Senate Bill sb0042C

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    Florida Senate - 2001                                  SB 42-C

    By Senator Silver





    309-729-02

  1                      A bill to be entitled

  2         An act relating to the Agency for Health Care

  3         Administration; repealing s. 409.904(11), F.S.,

  4         which provides eligibility of specified persons

  5         for certain optional medical assistance;

  6         amending s. 409.904, F.S.; revising standards

  7         for eligibility for certain optional medical

  8         assistance; amending s. 409.906, F.S.; revising

  9         guidelines for payment for certain services;

10         revising eligibility for certain Medicaid

11         services and methods of delivering services;

12         amending s. 409.9065, F.S.; revising, and

13         prescribing additional, eligibility standards

14         with respect to pharmaceutical expense

15         assistance; amending s. 409.907, F.S.;

16         authorizing withholding of Medicaid payments in

17         certain circumstances; prescribing additional

18         requirements with respect to providers'

19         submission of information; prescribing

20         additional duties for the agency with respect

21         to provider applications; amending s. 409.912,

22         F.S.; revising the reimbursement rate to

23         pharmacies for Medicaid prescribed drugs;

24         providing for expanded home delivery of

25         pharmacy products; amending s. 409.9122, F.S.;

26         repealing provisions relating to choice

27         counseling for recipients; defining the term

28         "managed care plans"; amending s. 409.913,

29         F.S.; prescribing additional sanctions that may

30         be imposed upon a Medicaid provider;

31         eliminating a limit on costs that may be

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  1         recovered against a provider; requiring

  2         disclosure of certain information relating to

  3         rendering of services by a provider; providing

  4         for withholding payments in cases of Medicaid

  5         abuse and in cases subject to administrative

  6         proceedings; prescribing agency procedures in

  7         cases of overpayment; providing venue for

  8         Medicaid overpayment cases; repealing s.

  9         414.41(4), F.S., relating to agency procedures

10         in cases of overpayment; amending s. 409.915,

11         F.S.; revising the limit on a county's payment

12         for certain Medicaid costs; providing that the

13         act fulfills an important state interest;

14         amending s. 409.908, F.S.; revising pharmacy

15         dispensing fees for Medicaid drugs; repealing

16         s. 400.0225, F.S., relating to

17         consumer-satisfaction surveys; amending s.

18         400.179, F.S.; declaring liability for

19         overpayment when a nursing facility is sold;

20         amending s. 400.191, F.S.; eliminating a

21         provision relating to consumer-satisfaction and

22         family-satisfaction surveys; amending s.

23         400.235, F.S.; eliminating a provision relating

24         to participation in the consumer-satisfaction

25         process; amending s. 400.071, F.S.; eliminating

26         a provision relating to participation in a

27         consumer-satisfaction-measurement process;

28         amending s. 409.815, F.S.; conforming a

29         cross-reference; providing effective dates.

30

31  Be It Enacted by the Legislature of the State of Florida:

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  1         Section 1.  Effective July 1, 2002, subsection (11) of

  2  section 409.904, Florida Statutes, is repealed.

  3         Section 2.  Effective July 1, 2002, subsections (1) and

  4  (2) of section 409.904, Florida Statutes, are amended to read:

  5         409.904  Optional payments for eligible persons.--The

  6  agency may make payments for medical assistance and related

  7  services on behalf of the following persons who are determined

  8  to be eligible subject to the income, assets, and categorical

  9  eligibility tests set forth in federal and state law.  Payment

10  on behalf of these Medicaid eligible persons is subject to the

11  availability of moneys and any limitations established by the

12  General Appropriations Act or chapter 216.

13         (1)  A person who is age 65 or older or is determined

14  to be disabled, whose income is at or below 89 100 percent of

15  federal poverty level, and whose assets do not exceed

16  established limitations.

17         (2)(a)  A pregnant woman who would otherwise qualify

18  for Medicaid under s. 409.903(5) except for her level of

19  income and whose assets fall within the limits established by

20  the Department of Children and Family Services for the

21  medically needy.  A pregnant woman who applies for medically

22  needy eligibility may not be made presumptively eligible.

23         (b)  A child under age 21 who would otherwise qualify

24  for Medicaid or the Florida Kidcare program except for the

25  family's level of income and whose assets fall within the

26  limits established by the Department of Children and Family

27  Services for the medically needy. A family, a pregnant woman,

28  a child under age 18, a person age 65 or over, or a blind or

29  disabled person who would be eligible under any group listed

30  in s. 409.903(1), (2), or (3), except that the income or

31

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  1  assets of such family or person exceed established

  2  limitations.

  3

  4  For a family or person in this group, medical expenses are

  5  deductible from income in accordance with federal requirements

  6  in order to make a determination of eligibility.  A family or

  7  person in this group, which group is known as the "medically

  8  needy," is eligible to receive the same services as other

  9  Medicaid recipients, with the exception of services in skilled

10  nursing facilities and intermediate care facilities for the

11  developmentally disabled.

12         Section 3.  Effective July 1, 2002, subsections (1),

13  (12), and (23) of section 409.906, Florida Statutes, are

14  amended to read:

15         409.906  Optional Medicaid services.--Subject to

16  specific appropriations, the agency may make payments for

17  services which are optional to the state under Title XIX of

18  the Social Security Act and are furnished by Medicaid

19  providers to recipients who are determined to be eligible on

20  the dates on which the services were provided.  Any optional

21  service that is provided shall be provided only when medically

22  necessary and in accordance with state and federal law.

23  Optional services rendered by providers in mobile units to

24  Medicaid recipients may be restricted or prohibited by the

25  agency. Nothing in this section shall be construed to prevent

26  or limit the agency from adjusting fees, reimbursement rates,

27  lengths of stay, number of visits, or number of services, or

28  making any other adjustments necessary to comply with the

29  availability of moneys and any limitations or directions

30  provided for in the General Appropriations Act or chapter 216.

31  If necessary to safeguard the state's systems of providing

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  1  services to elderly and disabled persons and subject to the

  2  notice and review provisions of s. 216.177, the Governor may

  3  direct the Agency for Health Care Administration to amend the

  4  Medicaid state plan to delete the optional Medicaid service

  5  known as "Intermediate Care Facilities for the Developmentally

  6  Disabled."  Optional services may include:

  7         (1)  ADULT DENTURE SERVICES.--The agency may pay for

  8  dentures, the procedures required to seat dentures, and the

  9  repair and reline of dentures, provided by or under the

10  direction of a licensed dentist, for a recipient who is age 21

11  or older. However, Medicaid will not provide reimbursement for

12  dental services provided in a mobile dental unit, except for a

13  mobile dental unit:

14         (a)  Owned by, operated by, or having a contractual

15  agreement with the Department of Health and complying with

16  Medicaid's county health department clinic services program

17  specifications as a county health department clinic services

18  provider.

