CS for SB 7068                                   First Engrossed
       
       
       
       
       
       
       
       
       20157068e1
       
    1                        A bill to be entitled                      
    2         An act relating to mental health and substance abuse
    3         services; amending s. 394.455, F.S.; revising the
    4         definition of “mental illness” to exclude dementia and
    5         traumatic brain injuries; amending s. 394.492, F.S.;
    6         redefining terms; creating s. 394.761, F.S.; requiring
    7         the Agency for Health Care Administration and the
    8         Department of Children and Families to develop a plan
    9         to obtain federal approval for increasing the
   10         availability of federal Medicaid funding for
   11         behavioral health care; establishing improved
   12         integration of behavioral health and primary care
   13         services through the development and effective
   14         implementation of coordinated care organizations as
   15         the primary goal of obtaining the additional funds;
   16         requiring the agency and the department to submit the
   17         written plan, which must include certain information,
   18         to the Legislature by a specified date; requiring the
   19         agency to submit an Excellence in Mental Health Act
   20         grant application to the United States Department of
   21         Health and Human Services; amending s. 394.875, F.S.;
   22         requiring that, by a specified date, the department,
   23         in consultation with the Agency for Health Care
   24         Administration, modify certain licensure rules and
   25         procedures; amending s. 394.9082, F.S.; revising
   26         legislative findings and intent; redefining terms;
   27         requiring the managing entities, rather than the
   28         department, to develop and implement a plan with a
   29         certain purpose; requiring the regional network to
   30         offer access to certain services; requiring the plan
   31         to be developed in a certain manner; requiring the
   32         department to designate the regional network as a
   33         coordinated care organization after certain conditions
   34         are met; removing a provision providing legislative
   35         intent; requiring the department to contract with
   36         community-based managing entities for the development
   37         of specified objectives; removing duties of the
   38         department, the secretary of the department, and
   39         managing entities; removing a provision regarding the
   40         requirement of funding the managing entity’s contract
   41         through departmental funds; removing legislative
   42         intent; requiring that the department’s contract with
   43         each managing entity be performance based; providing
   44         for scaled penalties and liquidated damages if a
   45         managing entity fails to perform after a reasonable
   46         opportunity for corrective action; requiring the plan
   47         for the coordination and integration of certain
   48         services to be developed in a certain manner and to
   49         incorporate certain models; providing requirements for
   50         the department when entering into contracts with a
   51         managing entity; requiring the department to consider
   52         specified factors when considering a new contractor;
   53         revising the goals of the coordinated care
   54         organization; requiring a coordinated care
   55         organization to consist of a comprehensive provider
   56         network that includes specified elements; requiring
   57         that specified treatment providers be initially
   58         included in the provider network; providing for
   59         continued participation in the provider network;
   60         revising the network management and administrative
   61         functions of the managing entities; requiring that the
   62         managing entity support network providers in certain
   63         ways; authorizing the managing entity to prioritize
   64         certain populations when necessary; requiring managing
   65         entities to use unique identifiers for individuals
   66         receiving behavioral health care services; requiring
   67         all providers under contract with a managing entity to
   68         use such unique identifiers by a specified date;
   69         requiring that, by a certain date, a managing entity’s
   70         governing board consist of a certain number of members
   71         selected by the managing entity in a specified manner;
   72         providing requirements for the governing board;
   73         removing departmental responsibilities; removing a
   74         reporting requirement; authorizing, rather than
   75         requiring, the department to adopt rules; creating s.
   76         397.402, F.S.; requiring that the department modify
   77         certain licensure rules and procedures by a certain
   78         date; requiring the department and the Agency for
   79         Health Care Administration to make certain
   80         recommendations to the Governor and the Legislature by
   81         a specified date; providing requirements for a
   82         provider; amending s. 409.967, F.S.; requiring that
   83         certain plans or contracts include specified
   84         requirements; amending s. 409.973, F.S.; requiring
   85         each plan operating in the managed medical assistance
   86         program to work with the managing entity to establish
   87         specific organizational supports and service
   88         protocols; amending s. 409.975, F.S.; revising the
   89         categories from which the agency must determine which
   90         providers are essential Medicaid providers; repealing
   91         s. 394.4674, F.S., relating to a plan and report;
   92         repealing s. 394.4985, F.S., relating to districtwide
   93         information and referral network and implementation;
   94         repealing s. 394.657, F.S., relating to county
   95         planning councils or committees; repealing s. 394.745,
   96         F.S., relating to an annual report and compliance of
   97         providers under contract with the department;
   98         repealing s. 397.331, F.S., relating to definitions;
   99         repealing s. 397.333, F.S., relating to the Statewide
  100         Drug Policy Advisory Council; repealing s. 397.801,
  101         F.S., relating to substance abuse impairment
  102         coordination; repealing s. 397.811, F.S., relating to
  103         juvenile substance abuse impairment coordination;
  104         repealing s. 397.821, F.S., relating to juvenile
  105         substance abuse impairment prevention and early
  106         intervention councils; repealing s. 397.901, F.S.,
  107         relating to prototype juvenile addictions receiving
  108         facilities; repealing s. 397.93, F.S., relating to
  109         children’s substance abuse services and target
  110         populations; repealing s. 397.94, F.S., relating to
  111         children’s substance abuse services and the
  112         information and referral network; repealing s.
  113         397.951, F.S., relating to treatment and sanctions;
  114         repealing s. 397.97, F.S., relating to children’s
  115         substance abuse services and demonstration models;
  116         amending ss. 397.321, 397.98, 409.966, 943.031, and
  117         943.042, F.S.; conforming provisions and cross
  118         references to changes made by the act; reenacting ss.
  119         39.407(6)(a), 394.67(21), 394.674(1)(b), 394.676(1),
  120         409.1676(2)(c), and 409.1677(1)(b), F.S., relating to
  121         the term “suitable for residential treatment” or
  122         “suitability,” the term “residential treatment center
  123         for children and adolescents,” children’s mental
  124         health services, the indigent psychiatric medication
  125         program, and the term “serious behavioral problems,”
  126         respectively, to incorporate the amendment made to s.
  127         394.492, F.S., in references thereto; providing
  128         effective dates.
  129          
  130  Be It Enacted by the Legislature of the State of Florida:
  131  
  132         Section 1. Subsection (18) of section 394.455, Florida
  133  Statutes, is amended to read:
  134         394.455 Definitions.—As used in this part, unless the
  135  context clearly requires otherwise, the term:
  136         (18) “Mental illness” means an impairment of the mental or
  137  emotional processes that exercise conscious control of one’s
  138  actions or of the ability to perceive or understand reality,
  139  which impairment substantially interferes with the person’s
  140  ability to meet the ordinary demands of living. For the purposes
  141  of this part, the term does not include a developmental
  142  disability as defined in chapter 393, dementia, traumatic brain
  143  injuries, intoxication, or conditions manifested only by
  144  antisocial behavior or substance abuse impairment.
  145         Section 2. Subsections (1), (4), (5), and (6) of section
  146  394.492, Florida Statutes, are amended to read:
  147         394.492 Definitions.—As used in ss. 394.490-394.497, the
  148  term:
  149         (1) “Adolescent” means a person who is at least 13 years of
  150  age but under 18 21 years of age.
