Senate Bill sb1226

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    Florida Senate - 2004                                  SB 1226

    By the Committee on Health, Aging, and Long-Term Care





    317-859A-04

  1                      A bill to be entitled

  2         An act relating to the long-term-care service

  3         delivery system; amending s. 409.912, F.S.;

  4         requiring the Department of Elderly Affairs to

  5         assess certain nursing home residents to

  6         facilitate their transition to a

  7         community-based setting; amending s. 430.205,

  8         F.S.; requiring the Department of Elderly

  9         Affairs and the Agency for Health Care

10         Administration to develop an integrated

11         long-term-care service-delivery system;

12         requiring the Department of Elderly Affairs and

13         the agency to phase in implementation of the

14         integrated long-term-care system; specifying

15         timeframes and activities for each

16         implementation phase; authorizing the agency to

17         seek federal waivers to implement the changes;

18         requiring the department to integrate certain

19         database systems; requiring development of

20         pilot projects; requiring the agency and the

21         department to develop capitation rates for

22         certain services; providing rulemaking

23         authority to the agency and the department;

24         requiring reports to the Governor and the

25         Legislature; amending s. 430.7031, F.S.;

26         requiring the department and the agency to

27         review the case files of a specified percentage

28         of Medicaid nursing home residents annually for

29         the purpose of determining whether the

30         residents are able to move to community

31         placements; amending s. 430.705, F.S.;

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 1         providing additional eligibility requirements

 2         for entities that provide services under the

 3         long-term-care community diversion pilot

 4         projects; requiring the annual evaluation and

 5         certification of capitation rates; providing

 6         additional requirements to be used in

 7         developing capitation rates for the pilot

 8         projects; amending s. 430.709, F.S.; providing

 9         additional requirements for evaluating the

10         long-term-care diversion pilot projects;

11         requiring a report to the Governor and the

12         Legislature; repealing s. 430.041, F.S.;

13         eliminating the Office of Long-Term-Care Policy

14         and its advisory council; providing an

15         effective date.

16  

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

18  

19         Section 1.  Subsection (15) of section 409.912, Florida

20  Statutes, is amended to read:

21         409.912  Cost-effective purchasing of health care.--The

22  agency shall purchase goods and services for Medicaid

23  recipients in the most cost-effective manner consistent with

24  the delivery of quality medical care.  The agency shall

25  maximize the use of prepaid per capita and prepaid aggregate

26  fixed-sum basis services when appropriate and other

27  alternative service delivery and reimbursement methodologies,

28  including competitive bidding pursuant to s. 287.057, designed

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

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

31  minimize the exposure of recipients to the need for acute

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    Florida Senate - 2004                                  SB 1226
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 1  inpatient, custodial, and other institutional care and the

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

 3  agency may establish prior authorization requirements for

 4  certain populations of Medicaid beneficiaries, certain drug

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

 6  and possible dangerous drug interactions. The Pharmaceutical

 7  and Therapeutics Committee shall make recommendations to the

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

 9  agency shall inform the Pharmaceutical and Therapeutics

10  Committee of its decisions regarding drugs subject to prior

11  authorization.

12         (15)(a)  The agency shall operate the Comprehensive

13  Assessment and Review of Long-Term Care (CARES) nursing

14  facility preadmission screening program to ensure that

15  Medicaid payment for nursing facility care is made only for

16  individuals whose conditions require such care and to ensure

17  that long-term care services are provided in the setting most

18  appropriate to the needs of the person and in the most

19  economical manner possible. The CARES program shall also

20  ensure that individuals participating in Medicaid home and

21  community-based waiver programs meet criteria for those

22  programs, consistent with approved federal waivers.

23         (b)  The agency shall operate the CARES program through

24  an interagency agreement with the Department of Elderly

25  Affairs.

26         (c)  Prior to making payment for nursing facility

27  services for a Medicaid recipient, the agency must verify that

28  the nursing facility preadmission screening program has

29  determined that the individual requires nursing facility care

30  and that the individual cannot be safely served in

31  community-based programs. The nursing facility preadmission

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 1  screening program shall refer a Medicaid recipient to a

 2  community-based program if the individual could be safely

 3  served at a lower cost and the recipient chooses to

 4  participate in such program.

