Bill Text: FL S7038 | 2013 | Regular Session | Introduced
Bill Title: Health Care
Spectrum: Committee Bill
Status: (N/A - Dead) 2013-03-27 - Submit as committee bill by Appropriations (SB 1816) [S7038 Detail]
Download: Florida-2013-S7038-Introduced.html
Florida Senate - 2013 (PROPOSED COMMITTEE BILL) SPB 7038 FOR CONSIDERATION By the Committee on Appropriations 576-02536-13 20137038__ 1 A bill to be entitled 2 An act relating to health care; amending s. 3 409.811, F.S.; revising and providing definitions; 4 amending s. 409.813, F.S.; revising the components of 5 the Florida Kidcare program; prohibiting a cause of 6 action from arising against the Florida Healthy Kids 7 Corporation for failure to make health services 8 available; amending s. 409.8132, F.S.; revising the 9 eligibility of the Medikids program component; 10 revising the enrollment requirements of the Medikids 11 program component; amending s. 409.8134, F.S.; 12 conforming provisions to changes made by the act; 13 amending s. 409.814, F.S.; revising eligibility 14 requirements for the Florida Kidcare program; amending 15 s. 409.815, F.S.; revising the minimum health benefits 16 coverage under the Florida Kidcare Act; deleting 17 obsolete provisions; amending ss. 409.816 and 18 409.8177, F.S.; conforming provisions to changes made 19 by the act; repealing s. 409.817, F.S., relating to 20 the approval of health benefits coverage and financial 21 assistance; repealing s. 409.8175, F.S., relating to 22 delivery of services in rural counties; amending s. 23 409.818, F.S.; revising the duties of the Department 24 of Children and Families and the Agency for Health 25 Care Administration with regard to the Florida Kidcare 26 Act; deleting the duties of the Department of Health 27 and the Office of Insurance Regulation with regard to 28 the Florida Kidcare Act; amending s. 409.820, F.S.; 29 requiring the Department of Health, in consultation 30 with the agency and the Florida Healthy Kids 31 Corporation, to develop a minimum set of pediatric and 32 adolescent quality assurance and access standards for 33 all program components; amending s. 624.91, F.S.; 34 revising the legislative intent of the Florida Healthy 35 Kids Corporation Act to include the Healthy Florida 36 program; revising the medical loss ratio requirements 37 for the contracts for the Florida Healthy Kids 38 Corporation; modifying the membership of the Florida 39 Healthy Kids Corporation’s board of directors; 40 creating an executive steering committee; requiring 41 additional corporate compliance requirements for the 42 Florida Healthy Kids Corporation; revising 43 participation guidelines for non-subsidized enrollees 44 in the Healthy Kids program; repealing s. 624.915, 45 F.S., relating to the operating fund of the Florida 46 Healthy Kids Corporation; creating s. 624.917, F.S.; 47 creating the Healthy Florida program; providing 48 definitions; providing eligibility and enrollment 49 requirements; authorizing the Florida Healthy Kids 50 Corporation to contract with certain insurers; 51 requiring the corporation to establish a benefits 52 package and a process for payment of services; 53 authorizing the corporation to collect premiums and 54 copayments; requiring the corporation to oversee the 55 Healthy Florida program and to establish a grievance 56 process and integrity process; providing applicability 57 of certain state laws for administration of the 58 Healthy Florida program; requiring the corporation to 59 collect certain data and to submit enrollment reports 60 and interim independent evaluations to the 61 Legislature; providing for expiration of the program; 62 providing an implementation and interpretation clause; 63 providing an effective date. 64 65 Be It Enacted by the Legislature of the State of Florida: 66 67 Section 1. Section 409.811, Florida Statutes, is amended to 68 read: 69 409.811 Definitions relating to Florida Kidcare Act.—As 70 used in ss. 409.810-409.821, the term: 71 (1) “Actuarially equivalent” means that: 72 (a) The aggregate value of the benefits included in health 73 benefits coverage is equal to the value of the benefits in the 74 benchmark benefit plan; and 75 (b) The benefits included in health benefits coverage are 76 substantially similar to the benefits included in the benchmark 77 benefit plan, except that preventive health services must be the 78 same as in the benchmark benefit plan. 79 (2) “Agency” means the Agency for Health Care 80 Administration. 81 (3) “Applicant” means a parent or guardian of a child or a 82 child whose disability of nonage has been removed under chapter 83 743, who applies for determination of eligibility for health 84 benefits coverage under ss. 409.810-409.821. 85 (4) “Child benchmark benefit plan” means the form and level 86 of health benefits coverage established in s. 409.815. 87 (5) “Child” means any person under 19 years of age. 88 (6) “Child with special health care needs” means a child 89 whose serious or chronic physical or developmental condition 90 requires extensive preventive and maintenance care beyond that 91 required by typically healthy children. Health care utilization 92 by such a child exceeds the statistically expected usage of the 93 normal child adjusted for chronological age, and such a child 94 often needs complex care requiring multiple providers, 95 rehabilitation services, and specialized equipment in a number 96 of different settings. 97 (7) “Children’s Medical Services Network” or “network” 98 means a statewide managed care service system as defined in s. 99 391.021(1). 100 (8) “CHIP” means the children’s health insurance program as 101 authorized under Title XXI of the Social Security Act, and its 102 regulations, ss. 409.810-820, and as administered in this state 103 by the agency, the department and the Florida Healthy Kids 104 Corporation, as appropriate to their responsibilities. 105 (9) “Combined eligibility notice” means an eligibility 106 notice that informs an applicant or enrollee or multiple family 107 members of a household, when feasible, of eligibility for each 108 of the insurance affordability programs and enrollment into a 109 program or exchange plan. A combined eligibility form must be 110 issued by the last agency or department to make an eligibility, 111 renewal or denial determination. The form must meet all of the 112 federal and state law and regulatory requirements no later than 113 January 1, 2014. 114(8) “Community rate” means a method used to develop115premiums for a health insurance plan that spreads financial risk116across a large population and allows adjustments only for age,117gender, family composition, and geographic area.118 (10)(9)“Department” means the Department of Health. 119 (11)(10)“Enrollee” means a child who has been determined 120 eligible for and is receiving coverage under ss. 409.810 121 409.821. 122(11) “Family” means the group or the individuals whose123income is considered in determining eligibility for the Florida124Kidcare program. The family includes a child with a parent or125caretaker relative who resides in the same house or living unit126or, in the case of a child whose disability of nonage has been127removed under chapter 743, the child. The family may also128include other individuals whose income and resources are129considered in whole or in part in determining eligibility of the130child.131(12) “Family income” means cash received at periodic132intervals from any source, such as wages, benefits,133contributions, or rental property. Income also may include any134money that would have been counted as income under the Aid to135Families with Dependent Children (AFDC) state plan in effect136prior to August 22, 1996.137 (12)(13)“Florida Kidcare program,” “Kidcare program,” or 138 “program” means the health benefits program administered through 139 ss. 409.810-409.821. 140 (13)(14)“Guarantee issue” means that health benefits 141 coverage must be offered to an individual regardless of the 142 individual’s health status, preexisting condition, or claims 143 history. 144 (14)(15)“Health benefits coverage” means protection that 145 provides payment of benefits for covered health care services or 146 that otherwise provides, either directly or through arrangements 147 with other persons, covered health care services on a prepaid 148 per capita basis or on a prepaid aggregate fixed-sum basis. 149 (15)(16)“Health insurance plan” means health benefits 150 coverage under the following: 151 (a) A health plan offered by any certified health 152 maintenance organization or authorized health insurer, except a 153 plan that is limited to the following: a limited benefit, 154 specified disease, or specified accident; hospital indemnity; 155 accident only; limited benefit convalescent care; Medicare 156 supplement; credit disability; dental; vision; long-term care; 157 disability income; coverage issued as a supplement to another 158 health plan; workers’ compensation liability or other insurance; 159 or motor vehicle medical payment only; or 160 (b) An employee welfare benefit plan that includes health 161 benefits established under the Employee Retirement Income 162 Security Act of 1974, as amended. 163 (16) “Household income” means the group or the individual 164 whose income is considered in determining eligibility for the 165 Florida Kidcare program. The term “household” has the same 166 meaning as provided in section 36B(d)(2) of the Internal Revenue 167 Code of 1986. 168 (17) “Medicaid” means the medical assistance program 169 authorized by Title XIX of the Social Security Act, and 170 regulations thereunder, and ss. 409.901-409.920, as administered 171 in this state by the agency. 