12 LC 33 4440
House Bill 787
By: Representatives Setzler of the 35th, Dempsey of the 13th, and Houston of the 170th

A BILL TO BE ENTITLED
AN ACT


To amend Chapter 1 of Title 37 of the Official Code of Georgia Annotated, relating to governing and regulation of mental health, so as to provide that any changes by the Department of Behavioral Health and Developmental Disabilities to allocation rates or formulas for providers must have legislative ratification; to provide that provider contracts include certain requirements; to provide for related matters; to repeal conflicting laws; and for other purposes.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

SECTION 1.
Chapter 1 of Title 37 of the Official Code of Georgia Annotated, relating to governing and regulation of mental health, is amended by adding new Code sections to Article 1, relating to general provisions, to read as follows:
"37-1-7.
(a) Any change to allocation rates or formulas proposed by the department shall be submitted by the department to the General Assembly and shall become effective only when ratified by joint resolution of the General Assembly. The power of the department to revise such allocation rates or formulas shall be deemed to be dependent upon such ratification.
(b) If the General Assembly does not approve revised allocation rates or formulas in accordance with this Code section, then the current allocation rates or formulas shall remain in effect.
(c) This Code section shall apply to provider rates, rate models, rate structures, formula based compensation, or other allocation rates or methods for services provided to consumers on behalf of or at the direction of the department which affect more than 50 percent of a program budget of the department, as contained in an Appropriations Act.

37-1-8.
Any contract entered into or renewed on or after July 1, 2012, by the department with a contractor which provides services to consumers on behalf of or at the direction of the department shall contain the following provisions:
(1) No subcontractor or employee of the contractor shall be prohibited from continuing to provide services to a client which was not placed with the subcontractor or employee by the contractor if such subcontractor or employee discontinues its subcontract or employment with the contractor; and
(2) All subcontractors and employees of the contractor that provide services on behalf of the contractor pursuant to the contract with the department shall be compensated in a manner that is consistent with the cost model established by the department for subcontractors and employees with respect to rates, direct and indirect costs, hourly wages, and benefits."

SECTION 2.
All laws and parts of laws in conflict with this Act are repealed.