Florida Senate - 2015                        COMMITTEE AMENDMENT
       Bill No. SB 322
       
       
       
       
       
       
                                Ì561494>Î561494                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  04/15/2015           .                                
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       The Committee on Fiscal Policy (Stargel) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 64 - 100
    4  and insert:
    5         (e)1. As used in this paragraph, the term:
    6         a. “Appropriation made by law” has the same meaning as
    7  provided in s. 11.066.
    8         b. Reimbursement rate” means the audited hospital cost
    9  based per diem reimbursement rate for inpatient or outpatient
   10  care established by the agency.
   11         2. Pursuant to chapter 120, the agency shall furnish
   12  written notice of a reimbursement rate to providers. The written
   13  notice constitutes final agency action. A substantially affected
   14  provider seeking to correct or adjust the calculation of a
   15  reimbursement rate, based on a challenge other than a challenge
   16  to a methodology used to calculate a reimbursement rate as
   17  described in subparagraph 3., may request an administrative
   18  hearing by filing a petition with the agency within 180 days
   19  after receipt of the written notice by the provider. The failure
   20  to timely file a petition in compliance with this subparagraph
   21  is deemed conclusive acceptance of the reimbursement rate.
   22         3. An administrative proceeding pursuant to:
   23         a. Section 120.569 or s. 120.57 which challenges a
   24  methodology that is specified in an agency rule or in a
   25  reimbursement plan incorporated by reference in such rule and
   26  that is used to calculate a reimbursement rate may not result in
   27  a correction or an adjustment of a reimbursement rate for a rate
   28  period that occurred more than 5 years before the date the
   29  petition initiating the proceeding was filed.
   30         b. Section 120.56 or s. 120.57(1)(e) which challenges the
   31  validity of an agency rule or an unadopted rule that governs the
   32  calculation of a reimbursement rate may not have a retroactive
   33  effect on a reimbursement rate for a rate period before the date
   34  the petition initiating the proceeding was filed.
   35         4. This paragraph applies to any challenge described in
   36  subparagraph 2. or subparagraph 3., including a right to
   37  challenge which arose before July 1, 2015. A correction or
   38  adjustment of a reimbursement rate which is required by an
   39  administrative order or appellate decision:
   40         a. Must be reconciled in the first rate period after the
   41  order or decision becomes final; and
   42         b. May not serve as the basis for a challenge to correct or
   43  adjust hospital rates required to be paid by a Medicaid managed
   44  care provider pursuant to part IV of chapter 409.
   45         5. The agency may not be compelled by an administrative
   46  body or a court to pay compensation that exceeds $5 million to a
   47  hospital relating to the establishment of reimbursement rates by
   48  the agency or for remedies relating to such rates, unless an
   49  appropriation made by law is enacted for the exclusive, specific
   50  purpose of paying such additional compensation.
   51         6. A period of time specified in this paragraph is not
   52  tolled by the pendency of an administrative or appellate
   53  proceeding.
   54         7. An administrative proceeding pursuant to chapter 120 is
   55  the exclusive means to challenge a reimbursement rate as
   56  described under subparagraph 2. before, on, or after July 1,
   57  2015, and to challenge a methodology used to calculate a
   58  reimbursement rate as described under subparagraph 3.
   59         Section 2. For the purpose of incorporating the amendment
   60  made by this act to section 409.908, Florida Statutes, in a
   61  reference thereto, section 383.18, Florida Statutes, is
   62  reenacted to read:
   63         383.18 Contracts; conditions.—Participation in the regional
   64  perinatal intensive care centers program under ss. 383.15-383.19
   65  is contingent upon the department entering into a contract with
   66  a provider. The contract shall provide that patients will
   67  receive services from the center and that parents or guardians
   68  of patients who participate in the program and who are in
   69  compliance with Medicaid eligibility requirements as determined
   70  by the department are not additionally charged for treatment and
   71  care which has been contracted for by the department. Financial
   72  eligibility for the program is based on the Medicaid income
   73  guidelines for pregnant women and for children under 1 year of
   74  age. Funding shall be provided in accordance with ss. 383.19 and
   75  409.908.