172 (18) “Medically necessary” means the use of any medical 173 treatment, service, equipment, or supply necessary to palliate 174 the effects of a terminal condition, or to prevent, diagnose, 175 correct, cure, alleviate, or preclude deterioration of a 176 condition that threatens life, causes pain or suffering, or 177 results in illness or infirmity and which is: 178 (a) Consistent with the symptom, diagnosis, and treatment 179 of the enrollee’s condition; 180 (b) Provided in accordance with generally accepted 181 standards of medical practice; 182 (c) Not primarily intended for the convenience of the 183 enrollee, the enrollee’s family, or the health care provider; 184 (d) The most appropriate level of supply or service for the 185 diagnosis and treatment of the enrollee’s condition; and 186 (e) Approved by the appropriate medical body or health care 187 specialty involved as effective, appropriate, and essential for 188 the care and treatment of the enrollee’s condition. 189 (19) “Medikids” means a component of the Florida Kidcare 190 program of medical assistance authorized by Title XXI of the 191 Social Security Act, and regulations thereunder, and s. 192 409.8132, as administered in the state by the agency. 193 (20) “Modified Adjusted Gross Income (MAGI)” means the 194 individual or household’s annual adjusted gross income as 195 defined in 26 U.S.C. s. 36 of the Internal Revenue Code of 1986 196 which is used to determine eligibility under the Florida Kidcare 197 program. 198 (21) “Patient Protection and Affordable Care Act” or “Act” 199 means the federal law enacted as Public Law 111-148, as further 200 amended by the federal Health Care and Education Reconciliation 201 Act of 2010, Public Law 111-152, and any amendments, 202 regulations, or guidance thereunder, issued under those acts. 203 (22)(20)“Preexisting condition exclusion” means, with 204 respect to coverage, a limitation or exclusion of benefits 205 relating to a condition based on the fact that the condition was 206 present before the date of enrollment for such coverage, whether 207 or not any medical advice, diagnosis, care, or treatment was 208 recommended or received before such date. 209 (23)(21)“Premium” means the entire cost of a health 210 insurance plan, including the administration fee or the risk 211 assumption charge. 212 (24)(22)“Premium assistance payment” means the monthly 213 consideration paid by the agency per enrollee in the Florida 214 Kidcare program towards health insurance premiums. 215 (25)(23)“Qualified alien” means an alien as defined in 8 216 U.S.C. s. 1641 (b) and (c)s. 431 of the Personal Responsibility217and Work Opportunity Reconciliation Act of 1996, as amended,218Pub. L. No. 104-193. 219 (26)(24)“Resident” means a United States citizen, or 220 qualified alien, who is domiciled in this state. 221 (27)(25)“Rural county” means a county having a population 222 density of less than 100 persons per square mile, or a county 223 defined by the most recent United States Census as rural, in 224 which there is no prepaid health plan participating in the 225 Medicaid program as of July 1, 1998. 226(26) “Substantially similar” means that, with respect to227additional services as defined in s. 2103(c)(2) of Title XXI of228the Social Security Act, these services must have an actuarial229value equal to at least 75 percent of the actuarial value of the230coverage for that service in the benchmark benefit plan and,231with respect to the basic services as defined in s. 2103(c)(1)232of Title XXI of the Social Security Act, these services must be233the same as the services in the benchmark benefit plan.234 Section 2. Section 409.813, Florida Statutes, is amended to 235 read: 236 409.813 Health benefits coverage; program components; 237 entitlement and nonentitlement.— 238 (1) The Florida Kidcare program includes health benefits 239 coverage provided to children through the following program 240 components, which shall be marketed as the Florida Kidcare 241 program: 242 (a) Medicaid; 243 (b) Medikids as created in s. 409.8132; 244 (c) The Florida Healthy Kids Corporation as created in s. 245 624.91; and 246(d) Employer-sponsored group health insurance plans247approved under ss.409.810-409.821; and248 (d)(e)The Children’s Medical Services network established 249 in chapter 391. 250 (2) Except for Title XIX-funded Florida Kidcare program 251 coverage under the Medicaid program, coverage under the Florida 252 Kidcare program is not an entitlement. No cause of action shall 253 arise against the state, the department, the Department of 254 Children and Family Services,orthe agency, or the Florida 255 Healthy Kids Corporation for failure to make health services 256 available to any person under ss. 409.810-409.821. 257 Section 3. Subsections (6) and (7) of section 409.8132, 258 Florida Statutes, are amended to read: 259 409.8132 Medikids program component.— 260 (6) ELIGIBILITY.— 261 (a) A child who has attained the age of 1 year but who is 262 under the age of 5 years is eligible to enroll in the Medikids 263 program component of the Florida Kidcare program, if the child 264 is a member of a family that has a family income which exceeds 265 the Medicaid applicable income level as specified in s. 409.903, 266 but which is equal to or below 200 percent of the current 267 federal poverty level. In determining the eligibility of such a 268 child, an assets test is not required.A child who is eligible269for Medikids may elect to enroll in Florida Healthy Kids270coverage or employer-sponsored group coverage. However, a child271who is eligible for Medikids may participate in the Florida272Healthy Kids program only if the child has a sibling273participating in the Florida Healthy Kids program and the274child’s county of residence permits such enrollment.275 (b) The provisions of s. 409.814 apply to the Medikids 276 program. 277 (7) ENROLLMENT.—Enrollment in the Medikids program 278 component may occur at any time throughout the year. A child may 279 not receive services under the Medikids program until the child 280 is enrolled in a managed care plan or MediPass. Once determined 281 eligible, an applicant may receive choice counseling and select 282 a managed care plan or MediPass. The agency may initiate 283 mandatory assignment for a Medikids applicant who has not chosen 284 a managed care plan or MediPass provider after the applicant’s 285 voluntary choice period ends. An applicant may select MediPass 286 under the Medikids program component only in counties that have 287 fewer than two managed care plans available to serve Medicaid 288 recipientsand only if the federal Health Care Financing289Administration determines that MediPass constitutes “health290insurance coverage” as defined in Title XXI of the Social291Security Act. 292 Section 4. Subsection (2) of section 409.8134, Florida 293 Statutes, is amended to read: 294 409.8134 Program expenditure ceiling; enrollment.— 295 (2) The Florida Kidcare program may conduct enrollment 296 continuously throughout the year.— 297 (a) Children eligible for coverage under the Title XXI 298 funded Florida Kidcare program shall be enrolled on a first 299 come, first-served basis using the date the enrollment 300 application is received. Enrollment shall immediately cease when 301 the expenditure ceiling is reached. Year-round enrollment shall 302 only be held if the Social Services Estimating Conference 303 determines that sufficient federal and state funds will be 304 available to finance the increased enrollment. 305 (b) The application for the Florida Kidcare program is 306 valid for a period of 120 days after the date it was received. 307 At the end of the 120-day period, if the applicant has not been 308 enrolled in the program, the application is invalid and the 309 applicant shall be notified of the action. The applicant may 310 reactivate the application after notification of the action 311 taken by the program. 312 (c) Except for the Medicaid program, whenever the Social 313 Services Estimating Conference determines that there are 314 presently, or will be by the end of the current fiscal year, 315 insufficient funds to finance the current or projected 316 enrollment in the Florida Kidcare program, all additional 317 enrollment must cease and additional enrollment may not resume 318 until sufficient funds are available to finance such enrollment. 319 Section 5. Section 409.814, Florida Statutes, is amended to 320 read: 321 409.814 Eligibility.—A child who has not reached 19 years 322 of age whose householdfamilyincome is equal to or below 200 323 percent of the federal poverty level is eligible for the Florida 324 Kidcare program as provided in this section. If an enrolled 325 individual is determined to be ineligible for coverage, he or 326 she must be immediately disenrolled from the respective Florida 327 Kidcare program component and referred to another insurance 328 affordability program, if appropriate, through a combined 329 eligibility notice. 330 (1) A child who is eligible for Medicaid coverage under s. 331 409.903 or s. 409.904 must be offered the opportunity to enroll 332enrolledin Medicaidand is not eligible to receive health333benefits under any other health benefits coverage authorized334under the Florida Kidcare program. A child who is eligible for 335 Medicaid and opts to enroll in CHIP may disenroll from CHIP at 336 any time and transition to Medicaid. This transition must occur 337 without any break in coverage. 338 (2) A child who is not eligible for Medicaid, but who is 339 eligible for the Florida Kidcare program, may obtain health 340 benefits coverage under any of the other components listed in s. 341 409.813 if such coverage is approved and available in the county 342 in which the child resides. 