Bill Text: MI SB0198 | 2013-2014 | 97th Legislature | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Appropriations; zero budget; department of community health; provide for fiscal year 2013-2014. Creates appropriation act.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2013-06-04 - For Final Disposition Of Budget, See Hb 4328 [SB0198 Detail]

Download: Michigan-2013-SB0198-Engrossed.html

SB-0198, As Passed Senate, May 16, 2013

 

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

SENATE BILL NO. 198

 

 

 

 

 

 

 

 

 

 

 

     A bill to make appropriations for the department of community

 

health for the fiscal year ending September 30, 2014; and to

 

provide for the expenditure of the appropriations.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

PART 1

 

LINE-ITEM APPROPRIATIONS

 

     Sec. 101. There is appropriated for the department of

 

community health for the fiscal year ending September 30, 2014,

 

from the following funds:

 

DEPARTMENT OF COMMUNITY HEALTH

 

APPROPRIATION SUMMARY

 

   Full-time equated unclassified positions.......... 6.0

 

   Full-time equated classified positions........ 3,593.6

 

   Average population.............................. 893.0


Senate Bill No. 198 as amended May 16, 2013

 

GROSS APPROPRIATION.................................... $ <15,365,251,900

 

   Interdepartmental grant revenues:

 

Total interdepartmental grants and intradepartmental

 

   transfers............................................        10,056,100

 

ADJUSTED GROSS APPROPRIATION........................... $ <15,355,195,800

 

   Federal revenues:

 

Total federal revenues.................................     9,904,596,700

 

Social security act, temporary assistance for needy

 

   families.............................................        19,545,400

 

   Special revenue funds:

 

Total local revenues...................................       253,450,100

 

Total private revenues.................................       106,342,400

 

Merit award trust fund.................................     <<136,934,700>>

 

Total other state restricted revenues..................   <2,089,583,500>

 

State general fund/general purpose..................... $ <2,844,743,000>

 

    State general fund/general purpose schedule:

 

   Ongoing state general fund/general

 

    purpose............................ <<2,837,667,900>>

 

   One-time state general fund/general

 

    purpose.................................... 7,075,100

 

   Sec. 102. DEPARTMENTWIDE ADMINISTRATION

 

   Full-time equated unclassified positions.......... 6.0

 

   Full-time equated classified positions.......... 176.7

 

Director and other unclassified--6.0 FTE positions..... $        707,000

 

Departmental administration and management--166.7

 

   FTE positions........................................        25,069,900

 

Worker's compensation program..........................         6,963,000


Senate Bill No. 198 as amended May 16, 2013

 

Rent and building occupancy............................         9,791,300

 

Developmental disabilities council and

 

   projects--10.0 FTE positions.........................         3,024,700

<<Human trafficking intervention services..............             100>>

GROSS APPROPRIATION.................................... $   <<45,556,000>>

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        15,196,600

 

   Special revenue funds:

 

Total private revenues.................................            35,200

 

Total other state restricted revenues..................           792,700

 

State general fund/general purpose..................... $   <<29,531,500>>

 

   Sec. 103. BEHAVIORAL HEALTH PROGRAM ADMINISTRATION

 

AND SPECIAL PROJECTS

 

   Full-time equated classified positions.......... 103.0

 

Behavioral health program administration--102.0 FTE

 

positions............................................ $     18,059,500

 

Gambling addiction--1.0 FTE position...................         3,002,800

 

Protection and advocacy services support...............           194,400

 

Community residential and support services.............           992,100

 

Federal and other special projects.....................         3,111,200

 

Family support subsidy.................................        19,364,900

 

Housing and support services...........................        11,322,500

 

GROSS APPROPRIATION.................................... $     56,047,400

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        19,926,000

 

Social security act, temporary assistance for needy


 

   families.............................................        19,545,400

 

   Special revenue funds:

 

Total private revenues.................................           200,000

 

Total other state restricted revenues..................         3,002,800

 

State general fund/general purpose..................... $     13,373,200

 

   Sec. 104. BEHAVIORAL HEALTH SERVICES

 

   Full-time equated classified positions............ 9.5

 

Medicaid mental health services........................ $  2,187,650,100

 

Community mental health non-Medicaid services..........       283,688,700

 

Medicaid adult benefits waiver.........................        31,989,600

 

Mental health services for special populations.........         5,842,900

 

Medicaid substance abuse services......................        47,696,700

 

CMHSP, purchase of state services contracts............       139,391,500

 

Civil service charges..................................         1,499,300

 

Federal mental health block grant--2.5 FTE positions...        15,440,000

 

State disability assistance program substance abuse

 

   services.............................................         2,018,800

 

Community substance abuse prevention, education, and

 

   treatment programs...................................        80,093,000

 

Children's waiver home care program....................        21,544,900

 

Nursing home PAS/ARR-OBRA--7.0 FTE positions...........        12,252,100

 

Children with serious emotional disturbance waiver.....        12,651,000

 

GROSS APPROPRIATION.................................... $  2,841,758,600

 

    Appropriated from:

 

   Interdepartmental grant revenues:

 

Interdepartmental grant from the department of human

 

   services.............................................         6,194,900


 

   Federal revenues:

 

Total federal revenues.................................     1,619,363,200

 

   Special revenue funds:

 

Total local revenues...................................        25,228,900

 

Total other state restricted revenues..................        22,276,700

 

State general fund/general purpose..................... $  1,168,694,900

 

   Sec. 105. STATE PSYCHIATRIC HOSPITALS AND FORENSIC

 

MENTAL HEALTH SERVICES

 

   Total average population........................ 893.0

 

   Full-time equated classified positions........ 2,130.9

 

Caro Regional Mental Health Center - psychiatric

 

   hospital - adult--461.3 FTE positions................ $     56,149,600

 

   Average population.............................. 185.0

 

Kalamazoo Psychiatric Hospital - adult--466.1 FTE

 

   positions............................................        63,649,300

 

   Average population.............................. 189.0

 

Walter P. Reuther Psychiatric Hospital -

 

   adult--420.8 FTE positions...........................        54,587,000

 

   Average population.............................. 234.0

 

Hawthorn Center - psychiatric hospital - children

 

   and adolescents--226.4 FTE positions.................        28,433,800

 

   Average population............................... 75.0

 

Center for forensic psychiatry--556.3 FTE positions....        71,187,800

 

   Average population.............................. 210.0

 

Revenue recapture......................................           750,000

 

IDEA, federal special education........................           120,000

 

Special maintenance....................................           332,500


 

Purchase of medical services for residents of

 

   hospitals and centers................................           445,600

 

Gifts and bequests for patient living and treatment

 

   environment..........................................         1,000,000

 

GROSS APPROPRIATION.................................... $    276,655,600

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        34,529,300

 

   Special revenue funds:

 

CMHSP, purchase of state services contracts............       139,391,500

 

Other local revenues...................................        19,163,800

 

Total private revenues.................................         1,000,000

 

Total other state restricted revenues..................        16,733,800

 

State general fund/general purpose..................... $     65,837,200

 

   Sec. 106. PUBLIC HEALTH ADMINISTRATION

 

   Full-time equated classified positions.......... 102.9

 

Public health administration--7.3 FTE positions........ $      1,549,500

 

Health and wellness initiatives--11.7 FTE positions....         7,190,200

 

Minority health grants and contracts--2.5 FTE

 

   positions............................................           612,700

 

Vital records and health statistics--81.4 FTE

 

   positions............................................         9,870,600

 

GROSS APPROPRIATION.................................... $     19,223,000

 

    Appropriated from:

 

   Interdepartmental grant revenues:

 

Interdepartmental grant from the department of human

 

   services.............................................         1,199,200


 

   Federal revenues:

 

Total federal revenues.................................         4,224,400

 

   Special revenue funds:

 

Total other state restricted revenues..................        10,470,700

 

State general fund/general purpose..................... $      3,328,700

 

   Sec. 107. HEALTH POLICY

 

   Full-time equated classified positions........... 87.8

 

Emergency medical services program--23.0 FTE positions. $      5,181,300

 

Health policy administration--24.1 FTE positions.......         4,377,600

 

Health innovation grants...............................               100

 

Nurse education and research program--3.0 FTE

 

   positions............................................           769,900

 

Certificate of need program administration--12.3 FTE

 

   positions............................................         2,063,700

 

Rural health services--1.0 FTE position................         1,531,500

 

Michigan essential health provider.....................         2,491,300

 

Primary care services--1.4 FTE positions...............         3,731,300

 

GROSS APPROPRIATION.................................... $     20,146,700

 

    Appropriated from:

 

   Interdepartmental grant revenues:

 

Interdepartmental grant from the department of

 

   licensing and regulatory affairs.....................         2,066,400

 

Interdepartmental grant from the department of

 

   treasury, Michigan state hospital finance authority..           114,900

 

   Federal revenues:

 

Total federal revenues.................................         7,164,000

 

   Special revenue funds:


 

Total private revenues.................................           255,000

 

Total other state restricted revenues..................         5,830,500

 

State general fund/general purpose..................... $      4,715,900

 

   Sec. 108. INFECTIOUS DISEASE CONTROL

 

   Full-time equated classified positions........... 49.5

 

AIDS prevention, testing, and care programs--15.7

 

   FTE positions........................................ $     69,164,400

 

Immunization program--12.8 FTE positions...............        14,999,000

 

Pediatric AIDS prevention and control--1.0 FTE

 

   position.............................................         1,233,100

 

Sexually transmitted disease control program--20.0

 

   FTE positions........................................         6,213,800

 

GROSS APPROPRIATION.................................... $     91,610,300

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        42,783,000

 

   Special revenue funds:

 

Total private revenues.................................        38,278,400

 

Total other state restricted revenues..................         7,696,700

 

State general fund/general purpose..................... $      2,852,200

 

   Sec. 109. LABORATORY SERVICES

 

   Full-time equated classified positions.......... 100.0

 

Laboratory services--100.0 FTE positions            ... $      18,167,000

 

GROSS APPROPRIATION.................................... $     18,167,000

 

    Appropriated from:

 

   Interdepartmental grant revenues:

 

Interdepartmental grant from the department of


 

   environmental quality................................           480,700

 

   Federal revenues:

 

Total federal revenues.................................         2,271,300

 

   Special revenue funds:

 

Total other state restricted revenues..................         8,728,000

 

State general fund/general purpose..................... $      6,687,000

 

   Sec. 110. EPIDEMIOLOGY

 

   Full-time equated classified positions.......... 115.1

 

AIDS surveillance and prevention program............... $      2,254,100

 

Bioterrorism preparedness--55.0 FTE positions..........        35,466,400

 

Epidemiology administration--41.6 FTE positions........        12,257,200

 

Healthy homes program--8.0 FTE positions...............         2,962,500

 

Newborn screening follow-up and treatment

 

   services--10.5 FTE positions.........................         6,026,100

 

Tuberculosis control and prevention....................           867,000

 

GROSS APPROPRIATION.................................... $     59,833,300

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        50,165,300

 

   Special revenue funds:

 

Total private revenues.................................           238,000

 

Total other state restricted revenues..................         7,416,800

 

State general fund/general purpose..................... $      2,013,200

 

   Sec. 111. LOCAL HEALTH ADMINISTRATION AND GRANTS

 

   Full-time equated classified positions............ 2.0

 

Essential local public health services................. $     37,386,300

 

Implementation of 1993 PA 133, MCL 333.17015...........            20,000


 

Local health services--2.0 FTE positions...............           533,300

 

Medicaid outreach cost reimbursement to local health

 

   departments..........................................         9,000,000

 

GROSS APPROPRIATION.................................... $     46,939,600

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................         9,533,300

 

   Special revenue funds:

 

Total local revenues...................................         5,150,000

 

State general fund/general purpose..................... $     32,256,300

 

   Sec. 112. CHRONIC DISEASE AND INJURY PREVENTION AND

 

HEALTH PROMOTION

 

   Full-time equated classified positions........... 63.3

 

Cancer prevention and control program--11.0 FTE

 

   positions............................................ $     14,987,100

 

Chronic disease control and health promotion

 

   administration--29.4 FTE positions...................         6,273,100

 

Diabetes and kidney program--8.0 FTE positions.........         1,885,600

 

Injury control intervention project....................           200,100

 

Smoking prevention program--12.0 FTE positions.........         2,576,800

 

Violence prevention--2.9 FTE positions.................         2,170,600

 

GROSS APPROPRIATION.................................... $     28,093,300

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        25,000,900

 

   Special revenue funds:

 

Total private revenues.................................           500,000


 

Total other state restricted revenues..................           728,400

 

State general fund/general purpose..................... $      1,864,000

 

   Sec. 113. FAMILY, MATERNAL, AND CHILDREN'S HEALTH

 

SERVICES

 

   Full-time equated classified positions........... 49.6

 

Childhood lead program--2.5 FTE positions.............. $      1,243,200

 

Dental programs--3.0 FTE positions.....................         1,643,900

 

Dental program for persons with developmental

 

   disabilities.........................................           151,000

 

Family, maternal, and children's health services

 

   administration--41.6 FTE positions...................         7,245,200

 

Family planning local agreements.......................         9,085,700

 

Local MCH services.....................................         7,018,100

 

Pregnancy prevention program...........................           602,100

 

Prenatal care outreach and service delivery support....         9,701,500

 

Special projects--2.5 FTE positions....................         9,927,800

 

Sudden infant death syndrome program...................           321,300

 

GROSS APPROPRIATION.................................... $     46,939,800

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        36,619,400

 

   Special revenue funds:

 

Total local revenues...................................            75,000

 

Total private revenues.................................           874,500

 

State general fund/general purpose..................... $      9,370,900

 

   Sec. 114. WOMEN, INFANTS, AND CHILDREN FOOD AND

 

NUTRITION PROGRAM


 

   Full-time equated classified positions........... 45.0

 

Women, infants, and children program administration

 

   and special projects--45.0 FTE positions............. $     17,832,600

 

Women, infants, and children program local

 

   agreements and food costs............................       256,285,000

 

GROSS APPROPRIATION.................................... $    274,117,600

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................       213,039,700

 

   Special revenue funds:

 

Total private revenues.................................       61,077,900

 

State general fund/general purpose..................... $              0

 

   Sec. 115. CHILDREN'S SPECIAL HEALTH CARE SERVICES

 

   Full-time equated classified positions........... 46.8

 

