Bill Text: CA AB1705 | 2019-2020 | Regular Session | Amended
Bill Title: Medi-Cal: emergency medical transportation services.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2019-10-07 - Chaptered by Secretary of State - Chapter 544, Statutes of 2019. [AB1705 Detail]
Download: California-2019-AB1705-Amended.html
Amended
IN
Senate
July 03, 2019 |
Amended
IN
Assembly
May 16, 2019 |
Amended
IN
Assembly
April 11, 2019 |
Amended
IN
Assembly
March 28, 2019 |
Amended
IN
Assembly
March 18, 2019 |
Introduced by Assembly Member Bonta |
February 22, 2019 |
LEGISLATIVE COUNSEL'S DIGEST
This bill would delete the provisions relating to the modified supplemental reimbursement program, and would repeal these provisions on July 1, 2021. The bill, subject to any necessary federal approvals, would require the department to implement, commencing July 1, 2021, the Public Provider Intergovernmental Transfer Program (program) for reimbursement of Medi-Cal ground emergency medical transportation services, and to terminate the existing supplemental Medi-Cal reimbursement upon the implementation of the program.
The bill would require the eligible providers to participate in the program, and would require the rate of reimbursement to be developed pursuant to a specified calculation that includes several components, such as the schedule of maximum allowances rate under the Medi-Cal program. The
bill would require Medi-Cal managed care health plans and noncontract emergency medical transport providers to comply with specified federal standards relating to the provision of payment for emergency medical transportation services. The bill would impose duties on an eligible provider who seeks reimbursement under this program, such as certifying that the claimed expenditures for the ground emergency medical transportation services are eligible for federal financial participation. The bill would require eligible providers participating in the program to reimburse the department for specified costs, including those associated with administering the program. The bill would require the department to cease operation of the program if the department determines that the implementation of the program is no longer financially and programmatically supportive of the Medi-Cal program.
This bill would, upon the date that the
department obtains federal approval to implement the program or the implementation date of the program, whichever occurs last, exempt the above-described providers owned or operated by the specified governmental entities from the Medi-Cal Emergency Medical Transportation Reimbursement Act and the quality assurance fee requirements.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 14105.94 of the Welfare and Institutions Code is amended to read:14105.94.
(a) An eligible provider, as described in subdivision (b), may, in addition to the rate of payment that the provider would otherwise receive for Medi-Cal ground emergency medical transportation services, receive supplemental Medi-Cal reimbursement to the extent provided in this section.(i)This section shall remain in effect only until July 1, 2021, and as of that date is repealed.
(a)For purposes of this section, “eligible provider” means a provider who is eligible for
reimbursement of Medi-Cal ground emergency medical transportation services pursuant to this section and who continually meets all of the following requirements during the state fiscal year:
(1)Provides ground emergency medical transportation services to Medi-Cal beneficiaries.
(2)
Is enrolled as a Medi-Cal provider for the period being claimed.
(3)
Is owned or operated by the state, a city, county, city and
county, fire protection district organized pursuant to Part 2.7 (commencing with Section 13800) of Division 12 of the Health and Safety Code, special district organized pursuant to Chapter 1 (commencing with Section 58000) of Division 1 of Title 6 of the Government Code, community services district organized pursuant to Part 1 (commencing with Section 61000) of Division 3 of Title 6 of the Government Code, health care district organized pursuant to Chapter 1 (commencing with Section 32000) of Division 23 of the Health and Safety Code, or a federally recognized Indian tribe.
(b)Commencing July 1, 2021, the department shall implement the Public Provider Intergovernmental Transfer Program (program) pursuant to this section, and shall ensure that the program has no additional impact on state General Fund expenditures. Upon the implementation of the
program, the department shall terminate supplemental Medi-Cal reimbursements of Medi-Cal ground emergency medical transportation services as prescribed in Section 14105.94.
(c)(1)To the extent authorized under federal and state law, an eligible provider shall participate in the program, and receive a rate of
reimbursement
for Medi-Cal ground emergency medical transportation
services that is based on 100 percent of all eligible providers’ costs of providing those services to Medi-Cal beneficiaries, as determined pursuant to subdivision (d).
(2)An eligible provider, as a condition of participating in the program pursuant to this section, shall enter into, and maintain, an agreement with the department for the purposes of implementing this section and reimbursing the department for the costs of administering this section.
(d)The
rate of reimbursement to be provided under the program shall be developed pursuant to both of the following:
(1)The department shall calculate a statewide rate that is based on the most recent cost reports, as approved by the federal Centers for Medicare and Medicaid Services, and developed in accordance with the provisions of former Section 14105.94.
(2)The statewide rate shall be the sum of the established schedule of maximum allowances rate under the Medi-Cal program and an amount that represents the difference between both of the following:
(A)The schedule of
maximum allowances rate under the Medi-Cal program.
(B)The average cost of providing Medi-Cal ground emergency medical transportation services under the Medi-Cal program, as determined by the providers’ cost reports pursuant to paragraph (1).
(e)Consistent with paragraph (4) of subdivision (j), an eligible provider shall complete a cost report, as approved by the federal Centers for Medicare and Medicaid Services, every three years. The statewide rate shall be adjusted annually. The adjustment shall be based on all eligible providers’ most recently submitted cost reports or by other similar means, as determined by the department.
(f)The nonfederal share of the difference between the Medi-Cal base rate and the average cost that is submitted to the federal Centers for Medicare and Medicaid Services for purposes of claiming federal financial participation shall be paid only with funds from the governmental entities described in
paragraph (3) of subdivision (a) and transferred to the state.