  151         (4) “Child or adolescent at risk of emotional disturbance”
  152  means a person under 18 21 years of age who has an increased
  153  likelihood of becoming emotionally disturbed because of risk
  154  factors that include, but are not limited to:
  155         (a) Being homeless.
  156         (b) Having a family history of mental illness.
  157         (c) Being physically or sexually abused or neglected.
  158         (d) Abusing alcohol or other substances.
  159         (e) Being infected with human immunodeficiency virus (HIV).
  160         (f) Having a chronic and serious physical illness.
  161         (g) Having been exposed to domestic violence.
  162         (h) Having multiple out-of-home placements.
  163         (5) “Child or adolescent who has an emotional disturbance”
  164  means a person under 21 18 years of age who is diagnosed with a
  165  mental, emotional, or behavioral disorder of sufficient duration
  166  to meet one of the diagnostic categories specified in the most
  167  recent edition of the Diagnostic and Statistical Manual of the
  168  American Psychiatric Association, but who does not exhibit
  169  behaviors that substantially interfere with or limit his or her
  170  role or ability to function in the family, school, or community.
  171  The emotional disturbance must not be considered to be a
  172  temporary response to a stressful situation. The term does not
  173  include a child or adolescent who meets the criteria for
  174  involuntary placement under s. 394.467(1).
  175         (6) “Child or adolescent who has a serious emotional
  176  disturbance or mental illness” means a person under 18 21 years
  177  of age who:
  178         (a) Is diagnosed as having a mental, emotional, or
  179  behavioral disorder that meets one of the diagnostic categories
  180  specified in the most recent edition of the Diagnostic and
  181  Statistical Manual of Mental Disorders of the American
  182  Psychiatric Association; and
  183         (b) Exhibits behaviors that substantially interfere with or
  184  limit his or her role or ability to function in the family,
  185  school, or community, which behaviors are not considered to be a
  186  temporary response to a stressful situation.
  187  
  188  The term includes a child or adolescent who meets the criteria
  189  for involuntary placement under s. 394.467(1).
  190         Section 3. Section 394.761, Florida Statutes, is created to
  191  read:
  192         394.761 Revenue maximization.—
  193         (1) The agency and the department shall develop a plan to
  194  obtain federal approval for increasing the availability of
  195  federal Medicaid funding for behavioral health care. The plan
  196  must give preference to quality improvement organizations as
  197  defined in the Social Security Act, 42 U.S.C. s. 1320c-1.
  198  Increased funding will be used to advance the goal of improved
  199  integration of behavioral health and primary care services
  200  through development and effective implementation of coordinated
  201  care organizations as described in s. 394.9082(3). The agency
  202  and the department shall submit the written plan to the
  203  President of the Senate and the Speaker of the House of
  204  Representatives no later than November 1, 2015. The plan shall
  205  identify the amount of general revenue funding appropriated for
  206  mental health and substance abuse services which is eligible to
  207  be used as state Medicaid match. The plan must evaluate
  208  alternative uses of increased Medicaid funding, including
  209  expansion of Medicaid eligibility for the severely and
  210  persistently mentally ill; increased reimbursement rates for
  211  behavioral health services; adjustments to the capitation rate
  212  for Medicaid enrollees with chronic mental illness and substance
  213  use disorders; supplemental payments to mental health and
  214  substance abuse providers through a designated state health
  215  program or other mechanisms; and innovative programs for
  216  incentivizing improved outcomes for behavioral health
  217  conditions. The plan shall identify the advantages and
  218  disadvantages of each alternative and assess the potential of
  219  each for achieving improved integration of services. The plan
  220  shall identify the types of federal approvals necessary to
  221  implement each alternative and project a timeline for
  222  implementation.
  223         (2) The agency, in consultation with the department, shall
  224  apply to the United States Department of Health and Human
  225  Services for an Excellence in Mental Health Act grant and any
  226  other subsequent grant programs that become available through s.
  227  203 of the federal Protecting Access to Medicare Act of 2014,
  228  Pub. L. No. 113-93, and that create an opportunity to improve
  229  access to community mental health services while improving
  230  Medicaid reimbursement rates for such services. This subsection
  231  expires July 1, 2018.
  232         Section 4. Subsection (11) is added to section 394.875,
  233  Florida Statutes, to read:
  234         394.875 Crisis stabilization units, residential treatment
  235  facilities, and residential treatment centers for children and
  236  adolescents; authorized services; license required.—
  237         (11)No later than January 1, 2016, the department, in
  238  consultation with the agency, shall modify licensure rules and
  239  procedures to create an option for a single, consolidated
  240  license for a provider who offers multiple types of mental
  241  health and substance abuse services regulated under this chapter
  242  and chapter 397 pursuant to s. 397.402.
  243         Section 5. Effective upon this act becoming a law, section
  244  394.9082, Florida Statutes, is amended to read:
  245         394.9082 Behavioral health managing entities.—
  246         (1) LEGISLATIVE FINDINGS AND INTENT.—The Legislature finds
  247  that untreated behavioral health disorders constitute major
  248  health problems for residents of this state, are a major
  249  economic burden to the citizens of this state, and substantially
  250  increase demands on the state’s juvenile and adult criminal
  251  justice systems, the child welfare system, and health care
  252  systems. The Legislature finds that behavioral health disorders
  253  respond to appropriate treatment, rehabilitation, and supportive
  254  intervention. The Legislature finds that the state’s return on
  255  its it has made a substantial long-term investment in the
  256  funding of the community-based behavioral health prevention and
  257  treatment service systems and facilities can be enhanced by
  258  integration of these services with primary care in order to
  259  provide critical emergency, acute care, residential, outpatient,
  260  and rehabilitative and recovery-based services. The Legislature
  261  finds that local communities have also made substantial
  262  investments in behavioral health services, contracting with
  263  safety net providers who by mandate and mission provide
  264  specialized services to vulnerable and hard-to-serve populations
  265  and have strong ties to local public health and public safety
  266  agencies. The Legislature finds that a regional management
  267  structure for that places the responsibility for publicly
  268  financed behavioral health treatment and prevention services
  269  within a single private, nonprofit entity at the local level
  270  will improve promote improved access to care, promote service
  271  continuity, and provide for more efficient and effective
  272  delivery of substance abuse and mental health services. The
  273  Legislature finds that streamlining administrative processes
  274  will create cost efficiencies and provide flexibility to better
  275  match available services to consumers’ identified needs.
  276         (2) DEFINITIONS.—As used in this section, the term:
  277         (a) “Behavioral health services” means mental health
  278  services and substance abuse prevention and treatment services
  279  as defined in this chapter and chapter 397 which are provided
  280  using state and federal funds.
  281         (b) “Decisionmaking model” means a comprehensive management
  282  information system needed to answer the following management
  283  questions at the federal, state, regional, circuit, and local
  284  provider levels: who receives what services from which providers
  285  with what outcomes and at what costs?
  286         (b)(c) “Geographic area” means a county, circuit, regional,
  287  or a region as described in s. 409.966 multiregional area in
  288  this state.
