Florida 2025 2025 Regular Session

Florida Senate Bill S0306 Analysis / Analysis

Filed 04/09/2025

                    The Florida Senate 
BILL ANALYSIS AND FISCAL IMPACT STATEMENT 
(This document is based on the provisions contained in the legislation as of the latest date listed below.) 
Prepared By: The Professional Staff of the Appropriations Committee on Health and Human Services  
 
BILL: CS/SB 306 
INTRODUCER:  Health Policy Committee and Senator Sharief and others 
SUBJECT:  Medicaid Providers 
DATE: April 9, 2025 
 
 ANALYST STAFF DIRECTOR  REFERENCE  	ACTION 
1. Morgan Brown HP Fav/CS 
2. Barr McKnight AHS  Pre-meeting 
3.     FP  
 
Please see Section IX. for Additional Information: 
COMMITTEE SUBSTITUTE - Substantial Changes 
 
I. Summary: 
CS/SB 306 requires the Agency for Health Care Administration to establish specific standards to 
ensure Florida Medicaid enrollees have access to network providers during state holidays and 
outside regular business hours. 
 
The bill has no fiscal impact on state expenditures or revenues. See Section V., Fiscal Impact 
Statement. 
 
The bill takes effect July 1, 2025. 
II. Present Situation: 
Agency for Health Care Administration 
The Agency for Health Care Administration (AHCA) is created under s. 20.42, F.S., to be the 
chief health policy and planning entity for the state, responsible for health facility licensure, 
inspection, and regulatory enforcement,
1
 as well as the administration of Florida’s Medicaid 
program.
2
  
 
 
1
 Agency for Health Care Administration, Health Quality Assurance, available at https://ahca.myflorida.com/health-quality-
assurance (last visited Mar. 27, 2025). 
2
 Section 409.902, F.S. 
REVISED:   BILL: CS/SB 306   	Page 2 
 
The Florida Medicaid Program 
The Medicaid program is a voluntary, federal-state program that finances health coverage for 
individuals, including eligible low-income adults, children, pregnant women, elderly adults, and 
persons with disabilities.
3
 The federal Centers for Medicare & Medicaid Services within the 
U.S. Department of Health and Human Services is responsible for administering the Medicaid 
program at the federal level. Florida Medicaid is the health care safety net for low-income 
Floridians and is financed through state and federal funds.
4
  
 
Statewide Medicaid Managed Care 
Approximately 72.5 percent of Florida Medicaid recipients
5
 receive services through a managed 
care plan contracted with the AHCA under the Statewide Medicaid Managed Care (SMMC) 
program.
6
 The SMMC program has three components: Managed Medical Assistance (MMA), 
Long-Term Care (LTC), and the Prepaid Dental Health program.
7
 Among these three 
components, Florida’s SMMC program offers a health care package covering acute, preventive, 
behavioral health, prescribed drugs, long-term care, and dental services. Florida’s SMMC 
program benefits are authorized through federal waivers and are specifically required by the 
Florida Legislature in ss. 409.973 and 409.98, F.S.
8
  
 
The AHCA awarded contracts to the current SMMC plans through a competitive procurement 
process called an Invitation to Negotiate (ITN). The AHCA awarded and executed new contracts 
for SMMC 3.0 in October 2024 and officially rolled out the new SMMC 3.0 program on 
February 1, 2025.
9
 The rate year for the SMMC contracts is October 1 through September 30 of 
each contract year.
10
  
 
Managed care plans providing MMA program services are required to cover acute, preventive, 
and other health care services, such as:
11
  
• Hospital services;  
• Physician services;  
• Pharmacy services;  
• Behavioral health services;  
• Transportation to medical services;  
 
3
 Medicaid.gov, Medicaid, available at https://www.medicaid.gov/medicaid (last visited Mar. 27, 2025). 
4
 Section 20.42, F.S. 
5
 The other 27.5 percent of recipients receive Medicaid services through the fee-for-service (FFS) delivery model, where 
providers contract directly with the AHCA to render services, billing and receiving reimbursement directly from the AHCA; 
Florida Agency for Health Care Administration, Senate Bill 306 (Feb. 7, 2025) (on file with Senate Committee on Health 
Policy). 
6
 Agency for Health Care Administration, Florida Statewide Medicaid Enrollment Report As of February 28, 2025 (including 
Medikids Population), available at https://ahca.myflorida.com/content/download/26230/file/ENR_202502.xls (last visited 
Mar. 27, 2025). 
7
 Agency for Health Care Administration, Statewide Medicaid Managed Care, available at 
https://ahca.myflorida.com/medicaid/statewide-medicaid-managed-care (last visited Mar. 27, 2025). 
8
 Agency for Health Care Administration, Senate Bill 306 (Feb. 7, 2025) (on file with Senate Committee on Health Policy). 
9
 Id. 
10
 Agency for Health Care Administration, Senate Bill 1060 (Feb. 28, 2025) (on file with Senate Committee on Health 
Policy). 
11
 Supra note 8.  BILL: CS/SB 306   	Page 3 
 
• Nursing facility services; and 
• Other service benefits, including, but not limited to, medical equipment and supplies, 
therapies, and home health services.  
 