19         (b)  Owned by, operated by, or having a contractual

20  arrangement with a federally qualified health center and

21  complying with Medicaid's federally qualified health center

22  specifications as a federally qualified health center

23  provider.

24         (c)  Rendering dental services to Medicaid recipients,

25  21 years of age and older, at nursing facilities.

26         (d)  Owned by, operated by, or having a contractual

27  agreement with a state-approved dental educational

28  institution.

29         (e)  This subsection is repealed July 1, 2002.

30         (12)  CHILDREN'S HEARING SERVICES.--The agency may pay

31  for hearing and related services, including hearing

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  1  evaluations, hearing aid devices, dispensing of the hearing

  2  aid, and related repairs, if provided to a recipient under age

  3  21 by a licensed hearing aid specialist, otolaryngologist,

  4  otologist, audiologist, or physician.

  5         (23)  CHILDREN'S VISUAL SERVICES.--The agency may pay

  6  for visual examinations, eyeglasses, and eyeglass repairs for

  7  a recipient under age 21, if they are prescribed by a licensed

  8  physician specializing in diseases of the eye or by a licensed

  9  optometrist.

10         Section 4.  Subsections (13) and (20) of section

11  409.906, Florida Statutes, are amended to read:

12         409.906  Optional Medicaid services.--Subject to

13  specific appropriations, the agency may make payments for

14  services which are optional to the state under Title XIX of

15  the Social Security Act and are furnished by Medicaid

16  providers to recipients who are determined to be eligible on

17  the dates on which the services were provided.  Any optional

18  service that is provided shall be provided only when medically

19  necessary and in accordance with state and federal law.

20  Optional services rendered by providers in mobile units to

21  Medicaid recipients may be restricted or prohibited by the

22  agency. Nothing in this section shall be construed to prevent

23  or limit the agency from adjusting fees, reimbursement rates,

24  lengths of stay, number of visits, or number of services, or

25  making any other adjustments necessary to comply with the

26  availability of moneys and any limitations or directions

27  provided for in the General Appropriations Act or chapter 216.

28  If necessary to safeguard the state's systems of providing

29  services to elderly and disabled persons and subject to the

30  notice and review provisions of s. 216.177, the Governor may

31  direct the Agency for Health Care Administration to amend the

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  1  Medicaid state plan to delete the optional Medicaid service

  2  known as "Intermediate Care Facilities for the Developmentally

  3  Disabled."  Optional services may include:

  4         (13)  HOME AND COMMUNITY-BASED SERVICES.--The agency

  5  may pay for home-based or community-based services that are

  6  rendered to a recipient in accordance with a federally

  7  approved waiver program. The agency may limit or eliminate

  8  coverage for certain Project AIDS Care Waiver services,

  9  preauthorize high-cost or highly utilized services, or make

10  any other adjustments necessary to comply with any limitations

11  or directions provided for in the General Appropriations Act.

12         (20)  PRESCRIBED DRUG SERVICES.--The agency may pay for

13  medications that are prescribed for a recipient by a physician

14  or other licensed practitioner of the healing arts authorized

15  to prescribe medications and that are dispensed to the

16  recipient by a licensed pharmacist or physician in accordance

17  with applicable state and federal law. The agency may use

18  mail-order pharmacy services for dispensing drugs. For adults

19  eligible through the medically needy program, pharmacies must

20  dispense a generic drug for a product prescribed for a

21  beneficiary if a generic product exists for the product

22  prescribed.

23         Section 5.  Subsections (2), (3), and (5) of section

24  409.9065, Florida Statutes, are amended to read:

25         409.9065  Pharmaceutical expense assistance.--

26         (2)  ELIGIBILITY.--Eligibility for the program is

27  limited to those individuals who qualify for limited

28  assistance under the Florida Medicaid program as a result of

29  being dually eligible for both Medicare and Medicaid, but

30  whose limited assistance or Medicare coverage does not include

31

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  1  any pharmacy benefit. Specifically eligible are low-income

  2  senior citizens who:

  3         (a)  Are Florida residents age 65 and over;

  4         (b)  Have an income between 89 90 and 120 percent of

  5  the federal poverty level;

  6         (c)  Are eligible for both Medicare and Medicaid;

  7         (d)  Are not enrolled in a Medicare health maintenance

  8  organization that provides a pharmacy benefit; and

  9         (e)  Request to be enrolled in the program.

10         (3)  BENEFITS.--Medications covered under the

11  pharmaceutical expense assistance program are those covered

12  under the Medicaid program in s. 409.906(19) s. 409.906(20).

13  Monthly benefit payments shall be limited to $80 per program

14  participant. Participants are required to make a 10-percent

15  coinsurance payment for each prescription purchased through

16  this program.

17         (5)  NONENTITLEMENT.--The pharmaceutical expense

18  assistance program established by this section is not an

19  entitlement. Enrollment levels are limited to those authorized

20  by the Legislature in the annual General Appropriations Act.

21  If funds are insufficient to serve all individuals eligible

22  under subsection (2) and seeking coverage, the agency may

23  develop a waiting list based on application dates to use in

24  enrolling individuals in unfilled enrollment slots.

25         Section 6.  Effective upon this act becoming a law,

26  subsections (7) and (9) of section 409.907, Florida Statutes,

27  are amended to read:

28         409.907  Medicaid provider agreements.--The agency may

29  make payments for medical assistance and related services

30  rendered to Medicaid recipients only to an individual or

31  entity who has a provider agreement in effect with the agency,

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  1  who is performing services or supplying goods in accordance

  2  with federal, state, and local law, and who agrees that no

  3  person shall, on the grounds of handicap, race, color, or

  4  national origin, or for any other reason, be subjected to

  5  discrimination under any program or activity for which the

  6  provider receives payment from the agency.

  7         (7)  The agency may require, as a condition of

  8  participating in the Medicaid program and before entering into

  9  the provider agreement, that the provider submit information,

10  in an initial and any required renewal applications,

11  concerning the professional, business, and personal background

12  of the provider and permit an onsite inspection of the

13  provider's service location by agency staff or other personnel

14  designated by the agency to perform this function. As a

15  continuing condition of participation in the Medicaid program,

16  a provider shall immediately notify the agency of any current

17  or pending bankruptcy filing. Before entering into the

18  provider agreement, or as a condition of continuing

19  participation in the Medicaid program, the agency may also

20  require that Medicaid providers reimbursed on a

21  fee-for-services basis or fee schedule basis which is not

22  cost-based, post a surety bond not to exceed $50,000 or the

23  total amount billed by the provider to the program during the

24  current or most recent calendar year, whichever is greater.

