) To provide or contract for the provision of health
  205  services to eligible individuals.
  206         (2) To provide services to abused and neglected children
  207  through Child Protection Teams pursuant to s. 39.303.
  208         (3) To determine the medical and financial eligibility of
  209  individuals seeking health services from the program.
  210         (4) To coordinate a comprehensive delivery system for
  211  eligible individuals to take maximum advantage of all available
  212  funds.
  213         (5) To coordinate with programs relating to children’s
  214  medical services in cooperation with other public and private
  215  agencies.
  216         (6) To initiate and coordinate applications to federal
  217  agencies and private organizations for funds, services, or
  218  commodities relating to children’s medical programs.
  219         (7) To sponsor or promote grants for projects, programs,
  220  education, or research in the field of children and youth with
  221  special health care needs, with an emphasis on early diagnosis
  222  and treatment.
  223         (8) To oversee and operate the Children’s Medical Services
  224  Managed Care Plan through the end of June 30, 2025 network.
  225         (9) To establish reimbursement mechanisms for the
  226  Children’s Medical Services network.
  227         (10)To establish Children’s Medical Services network
  228  standards and credentialing requirements for health care
  229  providers and health care services.
  230         (11)To serve as a provider and principal case manager for
  231  children with special health care needs under Titles XIX and XXI
  232  of the Social Security Act.
  233         (12) To monitor the provision of health services in the
  234  program, including the utilization and quality of health
  235  services.
  236         (10)(13) To administer the Children and Youth with Special
  237  Health Care Needs program in accordance with Title V of the
  238  Social Security Act.
  239         (14)To establish and operate a grievance resolution
  240  process for participants and health care providers.
  241         (15)To maintain program integrity in the Children’s
  242  Medical Services program.
  243         (11)(16) To receive and manage health care premiums,
  244  capitation payments, and funds from federal, state, local, and
  245  private entities for the program. The department may contract
  246  with a third-party administrator for processing claims,
  247  monitoring medical expenses, and other related services
  248  necessary to the efficient and cost-effective operation of the
  249  Children’s Medical Services Managed Care Plan through the end of
  250  June 30, 2025 network. The department is authorized to maintain
  251  a minimum reserve for the Children’s Medical Services network in
  252  an amount that is the greater of:
  253         (a)Ten percent of total projected expenditures for Title
  254  XIX-funded and Title XXI-funded children; or
  255         (b)Two percent of total annualized payments from the
  256  Agency for Health Care Administration for Title XIX and Title
  257  XXI of the Social Security Act.
  258         (12)(17) To provide or contract for peer review and other
  259  quality-improvement activities.
  260         (13)(18) To adopt rules pursuant to ss. 120.536(1) and
  261  120.54 to administer the Children’s Medical Services Act.
  262         (14)(19) To serve as the lead agency in administering the
  263  Early Steps Program pursuant to part C of the federal
  264  Individuals with Disabilities Education Act and part III of this
  265  chapter.
  266         (15)To administer the Medical Foster Care Program,
  267  including all of the following:
  268         (a)Recruitment, training, assessment, and monitoring for
  269  the Medical Foster Care Program.
  270         (b)Monitoring access and facilitating admissions of
  271  eligible children and youth to the program and designated
  272  medical foster care homes.
  273         (c)Coordination with the Department of Children and
  274  Families and the Agency for Health Care Administration or their
  275  designees.
  276         Section 7. Effective July 1, 2025, subsections (8) through
  277  (11) of section 391.026, Florida Statutes, as amended by this
  278  act, are repealed.
  279         Section 8. Effective July 1, 2025, section 391.028, Florida
  280  Statutes, is repealed.
  281         Section 9. Subsections (2) and (3) of section 391.029,
  282  Florida Statutes, are amended to read:
  283         391.029 Program eligibility.—
  284         (2) The following individuals are eligible to receive
  285  services through the program:
  286         (a) Related to the regional perinatal intensive care
  287  centers, a high-risk pregnant female who is enrolled in
  288  Medicaid.
  289         (b) Children and youth with serious special health care
  290  needs from birth to 21 years of age who are enrolled in
  291  Medicaid.
  292         (c) Children and youth with serious special health care
  293  needs from birth to 19 years of age who are enrolled in a
  294  program under Title XXI of the Social Security Act.
