Florida 2024 Regular Session

Florida House Bill H7089 Compare Versions

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1010 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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14+A bill to be entitled 1
1515 An act relating to transparency in health and human 2
1616 services; amending s. 95.11, F.S.; establishing a 3 -3
1717 year statute of limitations for an action to collect 4
1818 medical debt for services rendered by a health care 5
1919 provider or facility; creating s. 222.26, F.S.; 6
2020 providing additional personal property exemptions from 7
2121 legal process for medical debts resulting from 8
2222 services provided in certain licensed facilities; 9
2323 amending s. 395.301, F.S.; requiring a licensed 10
2424 facility to post on its website a consumer -friendly 11
2525 list of standard charges for a minimum number of 12
2626 shoppable health care services or a price estimator 13
2727 tool meeting certain requirements; providing 14
2828 definitions; requiring a licensed facility to provide 15
2929 an estimate to a patient or prospective patient and 16
3030 the patient's health insurer within specified 17
3131 timeframes; requiring a licensed facility to establish 18
3232 an internal grievance process for patients to dispute 19
3333 charges; requiring a facility to make available 20
3434 information necessary for initiating a grievance; 21
3535 requiring a facility to respond to a patient grievance 22
3636 within a specified timeframe; requiring a licensed 23
3737 facility to disclose specified information relating to 24
3838 cost-sharing obligations to certain persons; providing 25
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4747 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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5151 a penalty; creating s. 395.3011, F.S.; defining th e 26
5252 term "extraordinary collection action"; prohibiting 27
5353 certain collection activities by a licensed facility; 28
5454 amending s. 624.27, F.S.; revising the definition of 29
5555 the term "health care provider"; creating s. 627.446, 30
5656 F.S.; defining the term "health insurer"; requiring 31
5757 each health insurer to provide insureds with an 32
5858 advanced explanation of benefits within specified 33
5959 timeframes; providing requirements for the advanced 34
6060 explanation of benefits; amending ss. 627.6387 and 35
6161 627.6648, F.S.; revising the definition of t he term 36
6262 "health insurer"; providing that a shared savings 37
6363 incentive offered by a health insurer constitutes a 38
6464 medical expense for rate development and rate filing 39
6565 purposes for individual and group health insurance 40
6666 policies, respectively; amending s. 641.31 076, F.S.; 41
6767 revising the definition of the term "health 42
6868 maintenance organization"; providing that a shared 43
6969 savings incentive offered by a health maintenance 44
7070 organization constitutes a medical expense for rate 45
7171 development and rate filing purposes for individ ual or 46
7272 group health maintenance contracts; amending ss. 47
7373 475.01, 475.611, 517.191, 768.28, and 787.061, F.S.; 48
7474 conforming provisions to changes made by the act; 49
7575 providing applicability; requiring the Agency for 50
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8484 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
8585
8686
8787
8888 Health Care Administration and the Office of In surance 51
8989 Regulation to notify the Division of Law Revision upon 52
9090 the promulgation of certain federal rules; amending s. 53
9191 409.016, F.S.; defining the term "management 54
9292 functions"; amending s. 409.987, F.S.; revising 55
9393 requirements for contracts the Department of Children 56
9494 and Families has with community -based care lead 57
9595 agencies; providing duties for board members of lead 58
9696 agencies; requiring lead agencies to ensure that board 59
9797 members participate in certain annual training; 60
9898 requiring the posting of a fidelity bond; r evising the 61
9999 definition of the term "conflict of interest"; 62
100100 defining the term "related party"; requiring the lead 63
101101 agency's board of directors to disclose to the 64
102102 department any known actual or potential conflicts of 65
103103 interest; prohibiting a lead agency from e ntering into 66
104104 a contract or being a party to any transaction with 67
105105 related parties if a conflict of interest is not 68
106106 properly disclosed; prohibiting a lead agency from 69
107107 entering into a contract or being a party to any 70
108108 transaction with related parties for offic er-level or 71
109109 director-level staffing to perform management 72
110110 functions; requiring that the contract with the 73
111111 department and the lead agency specify the 74
112112 administrative functions that the lead agency may 75
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121121 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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123123
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125125 subcontract; authorizing a lead agency to enter into 76
126126 certain contracts or be a party to certain 77
127127 transactions, provided that a certain requirement for 78
128128 fees, rates, and prices paid is met and any conflict 79
129129 of interest is properly disclosed; requiring that 80
130130 department contracts impose contractual penalties on 81
131131 lead agencies for undisclosed conflicts of interest; 82
132132 providing applicability; requiring that certain 83
133133 contracts be reprocured; authorizing the department to 84
134134 recoup lead agency expenses for the execution of 85
135135 certain contracts; amending s. 409.988, F.S.; revising 86
136136 lead agency duties; specifying requirements for and 87
137137 limitations on an exemption for lead agencies from 88
138138 certain contract requirements; providing for renewal 89
139139 of the exemption; authorizing the department to deny 90
140140 an exemption renewal request under certain 91
141141 circumstances; requiring such lead agencies to undergo 92
142142 an operational audit by the Auditor General; 93
143143 specifying requirements for the audit; requiring the 94
144144 Auditor General to conduct such audits upon 95
145145 notification by the department; repealing s. 409.991, 96
146146 F.S., relating to allocation of funds for community -97
147147 based care lead agencies; creating s. 409.9913, F.S.; 98
148148 defining the terms "core services funding" and 99
149149 "operational and fixed costs"; requiring the 100
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158158 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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160160
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162162 department, in collaboration with the lead agencies 101
163163 and providers of child welfare services, to develop a 102
164164 specific funding methodology for the allocation of 103
165165 core services which must meet certain criteria; 104
166166 requiring the lead agencies and providers of child 105
167167 welfare services to submit to the department certain 106
168168 financial information; requiring the department to 107
169169 submit to the Governor and the Legislature certain 108
170170 reports by specified dates; providing construction; 109
171171 authorizing the department to include certain rates 110
172172 and total allocations in certain reports; requiring 111
173173 the Legislature to allocate funding to the lead 112
174174 agencies with due consideration of the specified 113
175175 funding methodology, beginning with a specified fiscal 114
176176 year; prohibiting the department from changing a lead 115
177177 agency's allocation of funds provided in the General 116
178178 Appropriations Act without legislative approval; 117
179179 authorizing the department to approve certain risk 118
180180 pool funding for a lead agency; requiring the 119
181181 department to submit to the Governor and the 120
182182 Legislature certain monthly reports for a specified 121
183183 period of time; amending s. 409.992, F.S.; revising 122
184184 requirements for lead agency practices in the 123
185185 procurement of commodities and contractual services; 124
186186 requiring the department to impose certain penalties 125
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195195 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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197197
198198
199199 for a lead agency's noncompliance with applicable 126
200200 procurement law; requiring that the contract between 127
201201 the department and the lead agency specify the rights 128
202202 and obligations with regard to real property held by 129
203203 the lead agency during the term of the contract; 130
204204 providing applicability of certain limitations on the 131
205205 salaries of communit y-based care lead agency 132
206206 administrative employees; amending s. 409.994, F.S.; 133
207207 revising the conditions under which the department may 134
208208 petition a court for the appointment of a receiver for 135
209209 a community-based care lead agency; amending s. 136
210210 409.996, F.S.; revis ing requirements for contracts 137
211211 between the department and lead agencies; revising the 138
212212 actions the department may take under certain 139
213213 circumstances; making a technical change; providing 140