25  For new providers, the amount of the surety bond shall be

26  determined by the agency based on the provider's estimate of

27  its first year's billing. If the provider's billing during the

28  first year exceeds the bond amount, the agency may require the

29  provider to acquire an additional bond equal to the actual

30  billing level of the provider. A provider's bond shall not

31  exceed $50,000 if a physician or group of physicians licensed

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  1  under chapter 458, chapter 459, or chapter 460 has a 50

  2  percent or greater ownership interest in the provider or if

  3  the provider is an assisted living facility licensed under

  4  part III of chapter 400. The bonds permitted by this section

  5  are in addition to the bonds referenced in s. 400.179(4)(d).

  6  If the provider is a corporation, partnership, association, or

  7  other entity, the agency may require the provider to submit

  8  information concerning the background of that entity and of

  9  any principal of the entity, including any partner or

10  shareholder having an ownership interest in the entity equal

11  to 5 percent or greater, and any treating provider who

12  participates in or intends to participate in Medicaid through

13  the entity. The information must include:

14         (a)  Proof of holding a valid license or operating

15  certificate, as applicable, if required by the state or local

16  jurisdiction in which the provider is located or if required

17  by the Federal Government.

18         (b)  Information concerning any prior violation, fine,

19  suspension, termination, or other administrative action taken

20  under the Medicaid laws, rules, or regulations of this state

21  or of any other state or the Federal Government; any prior

22  violation of the laws, rules, or regulations relating to the

23  Medicare program; any prior violation of the rules or

24  regulations of any other public or private insurer; and any

25  prior violation of the laws, rules, or regulations of any

26  regulatory body of this or any other state.

27         (c)  Full and accurate disclosure of any financial or

28  ownership interest that the provider, or any principal,

29  partner, or major shareholder thereof, may hold in any other

30  Medicaid provider or health care related entity or any other

31

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  1  entity that is licensed by the state to provide health or

  2  residential care and treatment to persons.

  3         (d)  If a group provider, identification of all members

  4  of the group and attestation that all members of the group are

  5  enrolled in or have applied to enroll in the Medicaid program.

  6         (9)  Upon receipt of a completed, signed, and dated

  7  application, and completion of any necessary background

  8  investigation and criminal history record check, the agency

  9  must either:

10         (a)  Enroll the applicant as a Medicaid provider no

11  earlier than the effective date of the approval of the

12  provider application; or

13         (b)  Deny the application if the agency finds that it

14  is in the best interest of the Medicaid program to do so. The

15  agency may consider the factors listed in subsection (10), as

16  well as any other factor that could affect the effective and

17  efficient administration of the program, including, but not

18  limited to, the current availability of medical care,

19  services, or supplies to recipients, taking into account

20  geographic location and reasonable travel time; the number of

21  providers of the same type already enrolled in the same

22  geographic area; and the credentials, experience, success, and

23  patient outcomes of the provider for the services that it is

24  making application to provide in the Medicaid program.

25         Section 7.  Paragraph (a) of subsection (37) of section

26  409.912, Florida Statutes, is amended to read:

27         409.912  Cost-effective purchasing of health care.--The

28  agency shall purchase goods and services for Medicaid

29  recipients in the most cost-effective manner consistent with

30  the delivery of quality medical care.  The agency shall

31  maximize the use of prepaid per capita and prepaid aggregate

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  1  fixed-sum basis services when appropriate and other

  2  alternative service delivery and reimbursement methodologies,

  3  including competitive bidding pursuant to s. 287.057, designed

  4  to facilitate the cost-effective purchase of a case-managed

  5  continuum of care. The agency shall also require providers to

  6  minimize the exposure of recipients to the need for acute

  7  inpatient, custodial, and other institutional care and the

  8  inappropriate or unnecessary use of high-cost services. The

  9  agency may establish prior authorization requirements for

10  certain populations of Medicaid beneficiaries, certain drug

11  classes, or particular drugs to prevent fraud, abuse, overuse,

12  and possible dangerous drug interactions. The Pharmaceutical

13  and Therapeutics Committee shall make recommendations to the

14  agency on drugs for which prior authorization is required. The

15  agency shall inform the Pharmaceutical and Therapeutics

16  Committee of its decisions regarding drugs subject to prior

17  authorization.

18         (37)(a)  The agency shall implement a Medicaid

19  prescribed-drug spending-control program that includes the

20  following components:

21         1.  Medicaid prescribed-drug coverage for brand-name

22  drugs for adult Medicaid recipients is limited to the

23  dispensing of four brand-name drugs per month per recipient.

24  Children are exempt from this restriction. Antiretroviral

25  agents are excluded from this limitation. No requirements for

26  prior authorization or other restrictions on medications used

27  to treat mental illnesses such as schizophrenia, severe

28  depression, or bipolar disorder may be imposed on Medicaid

29  recipients. Medications that will be available without

30  restriction for persons with mental illnesses include atypical

31  antipsychotic medications, conventional antipsychotic

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  1  medications, selective serotonin reuptake inhibitors, and

  2  other medications used for the treatment of serious mental

  3  illnesses. The agency shall also limit the amount of a

  4  prescribed drug dispensed to no more than a 34-day supply. The

  5  agency shall continue to provide unlimited generic drugs,

  6  contraceptive drugs and items, and diabetic supplies. Although

  7  a drug may be included on the preferred drug formulary, it

  8  would not be exempt from the four-brand limit. The agency may

  9  authorize exceptions to the brand-name-drug restriction based

10  upon the treatment needs of the patients, only when such

11  exceptions are based on prior consultation provided by the

12  agency or an agency contractor, but the agency must establish

13  procedures to ensure that:

14         a.  There will be a response to a request for prior

15  consultation by telephone or other telecommunication device

16  within 24 hours after receipt of a request for prior

17  consultation;

18         b.  A 72-hour supply of the drug prescribed will be

19  provided in an emergency or when the agency does not provide a

20  response within 24 hours as required by sub-subparagraph a.;

21  and

22         c.  Except for the exception for nursing home residents

23  and other institutionalized adults and except for drugs on the

24  restricted formulary for which prior authorization may be

25  sought by an institutional or community pharmacy, prior

26  authorization for an exception to the brand-name-drug

27  restriction is sought by the prescriber and not by the

28  pharmacy. When prior authorization is granted for a patient in

29  an institutional setting beyond the brand-name-drug

30  restriction, such approval is authorized for 12 months and

31  monthly prior authorization is not required for that patient.

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  1         2.  Reimbursement to pharmacies for Medicaid prescribed

  2  drugs shall be set at the average wholesale price less 13.75

  3  13.25 percent.

  4         3.  The agency shall develop and implement a process

  5  for managing the drug therapies of Medicaid recipients who are

  6  using significant numbers of prescribed drugs each month. The

  7  management process may include, but is not limited to,

  8  comprehensive, physician-directed medical-record reviews,

  9  claims analyses, and case evaluations to determine the medical

10  necessity and appropriateness of a patient's treatment plan

11  and drug therapies. The agency may contract with a private

12  organization to provide drug-program-management services. The

13  Medicaid drug benefit management program shall include

14  initiatives to manage drug therapies for HIV/AIDS patients,

15  patients using 20 or more unique prescriptions in a 180-day

16  period, and the top 1,000 patients in annual spending.