Children's special health care services

 

   administration--44.0 FTE positions................... $      5,506,600

 

Bequests for care and services--2.8 FTE positions......         1,524,100

 

Outreach and advocacy..................................         5,510,000

 

Nonemergency medical transportation....................         1,505,900

 

Medical care and treatment.............................        97,557,700

 

GROSS APPROPRIATION.................................... $    111,604,300

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        44,039,500

 

   Special revenue funds:

 

Total private revenues.................................         1,005,900

 

Total other state restricted revenues..................         3,854,600


 

State general fund/general purpose..................... $     62,704,300

 

   Sec. 116. CRIME VICTIM SERVICES COMMISSION

 

   Full-time equated classified positions........... 13.0

 

Grants administration services--13.0 FTE positions..... $      1,899,200

 

Justice assistance grants..............................        19,106,100

 

Crime victim rights services grants....................        16,570,000

 

GROSS APPROPRIATION.................................... $     37,575,300

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        23,494,800

 

   Special revenue funds:

 

Total other state restricted revenues..................        14,080,500

 

State general fund/general purpose..................... $              0

 

   Sec. 117. OFFICE OF SERVICES TO THE AGING

 

   Full-time equated classified positions........... 40.0

 

Office of services to aging administration--40.0 FTE

 

   positions............................................ $      6,389,200

 

Community services.....................................        36,614,400

 

Nutrition services.....................................        36,744,100

 

Foster grandparent volunteer program...................         2,233,600

 

Retired and senior volunteer program...................           627,300

 

Senior companion volunteer program.....................         1,604,400

 

Employment assistance..................................         3,500,000

 

Respite care program...................................         5,868,700

 

GROSS APPROPRIATION.................................... $     93,581,700

 

    Appropriated from:

 

   Federal revenues:


 

Total federal revenues.................................        58,154,600

 

   Special revenue funds:

 

Total private revenues.................................           677,500

 

Merit award trust fund.................................         4,068,700

 

Total other state restricted revenues..................         1,800,000

 

State general fund/general purpose..................... $     28,880,900

 

   Sec. 118. MEDICAL SERVICES ADMINISTRATION

 

   Full-time equated classified positions.......... 458.5

 

Medical services administration--434.5 FTE positions... $     68,849,100

 

Facility inspection contract...........................           132,800

 

MIChild administration.................................         4,327,800

 

Electronic health record incentive program--24.0 FTE

 

   positions............................................       144,193,800

 

GROSS APPROPRIATION.................................... $    217,503,500

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................       191,886,000

 

   Special revenue funds:

 

Total local revenues...................................           105,900

 

Total private revenues.................................           100,000

 

Total other state restricted revenues..................           330,000

 

State general fund/general purpose..................... $     25,081,600

 

   Sec. 119. MEDICAL SERVICES

 

Hospital services and therapy.......................... $  1,244,519,700

 

Hospital disproportionate share payments...............        45,000,000

 

Physician services.....................................       465,599,800

 

Medicare premium payments..............................       438,208,000


 

Pharmaceutical services................................       269,310,900

 

Home health services...................................         3,783,700

 

Hospice services.......................................       102,974,400

 

Transportation.........................................        23,572,600

 

Auxiliary medical services.............................         9,517,200

 

Dental services........................................       194,890,600

 

Ambulance services.....................................        10,751,000

 

Long-term care services................................     1,756,486,200

 

Integrated care organizations..........................               100

 

Medicaid home- and community-based services waiver.....       299,895,900

 

Adult home help services...............................       308,323,300

 

Personal care services.................................        13,327,300

 

Program of all-inclusive care for the elderly..........        50,254,300

 

Autism services........................................        38,000,000

 

Health plan services...................................     4,742,683,300

 

MIChild program........................................        69,744,400

 

Plan first family planning waiver......................        13,628,100

 

Medicaid adult benefits waiver.........................       105,877,700

 

Special indigent care payments.........................        95,738,800

 

Federal Medicare pharmaceutical program................       196,140,500

 

Maternal and child health..............................        20,279,500

 

Subtotal basic medical services program................    10,518,507,300

 

School-based services..................................       131,502,700

 

Special Medicaid reimbursement.........................       337,217,600

 

Subtotal special medical services payments.............       468,720,300

 

GROSS APPROPRIATION.................................... $ 10,987,227,600

 

    Appropriated from:


Senate Bill No. 198 as amended May 16, 2013

 

   Federal revenues:

 

Total federal revenues.................................     7,443,249,500

 

   Special revenue funds:

 

Total local revenues...................................        64,335,000

 

Total private revenues.................................         2,100,000

 

Merit award trust fund.................................     <<132,866,000>>

 

Total other state restricted revenues..................   <1,983,875,600>

 

State general fund/general purpose..................... $ <1,360,801,500>

 

   Sec. 120. INFORMATION TECHNOLOGY

 

Information technology services and projects........... $     36,530,900

 

Michigan Medicaid information system...................        30,201,100

 

GROSS APPROPRIATION.................................... $     66,732,000

 

    Appropriated from:

 

   Federal revenues:

 

Total federal revenues.................................        45,091,700

 

   Special revenue funds:

 

Total other state restricted revenues..................         1,965,700

 

State general fund/general purpose..................... $     19,674,600

 

   Sec. 121. ONE-TIME BASIS ONLY APPROPRIATIONS

 

Hospital services and therapy - graduate medical

 

   education............................................ $      4,314,200

 

Mental health services for special populations.........         3,000,000

 

Michigan Medicaid information system...................        18,300,000

 

Primary care services--island clinics..................           325,000

 

Mental health innovation...............................               100

 

GROSS APPROPRIATION.................................... $     25,939,300

 

    Appropriated from:


Senate Bill No. 198 as amended May 16, 2013

 

   Federal revenues:

 

Total federal revenues.................................        18,864,200

 

State general fund/general purpose..................... $      7,075,100

 

 

 

 

 

PART 2

 

PROVISIONS CONCERNING APPROPRIATIONS

 

FOR FISCAL YEAR 2013-2014

 

GENERAL SECTIONS

 

     Sec. 201. Pursuant to section 30 of article IX of the state

 

constitution of 1963, total state spending from state resources

 

under part 1 for fiscal year 2013-2014 is <<$5,071,261,200.00>> and

 

state spending from state resources to be paid to local units of

 

government for fiscal year 2013-2014 is $1,235,720,300.00. The

 

itemized statement below identifies appropriations from which

 

spending to local units of government will occur:

 

DEPARTMENT OF COMMUNITY HEALTH

 

BEHAVIORAL HEALTH PROGRAM ADMINISTRATION

 

Community residential and support services............. $        451,500

 

Housing and support services...........................            77,500

 

BEHAVIORAL HEALTH SERVICES

 

State disability assistance program substance abuse

 

    services............................................ $      2,018,000

 

Community substance abuse prevention, education, and

 

    treatment programs..................................        12,769,200

 

Medicaid mental health services........................       708,534,800

 

Community mental health non-Medicaid services..........       283,688,700


 

Mental health services for special populations.........         8,842,900

 

Medicaid adult benefits waiver.........................        10,774,100

 

Medicaid substance abuse services......................        16,065,200

 

Children's waiver home care program....................         5,871,900

 

Nursing home PAS/ARR-OBRA..............................         2,721,700

 

Health policy

 

Primary care services.................................. $         88,900

 

INFECTIOUS DISEASE CONTROL

 

AIDS prevention, testing, and care programs............ $      1,041,100

 

Sexually transmitted disease control program...........           174,500

 

LABORATORY SERVICES

 

Laboratory services.................................... $          2,800

 

LOCAL HEALTH ADMINISTRATION AND GRANTS

 

Implementation of 1993 PA 133, MCL 333.17015........... $          5,700

 

Essential local public health services.................        32,236,300

 

CHRONIC DISEASE AND INJURY PREVENTION AND HEALTH PROMOTION

 

Cancer prevention and control program.................. $         94,700

 

FAMILY, MATERNAL, AND CHILDREN'S HEALTH SERVICES

 

Prenatal care outreach and service delivery support.... $      2,100,000

 

CHILDREN'S SPECIAL HEALTH CARE SERVICES

 

Medical care and treatment............................. $        585,300

 

Outreach and advocacy..................................         1,250,800

 

CRIME VICTIM SERVICES COMMISSION

 

Crime victim rights services grants.................... $      6,180,200

 

OFFICE OF SERVICES TO THE AGING

 

Community services..................................... $     12,229,300

 

Nutrition services.....................................         8,783,000


 

Foster grandparent volunteer program...................           536,400

 

Retired and senior volunteer program...................           147,300

 

Senior companion volunteer program.....................           183,400

 

Respite care program...................................         5,115,000

 

MEDICAL SERVICES

 

Dental services........................................ $      1,364,200

 

Long-term care services................................        80,798,400

 

Transportation.........................................         3,583,000

 

Medicaid adult benefits waiver.........................        10,481,900

 

Hospital services and therapy..........................         2,489,000

 

Physician services.....................................        14,433,600

 

TOTAL OF PAYMENTS TO LOCAL UNITS

 

OF GOVERNMENT.......................................... $  1,235,720,300

 

     Sec. 202. The appropriations authorized under this act are

 

subject to the management and budget act, 1984 PA 431, MCL 18.1101

 

to 18.1594.

 

     Sec. 203. As used in this act:

 

     (a) "AIDS" means acquired immunodeficiency syndrome.

 

     (b) "CMHSP" means a community mental health services program

 

as that term is defined in section 100a of the mental health code,

 

1974 PA 258, MCL 330.1100a.

 

     (c) "Current fiscal year" means the fiscal year ending

 

September 30, 2013.

 

     (d) "Department" means the department of community health.

 

     (e) "Director" means the director of the department.

 

     (f) "DSH" means disproportionate share hospital.

 

     (g) "EPSDT" means early and periodic screening, diagnosis, and


 

treatment.

 

     (h) "Federal health care reform legislation" means the patient

 

protection and affordable care act, Public Law 111-148, and the

 

health care and education reconciliation act of 2010, Public Law

 

111-152.

 

     (i) "Federal poverty level" means the poverty guidelines

 

published annually in the federal register by the United States

 

department of health and human services under its authority to

 

revise the poverty line under 42 USC 9902.

 

     (j) "FTE" means full-time equated.

 

     (k) "GME" means graduate medical education.

 

     (l) "Health plan" means, at a minimum, an organization that

 

meets the criteria for delivering the comprehensive package of

 

services under the department's comprehensive health plan.

 

     (m) "HEDIS" means healthcare effectiveness data and

 

information set.

 

     (n) "HIV" means human immunodeficiency virus.

 

     (o) "HMO" means health maintenance organization.

 

     (p) "IDEA" means the individuals with disabilities education

 

act, 20 USC 1400 to 1482.

 

     (q) "MCH" means maternal and child health.

 

     (r) "MIChild" means the program described in section 1670.

 

     (s) "PAS/ARR-OBRA" means the preadmission screening and annual

 

resident review required under the omnibus budget reconciliation

 

act of 1987, section 1919(e)(7) of the social security act, and 42

 

USC 1396r.

 

     (t) "PIHP" means a specialty prepaid inpatient health plan for


 

Medicaid mental health services, services to individuals with

 

developmental disabilities, and substance abuse services. Specialty

 

prepaid inpatient health plans are described in section 232b of the

 

mental health code, 1974 PA 258, MCL 330.1232b.

 

     (u) "Temporary assistance for needy families" means part A of

 

title IV of the social security act, 42 USC 601 to 619.

 

     (v) "Title XVIII" and "Medicare" mean title XVIII of the

 

social security act, 42 USC 1395 to 1395kkk-1.

 

     (w) "Title XIX" and "Medicaid" mean title XIX of the social

 

security act, 42 USC 1396 to 1396w-5.

 

     (x) "Title XX" means title XX of the social security act, 42

 

USC 1397 to 1397m-5.

 

     Sec. 206. (1) In addition to the funds appropriated in part 1,

 

there is appropriated an amount not to exceed $200,000,000.00 for

 

federal contingency funds. These funds are not available for

 

expenditure until they have been transferred to another line item

 

in this act under section 393(2) of the management and budget act,

 

1984 PA 431, MCL 18.1393.

 

     (2) In addition to the funds appropriated in part 1, there is

 

appropriated an amount not to exceed $40,000,000.00 for state

 

restricted contingency funds. These funds are not available for

 

expenditure until they have been transferred to another line item

 

in this act under section 393(2) of the management and budget act,

 

1984 PA 431, MCL 18.1393.

 

     (3) In addition to the funds appropriated in part 1, there is

 

appropriated an amount not to exceed $20,000,000.00 for local

 

contingency funds. These funds are not available for expenditure


 

until they have been transferred to another line item in this act

 

under section 393(2) of the management and budget act, 1984 PA 431,

 

MCL 18.1393.

 

     (4) In addition to the funds appropriated in part 1, there is

 

appropriated an amount not to exceed $20,000,000.00 for private

 

contingency funds. These funds are not available for expenditure

 

until they have been transferred to another line item in this act

 

under section 393(2) of the management and budget act, 1984 PA 431,

 

MCL 18.1393.

 

     Sec. 208. Unless otherwise specified, the departments shall

 

use the Internet to fulfill the reporting requirements of this act.

 

This requirement may include transmission of reports via electronic

 

mail to the recipients identified for each reporting requirement,

 

or it may include placement of reports on the Internet or Intranet

 

site.

 

     Sec. 209. Funds appropriated in part 1 shall not be used for

 

the purchase of foreign goods or services, or both, if

 

competitively priced and of comparable quality American goods or

 

services, or both, are available. Preference shall be given to

 

goods or services, or both, manufactured or provided by Michigan

 

businesses if they are competitively priced and of comparable

 

quality. In addition, preference shall be given to goods or

 

services, or both, that are manufactured or provided by Michigan

 

businesses owned and operated by veterans if they are competitively

 

priced and of comparable quality.

 

     Sec. 211. If the revenue collected by the department from fees

 

and collections exceeds the amount appropriated in part 1, the


 

revenue may be carried forward with the approval of the state

 

budget director into the subsequent fiscal year. The revenue

 

carried forward under this section shall be used as the first

 

source of funds in the subsequent fiscal year.

