Florida Senate - 2013                                    SB 1884
       
       
       
       By the Committee on Health Policy
       
       
       
       
       588-04482-13                                          20131884__
    1                        A bill to be entitled                      
    2         An act relating to county Medicaid contributions;
    3         amending s. 409.915, F.S.; specifying the initial
    4         contribution and revising the method for calculating
    5         county contributions; providing timetables for
    6         calculating contributions and for payment of
    7         contributions; deleting provisions specifying the care
    8         and services that counties must participate in,
    9         obsolete bond provisions, and a process for refund
   10         requests; specifying the method for calculating each
   11         county’s contribution for the 2013-2014 fiscal year;
   12         providing an effective date.
   13  
   14  Be It Enacted by the Legislature of the State of Florida:
   15  
   16         Section 1. Section 409.915, Florida Statutes, is amended to
   17  read:
   18         409.915 County contributions to Medicaid.—Although the
   19  state is responsible for the full portion of the state share of
   20  the matching funds required for the Medicaid program, in order
   21  to acquire a certain portion of these funds, the state shall
   22  charge the counties an annual contribution in order to acquire a
   23  certain portion of these funds for certain items of care and
   24  service as provided in this section.
   25         (1) As used in this section, the term “state Medicaid
   26  expenditures,” means those expenditures used as matching funds
   27  for the federal Medicaid program.
   28         (2)(a)For the 2013-2014 state fiscal year, the total
   29  amount of the counties’ contribution is $269.6 million. For each
   30  fiscal year thereafter, the annual amount shall be adjusted by
   31  the percentage change in the state Medicaid expenditures as
   32  determined by the Social Services Estimating Conference.
   33         (b) By March 15 of each year, the Social Services
   34  Estimating Conference shall determine the percentage change in
   35  state Medicaid expenditures by comparing expenditures for the 2
   36  most recent completed state fiscal years.
   37         (3)The amount of each county’s annual contribution shall
   38  be equal to the product of the amount determined under
   39  subsection (2) multiplied by a fraction, the numerator of which
   40  is the number of the county’s Medicaid enrollees as of March 1
   41  of each year, and the denominator of which is the number of all
   42  counties’ Medicaid enrollees as of March 1 of each year. The
   43  agency shall calculate this amount for each county and provide
   44  the information to the Department of Revenue by May 15 of each
   45  year.
   46         (4) By June 1 of each year, the Department of Revenue shall
   47  notify each county of its annual contribution. Each county shall
   48  pay its contribution, by check or electronic transfer, in equal
   49  monthly installments to the Department of Revenue by the 5th day
   50  of each month. If a county fails to remit the payment by the 5th
   51  day of the month, the Department of Revenue shall reduce each
   52  county’s monthly distribution pursuant to s. 218.61 by the
   53  amount of the monthly installment. The payments and the amounts
   54  by which the distributions are reduced shall be transferred to
   55  the General Revenue Fund.
   56         (1) Each county shall participate in the following items of
   57  care and service:
   58         (a) For both health maintenance members and fee-for-service
   59  beneficiaries, payments for inpatient hospitalization in excess
   60  of 10 days, but not in excess of 45 days, with the exception of
   61  pregnant women and children whose income is in excess of the
   62  federal poverty level and who do not participate in the Medicaid
   63  medically needy program, and for adult lung transplant services.
   64         (b) For both health maintenance members and fee-for-service
   65  beneficiaries, payments for nursing home or intermediate
   66  facilities care in excess of $170 per month, with the exception
   67  of skilled nursing care for children under age 21.
   68         (2) A county’s participation must be 35 percent of the
   69  total cost, or the applicable discounted cost paid by the state
   70  for Medicaid recipients enrolled in health maintenance
   71  organizations or prepaid health plans, of providing the items
   72  listed in subsection (1), except that the payments for items
   73  listed in paragraph (1)(b) may not exceed $55 per month per
   74  person.
   75         (3) Each county shall set aside sufficient funds to pay for
   76  items of care and service provided to the county’s eligible
   77  recipients for which county contributions are required,
   78  regardless of where in the state the care or service is
   79  rendered.
   80         (4) Each county shall contribute its pro rata share of the
   81  total county participation based upon statements rendered by the
   82  agency. The agency shall render such statements monthly based on
   83  each county’s eligible recipients. For purposes of this section,
   84  each county’s eligible recipients shall be determined by the
   85  recipient’s address information contained in the federally
   86  approved Medicaid eligibility system within the Department of
   87  Children and Family Services. A county may use the process
   88  developed under subsection (10) to request a refund if it
   89  determines that the statement rendered by the agency contains
   90  errors.