343 (3) A Title XXI-funded child who is eligible for the 344 Florida Kidcare program who is a child with special health care 345 needs, as determined through a medical or behavioral screening 346 instrument, is eligible for health benefits coverage from and 347 shall be assigned to and may opt out of the Children’s Medical 348 Services Network. 349 (4) The following children are not eligible to receive 350 Title XXI-funded premium assistance for health benefits coverage 351 under the Florida Kidcare program, except under Medicaid if the 352 child would have been eligible for Medicaid under s. 409.903 or 353 s. 409.904 as of June 1, 1997: 354 (a) A child who is covered under a family member’s group 355 health benefit plan or under other private or employer health 356 insurance coverage, if the cost of the child’s participation is 357 not greater than 5 percent of the household’sfamily’sincome. 358 If a child is otherwise eligible for a subsidy under the Florida 359 Kidcare program and the cost of the child’s participation in the 360 family member’s health insurance benefit plan is greater than 5 361 percent of the household’sfamily’sincome, the child may enroll 362 in the appropriate subsidized Kidcare program. 363(b) A child who is seeking premium assistance for the364Florida Kidcare program through employer-sponsored group365coverage, if the child has been covered by the same employer’s366group coverage during the 60 days before the family submitted an367application for determination of eligibility under the program.368 (b)(c)A child who is an alien, but who does not meet the 369 definition of qualified alien, in the United States. 370 (c)(d)A child who is an inmate of a public institution or 371 a patient in an institution for mental diseases. 372 (d)(e)A child who is otherwise eligible for premium 373 assistance for the Florida Kidcare program and has had his or 374 her coverage in an employer-sponsored or private health benefit 375 plan voluntarily canceled in the last 60 days, except those 376 children whose coverage was voluntarily canceled for good cause, 377 including, but not limited to, the following circumstances: 378 1. The cost of participation in an employer-sponsored 379 health benefit plan is greater than 5 percent of the household’s 380 modified adjusted grossfamily’sincome; 381 2. The parent lost a job that provided an employer 382 sponsored health benefit plan for children; 383 3. The parent who had health benefits coverage for the 384 child is deceased; 385 4. The child has a medical condition that, without medical 386 care, would cause serious disability, loss of function, or 387 death; 388 5. The employer of the parent canceled health benefits 389 coverage for children; 390 6. The child’s health benefits coverage ended because the 391 child reached the maximum lifetime coverage amount; 392 7. The child has exhausted coverage under a COBRA 393 continuation provision; 394 8. The health benefits coverage does not cover the child’s 395 health care needs; or 396 9. Domestic violence led to loss of coverage. 397(5) A child who is otherwise eligible for the Florida398Kidcare program and who has a preexisting condition that399prevents coverage under another insurance plan as described in400paragraph (4)(a) which would have disqualified the child for the401Florida Kidcare program if the child were able to enroll in the402plan is eligible for Florida Kidcare coverage when enrollment is403possible.404 (5)(6)A child whose household’s modified adjusted gross 405familyincome is above 200 percent of the federal poverty level 406 or a child who is excluded under the provisions of subsection 407 (4) may participate in the Florida Kidcare program as provided 408 in s. 409.8132 or, if the child is ineligible for Medikids by 409 reason of age, in the Florida Healthy Kids program, subject to 410 the following: 411 (a) The family is not eligible for premium assistance 412 payments and must pay the full cost of the premium, including 413 any administrative costs. 414 (b) The board of directors of the Florida Healthy Kids 415 Corporation may offer a reduced benefit package to these 416 children in order to limit program costs for such families. 417 (c) By August 15, 2013, the Florida Healthy Kids 418 Corporation shall notify all current full-pay enrollees of the 419 availability of the exchange and how to access other insurance 420 affordability options. New applications for full-pay coverage 421 may not be accepted after September 30, 2013. 422 (6)(7)Once a child is enrolled in the Florida Kidcare 423 program, the child is eligible for coverage for 12 months 424 without a redetermination or reverification of eligibility, if 425 the family continues to pay the applicable premium. Eligibility 426 for program components funded through Title XXI of the Social 427 Security Act terminates when a child attains the age of 19. A 428 child who has not attained the age of 5 and who has been 429 determined eligible for the Medicaid program is eligible for 430 coverage for 12 months without a redetermination or 431 reverification of eligibility. 432 (7)(8)When determining or reviewing a child’s eligibility 433 under the Florida Kidcare program, the applicant shall be 434 provided with reasonable notice of changes in eligibility which 435 may affect enrollment in one or more of the program components. 436 If a transition from one program component to another is 437 authorized, there shall be cooperation between the program 438 components and the affected family which promotes continuity of 439 health care coverage. Any authorized transfers must be managed 440 within the program’s overall appropriated or authorized levels 441 of funding. Each component of the program shall establish a 442 reserve to ensure that transfers between components will be 443 accomplished within current year appropriations. These reserves 444 shall be reviewed by each convening of the Social Services 445 Estimating Conference to determine the adequacy of such reserves 446 to meet actual experience. 447 (8)(9)In determining the eligibility of a child, an assets 448 test is not required. Each applicant shall provide documentation 449 during the application process and the redetermination process, 450 including, but not limited to, the following: 451 (a) Proof of householdfamilyincome, which must be 452 verified electronically to determine financial eligibility for 453 the Florida Kidcare program. Written documentation, which may 454 include wages and earnings statements or pay stubs, W-2 forms, 455 or a copy of the applicant’s most recent federal income tax 456 return, is required only if the electronic verification is not 457 available or does not substantiate the applicant’s income. This 458 paragraph expires December 31, 2013. 459 (b) A statement from all applicable, employed household 460familymembers that: 461 1. Their employers do not sponsor health benefit plans for 462 employees; 463 2. The potential enrollee is not covered by an employer 464 sponsored health benefit plan; or 465 3. The potential enrollee is covered by an employer 466 sponsored health benefit plan and the cost of the employer 467 sponsored health benefit plan is more than 5 percent of the 468 household’s modified adjusted grossfamily’sincome. 469 (c) To enroll in the Children’s Medical Services Network, a 470 completed application, including a clinical screening. 471 (d) Effective January 1, 2014, eligibility will be 472 determined through electronic matching using the federal hub and 473 other resources. Written documentation from the applicant may be 474 accepted if the electronic verification does not substantiate 475 the applicant’s income or if there has been a change in 476 circumstances. 477 (9)(10)Subject to paragraph (4)(a), the Florida Kidcare 478 program shall withhold benefits from an enrollee if the program 479 obtains evidence that the enrollee is no longer eligible, 480 submitted incorrect or fraudulent information in order to 481 establish eligibility, or failed to provide verification of 482 eligibility. The applicant or enrollee shall be notified that 483 because of such evidence program benefits will be withheld 484 unless the applicant or enrollee contacts a designated 485 representative of the program by a specified date, which must be 486 within 10 working days after the date of notice, to discuss and 487 resolve the matter. The program shall make every effort to 488 resolve the matter within a timeframe that will not cause 489 benefits to be withheld from an eligible enrollee. 490 (10)(11)The following individuals may be subject to 491 prosecution in accordance with s. 414.39: 492 (a) An applicant obtaining or attempting to obtain benefits 493 for a potential enrollee under the Florida Kidcare program when 494 the applicant knows or should have known the potential enrollee 495 does not qualify for the Florida Kidcare program. 496 (b) An individual who assists an applicant in obtaining or 497 attempting to obtain benefits for a potential enrollee under the 498 Florida Kidcare program when the individual knows or should have 499 known the potential enrollee does not qualify for the Florida 500 Kidcare program. 501 Section 6. Paragraphs (g), (k), (q), and (w) of subsection 502 (2) of section 409.815, Florida Statutes, are amended to read: 503 409.815 Health benefits coverage; limitations.— 504 (2) BENCHMARK BENEFITS.—In order for health benefits 505 coverage to qualify for premium assistance payments for an 506 eligible child under ss. 409.810-409.821, the health benefits 507 coverage, except for coverage under Medicaid and Medikids, must 508 include the following minimum benefits, as medically necessary. 509 (g) Behavioral health services.