214214 duties of the department; requiring the department, by 141
215215 specified dates, to submit certain reports to the 142
216216 Governor and the Legislature; establishing the Future 143
217217 of Child Protection Contracting and Funding Workgroup 144
218218 within the department; requiring the department to 145
219219 convene the workgroup and submit a report to the 146
220220 Governor and the Legislature by a specified date; 147
221221 providing for membership of the workgroup; specifying 148
222222 requirements for the report; terminating the workgroup 149
223223 upon the submission of the report; providing an 150
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232232 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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234234
235235
236236 effective date. 151
237237 152
238238 Be It Enacted by the Legislature of the Sta te of Florida: 153
239239 154
240240 Section 1. Present subsections (4) through (12) of section 155
241241 95.11, Florida Statutes, are redesignated as subsections (5) 156
242242 through (13), respectively, a new subsection (4) is added to 157
243243 that section, and paragraph (b) of subsection (2), par agraph (n) 158
244244 of subsection (3), paragraphs (f) and (g) of present subsection 159
245245 (5), and present subsection (10) are amended, to read: 160
246246 95.11 Limitations other than for the recovery of real 161
247247 property.—Actions other than for recovery of real property shall 162
248248 be commenced as follows: 163
249249 (2) WITHIN FIVE YEARS. — 164
250250 (b) A legal or equitable action on a contract, obligation, 165
251251 or liability founded on a written instrument, except for an 166
252252 action to enforce a claim against a payment bond, which shall be 167
253253 governed by the applicab le provisions of paragraph (6)(e) 168
254254 paragraph (5)(e), s. 255.05(10), s. 337.18(1), or s. 169
255255 713.23(1)(e), and except for an action for a deficiency judgment 170
256256 governed by paragraph (6)(h) paragraph (5)(h). 171
257257 (3) WITHIN FOUR YEARS. — 172
258258 (n) An action for assault, ba ttery, false arrest, 173
259259 malicious prosecution, malicious interference, false 174
260260 imprisonment, or any other intentional tort, except as provided 175
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269269 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
270270
271271
272272
273273 in subsections (5), (6), and (8) subsections (4), (5), and (7) . 176
274274 (4) WITHIN THREE YEARS. —An action to collect medical debt 177
275275 for services rendered by a facility licensed under chapter 395, 178
276276 provided that the period of limitations shall run from the date 179
277277 on which the facility refers the medical debt to a third party 180
278278 for collection. 181
279279 (6)(5) WITHIN ONE YEAR.— 182
280280 (f) Except for actions described in subsection (9) (8), a 183
281281 petition for extraordinary writ, other than a petition 184
282282 challenging a criminal conviction, filed by or on behalf of a 185
283283 prisoner as defined in s. 57.085. 186
284284 (g) Except for actions described in subsection (9) (8), an 187
285285 action brought by or on behalf of a prisoner, as defined in s. 188
286286 57.085, relating to the conditions of the prisoner's 189
287287 confinement. 190
288288 (11)(10) FOR INTENTIONAL TORTS RESULTING IN DEATH FROM 191
289289 ACTS DESCRIBED IN S. 782.04 OR S. 782.07. —Notwithstanding 192
290290 paragraph (5)(e) paragraph (4)(e), an action for wrongful death 193
291291 seeking damages authorized under s. 768.21 brought against a 194
292292 natural person for an intentional tort resulting in death from 195
293293 acts described in s. 782.04 or s. 782.07 may be commenced at any 196
294294 time. This subsection shall not be construed to require an 197
295295 arrest, the filing of formal criminal charges, or a conviction 198
296296 for a violation of s. 782.04 or s. 782.07 as a condition for 199
297297 filing a civil action. 200
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306306 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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308308
309309
310310 Section 2. Section 222.26, Florida Statutes, is created to 201
311311 read: 202
312312 222.26 Additional exemptions from legal process concerning 203
313313 medical debt.—If a debt is owed for medical services provided by 204
314314 a facility licensed under chapter 395, the following property is 205
315315 exempt from attachment, garnishment, or other legal process in 206
316316 an action on such debt: 207
317317 (1) A debtor's interest, not to exceed $10,000 in value, 208
318318 in a single motor vehicle as defined in s. 320.01(1). 209
319319 (2) A debtor's interest in personal property, not to 210
320320 exceed $10,000 in value, if the debtor does not claim or rece ive 211
321321 the benefits of a homestead exemption under s. 4, Art. X of the 212
322322 State Constitution. 213
323323 Section 3. Present paragraphs (b), (c), and (d) of 214
324324 subsection (1) of section 395.301, Florida Statutes, are 215
325325 redesignated as paragraphs (c), (d), and (e) of that sub section, 216
326326 respectively, present subsection (6) is redesignated as 217
327327 subsection (8) of that section, a new paragraph (b) is added to 218
328328 subsection (1), a new subsection (6) and subsection (7) are 219
329329 added to that section, and present paragraph (b) of subsection 220
330330 (1) is amended, to read: 221
331331 395.301 Price transparency; itemized patient statement or 222
332332 bill; patient admission status notification. — 223
333333 (1) A facility licensed under this chapter shall provide 224
334334 timely and accurate financial information and quality of service 225
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343343 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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345345
346346
347347 measures to patients and prospective patients of the facility, 226
348348 or to patients' survivors or legal guardians, as appropriate. 227
349349 Such information shall be provided in accordance with this 228
350350 section and rules adopted by the agency pursuant to this chapter 229
351351 and s. 408.05. Licensed facilities operating exclusively as 230
352352 state facilities are exempt from this subsection. 231
353353 (b) Each licensed facility shall post on its website a 232
354354 consumer-friendly list of standard charges for at least 300 233
355355 shoppable health care services, or an Int ernet-based price 234
356356 estimator tool meeting federal standards. If a facility provides 235
357357 fewer than 300 distinct shoppable health care services, it shall 236
358358 make available on its website the standard charges for each 237
359359 service it provides. As used in this paragraph, the term: 238
360360 1. "Shoppable health care service" means a service that 239
361361 can be scheduled by a healthcare consumer in advance. The term 240
362362 includes, but is not limited to, the services described in s. 241
363363 627.6387(2)(e) and any services defined in regulations or 242
364364 guidance issued by the United States Department of Health and 243
365365 Human Services. 244
366366 2. "Standard charge" has the same meaning as that term is 245
367367 defined in regulations or guidance issued by the United States 246
368368 Department of Health and Human Services for purposes of hosp ital 247
369369 price transparency. 248
370370 (c)(b)1. Upon request, and Before providing any 249
371371 nonemergency medical services, each licensed facility shall 250
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380380 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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384384 provide in writing or by electronic means a good faith estimate 251
385385 of reasonably anticipated charges by the facility for the 252
386386 treatment of a the patient's or prospective patient's specific 253
387387 condition. The facility must provide the estimate to the patient 254
388388 or prospective patient within 7 business days after the receipt 255
389389 of the request and is not required to adjust the estimate for 256
390390 any potential insurance coverage. The facility must provide the 257
391391 estimate to the patient's health insurer, as defined in s. 258
392392 627.446(1), and the patient at least 3 business days before the 259
393393 date such service is to be provided, but no later than 1 260
394394 business day after the date such service is scheduled or, in the 261
395395 case of a service scheduled at least 10 business days in 262
396396 advance, no later than 3 business days after the date the 263
397397 service is scheduled. The facility must provide the estimate to 264
398398 the patient no later than 3 business days after the date the 265
399399 patient requests an estimate. The estimate may be based on the 266
400400 descriptive service bundles developed by the agency under s. 267
401401 408.05(3)(c) unless the patient or prospective patient requests 268
402402 a more personalized and specific estimate that accounts for the 269
403403 specific condition and characteristics of the patient or 270
404404 prospective patient. The facility shall inform the patient or 271
405405 prospective patient that he or she may contact his or her health 272
406406 insurer or health maintenance organizati on for additional 273
407407 information concerning cost -sharing responsibilities. 274