The AHCA contracts with LTC plans in each region to provide LTC services, including all home 
and community-based waiver services, through their provider networks. Currently, all the LTC 
plans contracted with the AHCA are also contracted to provide MMA services, streamlining care 
with a more comprehensive enrollment approach where a Medicaid recipient can enroll with one 
plan for all services.
12
  
 
The SMMC program includes the following regions:
13
 
• Region A, which consists of Bay, Calhoun, Escambia, Franklin, Gadsden, Gulf, Holmes, 
Jackson, Jefferson, Leon, Liberty, Madison, Okaloosa, Santa Rosa, Taylor, Wakulla, Walton, 
and Washington counties.  
• Region B, which consists of Alachua, Baker, Bradford, Citrus, Clay, Columbia, Dixie, 
Duval, Flagler, Gilchrist, Hamilton, Hernando, Lafayette, Lake, Levy, Marion, Nassau, 
Putnam, St. Johns, Sumter, Suwannee, Union, and Volusia counties.  
• Region C, which consists of Pasco and Pinellas counties.  
• Region D, which consists of Hardee, Highlands, Hillsborough, Manatee, and Polk counties.  
• Region E, which consists of Brevard, Orange, Osceola, and Seminole counties.  
• Region F, which consists of Charlotte, Collier, DeSoto, Glades, Hendry, Lee, and Sarasota 
counties.  
• Region G, which consists of Indian River, Martin, Okeechobee, Palm Beach, and St. Lucie 
counties.  
• Region H, which consists of Broward County.  
• Region I, which consists of Miami-Dade and Monroe counties.  
 
Provider Networks 
A provider network is a list of doctors, hospitals, and other health care providers that a managed 
care plan contracts with to provide medical care to its enrollees. These providers are commonly 
known as participating providers, and a provider that is not contracted with the plan is called a 
nonparticipating provider.
14
  
 
SMMC Plan Accountability – Network Access & Adequacy 
The SMMC plans must adhere to all requirements as specified in their contract with the AHCA, 
including requirements to enter into provider agreements with a sufficient number of providers to 
deliver all covered services to enrollees and ensure that each medically necessary covered 
service is accessible and provided with reasonable promptness, including the utilization of 
nonparticipating providers.
15
 If the managed care plan declines to include individual or group 
 
12
 Agency for Health Care Administration, Senate Bill 306 (Feb. 7, 2025) (on file with Senate Committee on Health Policy). 
13
 Section 409.966(2), F.S. 
14
 U.S. Department of Health & Human Services, Health Insurance Marketplace, What You Should Know About Provider 
Networks, available at https://www.cms.gov/marketplace/outreach-and-education/what-you-should-know-provider-
networks.pdf (last visited Mar. 27, 2025). 
15
 42 C.F.R. § 438.206(b)(4)  BILL: CS/SB 306   	Page 4 
 
providers in its provider network, the plan is required to give written notice to the affected 
provider(s) of the reason for its decision.
16,17
  
 
Prior to implementation of SMMC 3.0 on February 1, 2025, the AHCA indicated that the 
network sufficiency of each plan was assessed to ensure an adequate number of available 
providers exists within the plans’ provider networks. Managed care plans are contractually 
required to develop a printed and online (electronic) provider network directory to assist 
enrollees in selecting from qualified providers. The plans must update their online provider 
database at least weekly and provide printed copies of provider directories to enrollees upon 
request, at no charge. The plans must have procedures to inform current enrollees and potential 
enrollees, upon request, of any changes to service delivery and/or provider network.  
 
On a regional basis, SMMC plans must notify the AHCA within seven business days of a 
decrease in the total number of primary care providers by more than five percent. Moreover, the 
plans are required to submit an Annual Network Development Plan
18
 that includes a description 
or explanation of the current status of their network for each service covered.
19
  
 
Additionally, the plans are required to submit weekly Provider Network Verification (PNV) 
files,
20
 which include information on each plan’s provider network. The AHCA monitors the 
PNV files to ensure contractually required provider network standards are being met. If a plan is 
not compliant with these standards, the AHCA has actions available through its contracts that 
can be applied, including liquidated damages.
21
 Managed care plans online and printed provider 
directories are monitored monthly for accuracy and completeness. Furthermore, the AHCA 
monitors the networks to ensure that contractual provider-specific geographic access (time and 
distance) standards for enrollees in urban or rural counties are maintained.
22
  