— 510 1. Mental health benefits include: 511 a. Inpatient services,limited to 30 inpatient days per512contract yearfor psychiatric admissions, or residential 513 services in facilities licensed under s. 394.875(6) or s. 514 395.003 in lieu of inpatient psychiatric admissions; however, a515minimum of 10 of the 30 days shall be available only for516inpatient psychiatric servicesif authorized by a physician; and 517 b. Outpatient services, including outpatient visits for 518 psychological or psychiatric evaluation, diagnosis, and 519 treatment by a licensed mental health professional, limited to52040 outpatient visits each contract year. 521 2. Substance abuse services include: 522 a. Inpatient services,limited to 7 inpatient days per523contract yearfor medical detoxification only and30 days of524 residential services; and 525 b. Outpatient services, including evaluation, diagnosis, 526 and treatment by a licensed practitioner, limited to 40527outpatient visits per contract year. 528 529Effective October 1, 2009,Covered services include inpatient 530 and outpatient services for mental and nervous disorders as 531 defined in the most recent edition of the Diagnostic and 532 Statistical Manual of Mental Disorders published by the American 533 Psychiatric Association. Such benefits include psychological or 534 psychiatric evaluation, diagnosis, and treatment by a licensed 535 mental health professional and inpatient, outpatient, and 536 residential treatment of substance abuse disorders. Any benefit 537 limitations, including duration of services, number of visits, 538 or number of days for hospitalization or residential services, 539 shall not be any less favorable than those for physical 540 illnesses generally. The program may also implement appropriate 541 financial incentives, peer review, utilization requirements, and 542 other methods used for the management of benefits provided for 543 other medical conditions in order to reduce service costs and 544 utilization without compromising quality of care. 545 (k) Hospice services.—Covered services include reasonable 546 and necessary services for palliation or management of an 547 enrollee’s terminal illness, with the following exceptions:5481. Once a family elects to receive hospice care for an549enrollee, other services that treat the terminal condition will550not be covered; and5512. Services required for conditions totally unrelated to552the terminal condition are covered to the extent that the553services are included in this section. 554 (q) Dental services.—Effective October 1, 2009,Dental 555 services shall be covered as required under federal law and may 556 also include those dental benefits provided to children by the 557 Florida Medicaid program under s. 409.906(6). 558 (w) Reimbursement of federally qualified health centers and 559 rural health clinics.—Effective October 1, 2009,Payments for 560 services provided to enrollees by federally qualified health 561 centers and rural health clinics under this section shall be 562 reimbursed using the Medicaid Prospective Payment System as 563 provided for under s. 2107(e)(1)(D) of the Social Security Act. 564 If such services are paid for by health insurers or health care 565 providers under contract with the Florida Healthy Kids 566 Corporation, such entities are responsible for this payment. The 567 agency may seek any available federal grants to assist with this 568 transition. 569 Section 7. Section 409.816, Florida Statutes, is amended to 570 read: 571 409.816 Limitations on premiums and cost-sharing.—The 572 following limitations on premiums and cost-sharing are 573 established for the program. 574 (1) Enrollees who receive coverage under the Medicaid 575 program may not be required to pay: 576 (a) Enrollment fees, premiums, or similar charges; or 577 (b) Copayments, deductibles, coinsurance, or similar 578 charges. 579 (2) Enrollees in households that havefamilies witha 580 modified adjusted grossfamilyincome equal to or below 150 581 percent of the federal poverty level, who are not receiving 582 coverage under the Medicaid program, may not be required to pay: 583 (a) Enrollment fees, premiums, or similar charges that 584 exceed the maximum monthly charge permitted under s. 1916(b)(1) 585 of the Social Security Act; or 586 (b) Copayments, deductibles, coinsurance, or similar 587 charges that exceed a nominal amount, as determined consistent 588 with regulations referred to in s. 1916(a)(3) of the Social 589 Security Act. However, such charges may not be imposed for 590 preventive services, including well-baby and well-child care, 591 age-appropriate immunizations, and routine hearing and vision 592 screenings. 593 (3) Enrollees in households that havefamilies witha 594 modified adjusted grossfamilyincome above 150 percent of the 595 federal poverty level who are not receiving coverage under the 596 Medicaid program or who are not eligible under s. 409.814(5)s.597409.814(6)may be required to pay enrollment fees, premiums, 598 copayments, deductibles, coinsurance, or similar charges on a 599 sliding scale related to income, except that the total annual 600 aggregate cost-sharing with respect to all children in a 601 householdfamilymay not exceed 5 percent of the household’s 602 modified adjustedfamily’sincome. However, copayments, 603 deductibles, coinsurance, or similar charges may not be imposed 604 for preventive services, including well-baby and well-child 605 care, age-appropriate immunizations, and routine hearing and 606 vision screenings. 607 Section 8. Section 409.817, Florida Statutes, is repealed. 608 Section 9. Section 409.8175, Florida Statutes, is repealed. 609 Section 10. Paragraph (c) of subsection (1) of section 610 409.8177, Florida Statutes, is amended to read: 611 409.8177 Program evaluation.— 612 (1) The agency, in consultation with the Department of 613 Health, the Department of Children and Family Services, and the 614 Florida Healthy Kids Corporation, shall contract for an 615 evaluation of the Florida Kidcare program and shall by January 1 616 of each year submit to the Governor, the President of the 617 Senate, and the Speaker of the House of Representatives a report 618 of the program. In addition to the items specified under s. 2108 619 of Title XXI of the Social Security Act, the report shall 620 include an assessment of crowd-out and access to health care, as 621 well as the following: 622 (c) The characteristics of the children and families 623 assisted under the program, including ages of the children, 624 householdfamilyincome, and access to or coverage by other 625 health insurance prior to the program and after disenrollment 626 from the program. 627 Section 11. Section 409.818, Florida Statutes, is amended 628 to read: 629 409.818 Administration.—In order to implement ss. 409.810 630 409.821, the following agencies shall have the following duties: 631 (1) The Department of Children and Family Services shall: 632 (a) MaintainDevelopa simplified eligibility determination 633 and renewal processapplication mail-in form to be used for634determining the eligibility of children for coverageunder the 635 Florida Kidcare program, in consultation with the agency, the 636 Department of Health, and the Florida Healthy Kids Corporation. 637 The simplified eligibility processapplication formmust include 638an item that providesan opportunity for the applicant to 639 indicate whether coverage is being sought for a child with 640 special health care needs. Families applying for children’s 641 Medicaid coverage must also be able to use the simplified 642 application processformwithout having to pay a premium. 643 (b) Establish and maintain the eligibility determination 644 process under the program except as specified in subsection (3), 645 which includes the following:(5).646 1. The department shall directly, or through the services 647 of a contracted third-party administrator, establish and 648 maintain a process for determining eligibility of children for 649 coverage under the program. The eligibility determination 650 process must be used solely for determining eligibility of 651 applicants for health benefits coverage under the program. The 652 eligibility determination process must include an initial 653 determination of eligibility for any coverage offered under the 654 program, as well as a redetermination or reverification of 655 eligibility each subsequent 6 months.Effective January 1, 1999,656 A child who has not attained the age of 5 and who has been 657 determined eligible for the Medicaid program is eligible for 658 coverage for 12 months without a redetermination or 659 reverification of eligibility. In conducting an eligibility 660 determination, the department shall determine if the child has 661 special health care needs. 662 2. The department, in consultation with the Agency for 663 Health Care Administration and the Florida Healthy Kids 664 Corporation, shall develop procedures for redetermining 665 eligibility which enable applicants and enrolleesa familyto 666 easily update any change in circumstances which could affect 667 eligibility. 668 3. The department may accept changes ina family’sstatus 669 as reported to the department by the Florida Healthy Kids 670 Corporation or the exchange without requiring a new application 671from the family. Redetermination of a child’s eligibility for 672 Medicaid may not be linked to a child’s eligibility 673 determination for other programs. 