408408 2. In the estimate, the facility shall provide to the 275
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417417 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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421421 patient or prospective patient information on the facility's 276
422422 financial assistance policy, including the application process, 277
423423 payment plans, and discounts and the facility's charity care 278
424424 policy and collection procedures. 279
425425 3. The estimate shall clearly identify any facility fees 280
426426 and, if applicable, include a statement notifying the patient or 281
427427 prospective patient that a facility fee is included in the 282
428428 estimate, the purpose of the fee, and that the patient may pay 283
429429 less for the procedure or service at another facility or in 284
430430 another health care setting. 285
431431 4. Upon request, The facility shall notify the patient or 286
432432 prospective patient of an y revision to the estimate. 287
433433 5. In the estimate, the facility must notify the patient 288
434434 or prospective patient that services may be provided in the 289
435435 health care facility by the facility as well as by other health 290
436436 care providers that may separately bill the p atient, if 291
437437 applicable. 292
438438 6. The facility shall take action to educate the public 293
439439 that such estimates are available upon request. 294
440440 7. Failure to timely provide the estimate pursuant to this 295
441441 paragraph shall result in a daily fine of $1,000 until the 296
442442 estimate is provided to the patient or prospective patient and 297
443443 the health insurer. The total fine per patient estimate may not 298
444444 exceed $10,000. 299
445445 300
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454454 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
455455
456456
457457
458458 The provision of an estimate does not preclude the actual 301
459459 charges from exceeding the estimate. 302
460460 (6) Each facility shall establish an internal process for 303
461461 reviewing and responding to grievances from patients. Such 304
462462 process must allow a patient to dispute charges that appear on 305
463463 the patient's itemized statement or bill. The facility shall 306
464464 prominently post on its website a nd indicate in bold print on 307
465465 each itemized statement or bill the instructions for initiating 308
466466 a grievance and the direct contact information required to 309
467467 initiate the grievance process. The facility must provide an 310
468468 initial response to a patient grievance wit hin 7 business days 311
469469 after the patient formally files a grievance disputing all or a 312
470470 portion of an itemized statement or bill. 313
471471 (7) Each licensed facility shall disclose to a patient, a 314
472472 prospective patient, or a patient's legal guardian whether a 315
473473 cost-sharing obligation for a particular covered health care 316
474474 service or item exceeds the charge that applies to an individual 317
475475 who pays cash or the cash equivalent for the same health care 318
476476 service or item in the absence of health insurance coverage. 319
477477 Failure to provide a disclosure in compliance with this 320
478478 subsection may result in a fine not to exceed $500 per incident. 321
479479 Section 4. Section 395.3011, Florida Statutes, is created 322
480480 to read: 323
481481 395.3011 Billing and collection activities. — 324
482482 (1) As used in this section, th e term "extraordinary 325
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491491 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
492492
493493
494494
495495 collection action" means any of the following actions taken by a 326
496496 licensed facility against an individual in relation to obtaining 327
497497 payment of a bill for care covered under the facility's 328
498498 financial assistance policy: 329
499499 (a) Selling the individual's debt to another party. 330
500500 (b) Reporting adverse information about the individual to 331
501501 consumer credit reporting agencies or credit bureaus. 332
502502 (c) Deferring, denying, or requiring a payment before 333
503503 providing medically necessary care because of the i ndividual's 334
504504 nonpayment of one or more bills for previously provided care 335
505505 covered under the facility's financial assistance policy. 336
506506 (d) Actions that require a legal or judicial process, 337
507507 including, but not limited to: 338
508508 1. Placing a lien on the individual' s property; 339
509509 2. Foreclosing on the individual's real property; 340
510510 3. Attaching or seizing the individual's bank account or 341
511511 any other personal property; 342
512512 4. Commencing a civil action against the individual; 343
513513 5. Causing the individual's arrest; or 344
514514 6. Garnishing the individual's wages. 345
515515 (2) A facility may not engage in an extraordinary 346
516516 collection action against an individual to obtain payment for 347
517517 services: 348
518518 (a) Before the facility has made reasonable efforts to 349
519519 determine whether the individual is elig ible for assistance 350
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528528 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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531531
532532 under its financial assistance policy for the care provided and, 351
533533 if eligible, before a decision is made by the facility on the 352
534534 patient's application for such financial assistance. 353
535535 (b) Before the facility has provided the individual wi th 354
536536 an itemized statement or bill. 355
537537 (c) During an ongoing grievance process as described in s. 356
538538 395.301(6) or an ongoing appeal of a claim adjudication. 357
539539 (d) Before billing any applicable insurer and allowing the 358
540540 insurer to adjudicate a claim. 359
541541 (e) For 30 days after notifying the patient in writing, by 360
542542 certified mail, or by other traceable delivery method, that a 361
543543 collection action will commence absent additional action by the 362
544544 patient. 363
545545 (f) While the individual: 364
546546 1. Negotiates in good faith the final amoun t of a bill for 365
547547 services rendered; or 366
548548 2. Complies with all terms of a payment plan with the 367
549549 facility. 368
550550 Section 5. Paragraph (b) of subsection (1) of section 369
551551 624.27, Florida Statutes, is amended to read: 370
552552 624.27 Direct health care agreements; exemption from 371
553553 code.— 372
554554 (1) As used in this section, the term: 373
555555 (b) "Health care provider" means a health care provider 374
556556 licensed under chapter 458, chapter 459, chapter 460, chapter 375
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565565 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
566566
567567
568568
569569 461, chapter 464, or chapter 466, chapter 490, or chapter 491, 376
570570 or a health care group practice, who provides health care 377
571571 services to patients. 378
572572 Section 6. Section 627.446, Florida Statutes, is created 379
573573 to read: 380
574574 627.446 Advanced explanation of benefits. — 381
575575 (1) As used in this section, the term "health insurer" 382
576576 means a health insurer issuing individual or group coverage or a 383
577577 health maintenance organization issuing coverage through an 384
578578 individual or a group contract. 385
579579 (2) Each health insurer shall prepare an advanced 386
580580 explanation of benefits upon receiving a patient estimate from a 387
581581 facility pursuant to s. 395.301(1). The health insurer must 388
582582 provide the advanced explanation of benefits to the insured no 389
583583 later than 1 business day after receiving the patient estimate 390
584584 from the facility or, in the case of a service scheduled at 391
585585 least 10 business days in advance, no later than 3 business days 392
586586 after receiving such estimate. The health insurer must provide 393
587587 an advanced explanation of benefits to the insured no later than 394
588588 3 business days after the date on which the health insurer 395
589589 receives a request from the insured. 396
590590 (3) At a minimum, the advanced explanation of benefits 397
591591 must include detailed coverage and cost -sharing information 398
592592 pursuant to the No Surprises Act, Title I of Division BB of the 399
593593 Consolidated Appropriations Act, 2021, Pub. L. No. 116 -260. 400
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602602 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
603603
604604
605605
606606 Section 7. Paragraph (b) of subsection (2) and paragraph 401
607607 (a) of subsection (4) of section 627.6387, Florida Statutes, are 402
608608 amended to read: 403
609609 627.6387 Shared savings incentive program. — 404
610610 (2) As used in this section, the term: 405
611611 (b) "Health insurer" means an authorized insurer issuing 406
612612 major medical or other comprehensive coverage through an 407
613613 individual policy offering health insurance as defined in s. 408
614614 624.603. 409
615615 (4)(a) A shared savings incentive offered by a health 410
616616 insurer in accordance with this sect ion: 411
617617 1. Is not an administrative expense for rate development 412
618618 or rate filing purposes and shall be counted as a medical 413
619619 expense for such purposes . 414