 5         (d)  CARES program staff shall assess each nursing home

 6  resident who is a Medicare beneficiary when the length of the

 7  resident's stay in the nursing home exceeds 20 days that are

 8  fully reimbursed by Medicare. CARES program staff shall

 9  provide case management and supportive services to these

10  residents in order to facilitate transition to a

11  community-based setting and delay Medicaid-funded nursing home

12  placement when appropriate.

13         (e)(d)  By January 1 of each year, the agency shall

14  submit a report to the Legislature and the Office of

15  Long-Term-Care Policy describing the operations of the CARES

16  program. The report must describe:

17         1.  Rate of diversion to community alternative

18  programs;

19         2.  CARES program staffing needs to achieve additional

20  diversions;

21         3.  Reasons the program is unable to place individuals

22  in less restrictive settings when such individuals desired

23  such services and could have been served in such settings;

24         4.  Barriers to appropriate placement, including

25  barriers due to policies or operations of other agencies or

26  state-funded programs; and

27         5.  Statutory changes necessary to ensure that

28  individuals in need of long-term care services receive care in

29  the least restrictive environment.

30         Section 2.  Subsection (6) of section 430.205, Florida

31  Statutes, is amended to read:

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    Florida Senate - 2004                                  SB 1226
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 1         430.205  Community care service system.--

 2         (6)  Notwithstanding other requirements of this

 3  chapter, the Department of Elderly Affairs and the Agency for

 4  Health Care Administration shall develop an a model system to

 5  transition all state-funded services for elderly individuals

 6  in one of the department's planning and service areas to a

 7  managed, integrated long-term-care delivery system under the

 8  direction of a single entity.

 9         (a)  The duties of the integrated model system shall

10  include organizing and administering service delivery for the

11  elderly, obtaining contracts for services with providers in

12  each service the area, monitoring the quality of services

13  provided, determining levels of need and disability for

14  payment purposes, and other activities determined by the

15  department and the agency in order to operate an integrated

16  the model system.

17         (b)  During the 2004-2005 state fiscal year:

18         1.  The agency, in consultation with the department,

19  shall integrate the Channeling, Frail Elder Option, and

20  Nursing Home Diversion pilot project consisting of capitated

21  long-term-care programs and each program's funds into one

22  capitated program serving the aged.

23         a.  The agency shall seek federal waivers necessary to

24  integrate these programs.

25         b.  The department shall develop uniform standards for

26  case management in this newly integrated capitated system.

27         c.  The agency and the department shall adopt any rules

28  necessary to comply with or administer these requirements,

29  effect and implement interagency agreements between the

30  department and the agency, and comply with federal

31  requirements.

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 1         2.  The agency, in consultation with the department,

 2  shall integrate the Aged and Disabled Adult Medicaid waiver

 3  program and the Assisted Living for the Elderly Medicaid

 4  waiver program and each program's funds into one

 5  fee-for-service Medicaid waiver program serving the aged and

 6  disabled.

 7         a.  The agency shall seek federal waivers necessary to

 8  integrate these waiver programs.

 9         b.  Authorization of services through the waiver

10  program shall be provided by an entity that does not provide

11  direct service to recipients.

12         c.  The department shall reimburse providers for case

13  management services on a capitated basis and develop uniform

14  standards for case management in this fee-for-service Medicaid

15  waiver program. The coordination of acute care services for

16  individuals shall be included in the capitated rate for case

17  management services.

18         d.  The agency and the department shall adopt any rules

19  necessary to comply with or administer these requirements,

20  effect and implement interagency agreements between the

21  department and the agency, and comply with federal

22  requirements.