674 4. The department, in consultation with the agency and the 675 Florida Healthy Kids Corporation, shall develop a combined 676 eligibility notice to inform applicants and enrollees of their 677 application or renewal status, as appropriate. The content must 678 be coordinated to meet all federal and state requirements under 679 the Act. 680 (c) Inform program applicants about eligibility 681 determinations and provide information about eligibility of 682 applicants to the Florida Kidcare program and to insurers and 683 their agents, through a centralized coordinating office. 684 (d) Adopt rules necessary for conducting program 685 eligibility functions. 686(2) The Department of Health shall:687(a) Design an eligibility intake process for the program,688in coordination with the Department of Children and Family689Services, the agency, and the Florida Healthy Kids Corporation.690The eligibility intake process may include local intake points691that are determined by the Department of Health in coordination692with the Department of Children and Family Services.693(b) Chair a state-level Florida Kidcare coordinating694council to review and make recommendations concerning the695implementation and operation of the program. The coordinating696council shall include representatives from the department, the697Department of Children and Family Services, the agency, the698Florida Healthy Kids Corporation, the Office of Insurance699Regulation of the Financial Services Commission, local700government, health insurers, health maintenance organizations,701health care providers, families participating in the program,702and organizations representing low-income families.703(c) In consultation with the Florida Healthy Kids704Corporation and the Department of Children and Family Services,705establish a toll-free telephone line to assist families with706questions about the program.707(d) Adopt rules necessary to implement outreach activities.708 (2)(3)The Agency for Health Care Administration, under the 709 authority granted in s. 409.914(1), shall: 710 (a) Calculate the premium assistance payment necessary to 711 comply with the premium and cost-sharing limitations specified 712 in s. 409.816 and the Act. The premium assistance payment for 713 each enrollee in a health insurance plan participating in the 714 Florida Healthy Kids Corporation shall equal the premium 715 approved by the Florida Healthy Kids Corporationand the Office716of Insurance Regulation of the Financial Services Commission717pursuant to ss.627.410and641.31,less any enrollee’s share of 718 the premium established within the limitations specified in s. 719 409.816.The premium assistance payment for each enrollee in an720employer-sponsored health insurance plan approved under ss.721409.810-409.821shall equal the premium for the plan adjusted722for any benchmark benefit plan actuarial equivalent benefit723rider approved by the Office of Insurance Regulation pursuant to724ss.627.410and641.31, less any enrollee’s share of the premium725established within the limitations specified in s.409.816. In726calculating the premium assistance payment levels for children727with family coverage, the agency shall set the premium728assistance payment levels for each child proportionately to the729total cost of family coverage.730 (b) Make premium assistance payments to health insurance 731 plans on a periodic basis. The agency may use its Medicaid 732 fiscal agent or a contracted third-party administrator in making 733 these payments. The agency may require health insurance plans 734 that participate in the Medikids programor employer-sponsored735group health insuranceto collect premium payments from an 736 enrollee’s family. Participating health insurance plans shall 737 report premium payments collected on behalf of enrollees in the 738 program to the agency in accordance with a schedule established 739 by the agency. 740 (c) Monitor compliance with quality assurance and access 741 standards developed under s. 409.820 and in accordance with s. 742 2103(f) of the Social Security Act, 42 U.S.C. s. 1397cc(f). 743 (d) Establish a mechanism for investigating and resolving 744 complaints and grievances from program applicants, enrollees, 745 and health benefits coverage providers, and maintain a record of 746 complaints and confirmed problems. In the case of a child who is 747 enrolled in a managed care organizationhealth maintenance748organization, the agency must use the provisions of s. 641.511 749 to address grievance reporting and resolution requirements. 750(e) Approve health benefits coverage for participation in751the program, following certification by the Office of Insurance752Regulation under subsection (4).753 (e)(f)Adopt rules necessary forcalculating premium754assistance payment levels, making premium assistance payments,755 monitoring access and quality assurance standards and,756 investigating and resolving complaints and grievances,757administering the Medikids program, and approving health758benefits coverage. 759 (f) Contract with the Florida Healthy Kids Corporation for 760 the administration of the Florida Kidcare Program and the 761 Healthy Florida Program and to facilitate the release of any 762 federal and state funds. 763 764 The agency is designated the lead state agency for Title XXI of 765 the Social Security Act for purposes of receipt of federal 766 funds, for reporting purposes, and for ensuring compliance with 767 federal and state regulations and rules. 768(4) The Office of Insurance Regulation shall certify that769health benefits coverage plans that seek to provide services770under the Florida Kidcare program, except those offered through771the Florida Healthy Kids Corporation or the Children’s Medical772Services Network, meet, exceed, or are actuarially equivalent to773the benchmark benefit plan and that health insurance plans will774be offered at an approved rate. In determining actuarial775equivalence of benefits coverage, the Office of Insurance776Regulation and health insurance plans must comply with the777requirements of s. 2103 of Title XXI of the Social Security Act.778The department shall adopt rules necessary for certifying health779benefits coverage plans.780 (3)(5)The Florida Healthy Kids Corporation shall retain 781 its functions as authorized in s. 624.91, including eligibility 782 determination for participation in the Healthy Kids program. 783 (4)(6)The agency, the Department of Health, the Department 784 of Children and Family Services, and the Florida Healthy Kids 785 Corporation,and the Office of Insurance Regulation,after 786 consultation with and approval of the Speaker of the House of 787 Representatives and the President of the Senate, are authorized 788 to make program modifications that are necessary to overcome any 789 objections of the United States Department of Health and Human 790 Services to obtain approval of the state’s child health 791 insurance plan under Title XXI of the Social Security Act. 792 Section 12. Section 409.820, Florida Statutes, is amended 793 to read: 794 409.820 Quality assurance and access standards.—Except for 795 Medicaid, the Department of Health, in consultation with the 796 agency and the Florida Healthy Kids Corporation, shall develop a 797 minimum set of pediatric and adolescent quality assurance and 798 access standards for all program components. The standards must 799 include a process for granting exceptions to specific 800 requirements for quality assurance and access. Compliance with 801 the standards shall be a condition of program participation by 802 health benefits coverage providers. These standards shall comply 803 with the provisions of this chapter and chapter 641 and Title 804 XXI of the Social Security Act. 805 Section 13. Section 624.91, Florida Statutes, is amended to 806 read: 807 624.91 The Florida Healthy Kids Corporation Act.— 808 (1) SHORT TITLE.—This section may be cited as the “William 809 G. ‘Doc’ Myers Healthy Kids Corporation Act.” 810 (2) LEGISLATIVE INTENT.— 811 (a) The Legislature finds that increased access to health 812 care services could improve children’s health and reduce the 813 incidence and costs of childhood illness and disabilities among 814 children in this state. Many children do not have comprehensive, 815 affordable health care services available. It is the intent of 816 the Legislature that the Florida Healthy Kids Corporation 817 provide comprehensive health insurance coverage to such 818 children. The corporation is encouraged to cooperate with any 819 existing health service programs funded by the public or the 820 private sector. 821 (b) It is the intent of the Legislature that the Florida 822 Healthy Kids Corporation serve as one of several providers of 823 services to children eligible for medical assistance under Title 824 XXI of the Social Security Act. Although the corporation may 825 serve other children, the Legislature intends the primary 826 recipients of services provided through the corporation be 827 school-age children with a family income below 200 percent of 828 the federal poverty level, who do not qualify for Medicaid. It 829 is also the intent of the Legislature that state and local 830 government Florida Healthy Kids funds be used to continue 831 coverage, subject to specific appropriations in the General 832 Appropriations Act, to children not eligible for federal 833 matching funds under Title XXI. 834 (c) It is further the intent of the Legislature that the 835 Florida Healthy Kids Corporation administer and manage services 836 for Healthy Florida, a health care program for uninsured adults 837 using a unique network of providers and contracts. Enrollees in 838 Healthy Florida will receive comprehensive health care services 839 from private, licensed health insurers who meet standards 840 established by the corporation. It is further the intent of the 841 Legislature that these enrollees participate in their own health 842 care decisionmaking and contribute financially toward their 843 medical costs. The Legislature intends to provide an alternative 844 benefit package that includes a full range of services which 845 meet the needs of residents of this state. As a new program, the 846 Legislature will also ensure that a comprehensive evaluation is 847 conducted to measure the overall impact of the program and 848 identify whether to renew the program after an initial 3-year 849 term. 850 (3) ELIGIBILITY FOR STATE-FUNDED ASSISTANCE.