 

     Sec. 212. (1) On or before February 1 of the current fiscal

 

year, the department shall report to the house and senate

 

appropriations subcommittees on community health, the house and

 

senate fiscal agencies, and the state budget director on the

 

detailed name and amounts of federal, restricted, private, and

 

local sources of revenue that support the appropriations in each of

 

the line items in part 1.

 

     (2) Upon the release of the next fiscal year executive budget

 

recommendation, the department shall report to the same parties in

 

subsection (1) on the amounts and detailed sources of federal,

 

restricted, private, and local revenue proposed to support the

 

total funds appropriated in each of the line items in part 1 of the

 

next fiscal year executive budget proposal.

 

     Sec. 213. The state departments, agencies, and commissions

 

receiving tobacco tax funds and healthy Michigan funds from part 1

 

shall report by April 1 of the current fiscal year to the senate

 

and house appropriations committees, the senate and house fiscal

 

agencies, and the state budget director on the following:

 

     (a) Detailed spending plan by appropriation line item

 

including description of programs and a summary of organizations

 

receiving these funds.

 

     (b) Description of allocations or bid processes including need

 

or demand indicators used to determine allocations.


 

     (c) Eligibility criteria for program participation and maximum

 

benefit levels where applicable.

 

     (d) Outcome measures used to evaluate programs, including

 

measures of the effectiveness of these programs in improving the

 

health of Michigan residents.

 

     (e) Any other information considered necessary by the house of

 

representatives or senate appropriations committees or the state

 

budget director.

 

     Sec. 216. (1) In addition to funds appropriated in part 1 for

 

all programs and services, there is appropriated for write-offs of

 

accounts receivable, deferrals, and for prior year obligations in

 

excess of applicable prior year appropriations, an amount equal to

 

total write-offs and prior year obligations, but not to exceed

 

amounts available in prior year revenues.

 

     (2) The department's ability to satisfy appropriation

 

deductions in part 1 shall not be limited to collections and

 

accruals pertaining to services provided in the current fiscal

 

year, but shall also include reimbursements, refunds, adjustments,

 

and settlements from prior years.

 

     Sec. 218. The department shall include the following in its

 

annual list of proposed basic health services as required in part

 

23 of the public health code, 1978 PA 368, MCL 333.2301 to

 

333.2321:

 

     (a) Immunizations.

 

     (b) Communicable disease control.

 

     (c) Sexually transmitted disease control.

 

     (d) Tuberculosis control.


 

     (e) Prevention of gonorrhea eye infection in newborns.

 

     (f) Screening newborns for the conditions listed in section

 

5431 of the public health code, 1978 PA 368, MCL 333.5431, or

 

recommended by the newborn screening quality assurance advisory

 

committee created under section 5430 of the public health code,

 

1978 PA 368, MCL 333.5430.

 

     (g) Community health annex of the Michigan emergency

 

management plan.

 

     (h) Prenatal care.

 

     Sec. 219. (1) The department may contract with the Michigan

 

public health institute for the design and implementation of

 

projects and for other public health-related activities prescribed

 

in section 2611 of the public health code, 1978 PA 368, MCL

 

333.2611. The department may develop a master agreement with the

 

institute to carry out these purposes for up to a 3-year period.

 

The department shall report to the house and senate appropriations

 

subcommittees on community health, the house and senate fiscal

 

agencies, and the state budget director on or before January 1 of

 

the current fiscal year all of the following:

 

     (a) A detailed description of each funded project.

 

     (b) The amount allocated for each project, the appropriation

 

line item from which the allocation is funded, and the source of

 

financing for each project.

 

     (c) The expected project duration.

 

     (d) A detailed spending plan for each project, including a

 

list of all subgrantees and the amount allocated to each

 

subgrantee.


 

     (2) On or before September 30 of the current fiscal year, the

 

department shall provide to the same parties listed in subsection

 

(1) a copy of all reports, studies, and publications produced by

 

the Michigan public health institute, its subcontractors, or the

 

department with the funds appropriated in part 1 and allocated to

 

the Michigan public health institute.

 

     Sec. 223. The department may establish and collect fees for

 

publications, videos and related materials, conferences, and

 

workshops. Collected fees shall be used to offset expenditures to

 

pay for printing and mailing costs of the publications, videos and

 

related materials, and costs of the workshops and conferences. The

 

department shall not collect fees under this section that exceed

 

the cost of the expenditures.

 

     Sec. 264. (1) Upon submission of a Medicaid waiver, a Medicaid

 

state plan amendment, or a similar proposal to the centers for

 

Medicare and Medicaid services, the department shall notify the

 

house and senate appropriations subcommittees on community health

 

and the house and senate fiscal agencies of the submission.

 

     (2) The department shall provide written or verbal biannual

 

reports to the senate and house appropriations subcommittees on

 

community health and the senate and house fiscal agencies

 

summarizing the status of any new or ongoing discussions with the

 

centers for Medicare and Medicaid services or the federal

 

department of health and human services regarding potential or

 

future Medicaid waiver applications.

 

     (3) The department shall inform the senate and house

 

appropriations subcommittees on community health and the senate and


 

house fiscal agencies of any alterations or adjustments made to the

 

published plan for integrated care for individuals who are dual

 

Medicare/Medicaid eligibles when the final version of the plan has

 

been submitted to the federal centers for Medicare and Medicaid

 

services or the federal department of health and human services.

 

     (4) At least 30 days before implementation of the plan for

 

integrated care for individuals who are dual Medicare/Medicaid

 

eligibles, the department shall submit the plan to the legislature

 

for review.

 

     Sec. 265. The department and agencies receiving appropriations

 

in part 1 shall receive and retain copies of all reports funded

 

from appropriations in part 1. Federal and state guidelines for

 

short-term and long-term retention of records shall be followed.

 

The department may electronically retain copies of reports unless

 

otherwise required by federal and state guidelines.

 

     Sec. 266. (1) The departments and agencies receiving

 

appropriations in part 1 shall prepare a report on out-of-state

 

travel expenses not later than January 1 of each year. The travel

 

report shall be a listing of all travel by classified and

 

unclassified employees outside this state in the immediately

 

preceding fiscal year that was funded in whole or in part with

 

funds appropriated in the department's budget. The report shall be

 

submitted to the house and senate standing committees on

 

appropriations, the house and senate fiscal agencies, and the state

 

budget director. The report shall include the following

 

information:

 

     (a) The dates of each travel occurrence.


 

     (b) The total transportation and related costs of each travel

 

occurrence, including the proportion funded with state general

 

fund/general purpose revenues, the proportion funded with state

 

restricted revenues, the proportion funded with federal revenues,

 

and the proportion funded with other revenues.

 

     (2) If out-of-state travel is necessary but does not meet 1 or

 

more of the conditions in subsection (1), the state budget director

 

may grant an exception to allow the travel. Any exceptions granted

 

by the state budget director shall be reported on a monthly basis

 

to the senate and house of representatives standing committees on

 

appropriations.

 

     Sec. 267. The department shall not take disciplinary action

 

against an employee for communicating with a member of the

 

legislature or his or her staff.

 

     Sec. 270. Within 180 days after receipt of the notification

 

from the attorney general's office of a legal action in which

 

expenses had been recovered pursuant to section 106(4) of the

 

social welfare act, 1939 PA 280, MCL 400.106, or any other statute

 

under which the department has the right to recover expenses, the

 

department shall submit a written report to the house and senate

 

appropriations subcommittees on community health, the house and

 

senate fiscal agencies, and the state budget office which includes,

 

at a minimum, all of the following:

 

     (a) The total amount recovered from the legal action.

 

     (b) The program or service for which the money was originally

 

expended.

 

     (c) Details on the disposition of the funds recovered such as


 

the appropriation or revenue account in which the money was

 

deposited.

 

     (d) A description of the facts involved in the legal action.

 

     Sec. 276. Funds appropriated in part 1 shall not be used by a

 

principal executive department, state agency, or authority to hire

 

a person to provide legal services that are the responsibility of

 

the attorney general. This prohibition does not apply to legal

 

services for bonding activities and for those outside services that

 

the attorney general authorizes.

 

     Sec. 282. (1) The department, through its organizational units

 

responsible for departmental administration, operation, and

 

finance, shall establish uniform definitions, standards, and

 

instructions for the classification, allocation, assignment,

 

calculation, recording, and reporting of administrative costs by

 

the following entities:

 

     (a) Coordinating agencies on substance abuse and the Salvation

 

Army harbor light program that receive payment or reimbursement

 

from funds appropriated under section 104.

 

     (b) Area agencies on aging and local providers that receive

 

payment or reimbursement from funds appropriated under section 117.

 

     (2) By May 15 of the current fiscal year, the department shall

 

provide a written draft of its proposed definitions, standards, and

 

instructions to the house of representatives and senate

 

appropriations subcommittees on community health, the house and

 

senate fiscal agencies, and the state budget director.

 

     Sec. 287. Not later than November 30 of the current fiscal

 

year, the department shall prepare and transmit a report that


 

provides for estimates of the total general fund/general purpose

 

appropriation lapses at the close of the previous fiscal year. This

 

report shall summarize the projected year-end general fund/general

 

purpose appropriation lapses by major departmental program or

 

program areas. The report shall be transmitted to the office of the

 

state budget, the chairpersons of the senate and house of

 

representatives standing appropriations committees, and the senate

 

and house fiscal agencies.

 

     Sec. 292. (1) The department shall maintain a searchable

 

website accessible by the public at no cost that includes, but is

 

not limited to, all of the following:

 

     (a) Fiscal year-to-date expenditures by category.

 

     (b) Fiscal year-to-date expenditures by appropriation unit.

 

     (c) Fiscal year-to-date payments to a selected vendor,

 

including the vendor name, payment date, payment amount, and

 

payment description.

 

     (d) The number of active department employees by job

 

classification.

 

     (e) Job specifications and wage rates.

 

     (2) The department may develop and operate its own website to

 

provide this information or may reference the state's central

 

transparency website as the source for this information.

 

     Sec. 296. Within 14 days after the release of the executive

 

budget recommendation, the department shall provide the state

 

budget director, the senate and house appropriations chairs, the

 

senate and house appropriations subcommittees on community health,

 

respectively, and the senate and house fiscal agencies with an


 

annual report on estimated state restricted fund balances, state

 

restricted fund projected revenues, and state restricted fund

 

expenditures for the fiscal years ending September 30, 2013 and

 

September 30, 2014.

 

 

 

BEHAVIORAL HEALTH SERVICES

 

     Sec. 401. Funds appropriated in part 1 are intended to support

 

a system of comprehensive community mental health services under

 

the full authority and responsibility of local CMHSPs or PIHPs. The

 

department shall ensure that each CMHSP or PIHP provides all of the

 

following:

 

     (a) A system of single entry and single exit.

 

     (b) A complete array of mental health services that includes,

 

but is not limited to, all of the following services: residential

 

and other individualized living arrangements, outpatient services,

 

acute inpatient services, and long-term, 24-hour inpatient care in

 

a structured, secure environment.

 

     (c) The coordination of inpatient and outpatient hospital

 

services through agreements with state-operated psychiatric

 

hospitals, units, and centers in facilities owned or leased by the

 

state, and privately-owned hospitals, units, and centers licensed

 

by the state pursuant to sections 134 through 149b of the mental

 

health code, 1974 PA 258, MCL 330.1134 to 330.1149b.

 

     (d) Individualized plans of service that are sufficient to

 

meet the needs of individuals, including those discharged from

 

psychiatric hospitals or centers, and that ensure the full range of

 

recipient needs is addressed through the CMHSP's or PIHP's program


 

or through assistance with locating and obtaining services to meet

 

these needs.

 

     (e) A system of case management or care management to monitor

 

and ensure the provision of services consistent with the

 

individualized plan of services or supports.

 

     (f) A system of continuous quality improvement.

 

     (g) A system to monitor and evaluate the mental health

 

services provided.

 

     (h) A system that serves at-risk and delinquent youth as

 

required under the provisions of the mental health code, 1974 PA

 

258, MCL 330.1001 to 330.2106.

 

     Sec. 402. (1) From funds appropriated in part 1, final

 

authorizations to CMHSPs or PIHPs shall be made upon the execution

 

of contracts between the department and CMHSPs or PIHPs. The

 

contracts shall contain an approved plan and budget as well as

 

policies and procedures governing the obligations and

 

responsibilities of both parties to the contracts. Each contract

 

with a CMHSP or PIHP that the department is authorized to enter

 

into under this subsection shall include a provision that the

 

contract is not valid unless the total dollar obligation for all of

 

the contracts between the department and the CMHSPs or PIHPs

 

entered into under this subsection for the current fiscal year does

 

not exceed the amount of money appropriated in part 1 for the

 

contracts authorized under this subsection.

 

     (2) The department shall immediately report to the senate and

 

house appropriations subcommittees on community health, the senate

 

and house fiscal agencies, and the state budget director if either


 

of the following occurs:

 

     (a) Any new contracts with CMHSPs or PIHPs that would affect

 

rates or expenditures are enacted.

 

     (b) Any amendments to contracts with CMHSPs or PIHPs that

 

would affect rates or expenditures are enacted.

 

     (3) The report required by subsection (2) shall include

 

information about the changes and their effects on rates and

 

expenditures.

 

     Sec. 403. (1) From the funds appropriated in part 1 for mental

 

health services for special populations, the department shall

 

ensure that CMHSPs or PIHPs meet with multicultural service

 

providers to develop a workable framework for contracting, service

 

delivery, and reimbursement.

 

     (2) Funds appropriated in part 1 for mental health services

 

for special populations shall not be utilized for services provided

 

to illegal immigrants, fugitive felons, and individuals who are not

 

residents of this state. The department shall maintain contracts

 

with recipients of multicultural services grants that mandate

 

grantees establish that recipients of services are legally residing

 

in the United States. An exception to the contractual provision

 

shall be allowed to address individuals presenting with emergent

 

mental health conditions.

 

     (3) The department shall require an annual report from the

 

independent organizations that receive mental health services for

 

special populations funding. The annual report, due January 1 of

 

the current fiscal year, shall include specific information on

 

services and programs provided, the client base to which the


 

services and programs were provided, information on any wraparound

 

services provided, and the expenditures for those services. The

 

department shall provide the annual reports to the senate and house

 

appropriations subcommittees on community health and the senate and

 

house fiscal agencies.