620620 2. Does not constitute an unfair method of competition or 415
621621 an unfair or deceptive act or practice under s. 626.9541 and is 416
622622 presumed to be appropriate unless credible data clearly 417
623623 demonstrates otherwise. 418
624624 Section 8. Paragraph (b) of subsection (2) and paragraph 419
625625 (a) of subsection (4) of section 627.6648, Florida Statutes, are 420
626626 amended to read: 421
627627 627.6648 Shared savings incentive program. — 422
628628 (2) As used in this section, the term: 423
629629 (b) "Health insurer" means an authorized insurer issuing 424
630630 major medical or other comprehensive coverage through a group 425
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639639 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
640640
641641
642642
643643 policy offering health insurance as defined in s. 624.603 . The 426
644644 term does not include the state group health insurance program 427
645645 provided under s. 110.123. 428
646646 (4)(a) A shared savings incentive offered by a health 429
647647 insurer in accordance with this section: 430
648648 1. Is not an administrative expense for rate development 431
649649 or rate filing purposes and shall be counted as a medical 432
650650 expense for such purposes . 433
651651 2. Does not constitute an unfair method of competition or 434
652652 an unfair or deceptive act or practice under s. 626.9541 and is 435
653653 presumed to be appropriate unless credible data clear ly 436
654654 demonstrates otherwise. 437
655655 Section 9. Paragraph (b) of subsection (2) and paragraph 438
656656 (a) of subsection (4) of section 641.31076, Florida Statutes, 439
657657 are amended to read: 440
658658 641.31076 Shared savings incentive program. — 441
659659 (2) As used in this section, the ter m: 442
660660 (b) "Health maintenance organization" means an authorized 443
661661 health maintenance organization issuing major medical or other 444
662662 comprehensive coverage through individual or group contract has 445
663663 the same meaning as provided in s. 641.19 . The term does not 446
664664 include the state group health insurance program provided under 447
665665 s. 110.123. 448
666666 (4) A shared savings incentive offered by a health 449
667667 maintenance organization in accordance with this section: 450
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676676 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
677677
678678
679679
680680 (a) Is not an administrative expense for rate development 451
681681 or rate filing purposes and shall be counted as a medical 452
682682 expense for such purposes . 453
683683 Section 10. Paragraphs (a) and (j) of subsection (1) of 454
684684 section 475.01, Florida Statutes, are amended to read: 455
685685 475.01 Definitions. — 456
686686 (1) As used in this part: 457
687687 (a) "Broker" means a person who, for another, and for a 458
688688 compensation or valuable consideration directly or indirectly 459
689689 paid or promised, expressly or impliedly, or with an intent to 460
690690 collect or receive a compensation or valuable consideration 461
691691 therefor, appraises, auctio ns, sells, exchanges, buys, rents, or 462
692692 offers, attempts or agrees to appraise, auction, or negotiate 463
693693 the sale, exchange, purchase, or rental of business enterprises 464
694694 or business opportunities or any real property or any interest 465
695695 in or concerning the same, in cluding mineral rights or leases, 466
696696 or who advertises or holds out to the public by any oral or 467
697697 printed solicitation or representation that she or he is engaged 468
698698 in the business of appraising, auctioning, buying, selling, 469
699699 exchanging, leasing, or renting busin ess enterprises or business 470
700700 opportunities or real property of others or interests therein, 471
701701 including mineral rights, or who takes any part in the procuring 472
702702 of sellers, purchasers, lessors, or lessees of business 473
703703 enterprises or business opportunities or the real property of 474
704704 another, or leases, or interest therein, including mineral 475
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713713 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
714714
715715
716716
717717 rights, or who directs or assists in the procuring of prospects 476
718718 or in the negotiation or closing of any transaction which does, 477
719719 or is calculated to, result in a sale, exchange, or leasing 478
720720 thereof, and who receives, expects, or is promised any 479
721721 compensation or valuable consideration, directly or indirectly 480
722722 therefor; and all persons who advertise rental property 481
723723 information or lists. A broker renders a professional service 482
724724 and is a professional within the meaning of s. 95.11(5)(b) s. 483
725725 95.11(4)(b). Where the term "appraise" or "appraising" appears 484
726726 in the definition of the term "broker," it specifically excludes 485
727727 those appraisal services which must be performed only by a 486
728728 state-licensed or state-certified appraiser, and those appraisal 487
729729 services which may be performed by a registered trainee 488
730730 appraiser as defined in part II. The term "broker" also includes 489
731731 any person who is a general partner, officer, or director of a 490
732732 partnership or corporatio n which acts as a broker. The term 491
733733 "broker" also includes any person or entity who undertakes to 492
734734 list or sell one or more timeshare periods per year in one or 493
735735 more timeshare plans on behalf of any number of persons, except 494
736736 as provided in ss. 475.011 and 72 1.20. 495
737737 (j) "Sales associate" means a person who performs any act 496
738738 specified in the definition of "broker," but who performs such 497
739739 act under the direction, control, or management of another 498
740740 person. A sales associate renders a professional service and is 499
741741 a professional within the meaning of s. 95.11(5)(b) s. 500
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750750 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
751751
752752
753753
754754 95.11(4)(b). 501
755755 Section 11. Paragraph (h) of subsection (1) of section 502
756756 475.611, Florida Statutes, is amended to read: 503
757757 475.611 Definitions. — 504
758758 (1) As used in this part, the term: 505
759759 (h) "Appraiser" means any person who is a registered 506
760760 trainee real estate appraiser, a licensed real estate appraiser, 507
761761 or a certified real estate appraiser. An appraiser renders a 508
762762 professional service and is a professional within the meaning of 509
763763 s. 95.11(5)(b) s. 95.11(4)(b). 510
764764 Section 12. Subsection (7) of section 517.191, Florida 511
765765 Statutes, is amended to read: 512
766766 517.191 Injunction to restrain violations; civil 513
767767 penalties; enforcement by Attorney General. — 514
768768 (7) Notwithstanding s. 95.11(5)(f) s. 95.11(4)(f), an 515
769769 enforcement action brought under this section based on a 516
770770 violation of any provision of this chapter or any rule or order 517
771771 issued under this chapter shall be brought within 6 years after 518
772772 the facts giving rise to the cause of action were discovered or 519
773773 should have been discover ed with the exercise of due diligence, 520
774774 but not more than 8 years after the date such violation 521
775775 occurred. 522
776776 Section 13. Subsection (14) of section 768.28, Florida 523
777777 Statutes, is amended to read: 524
778778 768.28 Waiver of sovereign immunity in tort actions; 525
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787787 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
788788
789789
790790
791791 recovery limits; civil liability for damages caused during a 526
792792 riot; limitation on attorney fees; statute of limitations; 527
793793 exclusions; indemnification; risk management programs. — 528
794794 (14) Every claim against the state or one of its agencies 529
795795 or subdivisions for damages for a negligent or wrongful act or 530
796796 omission pursuant to this section shall be forever barred unless 531
797797 the civil action is commenced by filing a complaint in the court 532
798798 of appropriate jurisdiction within 4 years after such claim 533
799799 accrues; except that an action for contribution must be 534
800800 commenced within the limitations provided in s. 768.31(4), and 535
801801 an action for damages arising from medical malpractice or 536
802802 wrongful death must be commenced within the limitations for such 537
803803 actions in s. 95.11(5) s. 95.11(4). 538
804804 Section 14. Subsection (4) of section 787.061, Florida 539
805805 Statutes, is amended to read: 540
806806 787.061 Civil actions by victims of human trafficking. — 541
807807 (4) STATUTE OF LIMITATIONS. —The statute of limitations as 542
808808 specified in s. 95.11(8) or (10) s. 95.11(7) or (9), as 543
809809 applicable, governs an action brought under this section. 544
810810 Section 15. The requirements of s. 395.301(1)(b), Florida 545
811811 Statutes, as created by this act, relating to shoppable health 546
812812 care services, do not apply to ambulatory surgical centers as 547
813813 defined in s. 395.002, Florida Statutes, until January 1, 2026. 548
814814 Section 16. The changes made by this act to s. 395.301, 549
815815 Florida Statutes, relating to good faith estimates, are not 550
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824824 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