  289         (c)(d) “Managing entity” means a corporation that is
  290  organized in this state, is designated or filed as a nonprofit
  291  organization under s. 501(c)(3) of the Internal Revenue Code,
  292  and is under contract to the department to manage the day-to-day
  293  operational delivery of behavioral health services as of July 1,
  294  2015 through an organized system of care.
  295         (e) “Provider networks” mean the direct service agencies
  296  that are under contract with a managing entity and that together
  297  constitute a comprehensive array of emergency, acute care,
  298  residential, outpatient, recovery support, and consumer support
  299  services.
  300         (3) COORDINATED CARE ORGANIZATIONS SERVICE DELIVERY
  301  STRATEGIES.—The department may work through managing entities
  302  shall to develop and implement a plan to create a coordinated
  303  regional network of behavioral health service providers. The
  304  regional network must offer access to a comprehensive range of
  305  services and continuity of care for service delivery strategies
  306  that will improve the coordination, integration, and management
  307  of the delivery of behavioral health services to people with who
  308  have mental illness or substance use disorders. The plan must be
  309  developed through a collaborative process between the managing
  310  entity and providers in the region. The department shall
  311  designate the regional network as a coordinated care
  312  organization after the relationships, linkages, and interactions
  313  among network providers are formalized through written
  314  agreements that establish common protocols for intake and
  315  assessment, mechanisms for data sharing, joint operational
  316  procedures, and integrated care planning and case management. It
  317  is the intent of the Legislature that a well-managed service
  318  delivery system will increase access for those in need of care,
  319  improve the coordination and continuity of care for vulnerable
  320  and high-risk populations, and redirect service dollars from
  321  restrictive care settings to community-based recovery services.
  322         (4) CONTRACT FOR SERVICES.—
  323         (a) The department must may contract for the purchase and
  324  management of behavioral health services with community-based
  325  managing entities for the development of a regional coordinated
  326  care organization, network management services, and the
  327  administrative functions defined in subsection (6). The
  328  department may require a managing entity to contract for
  329  specialized services that are not currently part of the managing
  330  entity’s network if the department determines that to do so is
  331  in the best interests of consumers of services. The secretary
  332  shall determine the schedule for phasing in contracts with
  333  managing entities. The managing entities shall, at a minimum, be
  334  accountable for the operational oversight of the delivery of
  335  behavioral health services funded by the department and for the
  336  collection and submission of the required data pertaining to
  337  these contracted services. A managing entity shall serve a
  338  geographic area designated by the department. The geographic
  339  area must be of sufficient size in population and have enough
  340  public funds for behavioral health services to allow for
  341  flexibility and maximum efficiency.
  342         (b) The operating costs of the managing entity contract
  343  shall be funded through funds from the department and any
  344  savings and efficiencies achieved through the implementation of
  345  managing entities when realized by their participating provider
  346  network agencies. The department recognizes that managing
  347  entities will have infrastructure development costs during
  348  start-up so that any efficiencies to be realized by providers
  349  from consolidation of management functions, and the resulting
  350  savings, will not be achieved during the early years of
  351  operation. The department shall negotiate a reasonable and
  352  appropriate administrative cost rate with the managing entity.
  353  The Legislature intends that reduced local and state contract
  354  management and other administrative duties passed on to the
  355  managing entity allows funds previously allocated for these
  356  purposes to be proportionately reduced and the savings used to
  357  purchase the administrative functions of the managing entity.
  358  Policies and procedures of the department for monitoring
  359  contracts with managing entities shall include provisions for
  360  eliminating duplication of the department’s and the managing
  361  entities’ contract management and other administrative
  362  activities in order to achieve the goals of cost-effectiveness
  363  and regulatory relief. To the maximum extent possible, provider
  364  monitoring activities shall be assigned to the managing entity.
  365         (c) The contract with each managing entity must be
  366  performance-based and contain specific results, measureable
  367  performance standards and timelines, and identify penalties for
  368  failure to timely plan and implement a regional, coordinated
  369  care organization, to meet other specific performance standards,
  370  including financial management, or other contractual
  371  requirements. The contract must have a schedule of penalties
  372  scaled to the nature and significance of the managing entity’s
  373  failure to perform. Such penalties may include, but are not
  374  limited to, a corrective action plan, liquidated damages, or
  375  termination of the contract. The contract must provide a
  376  reasonable opportunity for managing entities to implement
  377  corrective actions, but must require progress toward achievement
  378  of the performance standards identified in paragraph (e)
  379  Contracting and payment mechanisms for services must promote
  380  clinical and financial flexibility and responsiveness and must
  381  allow different categorical funds to be integrated at the point
  382  of service. The plan for coordination and integration of
  383  services required by subsection (3) shall be developed based on
  384  contracted service array must be determined by using public
  385  input and, needs assessment, and must incorporate promising,
  386  evidence-based and promising best practice models. The
  387  department may employ care management methodologies, prepaid
  388  capitation, and case rate or other methods of payment which
  389  promote flexibility, efficiency, and accountability.
  390         (d)The department shall establish a 3-year performance
  391  based contract with each managing entity by July 1, 2017. For
  392  managing entities selected after the effective date of this act,
  393  the department shall use a performance-based contract that meets
  394  the requirements of this section. For managing entities with
  395  contracts subject to renewal on or before July 1, 2015, the
  396  department may renew, or if available, extend a contract under
  397  s. 287.057(12), but contracts with such managing entities must
  398  meet the requirements of this section by July 1, 2017.
  399         (e)If the department terminates a contract with a managing
  400  entity due to failure to establish a coordinated care
  401  organization or meet other contractual requirements, the
  402  department must issue an invitation to negotiate in order to
  403  select a new managing entity. The new managing entity must be
  404  either a managing entity in another region, a Medicaid managed
  405  care organization operating in the same region, a behavioral
  406  health organization contracted with a Medicaid managed care
  407  organization operating in the same region, or a behavioral
  408  health specialty managed care organization established pursuant
  409  to part IV of chapter 409. The department shall consider the
  410  input and recommendations of network providers in the selection
  411  of the new contractor. The invitation to negotiate shall specify
  412  the criteria and the relative weight of the criteria that will
  413  be used in selecting the new contractor. The department must
  414  consider all of the following factors:
  415         1.Experience serving persons with mental health and
  416  substance use disorders.
  417         2.Establishment of community partnerships with behavioral
  418  health providers.
  419         3.Demonstrated organizational capabilities for network
  420  management functions.
  421         4.Capability to integrate behavioral health with primary
  422  care services.
  423         (5) GOALS.—The primary goal of the coordinated care
  424  organization service delivery strategies is to improve outcomes
  425  for persons needing provide a design for an effective
  426  coordination, integration, and management approach for
  427  delivering effective behavioral health services to persons who
  428  are experiencing a mental health or substance abuse crisis, who
  429  have a disabling mental illness or a substance use or co
  430  occurring disorder, and require extended services in order to
  431  recover from their illness, or who need brief treatment or
  432  longer-term supportive interventions to avoid a crisis or
  433  disability. Other goals include:
  434         (a) Improving Accountability for measureable and
  435  transparent a local system of behavioral health care services to
  436  meet performance outcomes and standards through the use of
  437  reliable and timely data.