—Only the 851 following individuals are eligible for state-funded assistance 852 in paying premiums for Healthy Florida or Florida Healthy Kids 853premiums: 854 (a) Residents of this state who are eligible for the 855 Florida Kidcare program pursuant to s. 409.814 or the Healthy 856 Florida pursuant to s. 624.917. 857 (b) Notwithstanding s. 409.814, legal aliens who are 858 enrolled in the Florida Healthy Kids program as of January 31, 859 2004, who do not qualify for Title XXI federal funds because 860 they are not qualified aliens as defined in s. 409.811. 861 (4) NONENTITLEMENT.—Nothing in this section shall be 862 construed as providing an individual with an entitlement to 863 health care services. No cause of action shall arise against the 864 state, the Florida Healthy Kids Corporation, or a unit of local 865 government for failure to make health services available under 866 this section. 867 (5) CORPORATION AUTHORIZATION, DUTIES, POWERS.— 868 (a) There is created the Florida Healthy Kids Corporation, 869 a not-for-profit corporation. 870 (b) The Florida Healthy Kids Corporation shall: 871 1. Arrange for the collection of any family, individual, or 872 local contributions, or employer payment or premium, in an 873 amount to be determined by the board of directors, to provide 874 for payment of premiums for comprehensive insurance coverage and 875 for the actual or estimated administrative expenses. 876 2. Arrange for the collection of any voluntary 877 contributions to provide for payment of Florida Kidcare or 878 Healthy Florida program premiums for enrolleeschildren who are879not eligible for medical assistance under Title XIX or Title XXI880of the Social Security Act. 881 3. Subject to the provisions of s. 409.8134, accept 882 voluntary supplemental local match contributions that comply 883 with the requirements of Title XXI of the Social Security Act 884 for the purpose of providing additional Florida Kidcare coverage 885 in contributing counties under Title XXI. 886 4. Establish the administrative and accounting procedures 887 for the operation of the corporation. 888 5. Establish, with consultation from appropriate 889 professional organizations, standards for preventive health 890 services and providers and comprehensive insurance benefits 891 appropriate to children, provided that such standards for rural 892 areas shall not limit primary care providers to board-certified 893 pediatricians. 894 6. Determine eligibility for children seeking to 895 participate in the Title XXI-funded components of the Florida 896 Kidcare program consistent with the requirements specified in s. 897 409.814, as well as the non-Title-XXI-eligible children as 898 provided in subsection (3). 899 7. Establish procedures under which providers of local 900 match to, applicants to and participants in the program may have 901 grievances reviewed by an impartial body and reported to the 902 board of directors of the corporation. 903 8. Establish participation criteria and, if appropriate, 904 contract with an authorized insurer, health maintenance 905 organization, or third-party administrator to provide 906 administrative services to the corporation. 907 9. Establish enrollment criteria that include penalties or 908 waiting periods of 30 days for reinstatement of coverage upon 909 voluntary cancellation for nonpayment of family and individual 910 premiums under the programs. 911 10.a. Contract with authorized insurers or any provider of 912 health care services, meeting standards established by the 913 corporation, for the provision of comprehensive insurance 914 coverage to participants. Such standards shall include criteria 915 under which the corporation may contract with more than one 916 provider of health care services in program sites. 917 b. Health plans shall be selected through a competitive bid 918 process. 919 c. The Florida Healthy Kids Corporation shall purchase 920 goods and services in the most cost-effective manner consistent 921 with the delivery of quality medical care. The maximum 922 administrative cost for a Florida Healthy Kids Corporation 923 contract shall be 15 percent. For all health care contracts, the 924 minimum medical loss ratio isfor a Florida Healthy Kids925Corporation contract shall be85 percent. The calculations must 926 use uniform financial data collected from all plans in a format 927 established by the corporation and shall be computed for each 928 insurer on a statewide basis. Funds shall be classified in a 929 manner consistent with 45 C.F.R. part 158For dental contracts,930the remaining compensation to be paid to the authorized insurer931or provider under a Florida Healthy Kids Corporation contract932shall be no less than an amount which is 85 percent of premium;933to the extent any contract provision does not provide for this934minimum compensation, this section shall prevail. 935 d. The health plan selection criteria and scoring system, 936 and the scoring results, shall be available upon request for 937 inspection after the bids have been awarded. 938 11. Establish disenrollment criteria in the event local 939 matching funds are insufficient to cover enrollments. 940 12. Develop and implement a plan to publicize the Florida 941 Kidcare program and Healthy Florida, the eligibility 942 requirements of the programsprogram, and the procedures for 943 enrollment in the program and to maintain public awareness of 944 the corporation and the programsprogram. 945 13. Secure staff necessary to properly administer the 946 corporation. Staff costs shall be funded from state and local 947 matching funds and such other private or public funds as become 948 available. The board of directors shall determine the number of 949 staff members necessary to administer the corporation. 950 14. In consultation with the partner agencies, provide a 951 report on the Florida Kidcare program annually to the Governor, 952 the Chief Financial Officer, the Commissioner of Education, the 953 President of the Senate, the Speaker of the House of 954 Representatives, and the Minority Leaders of the Senate and the 955 House of Representatives. 956 15. Provide information on a quarterly basis to the 957 Legislature and the Governor which compares the costs and 958 utilization of the full-pay enrolled population and the Title 959 XXI-subsidized enrolled population in the Florida Kidcare 960 program. The information, at a minimum, must include: 961 a. The monthly enrollment and expenditure for full-pay 962 enrollees in the Medikids and Florida Healthy Kids programs 963 compared to the Title XXI-subsidized enrolled population; and 964 b. The costs and utilization by service of the full-pay 965 enrollees in the Medikids and Florida Healthy Kids programs and 966 the Title XXI-subsidized enrolled population. This subparagraph 967 is repealed effective December 31, 2013. 968 969By February 1, 2010, the Florida Healthy Kids Corporation shall970provide a study to the Legislature and the Governor on premium971impacts to the subsidized portion of the program from the972inclusion of the full-pay program, which shall include973recommendations on how to eliminate or mitigate possible impacts974to the subsidized premiums.975 16. By August 15, 2013, the corporation shall notify all 976 current full-pay enrollees of the availability of the exchange, 977 as defined in the federal Patient Protection and Affordable Care 978 Act, and how to access other insurance affordability options. 979 New applications for full-pay coverage may not be accepted after 980 September 30, 2013. 981 17.16.Establish benefit packages that conform to the 982 provisions of the Florida Kidcare program, as created in ss. 983 409.810-409.821. 984 (c) Coverage under the corporation’s program is secondary 985 to any other available private coverage held by, or applicable 986 to, the participantchildor family member. Insurers under 987 contract with the corporation are the payors of last resort and 988 must coordinate benefits with any other third-party payor that 989 may be liable for the participant’s medical care. 990 (d) The Florida Healthy Kids Corporation shall be a private 991 corporation not for profit, registered, incorporated, and 992 organized pursuant to chapter 617, and shall have all powers 993 necessary to carry out the purposes of this act, including, but 994 not limited to, the power to receive and accept grants, loans, 995 or advances of funds from any public or private agency and to 996 receive and accept from any source contributions of money, 997 property, labor, or any other thing of value, to be held, used, 998 and applied for the purposes of this act. The corporation and 999 any committees it forms shall act in compliance with part III of 1000 chapter 112, and chapters 119 and 286. 1001 (6) BOARD OF DIRECTORS AND MANAGEMENT SUPERVISION.— 1002 (a) The Florida Healthy Kids Corporation shall operate 1003 subject to the supervision and approval of a board of directors 1004 chaired by an appointee designated by the GovernorChief1005Financial Officer or her or his designee,and composed of 12 1006 other members. The Senate shall confirm the designated chair and 1007 other board appointeesselectedfor 3-year termsof office as1008follows:10091. The Secretary of Health Care Administration, or his or1010her designee. 