   76         Section 3. For the purpose of incorporating the amendment
   77  made by this act to section 409.908, Florida Statutes, in a
   78  reference thereto, subsection (4) of section 409.8132, Florida
   79  Statutes, is reenacted to read:
   80         409.8132 Medikids program component.—
   81         (4) APPLICABILITY OF LAWS RELATING TO MEDICAID.—The
   82  provisions of ss. 409.902, 409.905, 409.906, 409.907, 409.908,
   83  409.912, 409.9121, 409.9122, 409.9123, 409.9124, 409.9127,
   84  409.9128, 409.913, 409.916, 409.919, 409.920, and 409.9205 apply
   85  to the administration of the Medikids program component of the
   86  Florida Kidcare program, except that s. 409.9122 applies to
   87  Medikids as modified by the provisions of subsection (7).
   88         Section 4. For the purpose of incorporating the amendment
   89  made by this act to section 409.908, Florida Statutes, in
   90  references thereto, paragraph (c) of subsection (5) and
   91  paragraph (b) of subsection (6) of section 409.905, Florida
   92  Statutes, are reenacted to read:
   93         409.905 Mandatory Medicaid services.—The agency may make
   94  payments for the following services, which are required of the
   95  state by Title XIX of the Social Security Act, furnished by
   96  Medicaid providers to recipients who are determined to be
   97  eligible on the dates on which the services were provided. Any
   98  service under this section shall be provided only when medically
   99  necessary and in accordance with state and federal law.
  100  Mandatory services rendered by providers in mobile units to
  101  Medicaid recipients may be restricted by the agency. Nothing in
  102  this section shall be construed to prevent or limit the agency
  103  from adjusting fees, reimbursement rates, lengths of stay,
  104  number of visits, number of services, or any other adjustments
  105  necessary to comply with the availability of moneys and any
  106  limitations or directions provided for in the General
  107  Appropriations Act or chapter 216.
  108         (5) HOSPITAL INPATIENT SERVICES.—The agency shall pay for
  109  all covered services provided for the medical care and treatment
  110  of a recipient who is admitted as an inpatient by a licensed
  111  physician or dentist to a hospital licensed under part I of
  112  chapter 395. However, the agency shall limit the payment for
  113  inpatient hospital services for a Medicaid recipient 21 years of
  114  age or older to 45 days or the number of days necessary to
  115  comply with the General Appropriations Act. Effective August 1,
  116  2012, the agency shall limit payment for hospital emergency
  117  department visits for a nonpregnant Medicaid recipient 21 years
  118  of age or older to six visits per fiscal year.
  119         (c) The agency shall implement a prospective payment
  120  methodology for establishing reimbursement rates for inpatient
  121  hospital services. Rates shall be calculated annually and take
  122  effect July 1 of each year. The methodology shall categorize
  123  each inpatient admission into a diagnosis-related group and
  124  assign a relative payment weight to the base rate according to
  125  the average relative amount of hospital resources used to treat
  126  a patient in a specific diagnosis-related group category. The
  127  agency may adopt the most recent relative weights calculated and
  128  made available by the Nationwide Inpatient Sample maintained by
  129  the Agency for Healthcare Research and Quality or may adopt
  130  alternative weights if the agency finds that Florida-specific
  131  weights deviate with statistical significance from national
  132  weights for high-volume diagnosis-related groups. The agency
  133  shall establish a single, uniform base rate for all hospitals
  134  unless specifically exempt pursuant to s. 409.908(1).
  135         1. Adjustments may not be made to the rates after October
  136  31 of the state fiscal year in which the rates take effect,
  137  except for cases of insufficient collections of
  138  intergovernmental transfers authorized under s. 409.908(1) or
  139  the General Appropriations Act. In such cases, the agency shall
  140  submit a budget amendment or amendments under chapter 216
  141  requesting approval of rate reductions by amounts necessary for
  142  the aggregate reduction to equal the dollar amount of
  143  intergovernmental transfers not collected and the corresponding
  144  federal match. Notwithstanding the $1 million limitation on
  145  increases to an approved operating budget contained in ss.
  146  216.181(11) and 216.292(3), a budget amendment exceeding that
  147  dollar amount is subject to notice and objection procedures set
  148  forth in s. 216.177.