  438         (b) Enhancing the Continuity of care for all children,
  439  adolescents, and adults who receive services from the
  440  coordinated care organization enter the publicly funded
  441  behavioral health service system.
  442         (c) Value-based purchasing of behavioral health services
  443  that maximizes the return on investment to local, state, and
  444  federal funding sources Preserving the “safety net” of publicly
  445  funded behavioral health services and providers, and recognizing
  446  and ensuring continued local contributions to these services, by
  447  establishing locally designed and community-monitored systems of
  448  care.
  449         (d) Providing Early diagnosis and treatment interventions
  450  to enhance recovery and prevent hospitalization.
  451         (e) Regional service delivery systems that are responsive
  452  to Improving the assessment of local needs for behavioral health
  453  services.
  454         (f) Quality care that is provided using Improving the
  455  overall quality of behavioral health services through the use of
  456  evidence-based, best practice, and promising practice models.
  457         (g) Demonstrating improved service Integration of between
  458  behavioral health services programs and other programs, such as
  459  vocational rehabilitation, education, child welfare, primary
  460  health care, emergency services, juvenile justice, and criminal
  461  justice.
  462         (h) Providing for additional testing of creative and
  463  flexible strategies for financing behavioral health services to
  464  enhance individualized treatment and support services.
  465         (i) Promoting cost-effective quality care.
  466         (j) Working with the state to coordinate admissions and
  467  discharges from state civil and forensic hospitals and
  468  coordinating admissions and discharges from residential
  469  treatment centers.
  470         (k) Improving the integration, accessibility, and
  471  dissemination of behavioral health data for planning and
  472  monitoring purposes.
  473         (l) Promoting specialized behavioral health services to
  474  residents of assisted living facilities.
  475         (m) Working with the state and other stakeholders to reduce
  476  the admissions and the length of stay for dependent children in
  477  residential treatment centers.
  478         (n) Providing services to adults and children with co
  479  occurring disorders of mental illnesses and substance abuse
  480  problems.
  481         (o) Providing services to elder adults in crisis or at-risk
  482  for placement in a more restrictive setting due to a serious
  483  mental illness or substance abuse.
  484         (6) ESSENTIAL ELEMENTS.—It is the intent of the Legislature
  485  that the department may plan for and enter into contracts with
  486  managing entities to manage care in geographical areas
  487  throughout the state.
  488         (a) A coordinated care organization must consist of a
  489  comprehensive network of providers working together to offer a
  490  patient-centered system of care which provides or arranges for
  491  the following elements: The managing entity must demonstrate the
  492  ability of its network of providers to comply with the pertinent
  493  provisions of this chapter and chapter 397 and to ensure the
  494  provision of comprehensive behavioral health services. The
  495  network of providers must include, but need not be limited to,
  496  community mental health agencies, substance abuse treatment
  497  providers, and best practice consumer services providers.
  498         1.A centralized receiving facility or coordinated
  499  receiving system for persons needing evaluation pursuant to s.
  500  394.463 or s. 397.675. As used in this subsection, the term
  501  “coordinated receiving system” means an agreed-upon referral
  502  distribution methodology developed by a managing entity after
  503  consultation with all community inpatient psychiatric care
  504  providers.
  505         2.Crisis services, including mobile response teams and
  506  crisis stabilization units.
  507         3. Case management.
  508         4.Outpatient services.
  509         5. Residential services.
  510         6. Hospital inpatient care.
  511         7.Aftercare and other postdischarge services.
  512         8.Recovery support, including housing assistance and
  513  support for competitive employment, educational attainment,
  514  independent living skills development, family support and
  515  education, and wellness management and self-care.
  516         9.Medical services necessary for integration of behavioral
  517  health services with primary care.
  518         10. Prevention and outreach services.
  519         11. Medication assisted treatment.
  520         12. Detoxification services.
  521         (b) The department shall terminate its mental health or
  522  substance abuse provider contracts for services to be provided
  523  by the managing entity at the same time it contracts with the
  524  managing entity.
  525         (b)(c) The managing entity shall ensure that its provider
  526  network shall initially include all is broadly conceived. All
  527  mental health or substance abuse treatment providers currently
  528  receiving public funds pursuant to this chapter or chapter 397.
  529  Continued participation in the network is subject to credentials
  530  and performance standards set by the managing entity and
  531  approved by the department under contract with the department
  532  shall be offered a contract by the managing entity.
  533         (c)(d) The network management and administrative functions
  534  of the department may contract with managing entities include to
  535  provide the following core functions:
  536         1. Financial management accountability.
  537         2. Allocation of funds to network providers in a manner
  538  that reflects the department’s strategic direction and plans.
  539         3. Provider monitoring to ensure compliance with federal
  540  and state laws, rules, and regulations.
  541         4. Data collection, reporting, and analysis.
  542         5. Information systems necessary for the delivery of
  543  coordinated care and integrated services Operational plans to
  544  implement objectives of the department’s strategic plan.
  545         6. Contract compliance.
  546         7. Performance measurement based on nationally recognized
  547  standards such as those developed by the National Quality Forum,
  548  the National Committee for Quality Assurance, or similar
  549  credible sources management.
  550         8. Collaboration with community stakeholders, including
  551  local government.
  552         9. System of care through network development.
  553         9.10. Consumer care coordination.
  554         10.11. Continuous quality improvement.
  555         12. Timely access to appropriate services.
  556         13. Cost-effectiveness and system improvements.
  557         14. Assistance in the development of the department’s
  558  strategic plan.
  559         15. Participation in community, circuit, regional, and
  560  state planning.
  561         11.16. Resource management and maximization, including
  562  pursuit of third-party payments and grant applications.
  563         12.17. Incentives for providers to improve quality and
  564  access.
  565         13.18. Liaison with consumers.
  566         14.19. Community needs assessment.
  567         15.20. Securing local matching funds.
  568         (d) The managing entity shall support network providers to
  569  offer comprehensive and coordinated care to all persons in need,
  570  but may develop a prioritization framework when necessary to
  571  make the best use of limited resources. Priority populations
  572  include:
  573         1. Individuals in crisis stabilization units who are on the
  574  waitlist for placement in a state treatment facility;
  575         2. Individuals in state treatment facilities on the
  576  waitlist for community care;
  577         3. Parents or caretakers with child welfare involvement;
  578         4. Individuals with multiple arrests and incarceration as a
  579  result of their behavioral health condition; and
  580         5. Individuals with behavioral health disorders and
  581  comorbidities consistent with the characteristics of patients in
  582  the region’s population of behavioral health service users who
  583  account for a disproportionately high percentage of service
  584  expenditures.
  585         (e) The managing entity shall ensure that written
  586  cooperative agreements are developed and implemented among the
  587  criminal and juvenile justice systems, the local community-based
  588  care network, and the local behavioral health providers in the
  589  geographic area which define strategies and alternatives for
  590  diverting people who have mental illness and substance abuse
  591  problems from the criminal justice system to the community.
  592  These agreements must also address the provision of appropriate
  593  services to persons who have behavioral health problems and
  594  leave the criminal justice system.