(g)(1)A Medi-Cal managed care health plan shall satisfy its obligation under Section 438.114(c) of Title 42 of the Code of Federal Regulations for ground emergency medical transportation services, and shall provide payment to noncontract emergency medical transport providers consistent with Section 1396u-2(b)(2)(D) of Title 42 of the United States Code.
(2)Effective July 1, 2021, and for each state fiscal year thereafter, and pursuant to Section 1396u-2(b)(2)(D) of Title 42 of the United States Code, a noncontract emergency medical transport provider shall
accept as payment in full no more than the amount that the provider would collect if the beneficiary received medical assistance other than through their enrollment in a Medi-Cal managed health care plan, and this amount shall be equal to the resulting reimbursement amount that is calculated pursuant to this section.
(h)The Medi-Cal reimbursement provided by this section shall be exclusively distributed to eligible providers under a payment methodology based on ground emergency medical transportation services provided to Medi-Cal beneficiaries by eligible providers on a per-transport basis or other
federally permissible basis.
(i)The department, in consultation with eligible providers, as defined in subdivision (a), shall develop and maintain a protocol to determine the available funding for the nonfederal share associated with payments for each state fiscal year pursuant to this section.
(j)An eligible provider
shall be responsible for seeking the reimbursement of Medi-Cal ground emergency medical transportation services
under this section, and shall do all of the following:
(1)Certify, in conformity with the requirements of Section 433.51 of Title 42 of the Code of Federal Regulations, that the claimed expenditures for the ground emergency medical transportation services are eligible for federal financial participation.
(2)Provide evidence supporting the certification as specified by the department.
(3)Submit data, as specified by the
department, to determine the appropriate amounts to claim as expenditures qualifying for federal financial participation.
(4)Complete a cost report, as approved by the federal Centers for Medicare and Medicaid Services, every three years, and submit it to the department.
(5)Keep, maintain, and have readily retrievable, any records specified by the department to fully disclose reimbursement amounts
to which the eligible provider is entitled, and any other records required by the federal Centers for Medicare and Medicaid Services.
(k)(1)The department shall promptly seek any necessary federal approvals for the implementation of this section. The department may limit the program to those costs
that are allowable expenditures under Title XIX of the federal Social Security Act (42 U.S.C. 1396 et seq.). If federal approval is not obtained for implementation of this section, this section shall not be implemented.
(2)The department shall submit claims for federal financial participation for the expenditures for the services described in subdivision (e) that are allowable expenditures under federal law.
(3)The department shall submit annually any necessary materials to the federal government to provide assurances that claims for federal
financial participation
include only those expenditures that are allowable under federal law.
(l)(1)If a final judicial determination is made by any court of appellate jurisdiction or a final determination is made by the administrator of the federal Centers for Medicare and Medicaid Services that the supplemental reimbursement provided for in this section is required to be made to any provider not described in
this section, the director shall execute a declaration stating that the determination has been made and on that date this section shall become inoperative.
(2)The declaration executed pursuant to this subdivision shall be retained by the director, provided to the fiscal and appropriate policy committees of the Legislature, the Secretary of State, the Secretary of the Senate, the Chief Clerk of the Assembly, and the Legislative Counsel, and posted on the department’s internet website.
(m)Notwithstanding Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, the department may implement and administer this section by means of provider bulletins, or similar instructions, without taking regulatory action.
(n)(1)The department shall develop, in consultation with the eligible providers, and seek any necessary federal approvals for, the program. The nonfederal share of
any
additional reimbursement provided under the program shall be derived from voluntary intergovernmental transfers of local funds. The program shall be implemented to the extent that federal financial participation is available and necessary federal approvals are obtained.
(2)Eligible providers shall be responsible for reimbursing the department for costs associated with administering the program, and for any state revenue not obtained due to the government provider exemption from the quality assurance fee pursuant to
Section
14129. The department shall not otherwise assess a percentage fee in connection with any intergovernmental transfer of funds made pursuant to this subdivision.
(o)The department shall not implement the program unless it determines that the program will likely result in an overall increase to the supplemental reimbursement available pursuant to the
provisions of this section that were operative prior to the effective date of the act that added this subdivision.
(p)This section shall cease to be operative on the first day of the state fiscal year beginning on or after the date the department determines, after consultation with the eligible providers, that implementation of this section is no longer financially and programmatically supportive of the Medi-Cal program.
The department shall make this determination if the projected amount of nonfederal share funds available would be insufficient to support implementation of this section in the subject state fiscal year.
(q)Upon the date that the department obtains federal approval to implement the program or the implementation date of the program, whichever occurs last, an eligible provider, as defined in subdivision (a), shall be exempt from the Emergency Medical Transportation Reimbursement Act, as established in Article 3.91 (commencing with Section 14129), and the quality assurance fee requirements.
SEC. 2.
Section 14105.945 is added to the Welfare and Institutions Code, to read:14105.945.
(a) For purposes of this section, the following definitions apply:SEC. 3.
Section 14129 of the Welfare and Institutions Code is amended to read:14129.
For purposes of this article, the following definitions apply:(2)Upon the implementation of the
Public Provider Intergovernmental Transfer Program, and consistent with subdivision (q) of Section 14105.945, “emergency medical transport provider” shall exclude any emergency transport provider owned or operated by the state, a city, county, city and county, fire protection district organized pursuant to Part 2.7 (commencing with Section 13800) of Division 12 of the Health and Safety Code, special district organized pursuant to Chapter 1 (commencing with Section 58000) of Division 1 of Title 6 of the Government Code, community services district organized pursuant to Part 1 (commencing with Section 61000) of Division 3 of Title 6 of the Government Code, health care district organized pursuant to Chapter 1 (commencing with Section 32000) of Division 23 of the Health and Safety Code, or a federally recognized Indian tribe.