 

     Sec. 404. (1) Not later than May 31 of the current fiscal

 

year, the department shall provide a report on the community mental

 

health services programs to the members of the house and senate

 

appropriations subcommittees on community health, the house and

 

senate fiscal agencies, and the state budget director that includes

 

the information required by this section.

 

     (2) The report shall contain information for each CMHSP or

 

PIHP and a statewide summary, each of which shall include at least

 

the following information:

 

     (a) A demographic description of service recipients which,

 

minimally, shall include reimbursement eligibility, client

 

population, age, ethnicity, housing arrangements, and diagnosis.

 

     (b) Per capita expenditures by client population group.

 

     (c) Financial information that, minimally, includes a

 

description of funding authorized; expenditures by client group and

 

fund source; and cost information by service category, including

 

administration. Service category includes all department-approved

 

services.

 

     (d) Data describing service outcomes that includes, but is not

 

limited to, an evaluation of consumer satisfaction, consumer

 

choice, and quality of life concerns including, but not limited to,

 

housing and employment.


 

     (e) Information about access to community mental health

 

services programs that includes, but is not limited to, the

 

following:

 

     (i) The number of people receiving requested services.

 

     (ii) The number of people who requested services but did not

 

receive services.

 

     (f) The number of second opinions requested under the code and

 

the determination of any appeals.

 

     (g) An analysis of information provided by CMHSPs in response

 

to the needs assessment requirements of the mental health code,

 

1974 PA 258, MCL 330.1001 to 330.2106, including information about

 

the number of individuals in the service delivery system who have

 

requested and are clinically appropriate for different services.

 

     (h) Lapses and carryforwards during the immediately preceding

 

fiscal year for CMHSPs or PIHPs.

 

     (i) Information about contracts for mental health services

 

entered into by CMHSPs or PIHPs with providers, including, but not

 

limited to, all of the following:

 

     (i) The amount of the contract, organized by type of service

 

provided.

 

     (ii) Payment rates, organized by the type of service provided.

 

     (iii) Administrative costs for services provided to CMHSPs or

 

PIHPs.

 

     (j) Information on the community mental health Medicaid

 

managed care program, including, but not limited to, both of the

 

following:

 

     (i) Expenditures by each CMHSP or PIHP organized by Medicaid


 

eligibility group, including per eligible individual expenditure

 

averages.

 

     (ii) Performance indicator information required to be submitted

 

to the department in the contracts with CMHSPs or PIHPs.

 

     (k) An estimate of the number of direct care workers in local

 

residential settings and paraprofessional and other nonprofessional

 

direct care workers in settings where skill building, community

 

living supports and training, and personal care services are

 

provided by CMHSPs or PIHPs as of September 30 of the prior fiscal

 

year employed directly or through contracts with provider

 

organizations.

 

     (3) The department shall include data reporting requirements

 

listed in subsection (2) in the annual contract with each

 

individual CMHSP or PIHP.

 

     (4) The department shall take all reasonable actions to ensure

 

that the data required are complete and consistent among all CMHSPs

 

or PIHPs.

 

     Sec. 406. (1) The funds appropriated in part 1 for the state

 

disability assistance substance abuse services program shall be

 

used to support per diem room and board payments in substance abuse

 

residential facilities. Eligibility of clients for the state

 

disability assistance substance abuse services program shall

 

include needy persons 18 years of age or older, or emancipated

 

minors, who reside in a substance abuse treatment center.

 

     (2) The department shall reimburse all licensed substance

 

abuse programs eligible to participate in the program at a rate

 

equivalent to that paid by the department of human services to


 

adult foster care providers. Programs accredited by department-

 

approved accrediting organizations shall be reimbursed at the

 

personal care rate, while all other eligible programs shall be

 

reimbursed at the domiciliary care rate.

 

     Sec. 407. (1) The amount appropriated in part 1 for substance

 

abuse prevention, education, and treatment grants shall be expended

 

to coordinate care and services provided to individuals with severe

 

and persistent mental illness and substance abuse diagnoses.

 

     (2) The department shall approve managing entity fee schedules

 

for providing substance abuse services and charge participants in

 

accordance with their ability to pay.

 

     (3) The managing entity shall continue current efforts to

 

collaborate on the delivery of services to those clients with

 

mental illness and substance abuse diagnoses with the goal of

 

providing services in an administratively efficient manner.

 

     Sec. 408. (1) By April 1 of the current fiscal year, the

 

department shall collect data in order to analyze trends in

 

substance abuse prevention, treatment, and recovery programs and

 

determining effectiveness relative to positive outcomes of invested

 

dollars.

 

     (2) The department shall take all reasonable actions to ensure

 

that the required data reported are complete and consistent across

 

the state.

 

     Sec. 410. The department shall assure that substance abuse

 

treatment is provided to applicants and recipients of public

 

assistance through the department of human services who are

 

required to obtain substance abuse treatment as a condition of


 

eligibility for public assistance.

 

     Sec. 411. (1) The department shall ensure that each contract

 

with a CMHSP or PIHP requires the CMHSP or PIHP to implement

 

programs to encourage diversion of individuals with serious mental

 

illness, serious emotional disturbance, or developmental disability

 

from possible jail incarceration when appropriate.

 

     (2) Each CMHSP or PIHP shall have jail diversion services and

 

shall work toward establishing working relationships with

 

representative staff of local law enforcement agencies, including

 

county prosecutors' offices, county sheriffs' offices, county

 

jails, municipal police agencies, municipal detention facilities,

 

and the courts. Written interagency agreements describing what

 

services each participating agency is prepared to commit to the

 

local jail diversion effort and the procedures to be used by local

 

law enforcement agencies to access mental health jail diversion

 

services are strongly encouraged.

 

     Sec. 412. The department shall contract directly with the

 

Salvation Army harbor light program to provide non-Medicaid

 

substance abuse services.

 

     Sec. 418. On or before the tenth of each month, the department

 

shall report to the senate and house appropriations subcommittees

 

on community health, the senate and house fiscal agencies, and the

 

state budget director on the amount of funding paid to PIHPs to

 

support the Medicaid managed mental health care program in the

 

preceding month. The information shall include the total paid to

 

each PIHP, per capita rate paid for each eligibility group for each

 

PIHP, and number of cases in each eligibility group for each PIHP,


 

and year-to-date summary of eligibles and expenditures for the

 

Medicaid managed mental health care program.

 

     Sec. 424. Each PIHP that contracts with the department to

 

provide services to the Medicaid population shall adhere to the

 

following timely claims processing and payment procedure for claims

 

submitted by health professionals and facilities:

 

     (a) A "clean claim" as described in section 111i of the social

 

welfare act, 1939 PA 280, MCL 400.111i, shall be paid within 45

 

days after receipt of the claim by the PIHP. A clean claim that is

 

not paid within this time frame shall bear simple interest at a

 

rate of 12% per annum.

 

     (b) A PIHP shall state in writing to the health professional

 

or facility any defect in the claim within 30 days after receipt of

 

the claim.

 

     (c) A health professional and a health facility have 30 days

 

after receipt of a notice that a claim or a portion of a claim is

 

defective within which to correct the defect. The PIHP shall pay

 

the claim within 30 days after the defect is corrected.

 

     Sec. 428. Each PIHP shall provide, from internal resources,

 

local funds to be used as a bona fide part of the state match

 

required under the Medicaid program in order to increase capitation

 

rates for PIHPs. These funds shall not include either state funds

 

received by a CMHSP for services provided to non-Medicaid

 

recipients or the state matching portion of the Medicaid capitation

 

payments made to a PIHP.

 

     Sec. 435. A county required under the provisions of the mental

 

health code, 1974 PA 258, MCL 330.1001 to 330.2106, to provide


 

matching funds to a CMHSP for mental health services rendered to

 

residents in its jurisdiction shall pay the matching funds in equal

 

installments on not less than a quarterly basis throughout the

 

fiscal year, with the first payment being made by October 1 of the

 

current fiscal year.

 

     Sec. 474. The department shall ensure that each contract with

 

a CMHSP or PIHP requires the CMHSP or PIHP to provide each

 

recipient and his or her family with information regarding the

 

different types of guardianship and the alternatives to

 

guardianship. A CMHSP or PIHP shall not, in any manner, attempt to

 

reduce or restrict the ability of a recipient or his or her family

 

from seeking to obtain any form of legal guardianship without just

 

cause.

 

     Sec. 490. (1) The department shall develop a plan to maximize

 

uniformity and consistency in the standards required of providers

 

contracting directly with PIHPs and CMHSPs. The standards shall

 

include, but are not limited to, contract language, training

 

requirements for direct support staff, performance indicators,

 

financial and program audits, and billing procedures.

 

     (2) The department shall provide a status report to the senate

 

and house appropriations subcommittees on community health, the

 

senate and house fiscal agencies, and the state budget director on

 

implementation of the plan by July 1 of the current fiscal year.

 

     Sec. 491. The department shall explore changes in program

 

policy in the habilitation supports waiver for persons with

 

developmental disabilities that would permit the movement of a slot

 

that has become available to a county that has demonstrated a


 

greater need for the services.

 

     Sec. 492. If a CMHSP has entered into an agreement with a

 

county or county sheriff to provide mental health services to the

 

inmates of the county jail, the department shall not prohibit the

 

use of state general fund/general purpose dollars by CMHSPs to

 

provide mental health services to inmates of a county jail.

 

     Sec. 494. (1) In order to avoid duplication of efforts, the

 

department shall utilize applicable national accreditation review

 

criteria to determine compliance with corresponding state

 

requirements for CMHSPs, PIHPs, or subcontracting provider agencies

 

that have been reviewed and accredited by a national accrediting

 

entity for behavioral health care services.

 

     (2) Upon a coordinated submission by the CMHSPs, PIHPs, or

 

subcontracting provider agencies, a listing of program requirements

 

that are part of the state program review criteria but are not

 

reviewed by an applicable national accrediting entity, the

 

department shall review the listing and provide a recommendation to

 

the house and senate appropriations subcommittees on community

 

health, the house and senate fiscal agencies, and the state budget

 

office as to whether or not state program review should continue.

 

The CMHSPs, PIHPs, or subcontracting agencies may request the

 

department to convene a workgroup to fulfill this section.

 

     (3) The department shall continue to comply with state and

 

federal law and shall not initiate an action that negatively

 

impacts beneficiary safety.

 

     (4) As used in this section, "national accrediting entity"

 

means the joint commission on accreditation of healthcare


 

organizations, the commission on accreditation of rehabilitation

 

facilities, the council of accreditation, or other appropriate

 

entity, as approved by the department.

 

     (5) By July 1 of the current fiscal year, the department shall

 

provide a progress report to the house and senate appropriations

 

subcommittees on community health, the house and senate fiscal

 

agencies, and the state budget office on implementation of this

 

section.

 

     Sec. 496. CMHSPs and PIHPs are permitted to offset state

 

funding reductions by limiting the administrative component of

 

their contracts with providers and case management to a maximum of

 

9%.

 

     Sec. 497. The population data used in determining the

 

distribution of substance abuse block grant funds shall be from the

 

most recent federal census.

 

     Sec. 499. The department shall continue efforts to use mental

 

health funding to address the mental health needs of deaf and hard-

 

of-hearing persons. The department shall report to the senate and

 

house appropriations subcommittees on community health on the

 

results of this process by March 1 of the current fiscal year.

 

     Sec. 501. From the funds appropriated in part 1 for mental

 

health services for special populations, the department shall

 

allocate $100.00 to establish a pilot project in several CMHSPs to

 

provide post-traumatic stress disorder services to current or

 

former service members.

 

     Sec. 502. The department shall work to develop an outreach

 

program on fetal alcohol syndrome services. The department shall


 

report to the senate and house subcommittees on community health by

 

April 1 of the current fiscal year on efforts to prevent and combat

 

fetal alcohol syndrome as well as deficiencies in efforts to reduce

 

the incidence of fetal alcohol syndrome.

 

     Sec. 503. (1) The department shall formally consult with

 

CMHSPs from across this state when developing policies and

 

procedures that will impact PIHPs or CMHSPs. The department shall

 

consult with all of the following under this subsection:

 

     (a) Representatives of CMHSPs designated by the Michigan

 

association of community mental health boards or by the boards of

 

directors of the PIHPs.

 

     (b) Two or more CMHSP representatives from each multi-

 

community mental health PIHP region.

 

     (c) Representatives of PIHPs.

 

     (2) The department and representatives identified in

 

subsection (1) shall address a range of issues, including, but not

 

limited to, the following:

 

     (a) Clinical initiatives.

 

     (b) Finance.

 

     (c) Information services.

 

     (d) Quality improvement.

 

     (e) Compliance issues.

 

     (f) Changes in state reporting requirements.

 

     (g) Changes in funding or state payment mechanics.

 

     (h) Changes or amendments being considered for the Medicaid as

 

well as non-Medicaid contracts.

 

     (i) Changes or additions to special projects for or changes to


Senate Bill No. 198 as amended May 16, 2013

 

the Medicaid benefit or service array.

     Sec. 504. The department shall work to seek more statewide

uniformity in capitation payments made to the PIHPs.

     <<Sec. 504. (1) The department shall create a workgroup to

make recommendations to achieve more uniformity in capitation

payments made to the PIHPs.

     (2) The workgroup shall include but not be limited to

representatives of the department, PIHPs, and CMHSPs.

     (3) The department shall provide the workgroup's

recommendations to the senate and house appropriations

subcommittees on community health, the senate and house fiscal

agencies, and the state budget director by March 1 of the current

fiscal year.>>

 

STATE PSYCHIATRIC HOSPITALS AND FORENSIC MENTAL HEALTH SERVICES

     Sec. 601. The department shall continue a revenue recapture

project to generate additional revenues from third parties related

 

to cases that have been closed or are inactive. A portion of

 

revenues collected through project efforts may be used for

 

departmental costs and contractual fees associated with these

 

retroactive collections and to improve ongoing departmental

 

reimbursement management functions.

 

     Sec. 602. The purpose of gifts and bequests for patient living

 

and treatment environments is to use additional private funds to

 

provide specific enhancements for individuals residing at state-

 

operated facilities. Use of the gifts and bequests shall be

 

consistent with the stipulation of the donor. The expected

 

completion date for the use of gifts and bequests donations is

 

within 3 years unless otherwise stipulated by the donor.