  595         (f) Managing entities must collect and submit data to the
  596  department regarding persons served, outcomes of persons served,
  597  and the costs of services provided through the department’s
  598  contract. Managing entities must use the unique identifier
  599  developed by the department for individuals receiving behavioral
  600  health care services. The intent of the unique identifier is to
  601  allow the department, the managing entities, and the behavioral
  602  health care contracted providers to better coordinate care,
  603  evaluate services, assess the cost of services, and improve the
  604  outcomes of individuals receiving behavioral health care
  605  services. All providers under contract with a managing entity
  606  shall use the unique identifier by January 1, 2016. The
  607  department shall evaluate managing entity services based on
  608  consumer-centered outcome measures that reflect national
  609  standards that can dependably be measured. The department shall
  610  work with managing entities to establish performance standards
  611  related to:
  612         1. The extent to which individuals in the community receive
  613  services.
  614         2. The improvement of quality of care for individuals
  615  served.
  616         3. The success of strategies to divert jail, prison, and
  617  forensic facility admissions.
  618         4. Consumer and family satisfaction.
  619         5. The satisfaction of key community constituents such as
  620  law enforcement agencies, juvenile justice agencies, the courts,
  621  the schools, local government entities, hospitals, and others as
  622  appropriate for the geographical area of the managing entity.
  623         (g) The Agency for Health Care Administration may establish
  624  a certified match program, which must be voluntary. Under a
  625  certified match program, reimbursement is limited to the federal
  626  Medicaid share to Medicaid-enrolled strategy participants. The
  627  agency may take no action to implement a certified match program
  628  unless the consultation provisions of chapter 216 have been met.
  629  The agency may seek federal waivers that are necessary to
  630  implement the behavioral health service delivery strategies.
  631         (7) MANAGING ENTITY REQUIREMENTS.—The department may adopt
  632  rules and contractual standards related to and a process for the
  633  qualification and operation of managing entities which are
  634  based, in part, on the following criteria:
  635         (a) As of December 31, 2015, the department shall verify
  636  that each a managing entity’s governing board meets the
  637  requirements of this section. governance structure shall be
  638  representative and shall, at a minimum, include consumers and
  639  family members, appropriate community stakeholders and
  640  organizations, and providers of substance abuse and mental
  641  health services as defined in this chapter and chapter 397. If
  642  there are one or more private-receiving facilities in the
  643  geographic coverage area of a managing entity, the managing
  644  entity shall have one representative for the private-receiving
  645  facilities as an ex officio member of its board of directors.
  646         1. The composition of the board shall be broadly
  647  representative of the community and include consumers and family
  648  members, community organizations that do not contract with the
  649  managing entity, local governments, area law enforcement
  650  agencies, business leaders, local providers of child welfare
  651  services, health care professionals, and representatives of
  652  health care facilities. Representatives of local governments,
  653  including counties, school boards, sheriffs, and independent
  654  hospital taxing districts may, however, serve as voting members
  655  even if they contract with the managing entity.
  656         2. The managing entity must establish a technical advisory
  657  panel consisting of providers of mental health and substance
  658  abuse services that selects at least one member to serve as an
  659  ex officio member of the governing board.
  660         (b) The managing entity must create a transparent process
  661  for nomination and selection of board members and must adopt a
  662  procedure for establishing staggered term limits which ensures
  663  that no individual serves more than 8 consecutive years on the
  664  governing board A managing entity that was originally formed
  665  primarily by substance abuse or mental health providers must
  666  present and demonstrate a detailed, consensus approach to
  667  expanding its provider network and governance to include both
  668  substance abuse and mental health providers.
  669         (c) A managing entity must submit a network management plan
  670  and budget in a form and manner determined by the department.
  671  The plan must detail the means for implementing the duties to be
  672  contracted to the managing entity and the efficiencies to be
  673  anticipated by the department as a result of executing the
  674  contract. The department may require modifications to the plan
  675  and must approve the plan before contracting with a managing
  676  entity. The department may contract with a managing entity that
  677  demonstrates readiness to assume core functions, and may
  678  continue to add functions and responsibilities to the managing
  679  entity’s contract over time as additional competencies are
  680  developed as identified in paragraph (g). Notwithstanding other
  681  provisions of this section, the department may continue and
  682  expand managing entity contracts if the department determines
  683  that the managing entity meets the requirements specified in
  684  this section.
  685         (d) Notwithstanding paragraphs (b) and (c), a managing
  686  entity that is currently a fully integrated system providing
  687  mental health and substance abuse services, Medicaid, and child
  688  welfare services is permitted to continue operating under its
  689  current governance structure as long as the managing entity can
  690  demonstrate to the department that consumers, other
  691  stakeholders, and network providers are included in the planning
  692  process.
  693         (d)(e) Managing entities shall operate in a transparent
  694  manner, providing public access to information, notice of
  695  meetings, and opportunities for broad public participation in
  696  decisionmaking. The managing entity’s network management plan
  697  must detail policies and procedures that ensure transparency.
  698         (e)(f) Before contracting with a managing entity, the
  699  department must perform an onsite readiness review of a managing
  700  entity to determine its operational capacity to satisfactorily
  701  perform the duties to be contracted.
  702         (f)(g) The department shall engage community stakeholders,
  703  including providers and managing entities under contract with
  704  the department, in the development of objective standards to
  705  measure the competencies of managing entities and their
  706  readiness to assume the responsibilities described in this
  707  section, and the outcomes to hold them accountable.
  708         (8) DEPARTMENT RESPONSIBILITIES.—With the introduction of
  709  managing entities to monitor department-contracted providers’
  710  day-to-day operations, the department and its regional and
  711  circuit offices will have increased ability to focus on broad
  712  systemic substance abuse and mental health issues. After the
  713  department enters into a managing entity contract in a
  714  geographic area, the regional and circuit offices of the
  715  department in that area shall direct their efforts primarily to
  716  monitoring the managing entity contract, including negotiation
  717  of system quality improvement goals each contract year, and
  718  review of the managing entity’s plans to execute department
  719  strategic plans; carrying out statutorily mandated licensure
  720  functions; conducting community and regional substance abuse and
  721  mental health planning; communicating to the department the
  722  local needs assessed by the managing entity; preparing
  723  department strategic plans; coordinating with other state and
  724  local agencies; assisting the department in assessing local
  725  trends and issues and advising departmental headquarters on
  726  local priorities; and providing leadership in disaster planning
  727  and preparation.
  728         (8)(9) FUNDING FOR MANAGING ENTITIES.—
  729         (a) A contract established between the department and a
  730  managing entity under this section shall be funded by general
  731  revenue, other applicable state funds, or applicable federal
  732  funding sources. A managing entity may carry forward documented
  733  unexpended state funds from one fiscal year to the next;
  734  however, the cumulative amount carried forward may not exceed 8
  735  percent of the total contract. Any unexpended state funds in
  736  excess of that percentage must be returned to the department.
