Florida Senate - 2013                             CS for SB 1884
       
       
       
       By the Committees on Appropriations; and Health Policy
       
       
       
       
       576-04942A-13                                         20131884c1
    1                        A bill to be entitled                      
    2         An act relating to county Medicaid contributions;
    3         amending s. 409.915, F.S.; specifying the total
    4         contribution for the year and specifying the method
    5         for determining the amount in the following years;
    6         revising the method for calculating each county’s
    7         contribution; providing tables for calculating county
    8         contributions; requiring the Agency for Health Care
    9         Administration to annually report the status of county
   10         billings to the Legislature; authorizing the
   11         Department of Revenue to withhold county distributions
   12         for failure to remit Medicaid contributions; deleting
   13         provisions specifying the care and services that
   14         counties must participate in, obsolete bond
   15         provisions, and a process for refund requests;
   16         specifying the method for calculating each county’s
   17         contribution for the 2013-2014 fiscal year; providing
   18         an effective date.
   19  
   20  Be It Enacted by the Legislature of the State of Florida:
   21  
   22         Section 1. Section 409.915, Florida Statutes, is amended to
   23  read:
   24         409.915 County contributions to Medicaid.—Although the
   25  state is responsible for the full portion of the state share of
   26  the matching funds required for the Medicaid program, in order
   27  to acquire a certain portion of these funds, the state shall
   28  charge the counties an annual contribution in order to acquire a
   29  certain portion of these funds for certain items of care and
   30  service as provided in this section.
   31         (1) As used in this section, the term “state Medicaid
   32  expenditures” means those expenditures used as matching funds
   33  for the federal Medicaid program.
   34         (2)(a)For the 2013-2014 state fiscal year, the total
   35  amount of the counties’ contribution is $269.6 million. For each
   36  fiscal year thereafter, the annual amount shall be adjusted by
   37  the percentage change in the state Medicaid expenditures as
   38  determined by the Social Services Estimating Conference.
   39         (b) By March 15 of each year, the Social Services
   40  Estimating Conference shall determine the percentage change in
   41  state Medicaid expenditures by comparing expenditures for the 2
   42  most recent completed state fiscal years.
   43         (3)(a)1.The amount of each county’s annual contribution is
   44  equal to the product of the amount determined under subsection
   45  (2) multiplied by the sum of the percentages calculated in sub
   46  subparagraphs a. and b.:
   47         a. The enrollment weight provided in subparagraph 2. is
   48  multiplied by a fraction, the numerator of which is the number
   49  of the county’s Medicaid enrollees as of March 1 of each year,
   50  and the denominator of which is the number of all counties’
   51  Medicaid enrollees as of March 1 of each year. The agency shall
   52  calculate this amount for each county and provide the
   53  information to the Department of Revenue by May 15 of each year.
   54         b. The payment weight provided in subparagraph 2. is
   55  multiplied by the percentage share of payments provided in
   56  subparagraph 3. for each county.
   57         2. The weights for each fiscal year are equal to:
   58  
   59                               WEIGHTS                             
   60  
   61  FISCAL YEAR     ENROLLMENT      PAYMENT         
   62  2013-14         0%              100%            
   63  2014-15         16.67%          83.33%          
   64  2015-16         33.34%          66.66%          
   65  2016-17         50%             50%             
   66  2017-18         66.66%          33.67%          
   67  2018-19         83.33%          16.67%          
   68  2019-20+        100%            0%              
   69         3. The percentage share of payments for each county is:
   70  
   71  COUNTY             SHARE OF PAYMENTS  
   72  Alachua                  1.278%       
   73  Baker                    0.116%       
   74  Bay                      0.607%       
   75  Bradford                 0.179%       
   76  Brevard                  2.471%       
   77  Broward                  9.226%       
   78  Calhoun                  0.084%       
   79  Charlotte                0.578%       
   80  Citrus                   0.663%       
   81  Clay                     0.635%       
   82  Collier                  1.160%       
   83  Columbia                 0.557%       
   84  Dade (Miami-Dade)        18.850%      
   85  Desoto                   0.167%       
   86  Dixie                    0.098%       
   87  Duval                    5.336%       
   88  Escambia                 1.614%       
   89  Flagler                  0.397%       
   90  Franklin                 0.091%       
   91  Gadsden                  0.239%       
   92  Gilchrist                0.078%       
   93  Glades                   0.055%       
   94  Gulf                     0.076%       
   95  Hamilton                 0.075%       
   96  Hardee                   0.110%       
   97  Hendry                   0.163%       
   98  Hernando                 0.862%       
   99  Highlands                0.468%       
  100  Hillsborough             6.952%       