 

     Sec. 605. (1) The department shall not implement any closures

 

or consolidations of state hospitals, centers, or agencies until

 

CMHSPs or PIHPs have programs and services in place for those

 

individuals currently in those facilities and a plan for service

 

provision for those individuals who would have been admitted to

 

those facilities.

 

     (2) All closures or consolidations are dependent upon adequate

 

department-approved CMHSP and PIHP plans that include a discharge


 

and aftercare plan for each individual currently in the facility. A

 

discharge and aftercare plan shall address the individual's housing

 

needs. A homeless shelter or similar temporary shelter arrangements

 

are inadequate to meet the individual's housing needs.

 

     (3) Four months after the certification of closure required in

 

section 19(6) of the state employees' retirement act, 1943 PA 240,

 

MCL 38.19, the department shall provide a closure plan to the house

 

and senate appropriations subcommittees on community health and the

 

state budget director.

 

     (4) Upon the closure of state-run operations and after

 

transitional costs have been paid, the remaining balances of funds

 

appropriated for that operation shall be transferred to CMHSPs or

 

PIHPs responsible for providing services for individuals previously

 

served by the operations.

 

     Sec. 606. The department may collect revenue for patient

 

reimbursement from first- and third-party payers, including

 

Medicaid and local county CMHSP payers, to cover the cost of

 

placement in state hospitals and centers. The department is

 

authorized to adjust financing sources for patient reimbursement

 

based on actual revenues earned. If the revenue collected exceeds

 

current year expenditures, the revenue may be carried forward with

 

approval of the state budget director. The revenue carried forward

 

shall be used as a first source of funds in the subsequent year.

 

     Sec. 608. Effective October 1, 2012, the department, in

 

consultation with the department of technology, management, and

 

budget, may maintain a bid process to identify 1 or more private

 

contractors to provide food service and custodial services for the


 

administrative areas at any state hospital identified by the

 

department as capable of generating savings through the outsourcing

 

of such services.

 

 

 

PUBLIC HEALTH ADMINISTRATION

 

     Sec. 650. By October 1 of the current fiscal year, the

 

department shall provide to the senate and house appropriations

 

subcommittees on community health a report that includes detailed

 

information regarding the current process by which fish consumption

 

advisories are created and revised. The department shall include

 

all of the following information in the report:

 

     (a) The triggers to begin the process for developing the fish

 

consumption advisories, such as evidence of human disease, fish

 

residue data, and biomonitoring data.

 

     (b) The process for developing and modifying a fish

 

consumption advisory, including the data inputs used, the rationale

 

behind the selection of particular fish for collection, whether the

 

process has been independently reviewed and validated by a

 

scientific panel or benchmarked in any way, and the reasons for the

 

lack of any independent review, validation, or benchmarking.

 

     (c) The type of data specific to a particular body of water

 

that would be needed to modify a current fish consumption advisory,

 

including the data quality criteria that are used to determine if

 

data are suitable for use in the assessment and exclusions to

 

bodies of data and the justifications for such exclusions.

 

     (d) Information on the ways stakeholder input is incorporated

 

into the fish consumption advisory process prior to an advisory


 

being issued.

 

     (e) Information on how advisory analyses are documented,

 

including how uncertainty analyses are conducted and reported, with

 

information as to whether these evaluations are publicly available

 

and, if not available, an explanation of why any such evaluations

 

are not publicly available.

 

     Sec. 651. The department shall work with the Michigan health

 

endowment fund corporation established pursuant to section 653 of

 

the nonprofit health care corporation reform act, 1980 PA 350, MCL

 

550.1653, to explore ways to expand health and wellness programs,

 

in particular efforts to serve those with diabetes and kidney

 

disease.

 

     Sec. 652. From the funds appropriated in part 1 for health and

 

wellness programs, $100.00 shall be allocated to support the

 

exemplary physical fitness curriculum.

 

     Sec. 653. From the funds appropriated in part 1 for health and

 

wellness programs, $100.00 shall be allocated to support efforts to

 

combat Alzheimer's disease.

 

     Sec. 655. From the funds appropriated in part 1 for health and

 

wellness programs, $100.00 shall be allocated to support a center

 

for integrative medicine project in Kent County.

 

 

 

HEALTH POLICY

 

     Sec. 704. The department shall continue to contract with

 

grantees supported through the appropriation in part 1 for the

 

emergency medical services program to ensure that a sufficient

 

number of qualified emergency medical services personnel exist to


 

serve rural areas of the state.

 

     Sec. 709. (1) The funds appropriated in part 1 for the

 

Michigan essential health care provider program may also provide

 

loan repayment for dentists that fit the criteria established by

 

part 27 of the public health code, 1978 PA 368, MCL 333.2701 to

 

333.2727.

 

     (2) From the funds appropriated in part 1 for the Michigan

 

essential health provider program, the department may reduce the

 

local and private share of the loan repayment costs to 25% for

 

primary care physicians, particularly obstetricians and

 

gynecologists working in underserved areas.

 

     Sec. 712. From the funds appropriated in part 1 for primary

 

care services, $250,000.00 shall be allocated to free health

 

clinics operating in the state. The department shall distribute the

 

funds equally to each free health clinic. For the purpose of this

 

appropriation, "free health clinics" means nonprofit organizations

 

that use volunteer health professionals to provide care to

 

uninsured individuals.

 

     Sec. 713. The department shall continue support of

 

multicultural agencies that provide primary care services from the

 

funds appropriated in part 1.

 

     Sec. 715. The department shall evaluate options for

 

incentivizing students attending medical schools in this state to

 

meet their primary care residency requirements in this state and

 

ultimately, for some period of time, to remain in this state and

 

serve as primary care physicians.

 

     Sec. 716. (1) The department is encouraged to create and


 

implement a pilot program limited to counties with a population of

 

less than 100,000 to incentivize students attending medical schools

 

in Michigan through a loan repayment program or other approaches

 

for committing to provide medical services in rural counties with a

 

medically underserved population. The program shall be limited to

 

those students or individuals performing primary care or specialty

 

services as identified by the department.

 

     (2) By no later than September 30 of the current fiscal year,

 

the department shall prepare a report and submit it to the senate

 

and house appropriations subcommittees on community health, the

 

senate and house fiscal agencies, and the state budget director.

 

The department shall evaluate the effectiveness of the pilot

 

program, identify potential changes to improve the program, and

 

make recommendations for statewide implementation in its report

 

under this subsection.

 

 

 

INFECTIOUS DISEASE CONTROL

 

     Sec. 804. The department, in conjunction with efforts to

 

implement the Michigan prisoner reentry initiative, shall cooperate

 

with the department of corrections to share data and information as

 

they relate to prisoners being released who are HIV positive or

 

positive for the hepatitis C antibody.

 

 

 

EPIDEMIOLOGY

 

     Sec. 851. (1) From the funds appropriated in part 1 for the

 

healthy homes program, $100.00 shall be allocated to expand lead

 

abatement efforts.


 

     (2) The department shall coordinate its lead abatement efforts

 

with the Michigan public service commission, specifically on the

 

issue of window replacement.

 

 

 

LOCAL HEALTH ADMINISTRATION AND GRANTS

 

     Sec. 901. The amount appropriated in part 1 for implementation

 

of the 1993 additions of or amendments to sections 9161, 16221,

 

16226, 17014, 17015, and 17515 of the public health code, 1978 PA

 

368, MCL 333.9161, 333.16221, 333.16226, 333.17014, 333.17015, and

 

333.17515, shall be used to reimburse local health departments for

 

costs incurred related to implementation of section 17015(18) of

 

the public health code, 1978 PA 368, MCL 333.17015.

 

     Sec. 902. If a county that has participated in a district

 

health department or an associated arrangement with other local

 

health departments takes action to cease to participate in such an

 

arrangement after October 1 of the current fiscal year, the

 

department shall have the authority to assess a penalty from the

 

local health department's operational accounts in an amount equal

 

to no more than 6.25% of the local health department's essential

 

local public health services funding. This penalty shall only be

 

assessed to the local county that requests the dissolution of the

 

health department.

 

     Sec. 904. (1) Funds appropriated in part 1 for essential local

 

public health services shall be prospectively allocated to local

 

health departments to support immunizations, infectious disease

 

control, sexually transmitted disease control and prevention,

 

hearing screening, vision services, food protection, public water


 

supply, private groundwater supply, and on-site sewage management.

 

Food protection shall be provided in consultation with the

 

department of agriculture and rural development. Public water

 

supply, private groundwater supply, and on-site sewage management

 

shall be provided in consultation with the department of

 

environmental quality.

 

     (2) Local public health departments shall be held to

 

contractual standards for the services in subsection (1).

 

     (3) Distributions in subsection (1) shall be made only to

 

counties that maintain local spending in the current fiscal year of

 

at least the amount expended in fiscal year 1992-1993 for the

 

services described in subsection (1).

 

     Sec. 905. From the funds appropriated in part 1 for essential

 

local public health services, the department shall increase funding

 

to local public health departments by $200.00.

 

 

 

CHRONIC DISEASE AND INJURY PREVENTION AND HEALTH PROMOTION

 

     Sec. 1005. From the funds appropriated in part 1 for the

 

injury control intervention project, $100.00 shall be allocated to

 

provide services to those with traumatic brain injuries.

 

 

 

FAMILY, MATERNAL, AND CHILDREN'S HEALTH SERVICES

 

     Sec. 1103. By January 3 of the current fiscal year the

 

department shall annually issue to the legislature, and to the

 

public on the Internet, a report providing estimated public funds

 

administered by the department for family planning, sexually

 

transmitted infection prevention and treatment, and pregnancies and


 

births, as well as demographics collected by the department as

 

voluntarily self-reported by individuals utilizing those services.

 

The department shall provide the actual expenditures by marital

 

status or, where actual expenditures are not available, shall

 

provide estimated expenditures by marital status. The department

 

may utilize the Plan First application (Form MSA 1582), MIChild,

 

and Healthy Kids application (DCH 0373) or Assistance Application

 

(DHS 1171) or any other official application for public assistance

 

for medical coverage to determine the actual or estimated public

 

expenditures based on marital status.

 

     Sec. 1104. (1) Before April 1 of the current fiscal year, the

 

department shall submit a report to the house and senate fiscal

 

agencies and the state budget director on planned allocations from

 

the amounts appropriated in part 1 for local MCH services, prenatal

 

care outreach and service delivery support, family planning local

 

agreements, and pregnancy prevention programs. Using applicable

 

federal definitions, the report shall include information on all of

 

the following:

 

     (a) Funding allocations.

 

     (b) Actual number of women, children, and adolescents served

 

and amounts expended for each group for the immediately preceding

 

fiscal year.

 

     (c) A breakdown of the expenditure of these funds between

 

urban and rural communities.

 

     (2) The department shall ensure that the distribution of funds

 

through the programs described in subsection (1) takes into account

 

the needs of rural communities.


 

     (3) For the purposes of this section, "rural" means a county,

 

city, village, or township with a population of 30,000 or less,

 

including those entities if located within a metropolitan

 

statistical area.

 

     Sec. 1106. Each family planning program receiving federal

 

title X family planning funds under 42 USC 300 to 300a-8 shall be

 

in compliance with all performance and quality assurance indicators

 

that the office of family planning within the United States

 

department of health and human services specifies in the family

 

planning annual report. An agency not in compliance with the

 

indicators shall not receive supplemental or reallocated funds.

 

     Sec. 1108. The funds appropriated in part 1 for pregnancy

 

prevention programs shall not be used to provide abortion

 

counseling, referrals, or services.

 

     Sec. 1109. (1) From the amounts appropriated in part 1 for

 

dental programs, funds shall be allocated to the Michigan dental

 

association for the administration of a volunteer dental program

 

that provides dental services to the uninsured.

 

     (2) Not later than December 1 of the current fiscal year, the

 

department shall report to the senate and house appropriations

 

subcommittees on community health and the senate and house standing

 

committees on health policy the number of individual patients

 

treated, number of procedures performed, and approximate total

 

market value of those procedures from the immediately preceding

 

fiscal year.

 

     Sec. 1119. From the funds appropriated in part 1 for family

 

planning local agreements or pregnancy prevention programs, no


 

state funds shall be used to encourage or support abortion

 

services.

 

     Sec. 1135. (1) If funds become available, provision of the

 

school health education curriculum, such as the Michigan model for

 

health or another comprehensive school health education curriculum,

 

shall be in accordance with the health education goals established

 

by the Michigan model steering committee. The steering committee

 

shall be composed of a representative from each of the following

 

offices and departments:

 

     (a) The department of education.

 

     (b) The department of community health.

 

     (c) The health administration in the department of community

 

health.

 

     (d) The behavioral health and developmental disabilities

 

administration in the department of community health.

 

     (e) The department of human services.

 

     (f) The department of state police.

 

     (2) Upon written or oral request, a pupil not less than 18

 

years of age or a parent or legal guardian of a pupil less than 18

 

years of age, within a reasonable period of time after the request

 

is made, shall be informed of the content of a course in the health

 

education curriculum and may examine textbooks and other classroom

 

materials that are provided to the pupil or materials that are

 

presented to the pupil in the classroom. This subsection does not

 

require a school board to permit pupil or parental examination of

 

test questions and answers, scoring keys, or other examination

 

instruments or data used to administer an academic examination.


 

     Sec. 1136. From the funds appropriated in part 1 for prenatal

 

care outreach and service delivery support, $1,000,000.00 shall be

 

allocated for a real alternatives 1 pregnancy and parenting support

 

services program as a pilot project. The department shall establish

 

a fee-for-service contract with 1 or more qualified agencies to

 

provide free counseling, support, and referral services to eligible

 

women during pregnancy through 12 months after birth. As

 

appropriate, the goals for client outcomes shall include an

 

increase of counseling support, childbirth choice, and adoption

 

knowledge and an improvement in parenting skills and knowledge of

 

reproductive health. The department shall provide for counselor

 

training, client educational material, program marketing, and

 

annual provider site monitoring.

 

     Sec. 1137. From the funds appropriated in part 1 for prenatal

 

care outreach and service delivery support, not less than

 

$600,000.00 shall be allocated for evidence-based programs to

 

reduce infant mortality. The funds shall be used for enhanced

 

support and education to nursing teams and for client recruitment

 

in areas designated as underserved for obstetrical and

 

gynecological services. The funds shall also be used for strategic

 

planning to expand and sustain the program and for marketing and

 

communications of the program to raise awareness, engage

 

stakeholders, and recruit nurses.