  737  The funds carried forward may not be used in a way that would
  738  create increased recurring future obligations or for any program
  739  or service that is not currently authorized under the existing
  740  contract with the department. Expenditures of funds carried
  741  forward must be separately reported to the department. Any
  742  unexpended funds that remain at the end of the contract period
  743  shall be returned to the department. Funds carried forward may
  744  be retained through contract renewals and new procurements as
  745  long as the same managing entity is retained by the department.
  746         (b) The method of payment for a fixed-price contract with a
  747  managing entity must provide for a 2-month advance payment at
  748  the beginning of each fiscal year and equal monthly payments
  749  thereafter.
  750         (10) REPORTING.—Reports of the department’s activities,
  751  progress, and needs in achieving the goal of contracting with
  752  managing entities in each circuit and region statewide must be
  753  submitted to the appropriate substantive and appropriations
  754  committees in the Senate and the House of Representatives on
  755  January 1 and July 1 of each year until the full transition to
  756  managing entities has been accomplished statewide.
  757         (9)(11) RULES.—The department may shall adopt rules to
  758  administer this section and, as necessary, to further specify
  759  requirements of managing entities.
  760         Section 6. Section 397.402, Florida Statutes, is created to
  761  read:
  762         397.402 Single, consolidated license.—No later than January
  763  1, 2016, the department, in consultation with the Agency for
  764  Health Care Administration, shall modify licensure rules and
  765  procedures to create an option for a single, consolidated
  766  license for a provider that offers multiple types of mental
  767  health and substance abuse services regulated under this chapter
  768  and chapter 394. Providers eligible for a consolidated license
  769  must operate these services through a single corporate entity
  770  and a unified management structure. Any provider serving both
  771  adults and children must meet department standards for separate
  772  facilities and other requirements necessary to ensure the safety
  773  of children and promote therapeutic efficacy. The department and
  774  the Agency for Health Care Administration shall recommend to the
  775  Governor, the President of the Senate, and the Speaker of the
  776  House of Representatives any revisions to the Florida Statutes
  777  needed to further implement the intent of this section by
  778  December 1, 2015.
  779         Section 7. Present paragraphs (d) through (m) of subsection
  780  (2) of section 409.967, Florida Statutes, are redesignated as
  781  paragraphs (e) through (n), respectively, and a new paragraph
  782  (d) is added to that subsection, to read:
  783         409.967 Managed care plan accountability.—
  784         (2) The agency shall establish such contract requirements
  785  as are necessary for the operation of the statewide managed care
  786  program. In addition to any other provisions the agency may deem
  787  necessary, the contract must require:
  788         (d) Quality care.—Managed care plans shall provide, or
  789  contract for the provision of, care coordination to facilitate
  790  the appropriate delivery of behavioral health care services in
  791  the least restrictive setting with treatment and recovery
  792  capabilities that address the needs of the patient. Services
  793  shall be provided in a manner that integrates behavioral health
  794  services and primary care. Plans shall be required to achieve
  795  specific behavioral health outcome standards, established by the
  796  agency in consultation with the Department of Children and
  797  Families.
  798         Section 8. Subsection (5) is added to section 409.973,
  799  Florida Statutes, to read:
  800         409.973 Benefits.—
  801         (5) INTEGRATED BEHAVIORAL HEALTH INITIATIVE.—Each plan
  802  operating in the managed medical assistance program shall work
  803  with the managing entity in its service area to establish
  804  specific organizational supports and service protocols that
  805  enhance the integration and coordination of primary care and
  806  behavioral health services for Medicaid recipients. Progress in
  807  this initiative will be measured using the integration framework
  808  and core measures developed by the Agency for Healthcare
  809  Research and Quality.
  810         Section 9. Paragraph (a) of subsection (1) of section
  811  409.975, Florida Statutes, is amended to read:
  812         409.975 Managed care plan accountability.—In addition to
  813  the requirements of s. 409.967, plans and providers
  814  participating in the managed medical assistance program shall
  815  comply with the requirements of this section.
  816         (1) PROVIDER NETWORKS.—Managed care plans must develop and
  817  maintain provider networks that meet the medical needs of their
  818  enrollees in accordance with standards established pursuant to
  819  s. 409.967(2)(c). Except as provided in this section, managed
  820  care plans may limit the providers in their networks based on
  821  credentials, quality indicators, and price.
  822         (a) Plans must include all providers in the region that are
  823  classified by the agency as essential Medicaid providers, unless
  824  the agency approves, in writing, an alternative arrangement for
  825  securing the types of services offered by the essential
  826  providers. Providers are essential for serving Medicaid
  827  enrollees if they offer services that are not available from any
  828  other provider within a reasonable access standard, or if they
  829  provided a substantial share of the total units of a particular
  830  service used by Medicaid patients within the region during the
  831  last 3 years and the combined capacity of other service
  832  providers in the region is insufficient to meet the total needs
  833  of the Medicaid patients. The agency may not classify physicians
  834  and other practitioners as essential providers. The agency, at a
  835  minimum, shall determine which providers in the following
  836  categories are essential Medicaid providers:
  837         1. Federally qualified health centers.
  838         2. Statutory teaching hospitals as defined in s.
  839  408.07(45).
  840         3. Hospitals that are trauma centers as defined in s.
  841  395.4001(14).
  842         4. Hospitals located at least 25 miles from any other
  843  hospital with similar services.
  844         5. Publicly funded behavioral health service providers.
  845  
  846  Managed care plans that have not contracted with all essential
  847  providers in the region as of the first date of recipient
  848  enrollment, or with whom an essential provider has terminated
  849  its contract, must negotiate in good faith with such essential
  850  providers for 1 year or until an agreement is reached, whichever
  851  is first. Payments for services rendered by a nonparticipating
  852  essential provider shall be made at the applicable Medicaid rate
  853  as of the first day of the contract between the agency and the
  854  plan. A rate schedule for all essential providers shall be
  855  attached to the contract between the agency and the plan. After
  856  1 year, managed care plans that are unable to contract with
  857  essential providers shall notify the agency and propose an
  858  alternative arrangement for securing the essential services for
  859  Medicaid enrollees. The arrangement must rely on contracts with
  860  other participating providers, regardless of whether those
  861  providers are located within the same region as the
  862  nonparticipating essential service provider. If the alternative
  863  arrangement is approved by the agency, payments to
  864  nonparticipating essential providers after the date of the
  865  agency’s approval shall equal 90 percent of the applicable
  866  Medicaid rate. If the alternative arrangement is not approved by
  867  the agency, payment to nonparticipating essential providers
  868  shall equal 110 percent of the applicable Medicaid rate.
  869         Section 10. Section 394.4674, Florida Statutes, is
  870  repealed.
  871         Section 11. Section 394.4985, Florida Statutes, is
  872  repealed.