23         3.  The department, in consultation with the agency,

24  shall study the integration of the database systems for the

25  Comprehensive Assessment and Review of Long-Term Care (CARES)

26  program and the Client Information and Referral Tracking

27  System (CIRTS) and develop a plan for database integration.

28  The department shall submit the plan to the Governor, the

29  President of the Senate, and the Speaker of the House of

30  Representatives by December 31, 2004.

31  

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 1         4.  The department, in consultation with the agency and

 2  the Department of Children and Family Services, shall develop

 3  two pilot projects for resource centers on aging. By December

 4  31, 2004, the department, in consultation with the agency and

 5  the Department of Children and Family Services, shall develop

 6  an implementation plan for the resource centers on aging,

 7  including qualifications for designation as a center and the

 8  functions to be performed by each center. The department shall

 9  determine the entities to be designated as resource centers on

10  aging by means of competitive procurement. The department

11  shall select the entities based on each entity's demonstration

12  of:

13         a.  Expertise in the needs of each target population

14  the center proposes to serve and a thorough knowledge of the

15  providers that serve these populations;

16         b.  Strong connections to service providers, volunteer

17  agencies, and community institutions;

18         c.  Expertise in information and referral activities;

19         d.  Knowledge of long-term-care resources, including

20  resources designed to provide services in the least

21  restrictive setting;

22         e.  Financial solvency and stability;

23         f.  The ability to collect, monitor, and analyze data

24  in a timely and accurate manner, along with systems that meet

25  the department's standards;

26         g.  A commitment to adequate staffing by qualified

27  personnel to effectively perform all functions; and

28         h.  The ability to meet all performance standards

29  established by the department.

30  

31  

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 1  The department shall select two sites for the pilot projects

 2  for resource centers on aging by June 30, 2005.

 3         5.  The department, in consultation with the agency,

 4  shall develop a plan by December 31, 2004, to evaluate the

 5  newly integrated capitated and fee-for-service programs over

 6  time, from the beginning of the implementation process

 7  forward. The evaluation shall be ongoing and shall determine

 8  whether the newly integrated programs are achieving the goals

 9  of the programs and evaluate the effects the changes in the

10  system have had on consumers. The evaluation plan must include

11  baseline measures for evaluating the capitated and

12  fee-for-service programs, with a focus on cost effectiveness,

13  the quality of care, and consumer satisfaction.

14         6.  The agency, in consultation with the department,

15  shall work with the fiscal agent for the Medicaid program to

16  develop a service utilization reporting system that operates

17  through the fiscal agent for the capitated plans.

18         (c)  During the 2005-2006 state fiscal year:

19         1.  The agency, in consultation with the department,

20  shall monitor the newly integrated capitated and

21  fee-for-service programs and report on the progress of those

22  programs to the Governor, the President of the Senate, and the

23  Speaker of the House of Representatives by June 30, 2006.

24         2.  The department shall monitor the pilot projects for

25  resource centers on aging and report on the progress of those

26  projects to the Governor, the President of the Senate, and the

27  Speaker of the House of Representatives by June 30, 2006.

28         3.  The department, in consultation with the agency,

29  shall integrate the database systems for the Comprehensive

30  Assessment and Review of Long-Term Care (CARES) program and

31  the Client Information and Referral Tracking System (CIRTS)

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 1  into a single operating assessment information system by June

 2  30, 2006.

 3         4.  The department, in consultation with the agency and

 4  the Department of Children and Family Services, shall develop

 5  a plan to improve the interface between the department's newly

 6  integrated assessment database, the Florida Medicaid

 7  Management Information System, and the FLORIDA system in order

 8  to facilitate enrollment of individuals in the capitated and

 9  fee-for-service programs, as well as monitor eligibility

10  requirements.

11         (d)  During the 2006-2007 state fiscal year:

12         1.  The agency, in consultation with the department,

13  shall initiate competitive procurement to develop a pilot

14  project under which an entity or entities shall be placed at

15  risk for the fee-for-service Medicaid waiver program serving

16  the aged and disabled and the state-funded programs serving

17  the aged, including Community Care for the Elderly, Home Care

18  for the Elderly, and the Alzheimer's Disease Initiative.