  101  Holmes                   0.101%       
  102  Indian river             0.397%       
  103  Jackson                  0.218%       
  104  Jefferson                0.083%       
  105  Lafayette                0.014%       
  106  Lake                     1.525%       
  107  Lee                      2.511%       
  108  Leon                     0.929%       
  109  Levy                     0.256%       
  110  Liberty                  0.050%       
  111  Madison                  0.086%       
  112  Manatee                  1.622%       
  113  Marion                   1.629%       
  114  Martin                   0.352%       
  115  Monroe                   0.262%       
  116  Nassau                   0.240%       
  117  Okaloosa                 0.566%       
  118  Okeechobee               0.235%       
  119  Orange                   6.680%       
  120  Osceola                  1.613%       
  121  Palm Beach               5.898%       
  122  Pasco                    2.391%       
  123  Pinellas                 6.644%       
  124  Polk                     3.642%       
  125  Putnam                   0.417%       
  126  Saint Johns              0.459%       
  127  Saint Lucie              1.154%       
  128  Santa Rosa               0.462%       
  129  Sarasota                 1.230%       
  130  Seminole                 1.739%       
  131  Sumter                   0.218%       
  132  Suwannee                 0.252%       
  133  Taylor                   0.103%       
  134  Union                    0.075%       
  135  Volusia                  2.298%       
  136  Wakulla                  0.103%       
  137  Walton                   0.229%       
  138  Washington               0.114%       
  139         (b)1. The Legislature intends to replace the county
  140  percentage share provided in subparagraph (a)3. with percentage
  141  shares based upon each county’s proportion of the total
  142  statewide amount of county billings made under this section from
  143  April 1, 2012, through March 31, 2013, for which the state
  144  ultimately receives payment.
  145         2. By February 1 of each year and continuing until a
  146  certification is made under sub-subparagraph b., the agency
  147  shall report to the President of the Senate and the Speaker of
  148  the House of Representatives the status of the county billings
  149  made under this section from April 1, 2012, through March 31,
  150  2013, by county, including:
  151         a. The amounts billed to each county which remain unpaid,
  152  if any; and
  153         b. A certification from the agency of a final accounting of
  154  the amount of funds received by the state from such billings, by
  155  county, upon the expiration of all appeal rights that counties
  156  may have to contest such billings.
  157         3. By March 15 of the state fiscal year in which the state
  158  receives the certification provided for in sub-subparagraph
  159  (b)2.b., the Social Services Estimating Conference shall
  160  calculate each county’s percentage share of the total statewide
  161  amount of county billings made under this section from April 1,
  162  2012, through March 31, 2013, for which the state ultimately
  163  receives payment.
  164         4. Beginning in the state fiscal year following the receipt
  165  by the state of the certification provided in sub-subparagraph
  166  (b)2.b., each county’s percentage share under subparagraph (a)3.
  167  shall be replaced by the percentage calculated under
  168  subparagraph (b)3.
  169         5. If the court invalidates the replacement of each
  170  county’s share as provided in this paragraph, the county share
  171  set forth in subparagraph (a)3. shall continue to apply.
  172         (4) By June 1 of each year, the Department of Revenue shall
  173  notify each county of its required annual contribution. Each
  174  county shall pay its contribution, by check or electronic
  175  transfer, in equal monthly installments to the department by the
  176  5th day of each month. If a county fails to remit the payment by
  177  the 5th day of the month, the department shall reduce the
  178  monthly distribution of that county pursuant to s. 218.61 and,
  179  if necessary, by the amount of the monthly installment pursuant
  180  to s. 218.26. The payments and the amounts by which the
  181  distributions are reduced shall be transferred to the General
  182  Revenue Fund.
  183         (1) Each county shall participate in the following items of
  184  care and service:
  185         (a) For both health maintenance members and fee-for-service
  186  beneficiaries, payments for inpatient hospitalization in excess
  187  of 10 days, but not in excess of 45 days, with the exception of
  188  pregnant women and children whose income is in excess of the
  189  federal poverty level and who do not participate in the Medicaid
  190  medically needy program, and for adult lung transplant services.
  191         (b) For both health maintenance members and fee-for-service
  192  beneficiaries, payments for nursing home or intermediate
  193  facilities care in excess of $170 per month, with the exception
  194  of skilled nursing care for children under age 21.
  195         (2) A county’s participation must be 35 percent of the
  196  total cost, or the applicable discounted cost paid by the state
  197  for Medicaid recipients enrolled in health maintenance
  198  organizations or prepaid health plans, of providing the items
  199  listed in subsection (1), except that the payments for items
  200  listed in paragraph (1)(b) may not exceed $55 per month per
  201  person.