  873         Section 12. Section 394.657, Florida Statutes, is repealed.
  874         Section 13. Section 394.745, Florida Statutes, is repealed.
  875         Section 14. Section 397.331, Florida Statutes, is repealed.
  876         Section 15. Section 397.333, Florida Statutes, is repealed.
  877         Section 16. Section 397.801, Florida Statutes, is repealed.
  878         Section 17. Section 397.811, Florida Statutes, is repealed.
  879         Section 18. Section 397.821, Florida Statutes, is repealed.
  880         Section 19. Section 397.901, Florida Statutes, is repealed.
  881         Section 20. Section 397.93, Florida Statutes, is repealed.
  882         Section 21. Section 397.94, Florida Statutes, is repealed.
  883         Section 22. Section 397.951, Florida Statutes, is repealed.
  884         Section 23. Section 397.97, Florida Statutes, is repealed.
  885         Section 24. Subsection (15) of section 397.321, Florida
  886  Statutes, is amended to read:
  887         397.321 Duties of the department.—The department shall:
  888         (15) Appoint a substance abuse impairment coordinator to
  889  represent the department in efforts initiated by the statewide
  890  substance abuse impairment prevention and treatment coordinator
  891  established in s. 397.801 and to assist the statewide
  892  coordinator in fulfilling the responsibilities of that position.
  893         Section 25. Subsection (1) of section 397.98, Florida
  894  Statutes, is amended to read:
  895         397.98 Children’s substance abuse services; utilization
  896  management.—
  897         (1) Utilization management shall be an integral part of
  898  each Children’s Network of Care Demonstration Model as described
  899  under s. 397.97. The utilization management process shall
  900  include procedures for analyzing the allocation and use of
  901  resources by the purchasing agent. Such procedures shall
  902  include:
  903         (a) Monitoring the appropriateness of admissions to
  904  residential services or other levels of care as determined by
  905  the department.
  906         (b) Monitoring the duration of care.
  907         (c) Developing profiles of network providers which describe
  908  their patterns of delivering care.
  909         (d) Authorizing care for high-cost services.
  910         Section 26. Paragraph (e) of subsection (3) of section
  911  409.966, Florida Statutes, is amended to read:
  912         409.966 Eligible plans; selection.—
  913         (3) QUALITY SELECTION CRITERIA.—
  914         (e) To ensure managed care plan participation in Regions 1
  915  and 2, the agency shall award an additional contract to each
  916  plan with a contract award in Region 1 or Region 2. Such
  917  contract shall be in any other region in which the plan
  918  submitted a responsive bid and negotiates a rate acceptable to
  919  the agency. If a plan that is awarded an additional contract
  920  pursuant to this paragraph is subject to penalties pursuant to
  921  s. 409.967(2)(i) s. 409.967(2)(h) for activities in Region 1 or
  922  Region 2, the additional contract is automatically terminated
  923  180 days after the imposition of the penalties. The plan must
  924  reimburse the agency for the cost of enrollment changes and
  925  other transition activities.
  926         Section 27. Paragraph (a) of subsection (5) of section
  927  943.031, Florida Statutes, is amended to read:
  928         943.031 Florida Violent Crime and Drug Control Council.—
  929         (5) DUTIES OF COUNCIL.—Subject to funding provided to the
  930  department by the Legislature, the council shall provide advice
  931  and make recommendations, as necessary, to the executive
  932  director of the department.
  933         (a) The council may advise the executive director on the
  934  feasibility of undertaking initiatives which include, but are
  935  not limited to, the following:
  936         1. Establishing a program that provides grants to criminal
  937  justice agencies that develop and implement effective violent
  938  crime prevention and investigative programs and which provides
  939  grants to law enforcement agencies for the purpose of drug
  940  control, criminal gang, and illicit money laundering
  941  investigative efforts or task force efforts that are determined
  942  by the council to significantly contribute to achieving the
  943  state’s goal of reducing drug-related crime, that represent
  944  significant criminal gang investigative efforts, that represent
  945  a significant illicit money laundering investigative effort, or
  946  that otherwise significantly support statewide strategies
  947  developed by the Statewide Drug Policy Advisory Council
  948  established under s. 397.333, subject to the limitations
  949  provided in this section. The grant program may include an
  950  innovations grant program to provide startup funding for new
  951  initiatives by local and state law enforcement agencies to
  952  combat violent crime or to implement drug control, criminal
  953  gang, or illicit money laundering investigative efforts or task
  954  force efforts by law enforcement agencies, including, but not
  955  limited to, initiatives such as:
  956         a. Providing enhanced community-oriented policing.
  957         b. Providing additional undercover officers and other
  958  investigative officers to assist with violent crime
  959  investigations in emergency situations.
  960         c. Providing funding for multiagency or statewide drug
  961  control, criminal gang, or illicit money laundering
  962  investigative efforts or task force efforts that cannot be
  963  reasonably funded completely by alternative sources and that
  964  significantly contribute to achieving the state’s goal of
  965  reducing drug-related crime, that represent significant criminal
  966  gang investigative efforts, that represent a significant illicit
  967  money laundering investigative effort, or that otherwise
  968  significantly support statewide strategies developed by the
  969  Statewide Drug Policy Advisory Council established under s.
  970  397.333.
  971         2. Expanding the use of automated biometric identification
  972  systems at the state and local levels.
  973         3. Identifying methods to prevent violent crime.
  974         4. Identifying methods to enhance multiagency or statewide
  975  drug control, criminal gang, or illicit money laundering
  976  investigative efforts or task force efforts that significantly
  977  contribute to achieving the state’s goal of reducing drug
  978  related crime, that represent significant criminal gang
  979  investigative efforts, that represent a significant illicit
  980  money laundering investigative effort, or that otherwise
  981  significantly support statewide strategies developed by the
  982  Statewide Drug Policy Advisory Council established under s.
  983  397.333.
  984         5. Enhancing criminal justice training programs that
  985  address violent crime, drug control, illicit money laundering
  986  investigative techniques, or efforts to control and eliminate
  987  criminal gangs.
  988         6. Developing and promoting crime prevention services and
  989  educational programs that serve the public, including, but not
  990  limited to:
  991         a. Enhanced victim and witness counseling services that
  992  also provide crisis intervention, information referral,
  993  transportation, and emergency financial assistance.
  994         b. A well-publicized rewards program for the apprehension
  995  and conviction of criminals who perpetrate violent crimes.
  996         7. Enhancing information sharing and assistance in the
  997  criminal justice community by expanding the use of community
  998  partnerships and community policing programs. Such expansion may
  999  include the use of civilian employees or volunteers to relieve
 1000  law enforcement officers of clerical work in order to enable the
 1001  officers to concentrate on street visibility within the
 1002  community.
 1003         Section 28. Subsection (1) of section 943.042, Florida
 1004  Statutes, is amended to read:
 1005         943.042 Violent Crime Investigative Emergency and Drug
 1006  Control Strategy Implementation Account.—
 1007         (1) There is created a Violent Crime Investigative
 1008  Emergency and Drug Control Strategy Implementation Account
 1009  within the Department of Law Enforcement Operating Trust Fund.
 1010  The account shall be used to provide emergency supplemental
 1011  funds to:
 1012         (a) State and local law enforcement agencies that are
 1013  involved in complex and lengthy violent crime investigations, or
 1014  matching funding to multiagency or statewide drug control or
 1015  illicit money laundering investigative efforts or task force
 1016  efforts that significantly contribute to achieving the state’s
 1017  goal of reducing drug-related crime, that represent a
 1018  significant illicit money laundering investigative effort, or
 1019  that otherwise significantly support statewide strategies
 1020  developed by the Statewide Drug Policy Advisory Council
 1021  established under s. 397.333;
 1022         (b) State and local law enforcement agencies that are
 1023  involved in violent crime investigations which constitute a
 1024  significant emergency within the state; or
 1025         (c) Counties that demonstrate a significant hardship or an
 1026  inability to cover extraordinary expenses associated with a
 1027  violent crime trial.