17         4.  The agency may limit the size of its pharmacy

18  network based on need, competitive bidding, price

19  negotiations, credentialing, or similar criteria. The agency

20  shall give special consideration to rural areas in determining

21  the size and location of pharmacies included in the Medicaid

22  pharmacy network. A pharmacy credentialing process may include

23  criteria such as a pharmacy's full-service status, location,

24  size, patient educational programs, patient consultation,

25  disease-management services, and other characteristics. The

26  agency may impose a moratorium on Medicaid pharmacy enrollment

27  when it is determined that it has a sufficient number of

28  Medicaid-participating providers.

29         5.  The agency shall develop and implement a program

30  that requires Medicaid practitioners who prescribe drugs to

31  use a counterfeit-proof prescription pad for Medicaid

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  1  prescriptions. The agency shall require the use of

  2  standardized counterfeit-proof prescription pads by

  3  Medicaid-participating prescribers or prescribers who write

  4  prescriptions for Medicaid recipients. The agency may

  5  implement the program in targeted geographic areas or

  6  statewide.

  7         6.  The agency may enter into arrangements that require

  8  manufacturers of generic drugs prescribed to Medicaid

  9  recipients to provide rebates of at least 15.1 percent of the

10  average manufacturer price for the manufacturer's generic

11  products. These arrangements shall require that if a

12  generic-drug manufacturer pays federal rebates for

13  Medicaid-reimbursed drugs at a level below 15.1 percent, the

14  manufacturer must provide a supplemental rebate to the state

15  in an amount necessary to achieve a 15.1-percent rebate level.

16         7.  The agency may establish a preferred drug formulary

17  in accordance with 42 U.S.C. s. 1396r-8, and, pursuant to the

18  establishment of such formulary, it is authorized to negotiate

19  supplemental rebates from manufacturers that are in addition

20  to those required by Title XIX of the Social Security Act and

21  at no less than 10 percent of the average manufacturer price

22  as defined in 42 U.S.C. s. 1936 on the last day of a quarter

23  unless the federal or supplemental rebate, or both, equals or

24  exceeds 25 percent. There is no upper limit on the

25  supplemental rebates the agency may negotiate. The agency may

26  determine that specific products, brand-name or generic, are

27  competitive at lower rebate percentages. Agreement to pay the

28  minimum supplemental rebate percentage will guarantee a

29  manufacturer that the Medicaid Pharmaceutical and Therapeutics

30  Committee will consider a product for inclusion on the

31  preferred drug formulary. However, a pharmaceutical

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  1  manufacturer is not guaranteed placement on the formulary by

  2  simply paying the minimum supplemental rebate. Agency

  3  decisions will be made on the clinical efficacy of a drug and

  4  recommendations of the Medicaid Pharmaceutical and

  5  Therapeutics Committee, as well as the price of competing

  6  products minus federal and state rebates. The agency is

  7  authorized to contract with an outside agency or contractor to

  8  conduct negotiations for supplemental rebates. For the

  9  purposes of this section, the term "supplemental rebates" may

10  include, at the agency's discretion, cash rebates and other

11  program benefits that offset a Medicaid expenditure. Such

12  other program benefits may include, but are not limited to,

13  disease management programs, drug product donation programs,

14  drug utilization control programs, prescriber and beneficiary

15  counseling and education, fraud and abuse initiatives, and

16  other services or administrative investments with guaranteed

17  savings to the Medicaid program in the same year the rebate

18  reduction is included in the General Appropriations Act. The

19  agency is authorized to seek any federal waivers to implement

20  this initiative.

21         8.  The agency shall establish an advisory committee

22  for the purposes of studying the feasibility of using a

23  restricted drug formulary for nursing home residents and other

24  institutionalized adults. The committee shall be comprised of

25  seven members appointed by the Secretary of Health Care

26  Administration. The committee members shall include two

27  physicians licensed under chapter 458 or chapter 459; three

28  pharmacists licensed under chapter 465 and appointed from a

29  list of recommendations provided by the Florida Long-Term Care

30  Pharmacy Alliance; and two pharmacists licensed under chapter

31  465.

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  1         9.  The Agency for Health Care Administration shall

  2  expand home delivery of pharmacy products. To assist Medicaid

  3  patients in securing their prescriptions and reduce program

  4  costs, the agency shall expand its current mail-order-pharmacy

  5  diabetes-supply program to include all generic and brand-name

  6  drugs used by Medicaid patients with diabetes. Medicaid

  7  recipients in the current program may obtain nondiabetes drugs

  8  on a voluntary basis. To further reduce program costs and

  9  expand access to home delivery of pharmacy products for

10  diabetic recipients, the agency shall offer home delivery of

11  pharmacy products to Medicaid recipients with diabetes. This

12  mail-order feature for drugs will be voluntary on the part of

13  a Medicaid recipient with diabetes. The agency will allow all

14  qualified and enrolled pharmacies to provide this mail-order

15  program to Medicaid-eligible diabetic recipients who are not

16  eligible for the current mail-order diabetes-supply program,

17  provided such pharmacies accept the same reimbursement rates

18  as its current mail-order diabetes-supply program and offer

19  equivalent levels of patient education and support services.

20  The agency may seek and implement any federal waivers

21  necessary to implement this subparagraph.

22         Section 8.  Paragraphs (e) and (f) of subsection (2) of

23  section 409.9122, Florida Statutes, are amended to read:

24         409.9122  Mandatory Medicaid managed care enrollment;

25  programs and procedures.--

26         (2)

27         (e)  Prior to requesting a Medicaid recipient who is

28  subject to mandatory managed care enrollment to make a choice

29  between a managed care plan or MediPass, the agency shall

30  contact and provide choice counseling to the recipient.

31  Medicaid recipients who are already enrolled in a managed care

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  1  plan or MediPass shall be offered the opportunity to change

  2  managed care plans or MediPass providers on a staggered basis,

  3  as defined by the agency.  All Medicaid recipients shall have

  4  90 days in which to make a choice of managed care plans or

  5  MediPass providers.  Those Medicaid recipients who do not make

  6  a choice shall be assigned to a managed care plan or MediPass

  7  in accordance with paragraph (f).  To facilitate continuity of

  8  care, for a Medicaid recipient who is also a recipient of

  9  Supplemental Security Income (SSI), prior to assigning the SSI

10  recipient to a managed care plan or MediPass, the agency shall

11  determine whether the SSI recipient has an ongoing

12  relationship with a MediPass provider or managed care plan,

13  and if so, the agency shall assign the SSI recipient to that

14  MediPass provider or managed care plan.  Those SSI recipients

15  who do not have such a provider relationship shall be assigned

16  to a managed care plan or MediPass provider in accordance with

17  paragraph (f).