  295         (3) Subject to the availability of funds, the following
  296  individuals may receive services through the Children’s Medical
  297  Services Safety Net program:
  298         (a) Children and youth with serious special health care
  299  needs from birth to 21 years of age who do not qualify for
  300  Medicaid or Title XXI of the Social Security Act but who are
  301  unable to access, due to lack of providers or lack of financial
  302  resources, specialized services that are medically necessary or
  303  essential family support services. Families shall participate
  304  financially in the cost of care based on a sliding fee scale
  305  established by the department.
  306         (b) Children and youth with special health care needs from
  307  birth to 21 years of age, as provided in Title V of the Social
  308  Security Act.
  309         (c) An infant who receives an award of compensation under
  310  s. 766.31(1). The Florida Birth-Related Neurological Injury
  311  Compensation Association shall reimburse the Children’s Medical
  312  Services Network the state’s share of funding, which must
  313  thereafter be used to obtain matching federal funds under Title
  314  XXI of the Social Security Act.
  315         Section 10. Section 391.0315, Florida Statutes, is amended
  316  to read:
  317         391.0315 Benefits.—Benefits provided under the Children’s
  318  Medical Services Managed Care Plan program for children with
  319  special health care needs shall be equivalent to benefits
  320  provided to children as specified in ss. 409.905 and 409.906.
  321  The department may offer additional benefits through Children’s
  322  Medical Services programs for early intervention services,
  323  respite services, genetic testing, genetic and nutritional
  324  counseling, and parent support services, if such services are
  325  determined to be medically necessary. This section is repealed
  326  on January 1, 2026.
  327         Section 11. Section 391.035, Florida Statutes, is repealed.
  328         Section 12. Effective January 1, 2026, section 391.037,
  329  Florida Statutes, is repealed.
  330         Section 13. Section 391.045, Florida Statutes, is repealed.
  331         Section 14. Effective January 1, 2026, section 391.047,
  332  Florida Statutes, is repealed.
  333         Section 15. Effective January 1, 2026, section 391.055,
  334  Florida Statutes, is repealed.
  335         Section 16. Effective January 1, 2026, section 391.071,
  336  Florida Statutes, is repealed.
  337         Section 17. Section 391.097, Florida Statutes, is amended
  338  to read:
  339         391.097 Research and evaluation.—
  340         (1) The department may initiate, fund, and conduct research
  341  and evaluation projects to improve the delivery of children’s
  342  medical services. The department may cooperate with public and
  343  private agencies engaged in work of a similar nature.
  344         (2)The Children’s Medical Services network shall be
  345  included in any evaluation conducted in accordance with the
  346  provisions of Title XXI of the Social Security Act as enacted by
  347  the Legislature.
  348         Section 18. Part II of chapter 391, Florida Statutes,
  349  consisting of ss. 391.221 and 391.223, Florida Statutes, is
  350  repealed, and part III of that chapter is redesignated as part
  351  II.
  352         Section 19. Effective July 1, 2025, paragraph (b) of
  353  subsection (5) of section 409.166, Florida Statutes, is amended
  354  to read:
  355         409.166 Children within the child welfare system; adoption
  356  assistance program.—
  357         (5) ELIGIBILITY FOR SERVICES.—
  358         (b) A child who is handicapped at the time of adoption is
  359  shall be eligible for services through a plan under contract
  360  with the agency to serve children and youth with special heath
  361  care needs the Children’s Medical Services network established
  362  under part I of chapter 391 if the child was eligible for such
  363  services before prior to the adoption.
  364         Section 20. Effective July 1, 2025, subsection (7) of
  365  section 409.811, Florida Statutes, is amended to read:
  366         409.811 Definitions relating to Florida Kidcare Act.—As
  367  used in ss. 409.810-409.821, the term:
  368         (7)“Children’s Medical Services Network” or “network”
  369  means a statewide managed care service system as defined in s.
