LCO No. 4718 1 of 2 General Assembly Raised Bill No. 945 January Session, 2019 LCO No. 4718 Referred to Committee on HUMAN SERVICES Introduced by: (HS) AN ACT CONCERNING TH E INNOVATION INCENTIVE PROGRAM FOR NONPROFIT PROVID ERS OF HUMAN SERVICE S. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Subsection (c) of section 4-216 of the general statutes is 1 repealed and the following is substituted in lieu thereof (Effective July 2 1, 2019): 3 (c) The secretary [may] shall establish [an] a pilot incentive program 4 for nonprofit providers of human services [whose contracts with the 5 state do not exceed one million dollars and who provide direct services 6 to not more than one hundred fifty persons enrolled in state-funded 7 assistance programs in specific geographical regions of the state. The 8 incentive program may] that shall (1) allow providers who otherwise 9 meet contractual requirements to retain a percentage of any savings 10 realized by the providers from the contracted cost for services, (2) 11 require that at least fifty per cent of savings retained by the providers 12 be used to expand such services, and (3) provide that future contracted 13 amounts from the state for the same types of services are not reduced 14 solely to reflect savings achieved in previous contracts by such 15 Raised Bill No. 945 LCO No. 4718 2 of 2 providers. The pilot incentive program shall include eight nonprofit 16 providers of human services with state contracts of the following 17 amounts: (A) Two with contracts that exceed fifty million dollars, (B) 18 two with contracts of at least twenty million dollars but less than fifty 19 million dollars, (C) two with contracts of at least five million dollars 20 but less than twenty million dollars, and (D) two with contracts of less 21 than one million dollars. For purposes of this subsection, ["state-22 funded assistance programs"] "nonprofit providers of human services" 23 includes, but is not limited to, nonprofit providers who provide 24 human services [provided] to persons with intellectual, physical or 25 mental disabilities or autism spectrum disorder. 26 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2019 4-216(c) Statement of Purpose: To provide a financial incentive for nonprofit providers to provide cost-efficient and innovative state-funded human services by allowing them to keep a percentage of savings from the contracted cost and reinvest the savings in services. [Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]