18         (f)  When a Medicaid recipient does not choose a

19  managed care plan or MediPass provider, the agency shall

20  assign the Medicaid recipient to a managed care plan or

21  MediPass provider. Medicaid recipients who are subject to

22  mandatory assignment but who fail to make a choice shall be

23  assigned to managed care plans or provider service networks

24  until an equal enrollment of 50 percent in MediPass and

25  provider service networks and 50 percent in managed care plans

26  is achieved.  Once equal enrollment is achieved, the

27  assignments shall be divided in order to maintain an equal

28  enrollment in MediPass and managed care plans. Thereafter,

29  assignment of Medicaid recipients who fail to make a choice

30  shall be based proportionally on the preferences of recipients

31  who have made a choice in the previous period. Such

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  1  proportions shall be revised at least quarterly to reflect an

  2  update of the preferences of Medicaid recipients. The agency

  3  shall also disproportionately assign Medicaid-eligible

  4  children in families who are required to but have failed to

  5  make a choice of managed care plan or MediPass for their child

  6  and who are to be assigned to the MediPass program to

  7  children's networks as described in s. 409.912(3)(g) and where

  8  available. The disproportionate assignment of children to

  9  children's networks shall be made until the agency has

10  determined that the children's networks have sufficient

11  numbers to be economically operated. For purposes of this

12  paragraph, when referring to assignment, the term "managed

13  care plans" includes exclusive provider organizations,

14  provider service networks, minority physician networks, and

15  pediatric emergency department diversion programs authorized

16  by this chapter or the General Appropriations Act. When making

17  assignments, the agency shall take into account the following

18  criteria:

19         1.  A managed care plan has sufficient network capacity

20  to meet the need of members.

21         2.  The managed care plan or MediPass has previously

22  enrolled the recipient as a member, or one of the managed care

23  plan's primary care providers or MediPass providers has

24  previously provided health care to the recipient.

25         3.  The agency has knowledge that the member has

26  previously expressed a preference for a particular managed

27  care plan or MediPass provider as indicated by Medicaid

28  fee-for-service claims data, but has failed to make a choice.

29         4.  The managed care plan's or MediPass primary care

30  providers are geographically accessible to the recipient's

31  residence.

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  1         Section 9.  Effective upon this act becoming a law,

  2  subsections (15) and (21), paragraph (a) of subsection (22),

  3  and paragraph (a) of subsection (24) of section 409.913,

  4  Florida Statutes, are amended, and subsections (26) and (27)

  5  are added to that section, to read:

  6         409.913  Oversight of the integrity of the Medicaid

  7  program.--The agency shall operate a program to oversee the

  8  activities of Florida Medicaid recipients, and providers and

  9  their representatives, to ensure that fraudulent and abusive

10  behavior and neglect of recipients occur to the minimum extent

11  possible, and to recover overpayments and impose sanctions as

12  appropriate.

13         (15)  The agency may impose any of the following

14  sanctions on a provider or a person for any of the acts

15  described in subsection (14):

16         (a)  Suspension for a specific period of time of not

17  more than 1 year.

18         (b)  Termination for a specific period of time of from

19  more than 1 year to 20 years.

20         (c)  Imposition of a fine of up to $5,000 for each

21  violation.  Each day that an ongoing violation continues, such

22  as refusing to furnish Medicaid-related records or refusing

23  access to records, is considered, for the purposes of this

24  section, to be a separate violation.  Each instance of

25  improper billing of a Medicaid recipient; each instance of

26  including an unallowable cost on a hospital or nursing home

27  Medicaid cost report after the provider or authorized

28  representative has been advised in an audit exit conference or

29  previous audit report of the cost unallowability; each

30  instance of furnishing a Medicaid recipient goods or

31  professional services that are inappropriate or of inferior

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  1  quality as determined by competent peer judgment; each

  2  instance of knowingly submitting a materially false or

  3  erroneous Medicaid provider enrollment application, request

  4  for prior authorization for Medicaid services, drug exception

  5  request, or cost report; each instance of inappropriate

  6  prescribing of drugs for a Medicaid recipient as determined by

  7  competent peer judgment; and each false or erroneous Medicaid

  8  claim leading to an overpayment to a provider is considered,

  9  for the purposes of this section, to be a separate violation.

10         (d)  Immediate suspension, if the agency has received

11  information of patient abuse or neglect or of any act

12  prohibited by s. 409.920. Upon suspension, the agency must

13  issue an immediate final order under s. 120.569(2)(n).

14         (e)  A fine, not to exceed $10,000, for a violation of

15  paragraph (14)(i).

16         (f)  Imposition of liens against provider assets,

17  including, but not limited to, financial assets and real

18  property, not to exceed the amount of fines or recoveries

19  sought, upon entry of an order determining that such moneys

20  are due or recoverable.

21         (g)  Other remedies as permitted by law to effect the

22  recovery of a fine or overpayment.

23         (21)  The audit report, supported by agency work

24  papers, showing an overpayment to a provider constitutes

25  evidence of the overpayment. A provider may not present or

26  elicit testimony, either on direct examination or

27  cross-examination in any court or administrative proceeding,

28  regarding the purchase or acquisition by any means of drugs,

29  goods, or supplies; sales or divestment by any means of drugs,

30  goods, or supplies; or inventory of drugs, goods, or supplies,

31  unless such acquisition, sales, divestment, or inventory is

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  1  documented by written invoices, written inventory records, or

  2  other competent written documentary evidence maintained in the

  3  normal course of the provider's business. Notwithstanding the

  4  applicable rules of discovery, all documentation related to

  5  the rendering of services by a provider which is used in

  6  support of a provider's position must be timely filed with

  7  agency counsel not less than 14 days before any administrative

  8  hearing or else must be excluded from consideration.

  9         (22)(a)  In an audit or investigation of a violation

10  committed by a provider which is conducted pursuant to this

11  section, the agency is entitled to recover all up to $15,000

12  in investigative, legal, and expert witness costs if the

13  agency's findings were not contested by the provider or, if

14  contested, the agency ultimately prevailed.

15         (24)(a)  The agency may withhold Medicaid payments, in

16  whole or in part, to a provider upon receipt of reliable

17  evidence that the circumstances giving rise to the need for a

18  withholding of payments involve fraud, or willful

19  misrepresentation, or abuse under the Medicaid program, or a

20  crime committed while rendering goods or services to Medicaid

21  recipients, pending completion of legal proceedings. If it is

22  determined that fraud, willful misrepresentation, abuse, or a

23  crime did not occur, the payments withheld must be paid to the

24  provider within 14 days after such determination with interest

25  at the rate of 10 percent a year. Any money withheld in

26  accordance with this paragraph shall be placed in a suspended

27  account, readily accessible to the agency, so that any payment

28  ultimately due the provider shall be made within 14 days.