  370  391.021(1).
  371         Section 21. Effective July 1, 2025, subsection (1) of
  372  section 409.813, Florida Statutes, is amended to read:
  373         409.813 Health benefits coverage; program components;
  374  entitlement and nonentitlement.—
  375         (1) The Florida Kidcare program includes health benefits
  376  coverage provided to children through the following program
  377  components, which shall be marketed as the Florida Kidcare
  378  program:
  379         (a) Medicaid;
  380         (b) Medikids as created in s. 409.8132;
  381         (c) The Florida Healthy Kids Corporation as created in s.
  382  624.91;
  383         (d) Employer-sponsored group health insurance plans
  384  approved under ss. 409.810-409.821; and
  385         (e) Plans under contract with the agency to serve children
  386  and youth with special health care needs The Children’s Medical
  387  Services network established in chapter 391.
  388         Section 22. Effective July 1, 2025, subsection (3) of
  389  section 409.8134, Florida Statutes, is amended to read:
  390         409.8134 Program expenditure ceiling; enrollment.—
  391         (3) Upon determination by the Social Services Estimating
  392  Conference that there are insufficient funds to finance the
  393  current enrollment in the Florida Kidcare program within current
  394  appropriations, the program shall initiate disenrollment
  395  procedures to remove enrollees, except those children enrolled
  396  in a plan under contract with the agency to serve children with
  397  special health care needs the Children’s Medical Services
  398  Network, on a last-in, first-out basis until the expenditure and
  399  appropriation levels are balanced.
  400         Section 23. Subsection (3) and paragraph (c) of subsection
  401  (10) of section 409.814, Florida Statutes, are amended to read:
  402         409.814 Eligibility.—A child who has not reached 19 years
  403  of age whose family income is equal to or below 300 percent of
  404  the federal poverty level is eligible for the Florida Kidcare
  405  program as provided in this section. If an enrolled individual
  406  is determined to be ineligible for coverage, he or she must be
  407  immediately disenrolled from the respective Florida Kidcare
  408  program component.
  409         (3) A Title XXI-funded child who is eligible for the
  410  Florida Kidcare program who is a child with special health care
  411  needs, as determined through a medical or behavioral screening
  412  instrument, is eligible for health benefits coverage from and
  413  shall be assigned to and may opt out of a plan under contract
  414  with the agency to serve children with special health care needs
  415  the Children’s Medical Services Network.
  416         (10) In determining the eligibility of a child, an assets
  417  test is not required. If eligibility for the Florida Kidcare
  418  program cannot be verified using reliable data sources in
  419  accordance with federal requirements, each applicant shall
  420  provide documentation during the application process and the
  421  redetermination process, including, but not limited to, the
  422  following:
  423         (c) To enroll in a plan under contract with the agency to
  424  service children with special health care needs the Children’s
  425  Medical Services Network, a completed application, including a
  426  Children’s Medical Services clinical screening.
  427         Section 24. Effective July 1, 2025, paragraph (t) of
  428  subsection (2) of section 409.815, Florida Statutes, is amended
  429  to read:
  430         409.815 Health benefits coverage; limitations.—
  431         (2) BENCHMARK BENEFITS.—In order for health benefits
  432  coverage to qualify for premium assistance payments for an
  433  eligible child under ss. 409.810-409.821, the health benefits
  434  coverage, except for coverage under Medicaid and Medikids, must
  435  include the following minimum benefits, as medically necessary.
  436         (t) Enhancements to minimum requirements.—
  437         1. This section sets the minimum benefits that must be
  438  included in any health benefits coverage, other than Medicaid or
  439  Medikids coverage, offered under ss. 409.810-409.821. Health
  440  benefits coverage may include additional benefits not included
  441  under this subsection, but may not include benefits excluded
  442  under paragraph (r).
  443         2. Health benefits coverage may extend any limitations
  444  beyond the minimum benefits described in this section.