825825
826826
827827
828828 effective until the United States Department of Health and Human 551
829829 Services, the United States Department of Labor, and the United 552
830830 States Department of the Treasury issue a final rule pertaining 553
831831 to good faith estimates required by section 2799B -6 of the 554
832832 Public Health Services Act. The Agency for Health Care 555
833833 Administration shall notify the Division of Law Revision upon 556
834834 the promulgation of the final rule. 557
835835 Section 17. The changes made by this act to s. 627.446, 558
836836 Florida Statutes, relating to advanced explanation of benefits, 559
837837 are not effective until the United States Department of Health 560
838838 and Human Services, the United States Department of Labor, and 561
839839 the United States Department of the Treasury issue final rules 562
840840 pertaining to advanced explanation of benefits required by 563
841841 section 2799A-1(f) of the Public Health Services and good faith 564
842842 estimates required by section 2799B -6 of the Public Health 565
843843 Services Act. The Office of Insurance Regulation shall notify 566
844844 the Division of Law Revision upon the promulgation of the final 567
845845 rule pertaining to advanced explanation of benefits. 568
846846 Section 18. Present subs ections (3) and (4) of section 569
847847 409.016, Florida Statutes, are redesignated as subsections (4) 570
848848 and (5), respectively, and a new subsection (3) is added to that 571
849849 section, to read: 572
850850 409.016 Definitions. —As used in this chapter: 573
851851 (3) "Management functions" me ans: 574
852852 (a) Planning, directing, organizing, coordinating, and 575
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861861 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
862862
863863
864864
865865 carrying out oversight duties of the lead agency; or 576
866866 (b) Contracting for officer or director level staffing in 577
867867 performance of the planning, directing, organizing, 578
868868 coordinating, and carrying ou t of oversight duties of the lead 579
869869 agency. 580
870870 Section 19. Subsections (3) and (4) and paragraphs (a) and 581
871871 (b) of subsection (7) of section 409.987, Florida Statutes, are 582
872872 amended, and paragraph (g) is added to subsection (7) of that 583
873873 section, to read: 584
874874 409.987 Lead agency procurement; boards; conflicts of 585
875875 interest.— 586
876876 (3) Notwithstanding s. 287.057, the department shall use 587
877877 5-year contracts with lead agencies. The department may only 588
878878 extend a contract for a period of 1 to 5 years, in accordance 589
879879 with s. 287.057, if the lead agency has met performance 590
880880 expectations within the monitoring evaluation. 591
881881 (4) In order to serve as a lead agency, an entity must: 592
882882 (a) Be organized as a Florida corporation or a 593
883883 governmental entity. 594
884884 (b) Be governed by a board of directo rs or a board 595
885885 committee composed of board members. Board members shall provide 596
886886 oversight and ensure accountability and transparency for the 597
887887 system of care. The board of directors shall provide fiduciary 598
888888 oversight to prevent conflicts of interest, promote 599
889889 accountability and transparency, and protect state and federal 600
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898898 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
899899
900900
901901
902902 funding from misuse. The board of directors shall act in 601
903903 accordance with s. 617.0830. The membership of the board of 602
904904 directors or board committee must be described in the bylaws or 603
905905 articles of incorporation of each lead agency, which must 604
906906 provide that at least 75 percent of the membership of the board 605
907907 of directors or board committee must be composed consist of 606
908908 persons residing in this state, and at least 51 percent of the 607
909909 state residents on the b oard of directors must reside within the 608
910910 service area of the lead agency. The lead agency shall ensure 609
911911 that board members participate in annual training related to 610
912912 their responsibilities. The department shall set forth minimum 611
913913 training criteria in the cont racts with the lead agencies. 612
914914 However, for procurements of lead agency contracts initiated on 613
915915 or after July 1, 2014: 614
916916 1. At least 75 percent of the membership of the board of 615
917917 directors must be composed consist of persons residing in this 616
918918 state, and at least 51 percent of the membership of the board of 617
919919 directors must be composed consist of persons residing within 618
920920 the service area of the lead agency. If a board committee 619
921921 governs the lead agency, 100 percent of its membership must be 620
922922 composed consist of persons residing within the service area of 621
923923 the lead agency. 622
924924 2. The powers of the board of directors or board committee 623
925925 include, but are not limited to, approving the lead agency's 624
926926 budget and setting the lead agency's operational policy and 625
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935935 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
936936
937937
938938
939939 procedures. A board of directors must additionally have the 626
940940 power to hire the lead agency's executive director, unless a 627
941941 board committee governs the lead agency, in which case the board 628
942942 committee must have the power to confirm the selection of the 629
943943 lead agency's executive di rector. 630
944944 (c) Demonstrate financial responsibility through an 631
945945 organized plan for regular fiscal audits ; and the posting of a 632
946946 performance bond; and the posting of a fidelity bond to cover 633
947947 any costs associated with reprocurement and the assessed 634
948948 penalties related to a failure to disclose a conflict of 635
949949 interest under subsection (7) . 636
950950 (7)(a) As used in this subsection, the term: 637
951951 1. "Activity" includes, but is not limited to, a contract 638
952952 for goods and services, a contract for the purchase of any real 639
953953 or tangible property, or an agreement to engage with a lead 640
954954 agency for the benefit of a third party in exchange for an 641
955955 interest in real or tangible property, a monetary benefit, or an 642
956956 in-kind contribution. 643
957957 2. "Conflict of interest" means when a board member , a 644
958958 director, or an officer, or a relative of a board member , a 645
959959 director, or an officer, of a lead agency does any of the 646
960960 following: 647
961961 a. Enters into a contract or other transaction for goods 648
962962 or services with the lead agency. 649
963963 b. Holds a direct or indirect in terest in a corporation, 650
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972972 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
973973
974974
975975
976976 limited liability corporation, partnership, limited liability 651
977977 partnership, or other business entity that conducts business 652
978978 with the lead agency or proposes to enter into a contract or 653
979979 other transaction with the lead agency. For pur poses of this 654
980980 paragraph, the term "indirect interest" has the same meaning as 655
981981 in s. 112.312. 656
982982 c. Knowingly obtains a direct or indirect personal, 657
983983 financial, professional, or other benefit as a result of the 658
984984 relationship of such board member , director, or officer, or 659
985985 relative of the board member , director, or officer, with the 660
986986 lead agency. For purposes of this paragraph, the term "benefit" 661
987987 does not include per diem and travel expenses paid or reimbursed 662
988988 to board members or officers of the lead agency in con nection 663
989989 with their service on the board. 664
990990 3. "Related party" means any entity of which a director or 665
991991 an officer of the entity is also directly or indirectly related 666
992992 to, or has a direct or indirect financial or other material 667
993993 interest in, the lead agency. The term also includes any 668
994994 subsidiary firm, parent entity, associate firm, or joint 669
995995 venture. Lead agencies that hold more than one lead agency 670
996996 contract with the department may request an exemption from the 671
997997 department for specific related party requirements . 672
998998 4.3. "Relative" means a relative within the third degree 673
999999 of consanguinity by blood or marriage. 674
10001000 (b)1. For any activity that is presented to the board of a 675
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10091009 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
10101010
10111011
10121012
10131013 lead agency for its initial consideration and approval after 676
10141014 July 1, 2021, or any activity that involves a contract that is 677
10151015 being considered for renewal on or after July 1, 2021, but 678
10161016 before January 1, 2022 , a board member, a director, or an 679
10171017 officer of a lead agency shall disclose to the board any 680
10181018 activity that may reasonably be construed to be a con flict of 681
10191019 interest before such activity is initially considered and 682
10201020 approved or a contract is renewed by the board. A rebuttable 683