   91         (5) In any county in which a special taxing district or
   92  authority is located which benefits will benefit from the
   93  Medicaid program medical assistance programs covered by this
   94  section, the board of county commissioners may divide the
   95  county’s financial responsibility for this purpose
   96  proportionately, and each such district or authority must
   97  furnish its share to the board of county commissioners in time
   98  for the board to comply with subsection (4) (3). Any appeal of
   99  the proration made by the board of county commissioners must be
  100  made to the Department of Financial Services, which shall then
  101  set the proportionate share for of each party.
  102         (6) Counties are exempt from contributing toward the cost
  103  of new exemptions on inpatient ceilings for statutory teaching
  104  hospitals, specialty hospitals, and community hospital education
  105  program hospitals that came into effect July 1, 2000, and for
  106  special Medicaid payments that came into effect on or after July
  107  1, 2000.
  108         (6)(7)(a) By August 1, 2012, the agency shall certify to
  109  each county the amount of such county’s billings from November
  110  1, 2001, through April 30, 2012, which remain unpaid. A county
  111  may contest the amount certified by filing a petition under the
  112  applicable provisions of chapter 120 on or before September 1,
  113  2012. This procedure is the exclusive method to challenge the
  114  amount certified. In order to successfully challenge the amount
  115  certified, a county must show, by a preponderance of the
  116  evidence, that a recipient was not an eligible recipient of that
  117  county or that the amount certified was otherwise in error.
  118         (b) By September 15, 2012, the agency shall certify to the
  119  Department of Revenue:
  120         1. For each county that files a petition on or before
  121  September 1, 2012, the amount certified under paragraph (a); and
  122         2. For each county that does not file a petition on or
  123  before September 1, 2012, an amount equal to 85 percent of the
  124  amount certified under paragraph (a).
  125         (c) The filing of a petition under paragraph (a) does shall
  126  not stay or stop the Department of Revenue from reducing
  127  distributions in accordance with paragraph (b) and subsection
  128  (7) (8). If a county that files a petition under paragraph (a)
  129  is able to demonstrate that the amount certified should be
  130  reduced, the agency shall notify the Department of Revenue of
  131  the amount of the reduction. The Department of Revenue shall
  132  adjust all future monthly distribution reductions under
  133  subsection (7) (8) in a manner that results in the remaining
  134  total distribution reduction being applied in equal monthly
  135  amounts.
  136         (7)(8)(a) Beginning with the October 2012 distribution, the
  137  Department of Revenue shall reduce each county’s distributions
  138  pursuant to s. 218.26 by one thirty-sixth of the amount
  139  certified by the agency under subsection (6) (7) for that
  140  county, minus any amount required under paragraph (b). Beginning
  141  with the October 2013 distribution, the Department of Revenue
  142  shall reduce each county’s distributions pursuant to s. 218.26
  143  by one forty-eighth of two-thirds of the amount certified by the
  144  agency under subsection (6) (7) for that county, minus any
  145  amount required under paragraph (b). However, the amount of the
  146  reduction may not exceed 50 percent of each county’s
  147  distribution. If, after 60 months, the reductions for any county
  148  do not equal the total amount initially certified by the agency,
  149  the Department of Revenue shall continue to reduce such county’s
  150  distribution by up to 50 percent until the total amount
  151  certified is reached. The amounts by which the distributions are
  152  reduced shall be transferred to the General Revenue Fund.
  153         (b) As an assurance to holders of bonds issued before the
  154  effective date of this act to which distributions made pursuant
  155  to s. 218.26 are pledged, or bonds issued to refund such bonds
  156  which mature no later than the bonds they refunded and which
  157  result in a reduction of debt service payable in each fiscal
  158  year, the amount available for distribution to a county shall
  159  remain as provided by law and continue to be subject to any lien
  160  or claim on behalf of the bondholders. The Department of Revenue
  161  must ensure, based on information provided by an affected
  162  county, that any reduction in amounts distributed pursuant to
  163  paragraph (a) does not reduce the amount of distribution to a
  164  county below the amount necessary for the timely payment of
  165  principal and interest when due on the bonds and the amount
  166  necessary to comply with any covenant under the bond resolution
  167  or other documents relating to the issuance of the bonds. If a
  168  reduction to a county’s monthly distribution must be decreased
  169  in order to comply with this paragraph, the Department of
  170  Revenue must notify the agency of the amount of the decrease and
  171  the agency must send a bill for payment of such amount to the
  172  affected county.