  202         (3) Each county shall set aside sufficient funds to pay for
  203  items of care and service provided to the county’s eligible
  204  recipients for which county contributions are required,
  205  regardless of where in the state the care or service is
  206  rendered.
  207         (4) Each county shall contribute its pro rata share of the
  208  total county participation based upon statements rendered by the
  209  agency. The agency shall render such statements monthly based on
  210  each county’s eligible recipients. For purposes of this section,
  211  each county’s eligible recipients shall be determined by the
  212  recipient’s address information contained in the federally
  213  approved Medicaid eligibility system within the Department of
  214  Children and Family Services. A county may use the process
  215  developed under subsection (10) to request a refund if it
  216  determines that the statement rendered by the agency contains
  217  errors.
  218         (5) In any county in which a special taxing district or
  219  authority is located which benefits will benefit from the
  220  Medicaid program medical assistance programs covered by this
  221  section, the board of county commissioners may divide the
  222  county’s financial responsibility for this purpose
  223  proportionately, and each such district or authority must
  224  furnish its share to the board of county commissioners in time
  225  for the board to comply with subsection (4) (3). Any appeal of
  226  the proration made by the board of county commissioners must be
  227  made to the Department of Financial Services, which shall then
  228  set the proportionate share for of each party.
  229         (6) Counties are exempt from contributing toward the cost
  230  of new exemptions on inpatient ceilings for statutory teaching
  231  hospitals, specialty hospitals, and community hospital education
  232  program hospitals that came into effect July 1, 2000, and for
  233  special Medicaid payments that came into effect on or after July
  234  1, 2000.
  235         (6)(7)(a) By August 1, 2012, the agency shall certify to
  236  each county the amount of such county’s billings from November
  237  1, 2001, through April 30, 2012, which remain unpaid. A county
  238  may contest the amount certified by filing a petition under the
  239  applicable provisions of chapter 120 on or before September 1,
  240  2012. This procedure is the exclusive method to challenge the
  241  amount certified. In order to successfully challenge the amount
  242  certified, a county must show, by a preponderance of the
  243  evidence, that a recipient was not an eligible recipient of that
  244  county or that the amount certified was otherwise in error.
  245         (b) By September 15, 2012, the agency shall certify to the
  246  Department of Revenue:
  247         1. For each county that files a petition on or before
  248  September 1, 2012, the amount certified under paragraph (a); and
  249         2. For each county that does not file a petition on or
  250  before September 1, 2012, an amount equal to 85 percent of the
  251  amount certified under paragraph (a).
  252         (c) The filing of a petition under paragraph (a) does shall
  253  not stay or stop the Department of Revenue from reducing
  254  distributions in accordance with paragraph (b) and subsection
  255  (7) (8). If a county that files a petition under paragraph (a)
  256  is able to demonstrate that the amount certified should be
  257  reduced, the agency shall notify the Department of Revenue of
  258  the amount of the reduction. The Department of Revenue shall
  259  adjust all future monthly distribution reductions under
  260  subsection (7) (8) in a manner that results in the remaining
  261  total distribution reduction being applied in equal monthly
  262  amounts.
  263         (7)(8)(a) Beginning with the October 2012 distribution, the
  264  Department of Revenue shall reduce each county’s distributions
  265  pursuant to s. 218.26 by one thirty-sixth of the amount
  266  certified by the agency under subsection (6) (7) for that
  267  county, minus any amount required under paragraph (b). Beginning
  268  with the October 2013 distribution, the Department of Revenue
  269  shall reduce each county’s distributions pursuant to s. 218.26
  270  by one forty-eighth of two-thirds of the amount certified by the
  271  agency under subsection (6) (7) for that county, minus any
  272  amount required under paragraph (b). However, the amount of the
  273  reduction may not exceed 50 percent of each county’s
  274  distribution. If, after 60 months, the reductions for any county
  275  do not equal the total amount initially certified by the agency,
  276  the Department of Revenue shall continue to reduce such county’s
  277  distribution by up to 50 percent until the total amount
  278  certified is reached. The amounts by which the distributions are
  279  reduced shall be transferred to the General Revenue Fund.
  280         (b) As an assurance to holders of bonds issued before the
  281  effective date of this act to which distributions made pursuant
  282  to s. 218.26 are pledged, or bonds issued to refund such bonds
  283  which mature no later than the bonds they refunded and which
  284  result in a reduction of debt service payable in each fiscal
  285  year, the amount available for distribution to a county shall
  286  remain as provided by law and continue to be subject to any lien
  287  or claim on behalf of the bondholders. The Department of Revenue
  288  must ensure, based on information provided by an affected
  289  county, that any reduction in amounts distributed pursuant to
  290  paragraph (a) does not reduce the amount of distribution to a
  291  county below the amount necessary for the timely payment of
  292  principal and interest when due on the bonds and the amount
  293  necessary to comply with any covenant under the bond resolution
  294  or other documents relating to the issuance of the bonds. If a
  295  reduction to a county’s monthly distribution must be decreased
  296  in order to comply with this paragraph, the Department of
  297  Revenue must notify the agency of the amount of the decrease and
  298  the agency must send a bill for payment of such amount to the
  299  affected county.