19         a.  The programs provided under the Older Americans Act

20  and those funds shall remain separate.

21         b.  By June 30, 2007, the entity or entities chosen

22  shall operate under a risk-based system.

23         c.  The agency and the department shall develop

24  capitation rates based on the historical cost experience of

25  the state in providing services under the Medicaid waiver

26  program and providing state-funded long-term-care services to

27  the population older than 60 years of age in the area served

28  by the pilot project.

29         d.  The agency, in consultation with the department,

30  shall ensure that the entity or entities placed at risk for

31  providing these services have the tools necessary to manage

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 1  the risk associated with providing services under a capitated

 2  program.

 3         e.  The agency shall share the risk with the entity or

 4  entities. Payment rates during the first 2 years of operation

 5  shall be set at not more than 100 percent of the costs to the

 6  agency of providing equivalent services to the population

 7  within the area of the pilot project for the year prior to the

 8  year in which the pilot project is implemented, adjusted

 9  forward to account for inflation and population growth. In

10  subsequent years, the rate shall be negotiated, based on the

11  cost experience of the entity in providing contracted

12  services, but may not exceed 95 percent of the amount that

13  would have been paid by the agency in the area of the pilot

14  project, absent the capitated service delivery system.

15         f.  The department, in consultation with the agency,

16  shall work with rural areas of the state to ensure that there

17  are feasible alternatives for these areas in order to be

18  competitive in the procurement process.

19         g.  An entity chosen as a risk-bearing entity may not

20  act as a resource center on aging.

21         h.  The agency and the department shall adopt any rules

22  necessary to comply with or administer these requirements,

23  effect and implement interagency agreements between the agency

24  and the department, and comply with federal requirements.

25         2.  The agency, in consultation with the department,

26  shall evaluate the Alzheimer's Disease waiver program and the

27  Adult Day Health Care waiver program to assess whether

28  providing limited intensive services through these waiver

29  programs produce better outcomes for individuals than

30  providing those services through the fee-for-service or

31  capitated programs that provide a larger array of services.

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 1         3.  The agency, in consultation with the department,

 2  shall begin discussions with the federal Centers for Medicare

 3  and Medicaid Services regarding the inclusion of Medicare in

 4  an integrated long-term-care system. By December 31, 2006, the

 5  agency shall provide to the Governor, the President of the

 6  Senate, and the Speaker of the House of Representatives a plan

 7  for including Medicare in an integrated long-term-care system.

 8         (e)  During the 2007-2008 state fiscal year:

 9         1.  The agency, in consultation with the department and

10  the chosen risk-bearing entities operating the pilot projects,

11  shall consider whether the entities should be placed at risk

12  for providing Medicaid-funded nursing home care and

13  Medicaid-funded prescription drug coverage. The agency and the

14  department may develop innovative risk-sharing agreements that

15  limit the level of risk for custodial nursing home care that

16  the administering entity assumes, consistent with the intent

17  of the Legislature to reduce the use and cost of nursing home

18  care. Under risk-sharing arrangements, the agency and the

19  department may reimburse the administering entity for the cost

20  of providing nursing home care for Medicaid-eligible

21  participants who have been permanently placed in a nursing

22  home and who remain in nursing home care for longer than 1

23  year.

24         2.  The department, in consultation with the agency,

25  shall consider whether providers operating in the capitated

26  program should be placed at risk for the state-funded

27  Community Care for the Elderly, Home Care for the Elderly, and

28  Alzheimer's Disease Initiative Programs.

29         (b)  The agency and the department shall integrate all

30  funding for services to individuals over the age of 65 in the

31  model planning and service areas into a single per-person

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 1  per-month payment rate, except that funds for Medicaid

 2  behavioral health care services are exempt from this section.

 3  The funds to be integrated shall include:

 4         1.  Community-care-for-the-elderly funds;

 5         2.  Home-care-for-the-elderly funds;

 6         3.  Local services program funds;

 7         4.  Contracted services funds;

 8         5.  Alzheimer's disease initiative funds;

 9         6.  Medicaid home and community-based waiver services

10  funds;

11         7.  Funds for all Medicaid services authorized in ss.