10211021 presumption of a conflict of interest exists if the activity was 684
10221022 acted on by the board without prior notice as required under 685
10231023 paragraph (c). The board shall disclose any known actual or 686
10241024 potential conflicts to the department. 687
10251025 2. A lead agency may not enter into a contract or be a 688
10261026 party to any transaction with related parties if a conflict of 689
10271027 interest is not properly disclosed. A l ead agency may not enter 690
10281028 into a contract with a related party for officer -level or 691
10291029 director-level staffing to perform management functions. The 692
10301030 contract with the department and lead agency must specify the 693
10311031 administrative functions that the lead agency may subcontract 694
10321032 For contracts with a lead agency which are in existence on July 695
10331033 1, 2021, and are not subject to renewal before January 1, 2022, 696
10341034 a board member or an officer of the lead agency shall disclose 697
10351035 to the board any activity that may reasonably be cons trued to be 698
10361036 a conflict of interest under this section by December 31, 2021 . 699
10371037 3. Subject to the requirements of subparagraph 2., a lead 700
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10461046 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
10471047
10481048
10491049
10501050 agency may enter into a contract or be a party to any 701
10511051 transaction with related parties as long as the fee, rate, or 702
10521052 price paid by the lead agency for the commodities or services 703
10531053 being procured does not exceed the fair market value for such 704
10541054 commodities or services. The lead agency shall disclose any 705
10551055 known actual or potential conflicts to the department. 706
10561056 (g)1. All department contracts with lead agencies must 707
10571057 contain the following contractual penalty provisions: 708
10581058 a. Penalties in the amount of $5,000 per occurrence must 709
10591059 be imposed for each known and potential conflict of interest, as 710
10601060 described in paragraph (b), which is n ot disclosed to the 711
10611061 department. 712
10621062 b. If a contract is executed for which a conflict of 713
10631063 interest was not disclosed to the department before execution of 714
10641064 the contract, the following penalties apply: 715
10651065 (I) A penalty in the amount of $20,000 for a first 716
10661066 offense. 717
10671067 (II) A penalty in the amount of $30,000 for a second or 718
10681068 subsequent offense. 719
10691069 (III) Removal of the board member who did not disclose a 720
10701070 known conflict of interest. 721
10711071 2. The penalties for failure to disclose a conflict of 722
10721072 interest under sub-subparagraphs 1.a. and 1.b. apply to any 723
10731073 contract entered into, regardless of the method of procurement, 724
10741074 including, but not limited to, formal procurement, single -source 725
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10831083 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
10841084
10851085
10861086
10871087 contracts, and contracts that do not meet the minimum threshold 726
10881088 for formal procurement. 727
10891089 3. A contract procured for which a conflict of interest 728
10901090 was not disclosed to the department before execution of the 729
10911091 contract must be reprocured. The department shall recoup from 730
10921092 the lead agency expenses related to a contract that was executed 731
10931093 without disclosure of a conflict of interest. 732
10941094 Section 20. Paragraphs (c), (j), and (k) of subsection (1) 733
10951095 of section 409.988, Florida Statutes, are amended to read: 734
10961096 409.988 Community-based care lead agency duties; general 735
10971097 provisions.— 736
10981098 (1) DUTIES.—A lead agency: 737
10991099 (c) Shall follow the financial guidelines developed by the 738
11001100 department and shall comply with regular, independent auditing 739
11011101 of its financial activities, including any requests for records 740
11021102 associated with such financial audits within the timeframe 741
11031103 established by the department or its contracted vendors provide 742
11041104 for a regular independent auditing of its financial activities . 743
11051105 The results of the financial audit must Such financial 744
11061106 information shall be provided to the community alliance 745
11071107 established under s. 20.19(5). 746
11081108 (j)1. May subcontract for the provision of services , 747
11091109 excluding subcontracts with a related party for officer -level or 748
11101110 director-level staffing to perform management functions, 749
11111111 required by the contract with the lead agency and the 750
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11201120 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
11211121
11221122
11231123
11241124 department; however, the sub contracts must specify how the 751
11251125 provider will contribute to the lead agency meeting the 752
11261126 performance standards established pursuant to the child welfare 753
11271127 results-oriented accountability system required by s. 409.997. 754
11281128 Any contract with an unrelated entity for officer-level or 755
11291129 director-level staffing to perform management functions must 756
11301130 adhere to the executive compensation provision in s. 409.992(3). 757
11311131 2. The lead agency Shall directly provide no more than 35 758
11321132 percent of all child welfare services provided unless it can 759
11331133 demonstrate a need, within the lead agency's geographic service 760
11341134 area, where there is a lack of qualified providers available to 761
11351135 perform necessary services. The approval period for an exemption 762
11361136 to exceed the 35 percent threshold is limited to 2 year s to 763
11371137 exceed this threshold . To receive approval, the lead agency must 764
11381138 create and submit to the department through the lead agency's 765
11391139 local community alliance a detailed report of all efforts to 766
11401140 recruit a qualified provider to perform the necessary services 767
11411141 in that geographic service area. The local community alliance in 768
11421142 the geographic service area in which the lead agency is seeking 769
11431143 to exceed the threshold shall review the lead agency's 770
11441144 justification for need and recommend to the department whether 771
11451145 the department should approve or deny the lead agency's request 772
11461146 for an exemption from the services threshold. If there is not a 773
11471147 community alliance operating in the geographic service area in 774
11481148 which the lead agency is seeking to exceed the threshold, such 775
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11571157 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
11581158
11591159
11601160
11611161 review and recommendation shall be made by representatives of 776
11621162 local stakeholders, including at least one representative from 777
11631163 each of the following: 778
11641164 a.1. The department. 779
11651165 b.2. The county government. 780
11661166 c.3. The school district. 781
11671167 d.4. The county United Way. 782
11681168 e.5. The county sheriff's office. 783
11691169 f.6. The circuit court corresponding to the county. 784
11701170 g.7. The county children's board, if one exists. 785
11711171 786
11721172 The lead agency may request a renewal of the exemption allowing 787
11731173 the lead agency to directly provide child welfare servi ces by 788
11741174 following the process outlined in this subparagraph. The 789
11751175 approval period for an exemption renewal is limited to 2 years. 790
11761176 If, after the expiration of the exemption, the department 791
11771177 determines the lead agency is not making a good faith effort to 792
11781178 recruit a qualified provider, the department may deny the 793
11791179 renewal request and require reprocurement. 794
11801180 3. Upon approving any exemption that allows a lead agency 795
11811181 to directly provide more than 40 percent of all child welfare 796
11821182 services provided, the department shall require the lead agency 797
11831183 to undergo an operational audit by the Auditor General to 798
11841184 examine the lead agency's procurement of and financial 799
11851185 arrangements for providing such services. The audit shall, at a 800
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11941194 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
11951195
11961196
11971197
11981198 minimum, examine the costs incurred and any payments m ade by the 801
11991199 lead agency to itself for services directly provided by the lead 802
12001200 agency compared to any procurement solicitations by the lead 803
12011201 agency, and assess the adequacy of the efforts to obtain 804
12021202 services from subcontractors and the resulting cost and cost -805
12031203 effectiveness of the services provided directly by the lead 806
12041204 agency. The Auditor General shall conduct such audits upon 807
12051205 notification by the department. 808
12061206 (k) Shall publish on its website by the 15th day of each 809
12071207 month at a minimum the data specified in subparagraphs 1.-10. 810
12081208 subparagraphs 1.-5., calculated using a standard methodology 811
12091209 determined by the department, for the preceding calendar month 812
12101210 regarding its case management services. The following 813