 
The required regional provider ratios and network adequacy standards, as well as the time and 
distance standards for covered services, providers, and facilities, are contained within the 
contracts between the AHCA and the Medicaid managed care plans.
23,24,25
  
 
 
16
 42 C.F.R. § 438.12(a)(1) 
17
 Agency for Health Care Administration, Senate Bill 306 (Feb. 7, 2025) (on file with Senate Committee on Health Policy). 
18
 Agency for Health Care Administration, 2025-2030 Model Health Plan Contract Attachment II – Core Contract Provisions 
(Feb. 2025), Page 236 of 267, available at https://ahca.myflorida.com/content/download/26116/file/Attachment%20II%20-
%20Core%20Contract%20Provisions.pdf (last visited Mar. 27, 2025). 
19
 Supra note 17. 
20
  Supra note 18, Page 234 of 267. 
21
 Supra note 18, Page 201 of 267. 
22
 Supra note 17. 
23
 Agency for Health Care Administration, 2025-2030 Model Health Plan Contract Exhibit II-A – Managed Medical 
Assistance Program (Feb. 2025), Pages 55-58, 60-61, available at 
https://ahca.myflorida.com/content/download/26117/file/Exhibit%20II-A%20-
%20Managed%20Medical%20Assistance%20%28MMA%29%20Program.pdf (last visited Mar. 27, 2025). 
24
 Id., Pages 70-72. 
25
 Agency for Health Care Administration, 2025-2030 Model Health Plan Contract Exhibit II-B – Long-Term Care (LTC) 
Program (Feb. 2025), Pages 32-34, available at https://ahca.myflorida.com/content/download/26117/file/Exhibit%20II-
A%20-%20Managed%20Medical%20Assistance%20%28MMA%29%20Program.pdf (last visited Mar. 27, 2025).  BILL: CS/SB 306   	Page 5 
 
Currently, at least 50 percent of primary care providers participating in a plan provider network 
in regions A, B, E, G, H, and I must offer after hours
26
 appointment availability to Medicaid 
enrollees; however, regions C and D require at least 45 percent, and region F requires at least 40 
percent.
27
  
III. Effect of Proposed Changes: 
Section 1 amends s. 409.967, F.S., to require the Agency for Health Care Administration to 
establish specific standards to ensure enrollees have access to network providers during state 
holidays and outside regular business hours. At least 50 percent of primary care providers 
participating in a Medicaid managed care plan provider network must offer appointment 
availability to Medicaid enrollees outside regular business hours.  
 
The bill also defines the term “outside regular business hours” to mean Monday through Friday 
between 5 p.m., and 8 a.m., local time and all-day Saturday and Sunday.  
 
Section 2 provides that the bill takes effect July 1, 2025.  
IV. Constitutional Issues: 
A. Municipality/County Mandates Restrictions: 
None. 
B. Public Records/Open Meetings Issues: 
None. 
C. Trust Funds Restrictions: 
None. 
D. State Tax or Fee Increases: 
None. 
E. Other Constitutional Issues: 
None. 
 
26
 The AHCA defines “after hours” in its health plan contracts to mean the hours between 5:00 p.m., and 8:00 a.m., local 
time, Monday through Friday inclusive, and all-day Saturday and Sunday. State holidays are also included. See Florida 
Agency for Health Care Administration, 2025-2030 Model Health Plan Contract Attachment II – Core Contract Provisions 
(Feb. 2025), Page 238, available at https://ahca.myflorida.com/content/download/26116/file/Attachment%20II%20-
%20Core%20Contract%20Provisions.pdf (last visited Apr. 2, 2025). 
27
 Supra note 24.  BILL: CS/SB 306   	Page 6 
 
V. Fiscal Impact Statement: 
A. Tax/Fee Issues: 
None. 
B. Private Sector Impact: 
None. 
C. Government Sector Impact: 
This bill has no fiscal impact on state expenditures or revenues. 
VI. Technical Deficiencies: 
None. 
VII. Related Issues: 
None. 
VIII. Statutes Affected: 
This bill substantially amends section 409.967 of the Florida Statutes.  
IX. Additional Information: 
A. Committee Substitute – Statement of Substantial Changes: 
(Summarizing differences between the Committee Substitute and the prior version of the bill.) 
CS by Health Policy on April 1, 2025: 
The committee substitute: 
• Removes the underlying bill’s amendments to Medicaid managed care plan 
accountability statutes.  
• Requires the Agency for Health Care Administration to establish standards to ensure 
Medicaid enrollees have access to network providers during state holidays and 
outside regular business hours.  
• Requires Medicaid managed care plans to ensure at least 50 percent of primary care 
providers participating in their network offer appointment availability to Medicaid 
enrollees outside regular business hours.  
• Defines the term “outside regular business hours” to mean Monday through Friday 
between 5 p.m., and 8 a.m., local time and all-day Saturday and Sunday.  
B. Amendments: 
None. 
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.