12  409.905 and 409.906, including Medicaid nursing home services;

13  and

14         8.  Funds paid for Medicare premiums, coinsurance and

15  deductibles for persons dually eligible for Medicaid and

16  Medicare as prescribed in s. 409.908(13).

17  

18  The department and the agency shall not make payments for

19  services for people age 65 and older except through the model

20  delivery system.

21         (c)  The entity selected to administer the model system

22  shall develop a comprehensive health and long-term-care

23  service delivery system through contracts with providers of

24  medical, social, and long-term-care services sufficient to

25  meet the needs of the population age 65 and older. The entity

26  selected to administer the model system shall not directly

27  provide services other than intake, assessment, and referral

28  services.

29         (d)  The department shall determine which of the

30  department's planning and services areas is to be designated

31  as a model area by means of a request for proposals. The

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 1  department shall select an area to be designated as a model

 2  area and the entity to administer the model system based on

 3  demonstration of capacity of the entity to:

 4         1.  Develop contracts with providers currently under

 5  contract with the department, area agencies on aging, or

 6  community-care-for-the-elderly lead agencies;

 7         2.  Provide a comprehensive system of appropriate

 8  medical and long-term-care services that provides high-quality

 9  medical and social services to assist older individuals in

10  remaining in the least restrictive setting;

11         3.  Demonstrate a quality assurance and quality

12  improvement system satisfactory to the department and the

13  agency;

14         4.  Develop a system to identify participants who have

15  special health care needs such as polypharmacy, mental health

16  and substance abuse problems, falls, chronic pain, nutritional

17  deficits, and cognitive deficits, in order to respond to and

18  meet these needs;

19         5.  Use a multidisciplinary team approach to

20  participant management which ensures that information is

21  shared among providers responsible for delivering care to a

22  participant;

23         6.  Ensure medical oversight of care plans and service

24  delivery, regular medical evaluation of care plans, and the

25  availability of medical consultation for case managers and

26  service coordinators;

27         7.  Develop, monitor, and enforce quality-of-care

28  requirements;

29         8.  Secure subcontracts with providers of medical,

30  nursing home, and community-based long-term-care services

31  sufficient to assure access to and choice of providers;

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 1         9.  Ensure a system of case management and service

 2  coordination which includes educational and training standards

 3  for case managers and service coordinators;

 4         10.  Develop a business plan that considers the ability

 5  of the applicant to organize and operate a risk-bearing

 6  entity;

 7         11.  Furnish evidence of adequate liability insurance

 8  coverage or an adequate plan of self-insurance to respond to

 9  claims for injuries arising out of the furnishing of health

10  care; and

11         12.  Provide, through contract or otherwise, for

12  periodic review of its medical facilities as required by the

13  department and the agency.

14  

15  The department shall give preference in selecting an area to

16  be designated as a model area to that in which the

17  administering entity is an existing area agency on aging or

18  community-care-for-the-elderly lead agency demonstrating the

19  ability to perform the functions described in this paragraph.

20         (e)  The department in consultation with the selected

21  entity shall develop a statewide proposal regarding the

22  long-term use and structure of a program that addresses a risk

23  pool to reduce financial risk.

24         (f)  The department and the agency shall develop

25  capitation rates based on the historical cost experience of

26  the state in providing acute and long-term-care services to

27  the population over 65 years of age in the area served.

28         1.  Payment rates in the first 2 years of operation

29  shall be set at no more than 100 percent of the costs to the

30  state of providing equivalent services to the population of

31  the model area for the year prior to the year in which the

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 1  model system is implemented, adjusted forward to account for

 2  inflation and population growth. In subsequent years, the rate

 3  shall be negotiated based on the cost experience of the model

 4  system in providing contracted services, but may not exceed 95

 5  percent of the amount that would have been paid by the state

 6  in the model planning and service area absent the model

 7  integrated service delivery system.