12111211 information shall be reported by each individual subcontracted 814
12121212 case management provider, by the lead agency, if the lead agency 815
12131213 provides case management services, and in total for all case 816
12141214 management services subcontracted or directly provided by the 817
12151215 lead agency: 818
12161216 1. The average caseload of case managers, including o nly 819
12171217 filled positions; 820
12181218 2. The total number and percentage of case managers who 821
12191219 have 25 or more cases on their caseloads; 822
12201220 3. The turnover rate for case managers and case management 823
12211221 supervisors for the previous 12 months; 824
12221222 4. The percentage of required home visits completed; and 825
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12311231 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
12321232
12331233
12341234
12351235 5. Performance on outcome measures required pursuant to s. 826
12361236 409.997 for the previous 12 months ;. 827
12371237 6. The number of unlicensed placements for the previous 828
12381238 month; 829
12391239 7. The percentages and trends for foster parent and group 830
12401240 home recruitment and licensure for the previous month; 831
12411241 8. The percentage of families being served through family 832
12421242 support services, in -home services, and out -of-home services for 833
12431243 the previous month; 834
12441244 9. The percentage of cases th at were converted from 835
12451245 nonjudicial to judicial for the previous month; and 836
12461246 10. Children's legal service staffing rates. 837
12471247 Section 21. Section 409.991, Florida Statutes, is 838
12481248 repealed. 839
12491249 Section 22. Section 409.9913, Florida Statutes, is created 840
12501250 to read: 841
12511251 409.9913 Funding methodology to allocate funding to lead 842
12521252 agencies.— 843
12531253 (1) As used in this section, the term: 844
12541254 (a) "Core services funding" means all funds allocated to 845
12551255 lead agencies. The term does not include any of the following: 846
12561256 1. Funds appropriat ed for independent living services. 847
12571257 2. Funds appropriated for maintenance adoption subsidies. 848
12581258 3. Funds allocated by the department for child protective 849
12591259 investigation service training. 850
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12681268 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
12691269
12701270
12711271
12721272 4. Nonrecurring funds. 851
12731273 5. Designated mental health wrap -around service funds. 852
12741274 6. Funds for special projects for a designated lead 853
12751275 agency. 854
12761276 7. Funds appropriated for the Guardianship Assistance 855
12771277 Program established under s. 39.6225. 856
12781278 (b) "Operational and fixed costs" means: 857
12791279 1. Administrative expenditures, including , but not limited 858
12801280 to, information technology and human resources functions. 859
12811281 2. Lease payments. 860
12821282 3. Asset depreciation. 861
12831283 4. Utilities. 862
12841284 5. Administrative components of case management. 863
12851285 6. Mandated activities such as training, quality 864
12861286 improvement, or contract management. 865
12871287 (2) The department shall develop, in collaboration with 866
12881288 lead agencies and providers of child welfare services, a funding 867
12891289 methodology for allocating core services funding to lead 868
12901290 agencies which, at a minimum: 869
12911291 (a) Is actuarially soun d. 870
12921292 (b) Is reimbursement -based. 871
12931293 (c) Is designed to incentivize efficient and effective 872
12941294 lead agency operation, prevention, family preservation, and 873
12951295 permanency. 874
12961296 (d) Considers variable costs, including, but not limited 875
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13051305 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
13061306
13071307
13081308
13091309 to: 876
13101310 1. Direct costs for in -home and out-of-home care for 877
13111311 children served by the lead agencies. 878
13121312 2. Direct costs for prevention services. 879
13131313 3. Operational and fixed costs. 880
13141314 (e) Is scaled regionally for cost -of-living factors. 881
13151315 (3) The lead agencies and providers shall submit any 882
13161316 detailed cost and expenditure data that the department requests 883
13171317 for the development of the funding methodology. 884
13181318 (4) The department shall submit a report to the Governor, 885
13191319 the President of the Senate, and the Speaker of the House of 886
13201320 Representatives by December 1 , 2024, which, at a minimum: 887
13211321 (a) Describes a proposed funding methodology and formula 888
13221322 that will provide for the annual budget of each lead agency, 889
13231323 including, but not limited to, how the proposed methodology will 890
13241324 meet the criteria specified in subsection (2). 891
13251325 (b) Describes the data used to develop the methodology and 892
13261326 the data that will be used to annually calculate the proposed 893
13271327 lead agency budget. 894
13281328 (c) Specifies proposed rates and total allocations for 895
13291329 each lead agency. The allocations must ensure that the total of 896
13301330 all amounts allocated to lead agencies under the funding 897
13311331 methodology does not exceed the total amount appropriated to 898
13321332 lead agencies in the 2024 -2025 General Appropriations Act. 899
13331333 (d) Provides risk mitigation recommendations that ensure 900
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13421342 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
13431343
13441344
13451345
13461346 that lead agencies do not experience a reduction in funding that 901
13471347 would be detrimental to operations or result in a reduction in 902
13481348 services to children. 903
13491349 (5) By October 31, 2025, and each October 31 thereafter, 904
13501350 the department shall submit a report to the Governor, the 905
13511351 President of the Senate, and the Speaker of the House of 906
13521352 Representatives which includes recommendations for adjustments 907
13531353 to the funding methodology for the next fiscal year, calculated 908
13541354 using the criteria in subsection (2). Such recommendations must, 909
13551355 at a minimum, be based on updated expenditure data, cost -of-910
13561356 living adjustments, market dynamics, or other catchment area 911
13571357 variations. The total of all amounts proposed for allocation to 912
13581358 lead agencies under the funding methodology for the subsequent 913
13591359 fiscal year may not exceed the total amount appropriated in the 914
13601360 General Appropriations Act for core services funding in the 915
13611361 present fiscal year. The funding methodology must include risk 916
13621362 mitigation strategies that ensure that lead agencies do not 917
13631363 experience a reducti on in funding that would be detrimental to 918
13641364 operations or result in a reduction in services to children. 919
13651365 (6)(a) The requirements of this section do not replace, 920
13661366 and are in addition to, any requirements of chapter 216, 921
13671367 including, but not limited to, submis sion of final legislative 922
13681368 budget requests by the department under s. 216.023. 923
13691369 (b) The data and reports required under subsections (4) 924
13701370 and (5) may also include proposed rates and total allocations 925
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13791379 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
13801380
13811381
13821382
13831383 for each lead agency which reflect any additional core ser vices 926
13841384 funding for lead agencies which is requested by the department 927
13851385 under s. 216.023. 928
13861386 (7)(a) Beginning with the 2025 -2026 fiscal year, the 929
13871387 Legislature shall allocate funding to lead agencies through the 930
13881388 General Appropriations Act with due consideration of the funding 931
13891389 methodology developed under this section. 932
13901390 (b) The department may not change the allocation of funds 933
13911391 to a lead agency as provided in the General Appropriations Act 934
13921392 without legislative approval. The department may approve 935
13931393 additional risk pool funding for a lead agency as provided under 936
13941394 s. 409.990. 937
13951395 (8) The department shall provide to the Governor, the 938
13961396 President of the Senate, and the Speaker of the House of 939
13971397 Representatives monthly reports from July through October 2024 940
13981398 which provide updates on activities and progress in developing 941
13991399 the funding methodology. 942
14001400 Section 23. Subsections (1) and (3) of section 409.992, 943
14011401 Florida Statutes, are amended to read: 944
14021402 409.992 Lead agency expenditures. — 945
14031403 (1) The procurement of commodities or contractual se rvices 946
14041404 by lead agencies is shall be governed by the financial 947
14051405 guidelines developed by the department and must comply with 948
14061406 applicable state and federal law and follow good business 949
14071407 practices. Pursuant to s. 11.45, the Auditor General may provide 950
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14161416 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
14171417
14181418
14191419
14201420 technical advice in the development of the financial guidelines. 951
14211421 (a)1. Lead agencies shall competitively procure all 952