  149         2. Errors in source data or calculations discovered after
  150  October 31 must be reconciled in a subsequent rate period.
  151  However, the agency may not make any adjustment to a hospital’s
  152  reimbursement more than 5 years after a hospital is notified of
  153  an audited rate established by the agency. The prohibition
  154  against adjustments more than 5 years after notification is
  155  remedial and applies to actions by providers involving Medicaid
  156  claims for hospital services. Hospital reimbursement is subject
  157  to such limits or ceilings as may be established in law or
  158  described in the agency’s hospital reimbursement plan. Specific
  159  exemptions to the limits or ceilings may be provided in the
  160  General Appropriations Act.
  161         (6) HOSPITAL OUTPATIENT SERVICES.—
  162         (b) The agency shall implement a methodology for
  163  establishing base reimbursement rates for outpatient services
  164  for each hospital based on allowable costs, as defined by the
  165  agency. Rates shall be calculated annually and take effect July
  166  1 of each year based on the most recent complete and accurate
  167  cost report submitted by each hospital.
  168         1. Adjustments may not be made to the rates after October
  169  31 of the state fiscal year in which the rates take effect,
  170  except for cases of insufficient collections of
  171  intergovernmental transfers authorized under s. 409.908(1) or
  172  the General Appropriations Act. In such cases, the agency shall
  173  submit a budget amendment or amendments under chapter 216
  174  requesting approval of rate reductions by amounts necessary for
  175  the aggregate reduction to equal the dollar amount of
  176  intergovernmental transfers not collected and the corresponding
  177  federal match. Notwithstanding the $1 million limitation on
  178  increases to an approved operating budget under ss. 216.181(11)
  179  and 216.292(3), a budget amendment exceeding that dollar amount
  180  is subject to notice and objection procedures set forth in s.
  181  216.177.
  182         2. Errors in source data or calculations discovered after
  183  October 31 must be reconciled in a subsequent rate period.
  184  However, the agency may not make any adjustment to a hospital’s
  185  reimbursement more than 5 years after a hospital is notified of
  186  an audited rate established by the agency. The prohibition
  187  against adjustments more than 5 years after notification is
  188  remedial and applies to actions by providers involving Medicaid
  189  claims for hospital services. Hospital reimbursement is subject
  190  to such limits or ceilings as may be established in law or
  191  described in the agency’s hospital reimbursement plan. Specific
  192  exemptions to the limits or ceilings may be provided in the
  193  General Appropriations Act.
  194         Section 5. The amendment made by this act to s. 409.908,
  195  Florida Statutes, is remedial in nature, confirms and clarifies
  196  existing law, and applies to all proceedings pending on or
  197  commenced after this act takes effect.
  198  
  199  ================= T I T L E  A M E N D M E N T ================
  200  And the title is amended as follows:
  201         Delete lines 3 - 27
  202  and insert:
  203         providers; amending s. 409.908, F.S.; defining terms;
  204         requiring the Agency for Health Care Administration to
  205         provide written notice, pursuant to ch. 120, F.S., of
  206         reimbursement rates to providers; specifying
  207         procedures and requirements to challenge the
  208         calculation of or the methodology used to calculate
  209         such rates; providing that the failure to timely file
  210         a certain challenge constitutes acceptance of the
  211         rates; specifying limits on and procedures for the
  212         correction or adjustment of the rates; providing
  213         applicability; prohibiting the agency from being
  214         compelled by an administrative body or a court to pay
  215         additional compensation that exceeds a certain amount
  216         to a hospital for specified matters unless an
  217         appropriation is made by law; prohibiting certain
  218         periods of time from being tolled under specified
  219         circumstances; specifying that an administrative
  220         proceeding is the exclusive means for challenging
  221         certain issues; reenacting ss. 383.18, 409.8132(4),
  222         and 409.905(5)(c) and (6)(b), F.S., relating to
  223         contracts for the regional perinatal intensive care
  224         centers program, the Medikids program component, and
  225         mandatory Medicaid services, respectively, to
  226         incorporate the amendment made to s. 409.908, F.S., in
  227         references thereto; providing that the act is
  228         remedial, intended to confirm and clarify law, and
  229         applies to proceedings pending on or commenced after
  230         the effective date; providing an effective date.