 8         2.  The agency and the department may develop

 9  innovative risk-sharing agreements that limit the level of

10  custodial nursing home risk that the administering entity

11  assumes, consistent with the intent of the Legislature to

12  reduce the use and cost of nursing home care. Under

13  risk-sharing arrangements, the agency and the department may

14  reimburse the administering entity for the cost of providing

15  nursing home care for Medicaid-eligible participants who have

16  been permanently placed and remain in nursing home care for

17  more than 1 year.

18         (g)  The department and the Agency for Health Care

19  Administration shall seek federal waivers necessary to

20  implement the requirements of this section.

21         (h)  The Department of Children and Family Services

22  shall develop a streamlined and simplified eligibility system

23  and shall outstation a sufficient number and quality of

24  eligibility-determination staff with the administering entity

25  to assure determination of Medicaid eligibility for the

26  integrated service delivery system in the model planning and

27  service area within 10 days after receipt of a complete

28  application.

29         (i)  The Department of Elderly Affairs shall make

30  arrangements to outstation a sufficient number of nursing home

31  preadmission screening staff with the administering entity to

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 1  assure timely assessment of level of need for long-term-care

 2  services in the model area.

 3         (j)  The Department of Elderly Affairs shall conduct or

 4  contract for an evaluation of the pilot project. The

 5  department shall submit the evaluation to the Governor and the

 6  Legislature by January 1, 2005.  The evaluation must address

 7  the effects of the pilot project on the effectiveness of the

 8  entity providing a comprehensive system of appropriate and

 9  high-quality medical and long-term-care services to elders in

10  the least restrictive setting and make recommendations on a

11  phased-in implementation expansion for the rest of the state.

12         Section 3.  Subsection (2) of section 430.7031, Florida

13  Statutes, is amended to read:

14         430.7031  Nursing home transition program.--The

15  department and the Agency for Health Care Administration:

16         (2)  Shall collaboratively work to identify long-stay

17  nursing home residents who are able to move to community

18  placements, and to provide case management and supportive

19  services to such individuals while they are in nursing homes

20  to assist such individuals in moving to less expensive and

21  less restrictive settings. CARES program staff shall annually

22  review at least 20 percent of the case files for nursing home

23  residents who are Medicaid recipients to determine which

24  nursing home residents are able to move to community

25  placements.

26         Section 4.  Section 430.705, Florida Statutes, is

27  amended to read:

28         430.705  Implementation of the long-term care community

29  diversion pilot projects.--

30  

31  

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 1         (1)  In designing and implementing the community

 2  diversion pilot projects, the department shall work in

 3  consultation with the agency.

 4         (2)  The department shall select projects whose design

 5  and providers demonstrate capacity to maximize the placement

 6  of participants in the least restrictive appropriate care

 7  setting. The department shall select providers that have a

 8  plan administrator who is dedicated to the diversion pilot

 9  project and project staff who perform the necessary project

10  administrative functions, including data collection,

11  reporting, and analysis. The department shall select providers

12  that demonstrate the ability to:

13         (a)  Meet surplus requirements that are comparable to

14  those specified in s. 641.225;

15         (b)  Comply with the standards for financial solvency

16  comparable to those provided in s. 641.285;

17         (c)  Provide for the prompt payment of claims in a

18  manner comparable to the requirements of s. 641.3155;

19         (d)  Provide technology with the capability for data

20  collection which meets the security requirements of the

21  federal Health Insurance Portability and Accountability Act of

22  1996, 42 C.F.R. ss. 160 and 164;

23         (e)  Contract with multiple providers that provide the

24  same type of service.

25         (3)  Pursuant to 42 C.F.R. s. 438.6(c), the agency, in

26  consultation with the department, shall annually reevaluate

27  and recertify the capitation rates for the diversion pilot

28  projects. The agency, in consultation with the department,

29  shall secure the claims data for Medicare beneficiaries which

30  shall be used in developing rates for the diversion pilot

31  projects.