  300         (9)(a) Beginning May 1, 2012, and each month thereafter,
  301  the agency shall certify to the Department of Revenue by the 7th
  302  day of each month the amount of the monthly statement rendered
  303  to each county pursuant to subsection (4). Beginning with the
  304  May 2012 distribution, the Department of Revenue shall reduce
  305  each county’s monthly distribution pursuant to s. 218.61 by the
  306  amount certified by the agency minus any amount required under
  307  paragraph (b). The amounts by which the distributions are
  308  reduced shall be transferred to the General Revenue Fund.
  309         (b) As an assurance to holders of bonds issued before the
  310  effective date of this act to which distributions made pursuant
  311  to s. 218.61 are pledged, or bonds issued to refund such bonds
  312  which mature no later than the bonds they refunded and which
  313  result in a reduction of debt service payable in each fiscal
  314  year, the amount available for distribution to a county shall
  315  remain as provided by law and continue to be subject to any lien
  316  or claim on behalf of the bondholders. The Department of Revenue
  317  must ensure, based on information provided by an affected
  318  county, that any reduction in amounts distributed pursuant to
  319  paragraph (a) does not reduce the amount of distribution to a
  320  county below the amount necessary for the timely payment of
  321  principal and interest when due on the bonds and the amount
  322  necessary to comply with any covenant under the bond resolution
  323  or other documents relating to the issuance of the bonds. If a
  324  reduction to a county’s monthly distribution must be decreased
  325  in order to comply with this paragraph, the Department of
  326  Revenue must notify the agency of the amount of the decrease and
  327  the agency must send a bill for payment of such amount to the
  328  affected county.
  329         (10) The agency, in consultation with the Department of
  330  Revenue and the Florida Association of Counties, shall develop a
  331  process for refund requests which:
  332         (a) Allows counties to submit to the agency written
  333  requests for refunds of any amounts by which the distributions
  334  were reduced as provided in subsection (9) and which set forth
  335  the reasons for the refund requests.
  336         (b) Requires the agency to make a determination as to
  337  whether a refund request is appropriate and should be approved,
  338  in which case the agency shall certify the amount of the refund
  339  to the department.
  340         (c) Requires the department to issue the refund for the
  341  certified amount to the county from the General Revenue Fund.
  342  The Department of Revenue may issue the refund in the form of a
  343  credit against reductions to be applied to subsequent monthly
  344  distributions.
  345         (8)(11) Beginning in the 2013-2014 fiscal year and each
  346  year thereafter through the 2020-2021 fiscal year, the Chief
  347  Financial Officer shall transfer from the General Revenue Fund
  348  to the Lawton Chiles Endowment Fund an amount equal to the
  349  amounts transferred to the General Revenue Fund in the previous
  350  fiscal year pursuant to subsections (4) and (7) subsections (8)
  351  and (9), reduced by the amount of refunds paid pursuant to
  352  subsection (10), which are in excess of the official estimate
  353  for medical hospital fees for such previous fiscal year adopted
  354  by the Revenue Estimating Conference on January 12, 2012, as
  355  reflected in the conference’s workpapers. By July 20 of each
  356  year, the Office of Economic and Demographic Research shall
  357  certify the amount to be transferred to the Chief Financial
  358  Officer. Such transfers must be made before July 31 of each year
  359  until the total transfers for all years equal $350 million. If
  360  In the event that such transfers do not total $350 million by
  361  July 1, 2021, the Legislature shall provide for the transfer of
  362  amounts necessary to total $350 million. The Office of Economic
  363  and Demographic Research shall publish the official estimates
  364  reflected in the conference’s workpapers on its website.
  365         (9)(12) The agency may adopt rules to administer this
  366  section.
  367         Section 2. Notwithstanding s. 409.915(3) and (4), Florida
  368  Statutes, as amended by this act, the amount of each county’s
  369  contribution during the 2013-2014 state fiscal year shall be
  370  determined and provided to the Department of Revenue by the
  371  Agency for Health Care Administration by June 15, 2013. The
  372  Department of Revenue shall notify each county of its annual
  373  contribution by June 20, 2013.
  374         Section 3. This act shall take effect upon becoming a law.