29  Furthermore, the authority to withhold payments under this

30  paragraph shall not apply to physicians whose alleged

31

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  1  overpayments are being determined by administrative

  2  proceedings pursuant to chapter 120.

  3         (26)  When the Agency for Health Care Administration

  4  has made a probable cause determination and alleged that an

  5  overpayment to a Medicaid provider has occurred, the agency,

  6  after notice to the provider, may:

  7         (a)  Withhold, and continue to withhold during the

  8  pendency of an administrative hearing pursuant to chapter 120,

  9  any medical assistance reimbursement payments until such time

10  as the overpayment is recovered, unless within 30 days after

11  receiving notice thereof the provider:

12         1.  Makes repayment in full; or

13         2.  Establishes a repayment plan that is satisfactory

14  to the Agency for Health Care Administration.

15         (b)  Withhold, and continue to withhold during the

16  pendency of an administrative hearing pursuant to chapter 120,

17  medical assistance reimbursement payments if the terms of a

18  repayment plan are not adhered to by the provider.

19

20  If a provider requests an administrative hearing pursuant to

21  chapter 120, such hearing must be conducted within 90 days

22  following receipt by the provider of the final audit report,

23  absent exceptionally good cause shown as determined by the

24  administrative law judge or hearing officer. Upon issuance of

25  a final order, the balance outstanding of the amount

26  determined to constitute the overpayment shall become due.

27  Any withholding of payments by the Agency for Health Care

28  Administration pursuant to this section shall be limited so

29  that the monthly medical assistance payment is not reduced by

30  more than 10 percent.

31

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  1         (27)  Venue for all Medicaid program integrity

  2  overpayment cases shall lie in Leon County, at the discretion

  3  of the agency.

  4         Section 10.  Subsection (4) of section 414.41, Florida

  5  Statutes, is repealed.

  6         Section 11.  Subsection (14) of section 409.908,

  7  Florida Statutes, is amended to read:

  8         409.908  Reimbursement of Medicaid providers.--Subject

  9  to specific appropriations, the agency shall reimburse

10  Medicaid providers, in accordance with state and federal law,

11  according to methodologies set forth in the rules of the

12  agency and in policy manuals and handbooks incorporated by

13  reference therein.  These methodologies may include fee

14  schedules, reimbursement methods based on cost reporting,

15  negotiated fees, competitive bidding pursuant to s. 287.057,

16  and other mechanisms the agency considers efficient and

17  effective for purchasing services or goods on behalf of

18  recipients.  Payment for Medicaid compensable services made on

19  behalf of Medicaid eligible persons is subject to the

20  availability of moneys and any limitations or directions

21  provided for in the General Appropriations Act or chapter 216.

22  Further, nothing in this section shall be construed to prevent

23  or limit the agency from adjusting fees, reimbursement rates,

24  lengths of stay, number of visits, or number of services, or

25  making any other adjustments necessary to comply with the

26  availability of moneys and any limitations or directions

27  provided for in the General Appropriations Act, provided the

28  adjustment is consistent with legislative intent.

29         (14)  A provider of prescribed drugs shall be

30  reimbursed the least of the amount billed by the provider, the

31  provider's usual and customary charge, or the Medicaid maximum

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  1  allowable fee established by the agency, plus a dispensing

  2  fee. The agency is directed to implement a variable dispensing

  3  fee for payments for prescribed medicines while ensuring

  4  continued access for Medicaid recipients.  The variable

  5  dispensing fee may be based upon, but not limited to, either

  6  or both the volume of prescriptions dispensed by a specific

  7  pharmacy provider, and the volume of prescriptions dispensed

  8  to an individual recipient, and dispensing of

  9  preferred-drug-list products. The agency shall increase the

10  pharmacy dispensing fee authorized by statute and in the

11  annual General Appropriations Act by $0.50 for the dispensing

12  of a Medicaid preferred-drug-list product and reduce the

13  pharmacy dispensing fee by $0.50 for the dispensing of a

14  Medicaid product that is not included on the preferred-drug

15  list. The agency is authorized to limit reimbursement for

16  prescribed medicine in order to comply with any limitations or

17  directions provided for in the General Appropriations Act,

18  which may include implementing a prospective or concurrent

19  utilization review program.

20         Section 12.  Section 400.0225, Florida Statutes, is

21  repealed.

22         Section 13.  Paragraph (c) of subsection (5) of section

23  400.179, Florida Statutes, is amended to read:

24         400.179  Sale or transfer of ownership of a nursing

25  facility; liability for Medicaid underpayments and

26  overpayments.--

27         (5)  Because any transfer of a nursing facility may

28  expose the fact that Medicaid may have underpaid or overpaid

29  the transferor, and because in most instances, any such

30  underpayment or overpayment can only be determined following a

31

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  1  formal field audit, the liabilities for any such underpayments

  2  or overpayments shall be as follows:

  3         (c)  Where the facility transfer takes any form of a

  4  sale of assets, in addition to the transferor's continuing

  5  liability for any such overpayments, if the transferor fails

  6  to meet these obligations, the transferee shall be liable for

  7  all liabilities that can be readily identifiable 90 days in

  8  advance of the transfer. Such liability shall continue in

  9  succession until the debt is ultimately paid or otherwise

10  resolved. It shall be the burden of the transferee to

11  determine the amount of all such readily identifiable

12  overpayments from the Agency for Health Care Administration,

13  and the agency shall cooperate in every way with the

14  identification of such amounts.  Readily identifiable

15  overpayments shall include overpayments that will result from,

16  but not be limited to:

17         1.  Medicaid rate changes or adjustments;

18         2.  Any depreciation recapture;

19         3.  Any recapture of fair rental value system indexing;

20  or and/or

21         4.  Audits completed by the agency.

22

23  The transferor shall remain liable for any such Medicaid

24  overpayments that were not readily identifiable 90 days in

25  advance of the nursing facility transfer.

26         Section 14.  Paragraph (a) of subsection (2) of section

27  400.191, Florida Statutes, is amended to read:

28         400.191  Availability, distribution, and posting of

29  reports and records.--

30         (2)  The agency shall provide additional information in

31  consumer-friendly printed and electronic formats to assist

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  1  consumers and their families in comparing and evaluating

  2  nursing home facilities.

  3         (a)  The agency shall provide an Internet site which

  4  shall include at least the following information either

  5  directly or indirectly through a link to another established

  6  site or sites of the agency's choosing:

  7         1.  A list by name and address of all nursing home

  8  facilities in this state.

  9         2.  Whether such nursing home facilities are

10  proprietary or nonproprietary.

11         3.  The current owner of the facility's license and the

12  year that that entity became the owner of the license.

13         4.  The name of the owner or owners of each facility

14  and whether the facility is affiliated with a company or other

15  organization owning or managing more than one nursing facility

16  in this state.

17         5.  The total number of beds in each facility.