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 1         (4)(3)  The department shall provide to prospective

 2  participants a choice of participating in a community

 3  diversion pilot project or any other appropriate placement

 4  available.  To the extent possible, individuals shall be

 5  allowed to choose their care providers, including long-term

 6  care service providers affiliated with an individual's

 7  religious faith or denomination.

 8         (5)(4)  The department shall enroll participants.

 9  Providers shall not directly enroll participants in community

10  diversion pilot projects.

11         (6)(5)  In selecting the pilot project area, the

12  department shall consider the following factors in the area:

13         (a)  The nursing home occupancy level.

14         (b)  The number of certificates of need awarded for

15  nursing home beds for which renovation, expansion, or

16  construction has not begun.

17         (c)  The annual number of additional nursing home beds.

18         (d)  The annual number of nursing home admissions.

19         (e)  The adequacy of community-based long-term care

20  service providers.

21         (7)(6)  The department may require participants to

22  contribute to their cost of care in an amount not to exceed

23  the cost-sharing required of Medicaid-eligible nursing home

24  residents.

25         (8)(7)  Community diversion pilot projects must:

26         (a)  Provide services for participants that are of

27  sufficient quality, quantity, type, and duration to prevent or

28  delay nursing facility placement.

29         (b)  Integrate acute and long-term care services, and

30  the funding sources for such services, as feasible.

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    Florida Senate - 2004                                  SB 1226
    317-859A-04




 1         (c)  Encourage individuals, families, and communities

 2  to plan for their long-term care needs.

 3         (d)  Provide skilled and intermediate nursing facility

 4  care for participants who cannot be adequately cared for in

 5  noninstitutional settings.

 6         Section 5.  Subsection (2) of section 430.709, Florida

 7  Statutes, is amended to read:

 8         430.709  Reports and evaluations.--

 9         (2)  The agency, in consultation with the department,

10  shall contract for an independent, comprehensive evaluation of

11  the community diversion pilot projects operating prior to the

12  2003-2004 fiscal year. Such evaluation must include a careful

13  review and assessment of the actual cost for the provision of

14  services to participants. The agency shall select a contractor

15  with experience and expertise in evaluating capitation rates

16  for managed care organizations that serve persons who are

17  disabled or frail and elderly in order to evaluate the

18  community diversion pilot projects operated under s. 430.705.

19  The contractor shall analyze and report on the individual

20  services and the array of services most associated with

21  effective diversion of frail and elderly enrollees from

22  placement in a nursing home, consumer and family satisfaction

23  with the projects, the quality of care and quality of life for

24  participants, the cost-effectiveness of the projects, and the

25  demonstrated savings to the agency, as compared to the

26  fee-for-service Medicaid program. The evaluation must also

27  include an organizational analysis of each project site. By

28  June 30, 2005, the agency shall submit to the Governor, the

29  President of the Senate, and the Speaker of the House of

30  Representatives a report of the findings from the evaluation.

31  

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    Florida Senate - 2004                                  SB 1226
    317-859A-04




 1  The report must contain recommendations and proposals for

 2  changes to the community diversion pilot projects.

 3         Section 6.  Section 430.041, Florida Statutes, is

 4  repealed.

 5         Section 7.  This act shall take effect upon becoming a

 6  law.

 7  

 8            *****************************************

 9                          SENATE SUMMARY

10    Revises various provisions governing long-term-care
      programs and the community care service system. Requires
11    the Department of Elderly Affairs and the Agency for
      Health Care Administration to develop an integrated
12    long-term-care system. Provides for the integrated
      long-term-care system to be phased in. Provides
13    timeframes and activities for each phase of
      implementation. Provides for pilot projects. Requires the
14    agency and the department to develop capitation rates for
      certain services. Authorizes the agency and the
15    department to adopt rules. Requires the agency and the
      department to review the case files of 20 percent of
16    Medicaid nursing home residents annually for the purpose
      of determining whether the residents are able to move to
17    community placements. Provides eligibility requirements
      for entities that provide services under the
18    long-term-care community diversion pilot projects.
      Eliminates the Office of Long-Term-Care Policy and its
19    advisory council. (See bill for details.)

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