  445  
  446  Except for a plan under contract with the agency to serve
  447  children with special health care needs the Children’s Medical
  448  Services Network, the agency may not increase the premium
  449  assistance payment for either additional benefits provided
  450  beyond the minimum benefits described in this section or the
  451  imposition of less restrictive service limitations.
  452         Section 25. Effective July 1, 2025, paragraph (i) of
  453  subsection (1) of section 409.8177, Florida Statutes, is amended
  454  to read:
  455         409.8177 Program evaluation.—
  456         (1) The agency, in consultation with the Department of
  457  Health, the Department of Children and Families, and the Florida
  458  Healthy Kids Corporation, shall contract for an evaluation of
  459  the Florida Kidcare program and shall by January 1 of each year
  460  submit to the Governor, the President of the Senate, and the
  461  Speaker of the House of Representatives a report of the program.
  462  In addition to the items specified under s. 2108 of Title XXI of
  463  the Social Security Act, the report shall include an assessment
  464  of crowd-out and access to health care, as well as the
  465  following:
  466         (i) An assessment of the effectiveness of the Florida
  467  Kidcare program, including Medicaid, the Florida Healthy Kids
  468  program, Medikids, and the plans under contract with the agency
  469  to serve children with special health care needs Children’s
  470  Medical Services network, and other public and private programs
  471  in the state in increasing the availability of affordable
  472  quality health insurance and health care for children.
  473         Section 26. Effective July 1, 2025, subsection (4) of
  474  section 409.818, Florida Statutes, is amended to read:
  475         409.818 Administration.—In order to implement ss. 409.810
  476  409.821, the following agencies shall have the following duties:
  477         (4) The Office of Insurance Regulation shall certify that
  478  health benefits coverage plans that seek to provide services
  479  under the Florida Kidcare program, except those offered through
  480  the Florida Healthy Kids Corporation or the Children’s Medical
  481  Services Network, meet, exceed, or are actuarially equivalent to
  482  the benchmark benefit plan and that health insurance plans will
  483  be offered at an approved rate. In determining actuarial
  484  equivalence of benefits coverage, the Office of Insurance
  485  Regulation and health insurance plans must comply with the
  486  requirements of s. 2103 of Title XXI of the Social Security Act.
  487  The department shall adopt rules necessary for certifying health
  488  benefits coverage plans.
  489         Section 27. Effective July 1, 2025, subsection (11) of
  490  section 409.912, Florida Statutes, is amended to read:
  491         409.912 Cost-effective purchasing of health care.—The
  492  agency shall purchase goods and services for Medicaid recipients
  493  in the most cost-effective manner consistent with the delivery
  494  of quality medical care. To ensure that medical services are
  495  effectively utilized, the agency may, in any case, require a
  496  confirmation or second physician’s opinion of the correct
  497  diagnosis for purposes of authorizing future services under the
  498  Medicaid program. This section does not restrict access to
  499  emergency services or poststabilization care services as defined
  500  in 42 C.F.R. s. 438.114. Such confirmation or second opinion
  501  shall be rendered in a manner approved by the agency. The agency
  502  shall maximize the use of prepaid per capita and prepaid
  503  aggregate fixed-sum basis services when appropriate and other
  504  alternative service delivery and reimbursement methodologies,
  505  including competitive bidding pursuant to s. 287.057, designed
  506  to facilitate the cost-effective purchase of a case-managed
  507  continuum of care. The agency shall also require providers to
  508  minimize the exposure of recipients to the need for acute
  509  inpatient, custodial, and other institutional care and the
  510  inappropriate or unnecessary use of high-cost services. The
  511  agency shall contract with a vendor to monitor and evaluate the
  512  clinical practice patterns of providers in order to identify
  513  trends that are outside the normal practice patterns of a
  514  provider’s professional peers or the national guidelines of a
  515  provider’s professional association. The vendor must be able to
  516  provide information and counseling to a provider whose practice
  517  patterns are outside the norms, in consultation with the agency,
  518  to improve patient care and reduce inappropriate utilization.