 1028         Section 29. For the purpose of incorporating the amendment
 1029  made by this act to section 394.492, Florida Statutes, in a
 1030  reference thereto, paragraph (a) of subsection (6) of section
 1031  39.407, Florida Statutes, is reenacted to read:
 1032         39.407 Medical, psychiatric, and psychological examination
 1033  and treatment of child; physical, mental, or substance abuse
 1034  examination of person with or requesting child custody.—
 1035         (6) Children who are in the legal custody of the department
 1036  may be placed by the department, without prior approval of the
 1037  court, in a residential treatment center licensed under s.
 1038  394.875 or a hospital licensed under chapter 395 for residential
 1039  mental health treatment only pursuant to this section or may be
 1040  placed by the court in accordance with an order of involuntary
 1041  examination or involuntary placement entered pursuant to s.
 1042  394.463 or s. 394.467. All children placed in a residential
 1043  treatment program under this subsection must have a guardian ad
 1044  litem appointed.
 1045         (a) As used in this subsection, the term:
 1046         1. “Residential treatment” means placement for observation,
 1047  diagnosis, or treatment of an emotional disturbance in a
 1048  residential treatment center licensed under s. 394.875 or a
 1049  hospital licensed under chapter 395.
 1050         2. “Least restrictive alternative” means the treatment and
 1051  conditions of treatment that, separately and in combination, are
 1052  no more intrusive or restrictive of freedom than reasonably
 1053  necessary to achieve a substantial therapeutic benefit or to
 1054  protect the child or adolescent or others from physical injury.
 1055         3. “Suitable for residential treatment” or “suitability”
 1056  means a determination concerning a child or adolescent with an
 1057  emotional disturbance as defined in s. 394.492(5) or a serious
 1058  emotional disturbance as defined in s. 394.492(6) that each of
 1059  the following criteria is met:
 1060         a. The child requires residential treatment.
 1061         b. The child is in need of a residential treatment program
 1062  and is expected to benefit from mental health treatment.
 1063         c. An appropriate, less restrictive alternative to
 1064  residential treatment is unavailable.
 1065         Section 30. For the purpose of incorporating the amendment
 1066  made by this act to section 394.492, Florida Statutes, in a
 1067  reference thereto, subsection (21) of section 394.67, Florida
 1068  Statutes, is reenacted to read:
 1069         394.67 Definitions.—As used in this part, the term:
 1070         (21) “Residential treatment center for children and
 1071  adolescents” means a 24-hour residential program, including a
 1072  therapeutic group home, which provides mental health services to
 1073  emotionally disturbed children or adolescents as defined in s.
 1074  394.492(5) or (6) and which is a private for-profit or not-for
 1075  profit corporation licensed by the agency which offers a variety
 1076  of treatment modalities in a more restrictive setting.
 1077         Section 31. For the purpose of incorporating the amendment
 1078  made by this act to section 394.492, Florida Statutes, in a
 1079  reference thereto, paragraph (b) of subsection (1) of section
 1080  394.674, Florida Statutes, is reenacted to read:
 1081         394.674 Eligibility for publicly funded substance abuse and
 1082  mental health services; fee collection requirements.—
 1083         (1) To be eligible to receive substance abuse and mental
 1084  health services funded by the department, an individual must be
 1085  a member of at least one of the department’s priority
 1086  populations approved by the Legislature. The priority
 1087  populations include:
 1088         (b) For children’s mental health services:
 1089         1. Children who are at risk of emotional disturbance as
 1090  defined in s. 394.492(4).
 1091         2. Children who have an emotional disturbance as defined in
 1092  s. 394.492(5).
 1093         3. Children who have a serious emotional disturbance as
 1094  defined in s. 394.492(6).
 1095         4. Children diagnosed as having a co-occurring substance
 1096  abuse and emotional disturbance or serious emotional
 1097  disturbance.
 1098         Section 32. For the purpose of incorporating the amendment
 1099  made by this act to section 394.492, Florida Statutes, in a
 1100  reference thereto, subsection (1) of section 394.676, Florida
 1101  Statutes, is reenacted to read:
 1102         394.676 Indigent psychiatric medication program.—
 1103         (1) Within legislative appropriations, the department may
 1104  establish the indigent psychiatric medication program to
 1105  purchase psychiatric medications for persons as defined in s.
 1106  394.492(5) or (6) or pursuant to s. 394.674(1), who do not
 1107  reside in a state mental health treatment facility or an
 1108  inpatient unit.
 1109         Section 33. For the purpose of incorporating the amendment
 1110  made by this act to section 394.492, Florida Statutes, in a
 1111  reference thereto, paragraph (c) of subsection (2) of section
 1112  409.1676, Florida Statutes, is reenacted to read:
 1113         409.1676 Comprehensive residential group care services to
 1114  children who have extraordinary needs.—
 1115         (2) As used in this section, the term:
 1116         (c) “Serious behavioral problems” means behaviors of
 1117  children who have been assessed by a licensed master’s-level
 1118  human-services professional to need at a minimum intensive
 1119  services but who do not meet the criteria of s. 394.492(7). A
 1120  child with an emotional disturbance as defined in s. 394.492(5)
 1121  or (6) may be served in residential group care unless a
 1122  determination is made by a mental health professional that such
 1123  a setting is inappropriate. A child having a serious behavioral
 1124  problem must have been determined in the assessment to have at
 1125  least one of the following risk factors:
 1126         1. An adjudication of delinquency and be on conditional
 1127  release status with the Department of Juvenile Justice.
 1128         2. A history of physical aggression or violent behavior
 1129  toward self or others, animals, or property within the past
 1130  year.
 1131         3. A history of setting fires within the past year.
 1132         4. A history of multiple episodes of running away from home
 1133  or placements within the past year.
 1134         5. A history of sexual aggression toward other youth.
 1135         Section 34. For the purpose of incorporating the amendment
 1136  made by this act to section 394.492, Florida Statutes, in a
 1137  reference thereto, paragraph (b) of subsection (1) of section
 1138  409.1677, Florida Statutes, is reenacted to read:
 1139         409.1677 Model comprehensive residential services
 1140  programs.—
 1141         (1) As used in this section, the term:
 1142         (b) “Serious behavioral problems” means behaviors of
 1143  children who have been assessed by a licensed master’s-level
 1144  human-services professional to need at a minimum intensive
 1145  services but who do not meet the criteria of s. 394.492(6) or
 1146  (7). A child with an emotional disturbance as defined in s.
 1147  394.492(5) may be served in residential group care unless a
 1148  determination is made by a mental health professional that such
 1149  a setting is inappropriate.
 1150         Section 35. Except as otherwise expressly provided in this
 1151  act and except for this section, which shall take effect upon
 1152  this act becoming a law, this act shall take effect July 1,
 1153  2015.