18         6.  The number of private and semiprivate rooms in each

19  facility.

20         7.  The religious affiliation, if any, of each

21  facility.

22         8.  The languages spoken by the administrator and staff

23  of each facility.

24         9.  Whether or not each facility accepts Medicare or

25  Medicaid recipients or insurance, health maintenance

26  organization, Veterans Administration, CHAMPUS program, or

27  workers' compensation coverage.

28         10.  Recreational and other programs available at each

29  facility.

30         11.  Special care units or programs offered at each

31  facility.

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  1         12.  Whether the facility is a part of a retirement

  2  community that offers other services pursuant to part III,

  3  part IV, or part V.

  4         13.  The results of consumer and family satisfaction

  5  surveys for each facility, as described in s. 400.0225. The

  6  results may be converted to a score or scores, which may be

  7  presented in either numeric or symbolic form for the intended

  8  consumer audience.

  9         13.14.  Survey and deficiency information contained on

10  the Online Survey Certification and Reporting (OSCAR) system

11  of the federal Health Care Financing Administration, including

12  annual survey, revisit, and complaint survey information, for

13  each facility for the past 45 months.  For noncertified

14  nursing homes, state survey and deficiency information,

15  including annual survey, revisit, and complaint survey

16  information for the past 45 months shall be provided.

17         14.15.  A summary of the Online Survey Certification

18  and Reporting (OSCAR) data for each facility over the past 45

19  months. Such summary may include a score, rating, or

20  comparison ranking with respect to other facilities based on

21  the number of citations received by the facility of annual,

22  revisit, and complaint surveys; the severity and scope of the

23  citations; and the number of annual recertification surveys

24  the facility has had during the past 45 months. The score,

25  rating, or comparison ranking may be presented in either

26  numeric or symbolic form for the intended consumer audience.

27         Section 15.  Paragraph (c) of subsection (5) of section

28  400.235, Florida Statutes, is amended to read:

29         400.235  Nursing home quality and licensure status;

30  Gold Seal Program.--

31

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  1         (5)  Facilities must meet the following additional

  2  criteria for recognition as a Gold Seal Program facility:

  3         (c)  Participate consistently in a the required

  4  consumer satisfaction process as prescribed by the agency, and

  5  demonstrate that information is elicited from residents,

  6  family members, and guardians about satisfaction with the

  7  nursing facility, its environment, the services and care

  8  provided, the staff's skills and interactions with residents,

  9  attention to resident's needs, and the facility's efforts to

10  act on information gathered from the consumer satisfaction

11  measures.

12

13  A facility assigned a conditional licensure status may not

14  qualify for consideration for the Gold Seal Program until

15  after it has operated for 30 months with no class I or class

16  II deficiencies and has completed a regularly scheduled

17  relicensure survey.

18         Section 16.  Section 400.071, Florida Statutes, is

19  amended to read:

20         400.071  Application for license.--

21         (1)  An application for a license as required by s.

22  400.062 shall be made to the agency on forms furnished by it

23  and shall be accompanied by the appropriate license fee.

24         (2)  The application shall be under oath and shall

25  contain the following:

26         (a)  The name, address, and social security number of

27  the applicant if an individual; if the applicant is a firm,

28  partnership, or association, its name, address, and employer

29  identification number (EIN), and the name and address of any

30  controlling interest; and the name by which the facility is to

31  be known.

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  1         (b)  The name of any person whose name is required on

  2  the application under the provisions of paragraph (a) and who

  3  owns at least a 10-percent interest in any professional

  4  service, firm, association, partnership, or corporation

  5  providing goods, leases, or services to the facility for which

  6  the application is made, and the name and address of the

  7  professional service, firm, association, partnership, or

  8  corporation in which such interest is held.

  9         (c)  The location of the facility for which a license

10  is sought and an indication, as in the original application,

11  that such location conforms to the local zoning ordinances.

12         (d)  The name of the person or persons under whose

13  management or supervision the facility will be conducted and

14  the name of the administrator.

15         (e)  A signed affidavit disclosing any financial or

16  ownership interest that a person or entity described in

17  paragraph (a) or paragraph (d) has held in the last 5 years in

18  any entity licensed by this state or any other state to

19  provide health or residential care which has closed

20  voluntarily or involuntarily; has filed for bankruptcy; has

21  had a receiver appointed; has had a license denied, suspended,

22  or revoked; or has had an injunction issued against it which

23  was initiated by a regulatory agency. The affidavit must

24  disclose the reason any such entity was closed, whether

25  voluntarily or involuntarily.

26         (f)  The total number of beds and the total number of

27  Medicare and Medicaid certified beds.

28         (g)  Information relating to the number, experience,

29  and training of the employees of the facility and of the moral

30  character of the applicant and employees which the agency

31  requires by rule, including the name and address of any

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  1  nursing home with which the applicant or employees have been

  2  affiliated through ownership or employment within 5 years of

  3  the date of the application for a license and the record of

  4  any criminal convictions involving the applicant and any

  5  criminal convictions involving an employee if known by the

  6  applicant after inquiring of the employee.  The applicant must

  7  demonstrate that sufficient numbers of qualified staff, by

  8  training or experience, will be employed to properly care for

  9  the type and number of residents who will reside in the

10  facility.

11         (h)  Copies of any civil verdict or judgment involving

12  the applicant rendered within the 10 years preceding the

13  application, relating to medical negligence, violation of

14  residents' rights, or wrongful death.  As a condition of

15  licensure, the licensee agrees to provide to the agency copies

16  of any new verdict or judgment involving the applicant,

17  relating to such matters, within 30 days after filing with the

18  clerk of the court.  The information required in this

19  paragraph shall be maintained in the facility's licensure file

20  and in an agency database which is available as a public

21  record.

22         (3)  The applicant shall submit evidence which

23  establishes the good moral character of the applicant,

24  manager, supervisor, and administrator. No applicant, if the

25  applicant is an individual; no member of a board of directors

26  or officer of an applicant, if the applicant is a firm,

27  partnership, association, or corporation; and no licensed

28  nursing home administrator shall have been convicted, or found

29  guilty, regardless of adjudication, of a crime in any

30  jurisdiction which affects or may potentially affect residents

31  in the facility.

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  1         (4)  Each applicant for licensure must comply with the

  2  following requirements:

  3         (a)  Upon receipt of a completed, signed, and dated

  4  application, the agency shall require background screening of

  5  the applicant, in accordance with the level 2 standards for

  6  screening set forth in chapter 435. As used in this

  7  subsection, the term "applicant" means the facility

  8  administrator, or similarly titled individual who is

  9  responsible for the day-to-day operation of the licensed

10  facility, and the facility financial officer, or similarly

11  titled individual who is responsible for the financial

12  operation of the licensed facility.