10112. One member appointed by the Commissioner of Education1012from the Office of School Health Programs of the Florida1013Department of Education.10143. One member appointed by the Chief Financial Officer from1015among three members nominated by the Florida Pediatric Society.10164. One member, appointed by the Governor, who represents1017the Children’s Medical Services Program.10185. One member appointed by the Chief Financial Officer from1019among three members nominated by the Florida Hospital1020Association.10216. One member, appointed by the Governor, who is an expert1022on child health policy.10237. One member, appointed by the Chief Financial Officer,1024from among three members nominated by the Florida Academy of1025Family Physicians.10268. One member, appointed by the Governor, who represents1027the state Medicaid program.10289. One member, appointed by the Chief Financial Officer,1029from among three members nominated by the Florida Association of1030Counties.103110. The State Health Officer or her or his designee.103211. The Secretary of Children and Family Services, or his1033or her designee.103412. One member, appointed by the Governor, from among three1035members nominated by the Florida Dental Association.1036 (b) A member of the board of directors serves at the 1037 pleasure of the Governormay be removed by the official who1038appointed that member. The board shall appoint an executive 1039 director, who is responsible for other staff authorized by the 1040 board. 1041 (c) Board members are entitled to receive, from funds of 1042 the corporation, reimbursement for per diem and travel expenses 1043 as provided by s. 112.061. 1044 (d) There shall be no liability on the part of, and no 1045 cause of action shall arise against, any member of the board of 1046 directors, or its employees or agents, for any action they take 1047 in the performance of their powers and duties under this act. 1048 (e) Board members who are serving on or before the date of 1049 enactment of this act or similar legislation may remain until 1050 July 1, 2013. 1051 (f) An executive steering committee is created to provide 1052 management direction and support and to make recommendations to 1053 the board on the programs. The steering committee is composed of 1054 the Secretary of Health Care Administration, the Secretary of 1055 Children and Families, and the State Surgeon General. Committee 1056 members may not delegate their membership or attendance. 1057 (7) LICENSING NOT REQUIRED; FISCAL OPERATION.— 1058 (a) The corporation shall not be deemed an insurer. The 1059 officers, directors, and employees of the corporation shall not 1060 be deemed to be agents of an insurer. Neither the corporation 1061 nor any officer, director, or employee of the corporation is 1062 subject to the licensing requirements of the insurance code or 1063 the rules of the Department of Financial Services or Office of 1064 Insurance Regulation. However, any marketing representative 1065 utilized and compensated by the corporation must be appointed as 1066 a representative of the insurers or health services providers 1067 with which the corporation contracts. 1068 (b) The board has complete fiscal control over the 1069 corporation and is responsible for all corporate operations. 1070 (c) The Department of Financial Services shall supervise 1071 any liquidation or dissolution of the corporation and shall 1072 have, with respect to such liquidation or dissolution, all power 1073 granted to it pursuant to the insurance code. 1074 Section 14. Section 624.915, Florida Statutes, is repealed. 1075 Section 15. Section 624.917, Florida Statutes, is created 1076 to read: 1077 624.917 Healthy Florida program.— 1078 (1) PROGRAM CREATION.—There is created Healthy Florida, a 1079 health care program for lower income, uninsured adults who meet 1080 the eligibility guidelines established under s. 624.91. The 1081 Florida Healthy Kids Corporation shall administer the program 1082 under its existing corporate governance and structure. 1083 (2) DEFINITIONS.—As used in this section, the term: 1084 (a) “Actuarially equivalent” means: 1085 1. The aggregate value of the benefits included in health 1086 benefits coverage is equal to the value of the benefits in the 1087 child benchmark benefit plan as defined in s. 409.811; and 1088 2. The benefits included in health benefits coverage are 1089 substantially similar to the benefits included in the child 1090 benchmark benefit plan, except that preventive health services 1091 do not include dental services. 1092 (b) “Agency” means the Agency for Health Care 1093 Administration. 1094 (c) “Applicant” means the individual who applies for 1095 determination of eligibility for health benefits coverage under 1096 s. 624.91(8). 1097 (d) “Child benchmark benefit plan” means the form and level 1098 of health benefits coverage established in s. 409.815. 1099 (e) “Child” means any person under 19 years of age. 1100 (f) “Corporation” means Florida Healthy Kids Corporation. 1101 (g) “Enrollee” means an individual who has been determined 1102 eligible for and is receiving coverage under s. 624.91(8). 1103 (h) “Florida Kidcare program” or “Kidcare program,” means 1104 the health benefits program administered through ss. 409.810 1105 409.821. 1106 (i) “Health benefits coverage” means protection that 1107 provides payment of benefits for covered health care services or 1108 that otherwise provides, either directly or through arrangements 1109 with other persons, covered health care services on a prepaid 1110 per capita basis or on a prepaid aggregate fixed-sum basis. 1111 (j) “Healthy Florida” means the program created by this 1112 section which is administered by the Florida Healthy Kids 1113 Corporation. 1114 (k) “Healthy Kids” means the Florida Kidcare program 1115 component created under s. 624.91 for children ages 5 through 1116 18. 1117 (l) “Household income” means the group or the individual 1118 whose income is considered in determining eligibility for the 1119 Healthy Florida program. The household has the same meaning as 1120 it is defined under section 36B(d)(2) of the Internal Revenue 1121 Code of 1986. 1122 (m) “Medicaid” means the medical assistance program 1123 authorized by Title XIX of the Social Security Act, and 1124 regulations thereunder, and ss. 409.901-409.920, as administered 1125 in this state by the agency. 1126 (n) “Medically necessary” means the use of any medical 1127 treatment, service, equipment, or supply necessary to palliate 1128 the effects of a terminal condition, or to prevent, diagnose, 1129 correct, cure, alleviate, or preclude deterioration of a 1130 condition that threatens life, causes pain or suffering, or 1131 results in illness or infirmity and which is: 1132 1. Consistent with the symptom, diagnosis, and treatment of 1133 the enrollee’s condition; 1134 2. Provided in accordance with generally accepted standards 1135 of medical practice; 1136 3. Not primarily intended for the convenience of the 1137 enrollee, the enrollee’s family, or the health care provider; 1138 4. The most appropriate level of supply or service for the 1139 diagnosis and treatment of the enrollee’s condition; and 1140 5. Approved by the appropriate medical body or health care 1141 specialty involved as effective, appropriate, and essential for 1142 the care and treatment of the enrollee’s condition. 1143 (o) “Modified Adjusted Gross Income (MAGI)” means the 1144 individual or household’s annual adjusted gross income as 1145 defined in 26 U.S.C. s. 36 of the Internal Revenue Code of 1986 1146 which is used to determine eligibility under the Florida Kidcare 1147 program. 1148 (p) “Patient Protection and Affordable Care Act” or “Act” 1149 means the federal law enacted as Pub. L. No. 111-148, as further 1150 amended by the federal Health Care and Education Reconciliation 1151 Act of 2010, Public Law 111-152, and any amendments, regulations 1152 or guidance thereunder, issued under those acts. 1153 (q) “Premium” means the entire cost of a health insurance 1154 plan, including the administration fee or the risk assumption 1155 charge. 1156 (r) “Premium assistance payment” means the monthly 1157 consideration paid by the agency per enrollee in the Florida 1158 Kidcare program towards health insurance premiums. 1159 (s) “Qualified alien” means an alien as defined in 8 U.S.C. 1160 s. 1641(b) and (c). 1161 (t) “Resident” means a United States citizen or qualified 1162 alien who is domiciled in this state. 1163 (3) ELIGIBILITY.—To be eligible and remain eligible for the 1164 Healthy Florida program, an individual must be a resident of 1165 this state and meet the following additional criteria: 1166 (a) Be identified as “newly eligible” as defined in 1167 subclause (VIII) of section 1902(a)(10)(A)(i) of the Social 1168 Security Act (section 2001 of the Patient Protection and 1169 Affordable Care Act) and as may be further defined by federal 1170 regulation. 1171 (b) Maintain eligibility with the corporation and meet all 1172 renewal requirements as established by the corporation. 1173 (c) Renew eligibility on at least an annual basis. 1174 (4) ENROLLMENT.—The corporation may begin the enrollment of 1175 applicants in the Healthy Florida program on October 1, 2013. 1176 Enrollment may occur directly, through the services of a third 1177 party administrator, referrals from the Department of Children 1178 and Families and the exchange as defined by the federal Patient 1179 Protection and Affordable Care Act. As an enrollee disenrolls, 1180 the corporation must also provide the enrollee with information 1181 about other insurance affordability programs and electronically 1182 refer the enrollee to the exchange or other programs, as 1183 appropriate. The earliest coverage effective date under the 1184 program shall be January 1, 2014. 