  519  The agency may mandate prior authorization, drug therapy
  520  management, or disease management participation for certain
  521  populations of Medicaid beneficiaries, certain drug classes, or
  522  particular drugs to prevent fraud, abuse, overuse, and possible
  523  dangerous drug interactions. The Pharmaceutical and Therapeutics
  524  Committee shall make recommendations to the agency on drugs for
  525  which prior authorization is required. The agency shall inform
  526  the Pharmaceutical and Therapeutics Committee of its decisions
  527  regarding drugs subject to prior authorization. The agency is
  528  authorized to limit the entities it contracts with or enrolls as
  529  Medicaid providers by developing a provider network through
  530  provider credentialing. The agency may competitively bid single
  531  source-provider contracts if procurement of goods or services
  532  results in demonstrated cost savings to the state without
  533  limiting access to care. The agency may limit its network based
  534  on the assessment of beneficiary access to care, provider
  535  availability, provider quality standards, time and distance
  536  standards for access to care, the cultural competence of the
  537  provider network, demographic characteristics of Medicaid
  538  beneficiaries, practice and provider-to-beneficiary standards,
  539  appointment wait times, beneficiary use of services, provider
  540  turnover, provider profiling, provider licensure history,
  541  previous program integrity investigations and findings, peer
  542  review, provider Medicaid policy and billing compliance records,
  543  clinical and medical record audits, and other factors. Providers
  544  are not entitled to enrollment in the Medicaid provider network.
  545  The agency shall determine instances in which allowing Medicaid
  546  beneficiaries to purchase durable medical equipment and other
  547  goods is less expensive to the Medicaid program than long-term
  548  rental of the equipment or goods. The agency may establish rules
  549  to facilitate purchases in lieu of long-term rentals in order to
  550  protect against fraud and abuse in the Medicaid program as
  551  defined in s. 409.913. The agency may seek federal waivers
  552  necessary to administer these policies.
  553         (11) The agency shall implement a program of all-inclusive
  554  care for children. The program of all-inclusive care for
  555  children shall be established to provide in-home hospice-like
  556  support services to children diagnosed with a life-threatening
  557  illness and enrolled in the Children’s Medical Services network
  558  to reduce hospitalizations as appropriate. The agency, in
  559  consultation with the Department of Health, may implement the
  560  program of all-inclusive care for children after obtaining
  561  approval from the Centers for Medicare and Medicaid Services.
  562         Section 28. Effective July 1, 2025, subsection (1) of
  563  section 409.9126, Florida Statutes, is amended to read:
  564         409.9126 Children with special health care needs.—
  565         (1) Except as provided in subsection (4), children eligible
  566  for the Children’s Medical Services program who receive Medicaid
  567  benefits, and other Medicaid-eligible children with special
  568  health care needs, are shall be exempt from the provisions of s.
  569  409.9122 and shall be served through the Children’s Medical
  570  Services network established in chapter 391.
  571         Section 29. Effective July 1, 2025, paragraph (a) of
  572  subsection (5) of section 409.9131, Florida Statutes, is amended
  573  to read:
  574         409.9131 Special provisions relating to integrity of the
  575  Medicaid program.—
  576         (5) DETERMINATIONS OF OVERPAYMENT.—In making a
  577  determination of overpayment to a physician, the agency must:
  578         (a) Use accepted and valid auditing, accounting,
  579  analytical, statistical, or peer-review methods, or combinations
  580  thereof. Appropriate statistical methods may include, but are
  581  not limited to, sampling and extension to the population,
  582  parametric and nonparametric statistics, tests of hypotheses,
  583  other generally accepted statistical methods, review of medical
  584  records, and a consideration of the physician’s client case mix.
  585  Before performing a review of the physician’s Medicaid records,
  586  however, the agency shall make every effort to consider the
  587  physician’s patient case mix, including, but not limited to,
  588  patient age and whether individual patients are clients of the
  589  Children’s Medical Services Network established in chapter 391.
  590  In meeting its burden of proof in any administrative or court
  591  proceeding, the agency may introduce the results of such
  592  statistical methods and its other audit findings as evidence of
  593  overpayment.