 

     Sec. 1138. The department shall allocate funds appropriated in

 

section 113 of part 1 for family, maternal, and children's health

 

services pursuant to section 1 of 2002 PA 360, MCL 333.1091.

 

     Sec. 1139. From the funds appropriated in part 1 for dental


 

programs, $100.00 shall be allocated to support an expansion of

 

dental clinic services.

 

     Sec. 1140. From the funds appropriated in part 1 for special

 

projects, the department shall make the following allocations:

 

     (a) $1,000,000.00 to the Eastern Michigan University autism

 

center.

 

     (b) $500,000.00 to the Central Michigan University central

 

assessment lending library.

 

     (c) $500,000.00 to the Oakland University center for autism

 

research, education, and support.

 

     (d) $500,000.00 to the Western Michigan University autism

 

center of excellence.

 

 

 

CHILDREN'S SPECIAL HEALTH CARE SERVICES

 

     Sec. 1202. The department may do 1 or more of the following:

 

     (a) Provide special formula for eligible clients with

 

specified metabolic and allergic disorders.

 

     (b) Provide medical care and treatment to eligible patients

 

with cystic fibrosis who are 21 years of age or older.

 

     (c) Provide medical care and treatment to eligible patients

 

with hereditary coagulation defects, commonly known as hemophilia,

 

who are 21 years of age or older.

 

     (d) Provide human growth hormone to eligible patients.

 

     Sec. 1204. By October 1 of the current fiscal year, the

 

department shall report to the senate and house appropriations

 

committees on community health and the senate and house fiscal

 

agencies on its plan for enrolling Medicaid-eligible children's


 

special health care services recipients in the Medicaid health

 

plans. The report shall include information on which Medicaid

 

health plans are participating, the methods used to assure

 

continuity of care and continuity of ongoing relationships with

 

providers, and projected savings from the implementation of the

 

proposal.

 

     Sec. 1205. From the funds appropriated in part 1 for medical

 

care and treatment, the department is authorized to spend up to

 

$500,000.00 for the continued development and expansion of

 

telemedicine capacity to allow families with children in the

 

children's special health care services program to access specialty

 

providers more readily and in a more timely manner.

 

 

 

CRIME VICTIM SERVICES COMMISSION

 

     Sec. 1302. From the funds appropriated in part 1 for justice

 

assistance grants, up to $200,000.00 shall be allocated for

 

expansion of forensic nurse examiner programs to facilitate

 

training for improved evidence collection for the prosecution of

 

sexual assault. The funds shall be used for program coordination

 

and training.

 

 

 

OFFICE OF SERVICES TO THE AGING

 

     Sec. 1403. (1) By February 1 of the current fiscal year, the

 

office of services to the aging shall require each region to report

 

to the office of services to the aging and to the legislature home-

 

delivered meals waiting lists based upon standard criteria.

 

Determining criteria shall include all of the following:


 

     (a) The recipient's degree of frailty.

 

     (b) The recipient's inability to prepare his or her own meals

 

safely.

 

     (c) Whether the recipient has another care provider available.

 

     (d) Any other qualifications normally necessary for the

 

recipient to receive home-delivered meals.

 

     (2) Data required in subsection (1) shall be recorded only for

 

individuals who have applied for participation in the home-

 

delivered meals program and who are initially determined as likely

 

to be eligible for home-delivered meals.

 

     Sec. 1417. The department shall provide to the senate and

 

house appropriations subcommittees on community health, senate and

 

house fiscal agencies, and state budget director a report by March

 

30 of the current fiscal year that contains all of the following:

 

     (a) The total allocation of state resources made to each area

 

agency on aging by individual program and administration.

 

     (b) Detail expenditure by each area agency on aging by

 

individual program and administration including both state-funded

 

resources and locally-funded resources.

 

     Sec. 1420. If funds become available, the department shall

 

create a pilot project to establish an aging care management

 

services program with services provided solely by nurses. This

 

pilot project shall be established in a county with a population

 

greater than 150,000 but less than 250,000.

 

     Sec. 1421. From the funds appropriated in part 1 for community

 

services, $1,100,000.00 shall be allocated to area agencies on

 

aging for locally determined needs.


 

 

 

MEDICAL SERVICES ADMINISTRATION

 

     Sec. 1501. The unexpended funds appropriated in part 1 for the

 

electronic health records incentive program are considered work

 

project appropriations, and any unencumbered or unallotted funds

 

are carried forward into the following fiscal year. The following

 

is in compliance with section 451a(1) of the management and budget

 

act, 1984 PA 431, MCL 18.1451a:

 

     (a) The purpose of the project to be carried forward is to

 

implement the Medicaid electronic health record program that

 

provides financial incentive payments to Medicaid health care

 

providers to encourage the adoption and meaningful use of

 

electronic health records to improve quality, increase efficiency,

 

and promote safety.

 

     (b) The projects will be accomplished according to the

 

approved federal advanced planning document.

 

     (c) The estimated cost of this project phase is identified in

 

the appropriation line item.

 

     (d) The tentative completion date for the work project is

 

September 30, 2018.

 

     Sec. 1502. From the funds appropriated in part 1 for the

 

medical services administration, the department shall spend

 

$300,000.00 plus any associated federal match to develop an all

 

payer claims database.

 

 

 

MEDICAL SERVICES

 

     Sec. 1601. The cost of remedial services incurred by residents


 

of licensed adult foster care homes and licensed homes for the aged

 

shall be used in determining financial eligibility for the

 

medically needy. Remedial services include basic self-care and

 

rehabilitation training for a resident.

 

     Sec. 1603. (1) The department may establish a program for

 

individuals to purchase medical coverage at a rate determined by

 

the department.

 

     (2) The department may receive and expend premiums for the

 

buy-in of medical coverage in addition to the amounts appropriated

 

in part 1.

 

     (3) The premiums described in this section shall be classified

 

as private funds.

 

     (4) The department shall modify program policies to permit

 

individuals eligible for the transitional medical assistance plus

 

program, as structured in fiscal year 2009-2010, to access medical

 

assistance coverage through a 100% cost share.

 

     Sec. 1605. The protected income level for Medicaid coverage

 

determined pursuant to section 106(1)(b)(iii) of the social welfare

 

act, 1939 PA 280, MCL 400.106, shall be 100% of the related public

 

assistance standard.

 

     Sec. 1606. For the purpose of guardian and conservator

 

charges, the department of community health may deduct up to $60.00

 

per month as an allowable expense against a recipient's income when

 

determining medical services eligibility and patient pay amounts.

 

     Sec. 1607. (1) An applicant for Medicaid, whose qualifying

 

condition is pregnancy, shall immediately be presumed to be

 

eligible for Medicaid coverage unless the preponderance of evidence


 

in her application indicates otherwise. The applicant who is

 

qualified as described in this subsection shall be allowed to

 

select or remain with the Medicaid participating obstetrician of

 

her choice.

 

     (2) An applicant qualified as described in subsection (1)

 

shall be given a letter of authorization to receive Medicaid

 

covered services related to her pregnancy. All qualifying

 

applicants shall be entitled to receive all medically necessary

 

obstetrical and prenatal care without preauthorization from a

 

health plan. All claims submitted for payment for obstetrical and

 

prenatal care shall be paid at the Medicaid fee-for-service rate in

 

the event a contract does not exist between the Medicaid

 

participating obstetrical or prenatal care provider and the managed

 

care plan. The applicant shall receive a listing of Medicaid

 

physicians and managed care plans in the immediate vicinity of the

 

applicant's residence.

 

     (3) In the event that an applicant, presumed to be eligible

 

pursuant to subsection (1), is subsequently found to be ineligible,

 

a Medicaid physician or managed care plan that has been providing

 

pregnancy services to an applicant under this section is entitled

 

to reimbursement for those services until such time as they are

 

notified by the department that the applicant was found to be

 

ineligible for Medicaid.

 

     (4) If the preponderance of evidence in an application

 

indicates that the applicant is not eligible for Medicaid, the

 

department shall refer that applicant to the nearest public health

 

clinic or similar entity as a potential source for receiving


 

pregnancy-related services.

 

     (5) The department shall develop an enrollment process for

 

pregnant women covered under this section that facilitates the

 

selection of a managed care plan at the time of application.

 

     (6) The department shall mandate enrollment of women, whose

 

qualifying condition is pregnancy, into Medicaid managed care

 

plans.

 

     (7) The department shall encourage physicians to provide

 

women, whose qualifying condition for Medicaid is pregnancy, with a

 

referral to a Medicaid participating dentist at the first

 

pregnancy-related appointment.

 

     Sec. 1611. (1) For care provided to medical services

 

recipients with other third-party sources of payment, medical

 

services reimbursement shall not exceed, in combination with such

 

other resources, including Medicare, those amounts established for

 

medical services-only patients. The medical services payment rate

 

shall be accepted as payment in full. Other than an approved

 

medical services co-payment, no portion of a provider's charge

 

shall be billed to the recipient or any person acting on behalf of

 

the recipient. Nothing in this section shall be considered to

 

affect the level of payment from a third-party source other than

 

the medical services program. The department shall require a

 

nonenrolled provider to accept medical services payments as payment

 

in full.

 

     (2) Notwithstanding subsection (1), medical services

 

reimbursement for hospital services provided to dual

 

Medicare/medical services recipients with Medicare part B coverage


 

only shall equal, when combined with payments for Medicare and

 

other third-party resources, if any, those amounts established for

 

medical services-only patients, including capital payments.

 

     Sec. 1620. (1) For fee-for-service recipients who do not

 

reside in nursing homes, the pharmaceutical dispensing fee shall be

 

$2.75 or the pharmacy's usual or customary cash charge, whichever

 

is less. For nursing home residents, the pharmaceutical dispensing

 

fee shall be $3.00 or the pharmacy's usual or customary cash

 

charge, whichever is less.

 

     (2) The department shall require a prescription co-payment for

 

Medicaid recipients of $1.00 for a generic drug and $3.00 for a

 

brand-name drug, except as prohibited by federal or state law or

 

regulation.

 

     Sec. 1627. (1) The department shall use procedures and rebate

 

amounts specified under section 1927 of title XIX, 42 USC 1396r-8,

 

to secure quarterly rebates from pharmaceutical manufacturers for

 

outpatient drugs dispensed to participants in MIChild, maternal

 

outpatient medical services program, and children's special health

 

care services.

 

     (2) For products distributed by pharmaceutical manufacturers

 

not providing quarterly rebates as listed in subsection (1), the

 

department may require preauthorization.

 

     Sec. 1629. The department shall utilize maximum allowable cost

 

pricing for generic drugs that is based on wholesaler pricing to

 

providers that is available from at least 2 wholesalers who deliver

 

in the state of Michigan.

 

     Sec. 1630. (1) Medicaid coverage for adult dental and


 

podiatric services shall continue at not less than the level in

 

effect on October 1, 2002, except that reasonable utilization

 

limitations may be adopted in order to prevent excess utilization.

 

     (2) Medicaid coverage for adult chiropractic and vision

 

services shall continue at not less than the level in effect on

 

October 1, 2002, except that reasonable utilization limitations may

 

be adopted in order to prevent excess utilization.

 

     Sec. 1631. (1) The department shall require co-payments on

 

dental, podiatric, and vision services provided to Medicaid

 

recipients, except as prohibited by federal or state law or

 

regulation.

 

     (2) Except as otherwise prohibited by federal or state law or

 

regulations, the department shall require Medicaid recipients to

 

pay the following co-payments:

 

     (a) Two dollars for a physician office visit.

 

     (b) Three dollars for a hospital emergency room visit.

 

     (c) Fifty dollars for the first day of an inpatient hospital

 

stay.

 

     (d) One dollar for an outpatient hospital visit.

 

     Sec. 1641. An institutional provider that is required to

 

submit a cost report under the medical services program shall

 

submit cost reports completed in full within 5 months after the end

 

of its fiscal year.

 

     Sec. 1657. (1) Reimbursement for medical services to screen

 

and stabilize a Medicaid recipient, including stabilization of a

 

psychiatric crisis, in a hospital emergency room shall not be made

 

contingent on obtaining prior authorization from the recipient's


 

HMO. If the recipient is discharged from the emergency room, the

 

hospital shall notify the recipient's HMO within 24 hours of the

 

diagnosis and treatment received.

 

     (2) If the treating hospital determines that the recipient

 

will require further medical service or hospitalization beyond the

 

point of stabilization, that hospital shall receive authorization

 

from the recipient's HMO prior to admitting the recipient.

 

     (3) Subsections (1) and (2) do not require an alteration to an

 

existing agreement between an HMO and its contracting hospitals and

 

do not require an HMO to reimburse for services that are not

 

considered to be medically necessary.

 

     Sec. 1659. The following sections of this act are the only

 

ones that shall apply to the following Medicaid managed care

 

programs, including the comprehensive plan, MIChoice long-term care

 

plan, and the mental health, substance abuse, and developmentally

 

disabled services program: 404, 411, 418, 428, 474, 494, 1607,

 

1657, 1662, 1689, 1699, 1740, 1756, 1764, 1815, 1816, 1820, 1835,

 

1850, 1863, 1880, 1881, and 1882.

 

     Sec. 1662. (1) The department shall assure that an external

 

quality review of each contracting HMO is performed that results in

 

an analysis and evaluation of aggregated information on quality,

 

timeliness, and access to health care services that the HMO or its

 

contractors furnish to Medicaid beneficiaries.

 

     (2) The department shall require Medicaid HMOs to provide

 

EPSDT utilization data through the encounter data system, and HEDIS

 

well child health measures in accordance with the national

 

committee for quality assurance prescribed methodology.


 

     (3) The department shall provide a copy of the analysis of the

 

Medicaid HMO annual audited HEDIS reports and the annual external

 

quality review report to the senate and house of representatives

 

appropriations subcommittees on community health, the senate and

 

house fiscal agencies, and the state budget director, within 30

 

days of the department's receipt of the final reports from the

 

contractors.

 

     Sec. 1670. (1) The appropriation in part 1 for the MIChild

 

program is to be used to provide comprehensive health care to all

 

children under age 19 who reside in families with income at or

 

below 200% of the federal poverty level, who are uninsured and have

 

not had coverage by other comprehensive health insurance within 6

 

months of making application for MIChild benefits, and who are

 

residents of this state. The department shall develop detailed

 

eligibility criteria through the medical services administration

 

public concurrence process, consistent with the provisions of this

 

act. Health coverage for children in families between 150% and 200%

 

of the federal poverty level shall be provided through a state-

 

based private health care program.