13         (b)  The agency may require background screening for a

14  member of the board of directors of the licensee or an officer

15  or an individual owning 5 percent or more of the licensee if

16  the agency has probable cause to believe that such individual

17  has been convicted of an offense prohibited under the level 2

18  standards for screening set forth in chapter 435.

19         (c)  Proof of compliance with the level 2 background

20  screening requirements of chapter 435 which has been submitted

21  within the previous 5 years in compliance with any other

22  health care or assisted living licensure requirements of this

23  state is acceptable in fulfillment of paragraph (a). Proof of

24  compliance with background screening which has been submitted

25  within the previous 5 years to fulfill the requirements of the

26  Department of Insurance pursuant to chapter 651 as part of an

27  application for a certificate of authority to operate a

28  continuing care retirement community is acceptable in

29  fulfillment of the Department of Law Enforcement and Federal

30  Bureau of Investigation background check.

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  1         (d)  A provisional license may be granted to an

  2  applicant when each individual required by this section to

  3  undergo background screening has met the standards for the

  4  Department of Law Enforcement background check, but the agency

  5  has not yet received background screening results from the

  6  Federal Bureau of Investigation, or a request for a

  7  disqualification exemption has been submitted to the agency as

  8  set forth in chapter 435, but a response has not yet been

  9  issued.  A license may be granted to the applicant upon the

10  agency's receipt of a report of the results of the Federal

11  Bureau of Investigation background screening for each

12  individual required by this section to undergo background

13  screening which confirms that all standards have been met, or

14  upon the granting of a disqualification exemption by the

15  agency as set forth in chapter 435.  Any other person who is

16  required to undergo level 2 background screening may serve in

17  his or her capacity pending the agency's receipt of the report

18  from the Federal Bureau of Investigation; however, the person

19  may not continue to serve if the report indicates any

20  violation of background screening standards and a

21  disqualification exemption has not been requested of and

22  granted by the agency as set forth in chapter 435.

23         (e)  Each applicant must submit to the agency, with its

24  application, a description and explanation of any exclusions,

25  permanent suspensions, or terminations of the applicant from

26  the Medicare or Medicaid programs. Proof of compliance with

27  disclosure of ownership and control interest requirements of

28  the Medicaid or Medicare programs shall be accepted in lieu of

29  this submission.

30         (f)  Each applicant must submit to the agency a

31  description and explanation of any conviction of an offense

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  1  prohibited under the level 2 standards of chapter 435 by a

  2  member of the board of directors of the applicant, its

  3  officers, or any individual owning 5 percent or more of the

  4  applicant. This requirement shall not apply to a director of a

  5  not-for-profit corporation or organization if the director

  6  serves solely in a voluntary capacity for the corporation or

  7  organization, does not regularly take part in the day-to-day

  8  operational decisions of the corporation or organization,

  9  receives no remuneration for his or her services on the

10  corporation or organization's board of directors, and has no

11  financial interest and has no family members with a financial

12  interest in the corporation or organization, provided that the

13  director and the not-for-profit corporation or organization

14  include in the application a statement affirming that the

15  director's relationship to the corporation satisfies the

16  requirements of this paragraph.

17         (g)  An application for license renewal must contain

18  the information required under paragraphs (e) and (f).

19         (5)  The applicant shall furnish satisfactory proof of

20  financial ability to operate and conduct the nursing home in

21  accordance with the requirements of this part and all rules

22  adopted under this part, and the agency shall establish

23  standards for this purpose, including information reported

24  under paragraph (2)(e). The agency also shall establish

25  documentation requirements, to be completed by each applicant,

26  that show anticipated facility revenues and expenditures, the

27  basis for financing the anticipated cash-flow requirements of

28  the facility, and an applicant's access to contingency

29  financing.

30         (6)  If the applicant offers continuing care agreements

31  as defined in chapter 651, proof shall be furnished that such

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  1  applicant has obtained a certificate of authority as required

  2  for operation under that chapter.

  3         (7)  As a condition of licensure, each licensee, except

  4  one offering continuing care agreements as defined in chapter

  5  651, must agree to accept recipients of Title XIX of the

  6  Social Security Act on a temporary, emergency basis.  The

  7  persons whom the agency may require such licensees to accept

  8  are those recipients of Title XIX of the Social Security Act

  9  who are residing in a facility in which existing conditions

10  constitute an immediate danger to the health, safety, or

11  security of the residents of the facility.

12         (8)  As a condition of licensure, each facility must

13  agree to participate in a consumer satisfaction measurement

14  process as prescribed by the agency.

15         (8)(9)  The agency may not issue a license to a nursing

16  home that fails to receive a certificate of need under the

17  provisions of ss. 408.031-408.045. It is the intent of the

18  Legislature that, in reviewing a certificate-of-need

19  application to add beds to an existing nursing home facility,

20  preference be given to the application of a licensee who has

21  been awarded a Gold Seal as provided for in s. 400.235, if the

22  applicant otherwise meets the review criteria specified in s.

23  408.035.

24         (9)(10)  The agency may develop an abbreviated survey

25  for licensure renewal applicable to a licensee that has

26  continuously operated as a nursing facility since 1991 or

27  earlier, has operated under the same management for at least

28  the preceding 30 months, and has had during the preceding 30

29  months no class I or class II deficiencies.

30         (10)(11)  The agency may issue an inactive license to a

31  nursing home that will be temporarily unable to provide

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  1  services but that is reasonably expected to resume services.

  2  Such designation may be made for a period not to exceed 12

  3  months but may be renewed by the agency for up to 6 additional

  4  months. Any request by a licensee that a nursing home become

  5  inactive must be submitted to the agency and approved by the

  6  agency prior to initiating any suspension of service or

  7  notifying residents. Upon agency approval, the nursing home

  8  shall notify residents of any necessary discharge or transfer

  9  as provided in s. 400.0255.

10         (11)(12)  As a condition of licensure, each facility

11  must establish and submit with its application a plan for

12  quality assurance and for conducting risk management.

13         Section 17.  Paragraph (q) of subsection (2) of section

14  409.815, Florida Statutes, is amended to read:

15         409.815  Health benefits coverage; limitations.--

16         (2)  BENCHMARK BENEFITS.--In order for health benefits

17  coverage to qualify for premium assistance payments for an

18  eligible child under ss. 409.810-409.820, the health benefits

19  coverage, except for coverage under Medicaid and Medikids,

20  must include the following minimum benefits, as medically

21  necessary.

22         (q)  Dental services.--Subject to a specific

23  appropriation for this benefit, covered services include those

24  dental services provided to children by the Florida Medicaid

25  program under s. 409.906(5) s. 409.906(6).

26         Section 18.  Except as otherwise specifically provided

27  in this act, this act shall take effect January 1, 2002.

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  2                          SENATE SUMMARY

  3    Revises and repeals various provisions of law relating to
      programs administered by the Agency for Health Care
  4    Administration. (See bill for details.)

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