1185 (5) DELIVERY OF SERVICES.—The corporation shall contract 1186 with authorized insurers licensed under chapter 627 and managed 1187 care organizations under chapter 624 which meet standards 1188 established by the corporation to provide comprehensive health 1189 care services to enrollees who qualify for services under this 1190 section. The corporation may contract for such services on a 1191 statewide or regional basis. 1192 (a) The corporation must establish access and network 1193 standards for such contracts and ensure that contracted 1194 providers have sufficient providers to meet enrollee needs. 1195 Quality standards must be developed by the corporation, specific 1196 to the adult population, which take into consideration 1197 recommendations from the National Committee on Quality 1198 Assurance, stakeholders, and other existing performance 1199 indicators from both public and commercial populations. 1200 (b) Enrollees must be provided a choice. The corporation 1201 has the authority to select a plan if no selection has been 1202 received before the coverage start date. Once enrolled, 1203 enrollees have an initial 90-day free look period before a lock 1204 in period of not more than 12 months is applied. Exceptions to 1205 the lock-in period must be offered to enrollees for good cause 1206 reasons and qualifying events. 1207 (c) The corporation may consider contracts that provide 1208 family plans that would allow members from multiple state and 1209 federal funded programs to remain together under the same plan. 1210 (d) All contracts must meet the medical loss ratio 1211 requirements under s. 624.91. 1212 (6) BENEFITS.—The corporation shall establish a benefits 1213 package that is actuarially equivalent to the benchmark benefit 1214 plan offered under s. 409.815(2), excluding dental, and meets 1215 the alternative benefits package requirements under section 1937 1216 of the Social Security Act. Benefits must be offered as an 1217 integrated, single package. 1218 (a) In addition to benchmark benefits, health reimbursement 1219 accounts (HRAs) or a comparable health savings account for each 1220 enrollee must be established through the corporation or the 1221 contracts managed by the corporation. Enrollees must be rewarded 1222 for healthy behaviors, wellness program adherence, and other 1223 activities established by the corporation which demonstrate 1224 compliance with preventive care or disease management 1225 guidelines. Funds deposited into these accounts may be used to 1226 pay cost-sharing obligations or to purchase over the counter 1227 health related items, to the extent allowed under federal law or 1228 regulation. 1229 (b) Enhanced services may be offered if the cost of such 1230 additional services provides savings to the overall plan. 1231 (c) The corporation shall establish a process for the 1232 payment of wrap-around services not covered by the benchmark 1233 plan through a separate subcapitation process to its contracted 1234 providers if it is determined that such services are required by 1235 federal law. Such services would be covered when deemed 1236 medically necessary on an individual basis. The subcapitation 1237 pool is subject to a separate reconciliation process under the 1238 medical loss ratio provisions in s. 624.91. 1239 (d) A prior authorization process and other utilization 1240 controls may be established by the plan for any benefit if 1241 approved by the corporation. 1242 (7) COST SHARING.—The corporation may collect premiums and 1243 copayments from enrollees in accordance with federal law. 1244 Amounts to be collected for the Healthy Florida program must be 1245 established annually in the General Appropriations Act. 1246 (a) Payment of a monthly premium may be required before the 1247 establishment of an enrollee’s coverage start date and to retain 1248 monthly coverage. 1249 (b) Enrollees may be required to make copayments as a 1250 condition of receiving a health care service. 1251 (c) Providers are responsible for the collection of point 1252 of service cost sharing obligations. The enrollee’s cost sharing 1253 contribution will be considered part of the provider’s total 1254 reimbursement. Failure to collect any enrollee cost sharing will 1255 reduce the provider’s share of the reimbursement. 1256 (8) PROGRAM MANAGEMENT.—The corporation is responsible for 1257 the oversight of the Healthy Florida program. The agency shall 1258 seek a state plan amendment or other appropriate federal 1259 approval to implement the Healthy Florida program. The agency 1260 shall consult with the corporation in the amendment’s 1261 development with a submission deadline to the federal Department 1262 of Health and Human Services of June 14, 2013. The Agency will 1263 contract with the corporation for the administration of the 1264 program and for the timely release of federal and state funds. 1265 The Agency retains its authorities as provided under ss. 409.902 1266 and 409.963. 1267 (a) The corporation shall establish a process by which 1268 grievances can be resolved and Healthy Florida recipients can be 1269 informed of their rights under the Medicaid Fair Hearing 1270 Process, as appropriate, or any alternative resolution process 1271 adopted by the corporation. 1272 (b) The corporation shall establish a program integrity 1273 process to ensure compliance with program guidelines. At a 1274 minimum, the corporation shall withhold benefits from an 1275 applicant or enrollee if the corporation obtains evidence that 1276 the applicant or enrollee is no longer eligible, submitted 1277 incorrect or fraudulent information in order to establish 1278 eligibility, or failed to provide verification of eligibility. 1279 The applicant or enrollee shall be notified that because of such 1280 evidence program benefits will be withheld unless the applicant 1281 or enrollee contacts a designated representative of the 1282 corporation by a specified date, which must be within 10 working 1283 days after the date of notice, to discuss and resolve the 1284 matter. The corporation shall make every effort to resolve the 1285 matter within a timeframe that will not cause benefits to be 1286 withheld from an eligible enrollee. The following individuals 1287 may be subject to specific prosecution in accordance with s. 1288 414.39: 1289 1. An applicant obtaining or attempting to obtain benefits 1290 for a potential enrollee under the Healthy Florida program when 1291 the applicant knows or should have known the potential enrollee 1292 does not qualify for the Healthy Florida program. 1293 2. An individual who assists an applicant in obtaining or 1294 attempting to obtain benefits for a potential enrollee under the 1295 Healthy Florida program when the individual knows or should have 1296 known the potential enrollee does not qualify for the Healthy 1297 Florida program. 1298 (9) APPLICABILITY OF LAWS RELATING TO MEDICAID.—The 1299 provisions of ss. 409.902, 409.9128, and 409.920 apply to the 1300 administration of the program. 1301 (10) PROGRAM EVALUATION.—The corporation must collect both 1302 eligibility and enrollment data from program applicants and 1303 enrollees as well as encounter and utilization data from all 1304 contracted entities during the program term. Monthly enrollment 1305 reports must be submitted to the Senate President, the Speaker 1306 of the House of Representative and the Minority Leaders of the 1307 Florida Senate and House of Representatives. An interim 1308 independent evaluation of the program shall be submitted to the 1309 presiding officers no later than July 1, 2015, with annual 1310 evaluations due thereafter every July 1. The evaluations should 1311 address at a minimum application and enrollment trends and 1312 issues, utilization and cost data, and customer satisfaction. 1313 (11) PROGRAM EXPIRATION.—The Healthy Florida program shall 1314 expire at the end of the state fiscal year in which any of these 1315 conditions occur, whichever occurs first: 1316 (a) The federal match contribution falls below 90 percent. 1317 (b) The federal match contribution falls below the 1318 “Increased FMAP for Medical Assistance for Newly Eligible 1319 Mandatory Individuals” as specified in the federal Patient 1320 Protection and Affordable Care Act (Public Law 111-148), as 1321 amended by the federal Health Care and Education Reconciliation 1322 Act of 2010 (Public Law 111-152). 1323 (c) The federal match for the Healthy Florida program and 1324 the Medicaid program are blended under federal law or regulation 1325 in such a way that causes the overall federal contribution to 1326 diminish when compared to separate, non-blended federal 1327 contributions. 1328 Section 16. The corporation may make changes to comply with 1329 the objections of the federal Department of Health and Human 1330 Services to gain approval of the Healthy Florida program in 1331 compliance with the federal Patient Protection and Affordable 1332 Care Act upon giving notice to the Senate and the House of 1333 Representatives of the proposed changes. If there is a conflict 1334 between a provision in this section and the federal Patient 1335 Protection and Affordable Care Act (Public Law 111-148), as 1336 amended by the federal Health Care and Education Reconciliation 1337 Act of 2010 (Public Law 111-152), the provision must be 1338 interpreted and applied so as to comply with the requirement of 1339 the federal law. 1340 Section 17. This act shall take effect upon becoming a law.