 

     (2) The department may provide up to 1 year of continuous

 

eligibility to children eligible for the MIChild program unless the

 

family fails to pay the monthly premium, a child reaches age 19, or

 

the status of the children's family changes and its members no

 

longer meet the eligibility criteria as specified in the federally

 

approved MIChild state plan.

 

     (3) Children whose category of eligibility changes between the

 

Medicaid and MIChild programs shall be assured of keeping their


 

current health care providers through the current prescribed course

 

of treatment for up to 1 year, subject to periodic reviews by the

 

department if the beneficiary has a serious medical condition and

 

is undergoing active treatment for that condition.

 

     (4) To be eligible for the MIChild program, a child must be

 

residing in a family with an adjusted gross income of less than or

 

equal to 200% of the federal poverty level. The department's

 

verification policy shall be used to determine eligibility.

 

     (5) The department shall enter into a contract to obtain

 

MIChild services from any HMO, dental care corporation, or any

 

other entity that offers to provide the managed health care

 

benefits for MIChild services at the MIChild capitated rate. As

 

used in this subsection:

 

     (a) "Dental care corporation", "health care corporation",

 

"insurer", and "prudent purchaser agreement" mean those terms as

 

defined in section 2 of the prudent purchaser act, 1984 PA 233, MCL

 

550.52.

 

     (b) "Entity" means a health care corporation or insurer

 

operating in accordance with a prudent purchaser agreement.

 

     (6) The department may enter into contracts to obtain certain

 

MIChild services from community mental health service programs.

 

     (7) The department may make payments on behalf of children

 

enrolled in the MIChild program from the line-item appropriation

 

associated with the program as described in the MIChild state plan

 

approved by the United States department of health and human

 

services, or from other medical services.

 

     (8) The department shall assure that an external quality


 

review of each MIChild contractor, as described in subsection (5),

 

is performed, which analyzes and evaluates the aggregated

 

information on quality, timeliness, and access to health care

 

services that the contractor furnished to MIChild beneficiaries.

 

     (9) The department shall develop an automatic enrollment

 

algorithm that is based on quality and performance factors.

 

     (10) MIChild services shall include treatment for autism

 

spectrum disorders as defined in the federally approved state plan.

 

     Sec. 1673. The department may establish premiums for MIChild

 

eligible individuals in families with income above 150% of the

 

federal poverty level. The monthly premiums shall not be less than

 

$10.00 or exceed $15.00 for a family.

 

     Sec. 1682. (1) The department shall implement enforcement

 

actions as specified in the nursing facility enforcement provisions

 

of section 1919 of title XIX, 42 USC 1396r.

 

     (2) In addition to the appropriations in part 1, the

 

department is authorized to receive and spend penalty money

 

received as the result of noncompliance with medical services

 

certification regulations. Penalty money, characterized as private

 

funds, received by the department shall increase authorizations and

 

allotments in the long-term care accounts.

 

     (3) The department is authorized to provide civil monetary

 

penalty funds to the disability network/Michigan to be distributed

 

to the 15 centers for independent living for the purpose of

 

assisting individuals with disabilities who reside in nursing homes

 

to return to their own homes.

 

     (4) The department is authorized to use civil monetary penalty


 

funds to conduct a survey evaluating consumer satisfaction and the

 

quality of care at nursing homes. Factors can include, but are not

 

limited to, the level of satisfaction of nursing home residents,

 

their families, and employees. The department may use an

 

independent contractor to conduct the survey.

 

     (5) Any unexpended penalty money, at the end of the year,

 

shall carry forward to the following year.

 

     Sec. 1684. The department shall submit a report by September

 

30 of the current fiscal year to the house and senate

 

appropriations subcommittees on community health, the house and

 

senate fiscal agencies, and the state budget director that will

 

identify by waiver agent, Medicaid home- and community-based

 

services waiver costs by administration, case management, and

 

direct services.

 

     Sec. 1689. (1) Within 60 days of the end of each fiscal year,

 

the department shall provide a report to the senate and house

 

appropriations subcommittees on community health and the senate and

 

house fiscal agencies that details existing and future allocations

 

for the home- and community-based services waiver program by

 

regions as well as the associated expenditures. The report shall

 

include information regarding the net cost savings from moving

 

individuals from a nursing home to the home- and community-based

 

services waiver program, the number of individuals transitioned

 

from nursing homes to the home- and community-based services waiver

 

program, the number of individuals on waiting lists by region for

 

the program, and the amount of funds transferred during the fiscal

 

year. The report shall also include the number of Medicaid


 

individuals served and the number of days of care for the home- and

 

community-based services waiver program and in nursing homes.

 

     (2) The department shall develop a system to collect and

 

analyze information regarding individuals on the home- and

 

community-based services waiver program waiting list to identify

 

the community supports they receive, including, but not limited to,

 

adult home help, food assistance, and housing assistance services

 

and to determine the extent to which these community supports help

 

individuals remain in their home and avoid entry into a nursing

 

home. The department shall provide a progress report on

 

implementation to the senate and house appropriations subcommittees

 

on community health and the senate and house fiscal agencies by

 

June 1 of the current fiscal year.

 

     Sec. 1692. (1) The department is authorized to pursue

 

reimbursement for eligible services provided in Michigan schools

 

from the federal Medicaid program. The department and the state

 

budget director are authorized to negotiate and enter into

 

agreements, together with the department of education, with local

 

and intermediate school districts regarding the sharing of federal

 

Medicaid services funds received for these services. The department

 

is authorized to receive and disburse funds to participating school

 

districts pursuant to such agreements and state and federal law.

 

     (2) From the funds appropriated in part 1 for medical services

 

school-based services payments, the department is authorized to do

 

all of the following:

 

     (a) Finance activities within the medical services

 

administration related to this project.


 

     (b) Reimburse participating school districts pursuant to the

 

fund-sharing ratios negotiated in the state-local agreements

 

authorized in subsection (1).

 

     (c) Offset general fund costs associated with the medical

 

services program.

 

     (3) The department is authorized to increase the appropriation

 

of federal money in part 1 for medical services school-based

 

services payments such that reimbursements to participating school

 

districts can be made as described in subsection (1).

 

     Sec. 1693. The special Medicaid reimbursement appropriation in

 

part 1 may be increased if the department submits a medical

 

services state plan amendment pertaining to this line item at a

 

level higher than the appropriation. The department is authorized

 

to appropriately adjust financing sources in accordance with the

 

increased appropriation.

 

     Sec. 1694. (1) The department shall distribute $1,122,300.00

 

for poison control services to an academic health care system that

 

includes a children's hospital that has a high indigent care

 

volume.

 

     (2) By March 1 of the current fiscal year, the department

 

shall report to the senate and house appropriations subcommittees

 

on community health and the senate and house fiscal agencies on the

 

adequacy of the payment described in subsection (1).

 

     Sec. 1699. (1) The department may make separate payments in

 

the amount of $45,000,000.00 directly to qualifying hospitals

 

serving a disproportionate share of indigent patients and to

 

hospitals providing GME training programs. If direct payment for


 

GME and DSH is made to qualifying hospitals for services to

 

Medicaid clients, hospitals shall not include GME costs or DSH

 

payments in their contracts with HMOs.

 

     (2) The department shall allocate $45,000,000.00 in DSH

 

funding using the distribution methodology used in fiscal year

 

2003-2004.

 

     (3) By September 30 of the current fiscal year, the department

 

shall report to the senate and house appropriations subcommittees

 

on community health and the senate and house fiscal agencies on the

 

new distribution of funding to each eligible hospital from the GME

 

and DSH pools.

 

     Sec. 1724. The department shall allow licensed pharmacies to

 

purchase injectable drugs for the treatment of respiratory

 

syncytial virus for shipment to physicians' offices to be

 

administered to specific patients. If the affected patients are

 

Medicaid eligible, the department shall reimburse pharmacies for

 

the dispensing of the injectable drugs and reimburse physicians for

 

the administration of the injectable drugs.

 

     Sec. 1740. From the funds appropriated in part 1 for health

 

plan services, the department shall assure that all GME funds

 

continue to be promptly distributed to qualifying hospitals using

 

the methodology developed in consultation with the graduate medical

 

education advisory group during fiscal year 2006-2007.

 

     Sec. 1741. The department shall continue to provide nursing

 

homes the opportunity to receive interim payments upon their

 

request. The department may disapprove requests or discontinue

 

interim payments that result in financial risk to this state. The


 

department shall make reasonable efforts to ensure that the interim

 

payments are as similar in amount to expected cost-settled

 

payments.

 

     Sec. 1756. The department's plan for beneficiary monitoring

 

within each Medicaid health plan shall attempt to make rate

 

adjustments consistent with provider rate adjustments authorized

 

under the Medicaid fee-for-service program.

 

     Sec. 1757. The department shall direct the department of human

 

services to obtain proof from all Medicaid recipients that they are

 

legal United States citizens or otherwise legally residing in this

 

country and that they are residents of this state before approving

 

Medicaid eligibility.

 

     Sec. 1764. The department shall annually certify rates paid to

 

Medicaid health plans and specialty prepaid inpatient health plans

 

as being actuarially sound in accordance with federal requirements

 

and shall provide a copy of the rate certification and approval

 

immediately to the house and senate appropriations subcommittees on

 

community health and the house and senate fiscal agencies. The

 

department shall consider, in the case of Medicaid policy bulletins

 

affecting Medicaid health plans issued after the federal approval

 

of rates, including an economic analysis of the impact of the

 

approved rates on the Medicaid health plans.

 

     Sec. 1770. In conjunction with the consultation requirements

 

of the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, and

 

except as otherwise provided in this section, the department shall

 

attempt to make the effective date for a proposed Medicaid policy

 

bulletin or adjustment to the Medicaid provider manual on October


 

1, January 1, April 1, or July 1 after the end of the consultation

 

period. The department may provide an effective date for a proposed

 

Medicaid policy bulletin or adjustment to the Medicaid provider

 

manual other than provided for in this section if necessary to be

 

in compliance with federal or state law, regulations, or rules or

 

with an executive order of the governor.

 

     Sec. 1775. If the state's application for a waiver to

 

implement managed care for dual Medicare/Medicaid eligibles is

 

approved by the federal government, the department shall provide

 

quarterly reports to the senate and house appropriations

 

subcommittees on community health and the senate and house fiscal

 

agencies on progress in implementing the waiver.

 

     Sec. 1777. From the funds appropriated in part 1 for long-term

 

care services, the department shall permit, in accordance with

 

applicable federal and state law, nursing homes to use dining

 

assistants to feed eligible residents if legislation to permit the

 

use of dining assistants is enacted into law. The department shall

 

not be responsible for costs associated with training dining

 

assistants.

 

     Sec. 1793. The department shall consider the development of a

 

pilot project that focuses on the prevention of preventable

 

hospitalizations from nursing homes.

 

     Sec. 1804. The department, in cooperation with the department

 

of human services and the department of military and veterans

 

affairs, shall work with the federal public assistance reporting

 

information system to identify Medicaid recipients who are veterans

 

and who may be eligible for federal veterans health care benefits


 

or other benefits.

 

     Sec. 1815. From the funds appropriated in part 1 for health

 

plan services, the department shall not implement a capitation

 

withhold as part of the overall capitation rate schedule that

 

exceeds the 0.19% withhold administered during fiscal year 2008-

 

2009.

 

     Sec. 1816. The department shall work with the Michigan

 

association of health plans to develop and implement strategies for

 

the use of information technology services for claims payment,

 

claims status, and related functions.

 

     Sec. 1820. (1) In order to avoid duplication of efforts, the

 

department shall utilize applicable national accreditation review

 

criteria to determine compliance with corresponding state

 

requirements for Medicaid health plans that have been reviewed and

 

accredited by a national accrediting entity for health care

 

services.

 

     (2) Upon submission by Medicaid health plans of a listing of

 

program requirements that are part of the state program review

 

criteria but are not reviewed by an applicable national accrediting

 

entity, the department shall review the listing and provide a

 

recommendation to the house and senate appropriations subcommittees

 

on community health, the house and senate fiscal agencies, and the

 

state budget office as to whether or not state program review

 

should continue. The Medicaid health plans may request the

 

department to convene a workgroup to fulfill this section.

 

     (3) The department shall continue to comply with state and

 

federal law and shall not initiate an action that negatively


 

impacts beneficiary safety.

 

     (4) As used in this section, "national accrediting entity"

 

means the national committee for quality assurance, the utilization

 

review accreditation committee, or other appropriate entity, as

 

approved by the department.

 

     (5) By July 1 of the current fiscal year, the department shall

 

provide a progress report to the house and senate appropriations

 

subcommittees on community health, the house and senate fiscal

 

agencies, and the state budget office on implementation of this

 

section.

 

     Sec. 1822. The department, the department's contracted

 

Medicaid pharmacy benefit manager, and all Medicaid health plans

 

shall implement coverage for a mental health prescription drug

 

within 30 days of that drug's approval by the department's pharmacy

 

and therapeutics committee.

 

     Sec. 1832. (1) The department shall continue efforts to

 

standardize billing formats, referral forms, electronic

 

credentialing, primary source verification, electronic billing and

 

attachments, claims status, eligibility verification, and reporting

 

of accepted and rejected encounter records received in the

 

department data warehouse.

 

     (2) The department shall convene a workgroup on

 

standardization for the Medicaid program. The workgroup shall

 

include representatives from medical provider organizations,

 

Medicaid HMOs, the Michigan association of health plans, and the

 

department. The department shall report to the legislature on the

 

findings of the workgroup by April 1 of the current fiscal year.


 

     (3) The department shall provide a report by April 1 of the

 

current fiscal year to the senate and house appropriations

 

subcommittees on community health and the senate and house fiscal

 

agencies detailing the percentage of claims for Medicaid

 

reimbursement provided to the department that were initially

 

rejected in the first quarter of fiscal year 2013-2014 and the

 

percentage of Medicaid health plan encounters rejected during the

 

same period.