14221422 contracts, consistent with the federal simplified acquisition 953
14231423 threshold. 954
14241424 2. Lead agencies shall competitively procure all contracts 955
14251425 in excess of $35,000 with related parties. 956
14261426 3. Financial penalties or sanctions, as established by the 957
14271427 department and incorporated into the contract, must be imposed 958
14281428 by the department for noncompliance with applicable local, 959
14291429 state, or federal law for the procurement of commodities or 960
14301430 contractual services. 961
14311431 (b) The contract between the department and the lead 962
14321432 agency must delineate the rights and obligations of the lead 963
14331433 agency concerning the acquisition, transfer, or other 964
14341434 disposition of real property. At a minimum, the contract must: 965
14351435 1. Require the lead agency to follow all federal law on 966
14361436 the acquisition, improvement, transfer, or disposition of real 967
14371437 property acquired by the lead agency using federal dollars. 968
14381438 2. Beginning July 1, 2024, require the department to 969
14391439 approve any sale, transfer, or disposition of real property 970
14401440 acquired and held by the lead agency using state funds. 971
14411441 (3) Notwithstanding any other provision of law, a 972
14421442 community-based care lead agency administrative employee may not 973
14431443 receive a salary, whether ba se pay or base pay combined with any 974
14441444 bonus or incentive payments, in excess of 150 percent of the 975
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14531453 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
14541454
14551455
14561456
14571457 annual salary paid to the secretary of the Department of 976
14581458 Children and Families from state -appropriated funds, including 977
14591459 state-appropriated federal funds. This limitation applies 978
14601460 regardless of the number of contracts a community -based care 979
14611461 lead agency may execute with the department. This subsection 980
14621462 does not prohibit any party from providing cash that is not from 981
14631463 appropriated state funds to a community -based care lead agency 982
14641464 administrative employee. 983
14651465 Section 24. Paragraph (d) of subsection (1) of section 984
14661466 409.994, Florida Statutes, is amended to read: 985
14671467 409.994 Community-based care lead agencies; receivership. — 986
14681468 (1) The Department of Children and Families may petition a 987
14691469 court of competent jurisdiction for the appointment of a 988
14701470 receiver for a community -based care lead agency established 989
14711471 pursuant to s. 409.987 if any of the following conditions exist: 990
14721472 (d) The lead agency cannot meet , or is unlikely to meet, 991
14731473 its current financial obligations to its employees, contractors, 992
14741474 or foster parents. Issuance of bad checks or the existence of 993
14751475 delinquent obligations for payment of salaries, utilities, or 994
14761476 invoices for essential services or commodities constitutes shall 995
14771477 constitute prima facie evidence that the lead agency lacks the 996
14781478 financial ability to meet its financial obligations. 997
14791479 Section 25. Paragraph (d) of subsection (1) of section 998
14801480 409.996, Florida Statutes, is amended to read: 999
14811481 409.996 Duties of the Department of Ch ildren and 1000
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14901490 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
14911491
14921492
14931493
14941494 Families.—The department shall contract for the delivery, 1001
14951495 administration, or management of care for children in the child 1002
14961496 protection and child welfare system. In doing so, the department 1003
14971497 retains responsibility for the quality of contracted servi ces 1004
14981498 and programs and shall ensure that, at a minimum, services are 1005
14991499 delivered in accordance with applicable federal and state 1006
15001500 statutes and regulations and the performance standards and 1007
15011501 metrics specified in the strategic plan created under s. 1008
15021502 20.19(1). 1009
15031503 (1) The department shall enter into contracts with lead 1010
15041504 agencies for the performance of the duties by the lead agencies 1011
15051505 established in s. 409.988. At a minimum, the contracts must do 1012
15061506 all of the following: 1013
15071507 (d) Provide for contractual actions tiered interventions 1014
15081508 and graduated penalties for failure to comply with contract 1015
15091509 terms or in the event of performance deficiencies , as determined 1016
15101510 appropriate by the department . 1017
15111511 1. Such contractual actions must interventions and 1018
15121512 penalties shall include, but are not limit ed to: 1019
15131513 a.1. Enhanced monitoring and reporting. 1020
15141514 b.2. Corrective action plans. 1021
15151515 c.3. Requirements to accept technical assistance and 1022
15161516 consultation from the department under subsection (6). 1023
15171517 d.4. Financial penalties, as a matter of contract. The 1024
15181518 financial penalties assessed by the department on the lead 1025
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15271527 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
15281528
15291529
15301530
15311531 agency revert to the state which shall require a lead agency to 1026
15321532 reallocate funds from administrative costs to direct care for 1027
15331533 children. 1028
15341534 e.5. Early termination of contracts, as provided in s. 1029
15351535 402.7305(3)(f) s. 402.1705(3)(f). 1030
15361536 2. No later than January 1, 2025, the department shall 1031
15371537 ensure that each lead agency contract executed includes a list 1032
15381538 of financial penalties for failure to comply with contractual 1033
15391539 requirements. 1034
15401540 Section 26. By September 30, 2024, and February 1, 2025, 1035
15411541 respectively, the Department of Children and Families shall 1036
15421542 submit a report to the Governor, the President of the Senate, 1037
15431543 and the Speaker of the House of Representatives on rules and 1038
15441544 policies adopted and other actions taken t o implement this act. 1039
15451545 Section 27. There is established the Future of Child 1040
15461546 Protection Contracting and Funding Workgroup within the 1041
15471547 Department of Children and Families. The department shall 1042
15481548 convene the workgroup and is responsible for producing and 1043
15491549 submitting a report of the workgroup's findings and 1044
15501550 recommendations to the Governor, the President of the Senate, 1045
15511551 and the Speaker of the House of Representatives by October 15, 1046
15521552 2025. 1047
15531553 (1)(a) The Secretary of Children and Families, or his or 1048
15541554 her designee, shall chair the workgroup and shall invite the 1049
15551555 following persons to participate as members of the workgroup: 1050
1556-ENROLLED
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15641564 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
15651565
15661566
15671567
15681568 1. The Secretary of Health Care Administration, or his or 1051
15691569 her designee. 1052
15701570 2. The Secretary of Management Services, or his or her 1053
15711571 designee. 1054
15721572 (b) The Secretary of Children and Families, or his or her 1055
15731573 designee, shall appoint the following individuals as members of 1056
15741574 the workgroup: 1057
15751575 1. An employee of a community -based care lead agency with 1058
15761576 executive-level experience. 1059
15771577 2. A current contractor for lead agen cy child protection 1060
15781578 services. 1061
15791579 3. Two representatives of a direct provider of child 1062
15801580 protection or child welfare services. 1063
15811581 4. A member of the Family Law Section of The Florida Bar 1064
15821582 or a member of the court exercising jurisdiction over family law 1065
15831583 matters. 1066
15841584 5. A representative of a for -profit managed care entity. 1067
15851585 6. A representative from the Florida Institute for Child 1068
15861586 Welfare. 1069
15871587 7. Any additional members the department deems 1070
15881588 appropriate. 1071
15891589 (2) The report submitted by the department must, at a 1072
15901590 minimum: 1073
15911591 (a) Examine the current contracting methods for the 1074
15921592 provision of all foster care and related services. 1075
1593-ENROLLED
1594-HB 7089, Engrossed 2 2024 Legislature
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1594+HB 7089, Engrossed 2 2024
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16011601 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
16021602
16031603
16041604
16051605 (b) Consider the unique regional needs of children and 1076
16061606 families at risk of abuse and neglect. 1077
16071607 (c) Identify current barriers to implementing federally 1078
16081608 approved Title IV-E prevention services. 1079
16091609 (d) Recommend changes to existing laws, rules, and 1080
16101610 policies necessary to implement the workgroup's recommendations. 1081
16111611 (3) The workgroup shall terminate immediately after the 1082
16121612 Secretary of Children and Families sub mits the report to the 1083
16131613 Governor, the President of the Senate, and the Speaker of the 1084
16141614 House of Representatives. 1085
16151615 Section 28. This act shall take effect July 1, 2024. 1086