  173         (9)(a) Beginning May 1, 2012, and each month thereafter,
  174  the agency shall certify to the Department of Revenue by the 7th
  175  day of each month the amount of the monthly statement rendered
  176  to each county pursuant to subsection (4). Beginning with the
  177  May 2012 distribution, the Department of Revenue shall reduce
  178  each county’s monthly distribution pursuant to s. 218.61 by the
  179  amount certified by the agency minus any amount required under
  180  paragraph (b). The amounts by which the distributions are
  181  reduced shall be transferred to the General Revenue Fund.
  182         (b) As an assurance to holders of bonds issued before the
  183  effective date of this act to which distributions made pursuant
  184  to s. 218.61 are pledged, or bonds issued to refund such bonds
  185  which mature no later than the bonds they refunded and which
  186  result in a reduction of debt service payable in each fiscal
  187  year, the amount available for distribution to a county shall
  188  remain as provided by law and continue to be subject to any lien
  189  or claim on behalf of the bondholders. The Department of Revenue
  190  must ensure, based on information provided by an affected
  191  county, that any reduction in amounts distributed pursuant to
  192  paragraph (a) does not reduce the amount of distribution to a
  193  county below the amount necessary for the timely payment of
  194  principal and interest when due on the bonds and the amount
  195  necessary to comply with any covenant under the bond resolution
  196  or other documents relating to the issuance of the bonds. If a
  197  reduction to a county’s monthly distribution must be decreased
  198  in order to comply with this paragraph, the Department of
  199  Revenue must notify the agency of the amount of the decrease and
  200  the agency must send a bill for payment of such amount to the
  201  affected county.
  202         (10) The agency, in consultation with the Department of
  203  Revenue and the Florida Association of Counties, shall develop a
  204  process for refund requests which:
  205         (a) Allows counties to submit to the agency written
  206  requests for refunds of any amounts by which the distributions
  207  were reduced as provided in subsection (9) and which set forth
  208  the reasons for the refund requests.
  209         (b) Requires the agency to make a determination as to
  210  whether a refund request is appropriate and should be approved,
  211  in which case the agency shall certify the amount of the refund
  212  to the department.
  213         (c) Requires the department to issue the refund for the
  214  certified amount to the county from the General Revenue Fund.
  215  The Department of Revenue may issue the refund in the form of a
  216  credit against reductions to be applied to subsequent monthly
  217  distributions.
  218         (8)(11) Beginning in the 2013-2014 fiscal year and each
  219  year thereafter through the 2020-2021 fiscal year, the Chief
  220  Financial Officer shall transfer from the General Revenue Fund
  221  to the Lawton Chiles Endowment Fund an amount equal to the
  222  amounts transferred to the General Revenue Fund in the previous
  223  fiscal year pursuant to subsections (4) and (7) subsections (8)
  224  and (9), reduced by the amount of refunds paid pursuant to
  225  subsection (10), which are in excess of the official estimate
  226  for medical hospital fees for such previous fiscal year adopted
  227  by the Revenue Estimating Conference on January 12, 2012, as
  228  reflected in the conference’s workpapers. By July 20 of each
  229  year, the Office of Economic and Demographic Research shall
  230  certify the amount to be transferred to the Chief Financial
  231  Officer. Such transfers must be made before July 31 of each year
  232  until the total transfers for all years equal $350 million. If
  233  In the event that such transfers do not total $350 million by
  234  July 1, 2021, the Legislature shall provide for the transfer of
  235  amounts necessary to total $350 million. The Office of Economic
  236  and Demographic Research shall publish the official estimates
  237  reflected in the conference’s workpapers on its website.
  238         (9)(12) The agency may adopt rules to administer this
  239  section.
  240         Section 2. Notwithstanding s. 409.915(3) and (4), Florida
  241  Statutes, as amended by this act, the amount of each county’s
  242  contribution during the 2013-2014 state fiscal year shall be
  243  determined and provided to the Department of Revenue by the
  244  Agency for Health Care Administration by June 15, 2013. The
  245  Department of Revenue shall notify each county of its annual
  246  contribution by June 20, 2013.
  247         Section 3. This act shall take effect upon becoming a law.