 

     Sec. 1835. The department shall develop and implement

 

processes to report rejected and accepted encounters to Medicaid

 

health plans. Medicaid health plans shall be permitted to report

 

additional medical records obtained during the medical record

 

audits to the encounter warehouse consistent with Medicare

 

guidelines. The department shall further enhance encounter data

 

reporting processes and program rules that make each health plan's

 

encounter data as complete as possible, provide a fair measure of

 

acuity for each health plan's enrolled population for risk

 

adjustment purposes, and minimize health plan administrative

 

expenses.

 

     Sec. 1837. The department shall explore utilization of

 

telemedicine and telepsychiatry as strategies to increase access to

 

services for Medicaid recipients in medically underserved areas.

 

     Sec. 1842. (1) Subject to the availability of funds, the

 

department shall adjust the hospital outpatient Medicaid

 

reimbursement rate for qualifying hospitals as provided in this

 

section. The Medicaid reimbursement rate for qualifying hospitals

 

shall be adjusted to provide each qualifying hospital with its


 

actual cost of delivering outpatient services to Medicaid

 

recipients.

 

     (2) As used in this section, "qualifying hospital" means a

 

hospital that has not more than 50 staffed beds and is either

 

located outside a metropolitan statistical area or in a

 

metropolitan statistical area but within a city, village, or

 

township with a population of not more than 12,000 according to the

 

official 2000 federal decennial census and within a county with a

 

population of not more than 165,000 according to the official 2000

 

federal decennial census.

 

     Sec. 1846. (1) The department shall conduct research on the

 

effectiveness of graduate medical education funding.

 

     (2) The research shall do all of the following:

 

     (a) Identify physician shortages by practice and geographic

 

area.

 

     (b) Consider efforts by other states to use graduate medical

 

education funding to address shortages.

 

     (c) Consider policy changes to the graduate medical education

 

program to reduce practitioner shortages.

 

     (3) The department shall report the results of the research to

 

the senate and house appropriations subcommittees on community

 

health, the senate and house fiscal agencies, and the state budget

 

director by April 1 of the current fiscal year.

 

     Sec. 1847. The department shall meet with the Michigan

 

association of ambulance services to discuss the possible structure

 

of an ambulance quality assurance assessment program.

 

     Sec. 1850. The department may allow Medicaid health plans to


 

assist with the redetermination process through outreach activities

 

to ensure continuation of Medicaid eligibility and enrollment in

 

managed care. This may include mailings, telephone contact, or

 

face-to-face contact with beneficiaries enrolled in the individual

 

Medicaid health plan. Health plans may offer assistance in

 

completing paperwork for beneficiaries enrolled in their plan.

 

     Sec. 1854. The department shall work with a provider of kidney

 

dialysis services and renal care as authorized under section 2703

 

of the patient protection and affordable care act, Public Law 111-

 

148, to develop a chronic condition health home program for

 

Medicaid enrollees identified with chronic kidney disease and who

 

are beginning dialysis. When initiated, the department shall

 

develop metrics that evaluate program effectiveness and submit a

 

report by June 1 of the current fiscal year to the senate and house

 

appropriations subcommittees on community health. Metrics shall

 

include cost savings and clinical outcomes.

 

     Sec. 1855. From the funds appropriated in part 1 for health

 

plan services, the department shall implement a revenue-neutral

 

financially risk-averse Medicaid patient logistics optimization

 

solution for the support of emergency room redirection for

 

nonemergent patients. Such alternatives may be coordinated with the

 

Medicaid health plans and the Michigan association of health plans.

 

     Sec. 1857. It is the intent of the legislature that the

 

department not reduce Medicaid reimbursement for wheelchairs.

 

     Sec. 1858. Medicaid services shall include treatment for

 

autism spectrum disorders as defined in the federally approved

 

Medicaid state plan. Such alternatives may be coordinated with the


 

Medicaid health plans and the Michigan association of health plans.

 

     Sec. 1861. Nonemergency medical transportation services

 

offered to Medicaid recipients may be competitively bid and may

 

take into consideration a minimum of 2 bids by qualified vendors, 1

 

of which must be a public transportation agency where such agencies

 

offer service. For the purpose of this section, "qualified vendor"

 

means a transportation provider that either meets or exceeds the

 

quality and safety standards of public transportation agencies,

 

including, but not limited to, ongoing training requirements for

 

motor vehicle operators including training on passenger safety,

 

passenger assistance, and assistive devices, including wheelchair

 

lifts, tie-down equipment, and child safety seats. In addition, a

 

qualified vendor shall be able to document that all drivers have

 

complied with all state licensing regulations and that they have

 

passed a criminal background check and successfully passed a drug

 

screening test.

 

     Sec. 1862. From the funds appropriated in part 1, the

 

department shall continue the 20% reimbursement rate increase for

 

Medicaid obstetrical services.

 

     Sec. 1863. For the purposes of the next rebidding of contracts

 

with Medicaid health plans, the department shall study the

 

possibility of excluding health plans that score in the lowest

 

quartile on quality indicators from eligibility to bid.

 

     Sec. 1865. Upon federal approval of the department's proposal

 

for integrated care for individuals who are dual Medicare/Medicaid

 

eligibles, the department shall provide the senate and house

 

appropriations subcommittees on community health and the senate and


 

house fiscal agencies its plan and organizational chart for

 

administering and providing oversight of this proposal. The plan

 

shall include information on how the department intends to organize

 

staff in an integrated manner to ensure that key components of the

 

proposal are implemented effectively.

 

     Sec. 1866. (1) From the funds appropriated in part 1 for

 

hospital services and therapy, $12,000,000.00 in general

 

fund/general purpose revenue and any associated federal match shall

 

be awarded to hospitals that meet criteria established by the

 

department for services to low-income rural residents.

 

     (2) No hospital or hospital system shall receive more than

 

5.0% of the total funding referenced in subsection (1).

 

     (3) The department shall report to the senate and house

 

appropriations subcommittees on community health and the senate and

 

house fiscal agencies on the distribution of funds referenced in

 

subsection (1) by April 1 of the current fiscal year.

 

     Sec. 1867. (1) In addition to the appropriations in part 1,

 

the department may receive and spend revenue from the Michigan-

 

Illinois alliance Medicaid management information systems project

 

with the approval of the state budget director. Upon approval, the

 

state budget director shall authorize the allotment of these funds

 

and, if appropriate, identify and unallot any associated general

 

fund appropriations that can be reduced due to revenues received

 

from this initiative.

 

     (2) The department shall prepare a quarterly report to the

 

senate and house community health appropriations subcommittees, the

 

senate and house fiscal agencies, and the state budget director


 

identifying any revenue received and spent under the authority in

 

this section.

 

     Sec. 1869. From the funds appropriated in part 1 for health

 

plan services, $100.00 shall be allocated to support a school-based

 

clinic in Kalamazoo County.

 

     Sec. 1870. (1) The department shall work in collaboration with

 

medical school-affiliated faculty practice physician groups that

 

are capable of developing freestanding residency programs to create

 

a Michigan graduate medical education consortium. The consortium

 

shall develop accredited physician-based primary care graduate

 

medical education programs to enhance the training of primary care

 

physicians in Michigan. The consortium shall provide an actionable

 

plan to the legislature no later than March 31 of the current

 

fiscal year.

 

     (2) The department shall explore seeking a federal waiver to

 

implement a program similar to the Utah Medicare graduate medical

 

education demonstration project.

 

     Sec. 1871. The department shall work with the board of

 

pharmacy to develop and publish a list of tamper-resistant

 

formulated controlled substances, including schedules II and III,

 

for which information has been submitted by the manufacturer of

 

such a product. Inclusion of a drug on the registry shall not

 

require that a drug bear a labeling claim with respect to reduction

 

of tampering, abuse, or abuse potential at the time of listing.

 

Such a listing may also include a determination by the department

 

as to which listed controlled substance incorporating tamper-

 

resistant formulation technology may provide substantially similar


 

tamper-resistant properties, based solely upon studies submitted by

 

the drug manufacturer. The department shall distribute this

 

registry once a year to all pharmacies authorized to dispense

 

controlled substances and to all dispensing prescribers authorized

 

to dispense controlled substances.

 

     Sec. 1872. The department shall consider creating a pilot

 

program to prevent or reduce the costs associated with lower

 

extremity diabetic care, ulcerations, and amputations. If such a

 

pilot program is created, the department shall work with the

 

Michigan podiatric medical association to improve the quality of

 

lower extremity diabetic care.

 

     Sec. 1873. The department shall establish a workgroup to

 

discuss new ways to distribute hospital funding through the

 

Michigan access to care initiative, the hospital rate adjustor

 

payments, and the quality assurance assessment program. The

 

department shall report to the senate and house subcommittees on

 

community health on the findings of the workgroup by April 1 of the

 

current fiscal year.

 

     Sec. 1874. The department shall explore ways to work with

 

private providers to develop fraud management solutions to reduce

 

fraud, waste, and abuse in this state's Medicaid program.

 

     Sec. 1875. The department may seek to expand home- and

 

community-based services and seek enhanced match funding pursuant

 

to federal law.

 

     Sec. 1876. From the funds appropriated in part 1 for personal

 

care services, $100.00 shall be allocated to increase the personal

 

care services payment rate.


 

     Sec. 1877. The department shall explore requesting a federal

 

waiver to implement alternative design and funding models for the

 

Medicaid program.

 

     Sec. 1878. In any project negotiated with the federal

 

government for integrated health care of individuals dually

 

enrolled in Medicaid and Medicare, the department shall seek to

 

assure the existence of an ombudsman program that is not associated

 

with any project service manager or provider. For activities to be

 

undertaken by the ombudsman program, the department shall include,

 

but is not limited to, assisting beneficiaries with navigating

 

complaint and dispute resolution mechanisms, identifying problems

 

in the project's complaint and dispute resolution mechanisms, and

 

reporting to the executive and legislative branches on any such

 

problems and potential solutions for them.

 

     Sec. 1879. In any program of integrated service for persons

 

dually enrolled in Medicaid and Medicare that the department

 

negotiates with the federal government, the department shall seek

 

to use the Medicare Part D benefit for prescription drug coverage,

 

and shall seek not to institute any deviations from existing

 

federal law, rules, and policies pertaining to the Medicare Part D

 

benefit.

 

     Sec. 1880. The department shall establish the contract

 

performance standards for Medicaid health plans reasonably in

 

advance of the application of those standards. The determination of

 

performance shall be based on recognized concepts such as 1-year

 

continuous enrollment and the HEDIS audited data.

 

     Sec. 1881. The department shall create a default eligibility


 

and enrollment determination for newborns so that newborns are

 

assigned to the same Medicaid health plan as the mother at the time

 

of birth.

 

     Sec. 1882. For the purposes of Medicaid third-party

 

collections by Medicaid health plans, each contracting Medicaid

 

health plan is considered an agent of the department in order to

 

access other carrier data that are otherwise provided to the

 

department.

 

     Sec. 1883. For the purposes of more effectively managing

 

inpatient care for Medicaid health plans and Medicaid fee-for-

 

service, the department shall consider developing an appropriate

 

policy and rate for observation stays.

 

     Sec. 1884. (1) By April 1 of the current fiscal year, the

 

department shall establish and implement a bid process to identify

 

a Michigan vendor to provide benefit administration for durable

 

medical equipment, prosthetics, orthotics, and supplies for those

 

Medicaid clients enrolled in fee-for-service Medicaid. Any current

 

contracts with the state covering Medicaid and Medicare programs

 

are exempt from this process. The vendor shall be a licensed third

 

party administrator in good standing, with experience in the

 

administration of durable medical equipment, prosthetics,

 

orthotics, and supplies benefits, and shall at a minimum provide

 

utilization management, claims and benefit administration, and

 

provider network management.

 

     (2) The department shall not award a contract for the services

 

described in subsection (1) unless the contract will lead to at

 

least a 10% savings in durable medical equipment, prosthetics,


 

orthotics, and supplies costs.

 

     Sec. 1885. (1) The department shall implement a study to

 

examine a statistically significant sample of Medicaid claims

 

information to help estimate the impact of gestational diabetes and

 

reduce the impact of the condition on the Medicaid program. The

 

study shall include all of the following elements:

 

     (a) An estimate of the average cost of a case of gestational

 

diabetes in comparison to the cost of a noncomplicated pregnancy

 

and the cost of pregnancy for a woman with diabetes.

 

     (b) An estimate of the percentage and number of pregnant women

 

screened for gestational diabetes per established medical criteria.

 

     (c) An estimate of the percentage and number of pregnant women

 

diagnosed with gestational diabetes in the Medicaid program each

 

year.

 

     (2) The department shall submit a report to the senate and

 

house appropriations subcommittees on community health by September

 

30 of the current fiscal year. The report shall include all of the

 

following information:

 

     (a) The information gathered in the study described in

 

subsection (1).

 

     (b) Steps taken and proposed to increase the screening rate

 

for gestational diabetes within Medicaid, to reduce the number of

 

Medicaid-eligible women with undiagnosed gestational diabetes

 

giving birth, to increase the number of pregnant women with

 

gestational diabetes receiving appropriate medical care, and to

 

improve the health of unborn and newborn children of women

 

diagnosed with gestational diabetes.


 

     Sec. 1886. The department shall conduct a workgroup in

 

conjunction with the department of human services to determine how

 

the state can maximize Medicaid claims for community-based and

 

outpatient treatment services to foster care children and

 

adjudicated youths who are placed in community-based treatment

 

programs. The department shall report to the senate and house and

 

appropriations subcommittees on community health, the senate and

 

house fiscal agencies, the senate and house policy offices, and the

 

state budget office by March 1 of the current fiscal year on the

 

findings of the workgroup.

 

 

 

 

 

PART 2A

 

PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS

 

FOR FISCAL YEAR 2014-2015

 

GENERAL SECTIONS

 

     Sec. 2001. It is the intent of the legislature to provide

 

appropriations for the fiscal year ending on September 30, 2015 for

 

the line items listed in part 1. The fiscal year 2014-2015

 

appropriations are anticipated to be the same as those for fiscal

 

year 2013-2014, except that the line items will be adjusted for

 

changes in caseload and related costs, federal fund match rates,

 

economic factors, and available revenue. These adjustments will be

 

determined after the January 2014 consensus revenue estimating

 

conference.

 

     Sec. 2002. It is the intent of the legislature that the

 

department identify the amounts for normal retirement costs and


 

legacy retirement costs for the fiscal year ending on September 30,

 

2015 for the line items listed in part 1.

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