Bill Text: VA HB454 | 2014 | Regular Session | Prefiled
Bill Title: Program for All-Inclusive Care for the Elderly (PACE); DMAS to expand.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2014-01-14 - Stricken from docket by Health, Welfare and Institutions by voice vote [HB454 Detail]
Download: Virginia-2014-HB454-Prefiled.html
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14102339D Be it enacted by the General Assembly of Virginia: 1. That §32.1-330.3 of the Code of Virginia is amended and reenacted as follows: §32.1-330.3. Operation of a pre-PACE plan or PACE plan; oversight by Department of Medical Assistance Services. A. Operation of a pre-PACE plan or PACE plan that participates in the medical assistance services program must be in accordance with a prepaid health plan contract or other PACE contract consistent with Chapter 6 of Title IV of the federal Balanced Budget Act of 1997 with the Department of Medical Assistance Services. 1. As used in this section, "pre-PACE" means of or associated with long-term care prepaid health plans (i) authorized by the U.S. Health Care Financing Administration pursuant to §1903 (m)(2)(B) of Title XIX of the United States Social Security Act (42 U.S.C. §1396b et seq.) and the state plan for medical assistance services as established pursuant to Chapter 10 (§32.1-323 et seq.) and (ii) which have signed agreements with the Department of Medical Assistance Services as long-term care prepaid health plans. 2. As used in this section, "PACE" means of or associated with long-term care health plans (i) authorized as programs of all-inclusive care for the elderly by Subtitle I (§4801 et seq.) of Chapter 6 of Title IV of the Balanced Budget Act of 1997, Pub. L. No. 105-33, 111 Stat. 528 et seq., §§4801-4804, 1997, pursuant to Title XVIII and Title XIX of the United States Social Security Act (42 U.S.C. §1395eee et seq.), and the state plan for medical assistance services as established pursuant to Chapter 10 (§ 32.1-323 et seq.) and (ii) which have signed agreements with the Department of Medical Assistance Services as long-term care health plans. B. All contracts and subcontracts shall contain an agreement to hold harmless the Department of Medical Assistance Services and pre-PACE and PACE enrollees in the event that a pre-PACE or PACE provider cannot or will not pay for services performed by the subcontractor pursuant to the contract or subcontract. C. During the pre-PACE or PACE period, the plan shall have a fiscally sound operation as demonstrated by total assets being greater than total unsubordinated liabilities, sufficient cash flow and adequate liquidity to meet obligations as they become due, and a plan for handling insolvency approved by the Department of Medical Assistance Services. D. The pre-PACE or PACE plan must demonstrate that it has arrangements in place in the amount of, at least, the sum of the following to cover expenses in the event of insolvency: 1. One month's total capitation revenue to cover expenses the month prior to insolvency; and 2. One month's average payment of operating expenses to cover potential expenses the month after the date of insolvency has been declared or operations cease. The required arrangements to cover expenses shall be in accordance with the PACE Protocol as published by On Lok, Inc. in cooperation with the U.S. Health Care Financing Administration, as of April 14, 1995, or any successor protocol that may be agreed upon between the U.S. Health Care Financing Administration and On Lok, Inc. Appropriate arrangements to cover expenses shall include one or more of the following: reasonable and sufficient net worth, insolvency insurance, letters of credit or parental guarantees. E. Enrollment in a pre-PACE or PACE plan shall be restricted to those individuals who participate in programs authorized pursuant to Title XIX or Title XVIII of the United States Social Security Act, respectively. F. Full disclosure shall be made to all individuals in the process of enrolling in the pre-PACE or PACE plan that services are not guaranteed beyond a 30-day period. G. The Board of Medical Assistance Services shall establish a Transitional Advisory Group to determine license requirements, regulations and ongoing oversight. The Advisory Group shall include representatives from each of the following organizations: Department of Medical Assistance Services, Department of Social Services, Department of Health, Bureau of Insurance, Board of Medicine, Board of Pharmacy, Department for Aging and Rehabilitative Services, and a pre-PACE or PACE provider. H. The Department shall issue Requests for Applications for new PACE service areas within 30 days of receiving a written request from any organization to establish or expand a PACE program. Organizations seeking to establish or expand a PACE program shall comply with the requirements of the Request-for-Applications process. The Request-for-Applications process and timelines shall be consistent with past Requests for Applications used to expand PACE in the Commonwealth. |