  594         Section 30. Effective July 1, 2025, paragraph (e) of
  595  subsection (1) of section 409.920, Florida Statutes, is amended
  596  to read:
  597         409.920 Medicaid provider fraud.—
  598         (1) For the purposes of this section, the term:
  599         (e) “Managed care plans” means a health insurer authorized
  600  under chapter 624, an exclusive provider organization authorized
  601  under chapter 627, a health maintenance organization authorized
  602  under chapter 641, the Children’s Medical Services Network
  603  authorized under chapter 391, a prepaid health plan authorized
  604  under this chapter, a provider service network authorized under
  605  this chapter, a minority physician network authorized under this
  606  chapter, and an emergency department diversion program
  607  authorized under this chapter or the General Appropriations Act,
  608  providing health care services pursuant to a contract with the
  609  Medicaid program.
  610         Section 31. Effective July 1, 2025, subsection (7) of
  611  section 409.962, Florida Statutes, is amended to read:
  612         409.962 Definitions.—As used in this part, except as
  613  otherwise specifically provided, the term:
  614         (7) “Eligible plan” means a health insurer authorized under
  615  chapter 624, an exclusive provider organization authorized under
  616  chapter 627, a health maintenance organization authorized under
  617  chapter 641, or a provider service network authorized under s.
  618  409.912(1) or an accountable care organization authorized under
  619  federal law. For purposes of the managed medical assistance
  620  program, the term also includes the Children’s Medical Services
  621  Network authorized under chapter 391 and entities qualified
  622  under 42 C.F.R. part 422 as Medicare Advantage Preferred
  623  Provider Organizations, Medicare Advantage Provider-sponsored
  624  Organizations, Medicare Advantage Health Maintenance
  625  Organizations, Medicare Advantage Coordinated Care Plans, and
  626  Medicare Advantage Special Needs Plans, and the Program of All
  627  inclusive Care for the Elderly.
  628         Section 32. The Agency for Health Care Administration shall
  629  develop a comprehensive plan to redesign the Florida Medicaid
  630  Model Waiver for home- and community-based services to include
  631  children who receive private duty nursing services. The plan
  632  must propose an array of tiered services with the goal of
  633  ensuring that institutional care is avoided so children can
  634  remain in the home or other community setting. The agency shall
  635  work with stakeholders in developing the plan, including, but
  636  not limited to, families of children who are in the model waiver
  637  or receiving private duty nursing, advocates for children,
  638  providers of services to children receiving private duty
  639  nursing, and Statewide Medicaid Managed Care plans. The agency
  640  is authorized to contract with necessary experts to assist in
  641  developing the plan. The agency shall submit a report to the
  642  Governor, the President of the Senate, and the Speaker of the
  643  House of Representatives by September 30, 2025, addressing, at a
  644  minimum, all of the following:
  645         (1)The purpose, rationale, and expected benefits of the
  646  redesigned waiver plan.
  647         (2)The proposed eligibility criteria for clients and
  648  service benefit packages to be offered through the redesigned
  649  waiver plan. Managed care plans participating in the Statewide
  650  Medicaid Managed Care program must provide services under the
  651  redesigned waiver plan.
  652         (3)A proposed implementation plan and timeline, including,
  653  but not limited to, recommendations for the number of clients
  654  served by the redesigned waiver plan at initial implementation,
  655  changes over time, and any per-client benefit caps.
  656         (4)The fiscal impact for the implementation year and
  657  projections for the next 5 years determined on an actuarially
  658  sound basis.
  659         (5)An analysis of the availability of services and service
  660  providers that would be offered under the redesigned waiver plan
  661  and recommendations to increase availability of such services,
  662  as applicable.
  663         (6)A list of all stakeholders, public and private, who
  664  were consulted or contacted during the development of the plan.
  665         Section 33. Except as otherwise expressly provided in this
  666  act, this act shall take effect upon becoming a law.