Illinois 2023-2024 Regular Session

Illinois House Bill HB4977 Compare Versions

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11 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4977 Introduced , by Rep. Robyn Gabel SYNOPSIS AS INTRODUCED: 305 ILCS 5/5-30.1 Amends the Medical Assistance Article of the Illinois Public Aid Code. Makes changes to provisions requiring Medicaid managed care organizations (MCO) to make payments for emergency services. Requires an MCO to pay any provider of emergency services, including inpatient stabilization services provided during the inpatient stabilization period, that does not have in effect a contract with the MCO. Defines "inpatient stabilization period" to mean the initial 72 hours of inpatient stabilization services, beginning from the date and time of the order for inpatient admission to the hospital. Provides that when determining payment for all emergency services, including inpatient stabilization services provided during the inpatient stabilization period, the MCO shall: (i) not impose any service authorization requirements, including, but not limited to, prior authorization, prior approval, pre-certification, concurrent review, or certification of admission; (ii) have no obligation to cover emergency services provided on an emergency basis that are not covered services under the MCO's contract with the Department of Healthcare and Family Services; and (iii) not condition coverage for emergency services on the treating provider notifying the MCO of the enrollee's emergency medical screening examination and treatment within 10 days after presentation for emergency services. Provides that the determination of the attending emergency physician, or the practitioner responsible for the enrollee's care at the hospital, of whether an enrollee requires inpatient stabilization services, can be stabilized in the outpatient setting, or is sufficiently stabilized for discharge or transfer to another facility, shall be binding on the MCO. Provides that an MCO shall not reimburse inpatient stabilization services billed on an inpatient institutional claim under the outpatient reimbursement methodology and shall not reimburse providers for emergency services in cases of fraud. Requires the Department to impose sanctions on a MCO for noncompliance, including, but not limited to, financial penalties, suspension of enrollment of new enrollees, and termination of the MCO's contract with the Department. Effective immediately. LRB103 37679 KTG 67806 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4977 Introduced , by Rep. Robyn Gabel SYNOPSIS AS INTRODUCED: 305 ILCS 5/5-30.1 305 ILCS 5/5-30.1 Amends the Medical Assistance Article of the Illinois Public Aid Code. Makes changes to provisions requiring Medicaid managed care organizations (MCO) to make payments for emergency services. Requires an MCO to pay any provider of emergency services, including inpatient stabilization services provided during the inpatient stabilization period, that does not have in effect a contract with the MCO. Defines "inpatient stabilization period" to mean the initial 72 hours of inpatient stabilization services, beginning from the date and time of the order for inpatient admission to the hospital. Provides that when determining payment for all emergency services, including inpatient stabilization services provided during the inpatient stabilization period, the MCO shall: (i) not impose any service authorization requirements, including, but not limited to, prior authorization, prior approval, pre-certification, concurrent review, or certification of admission; (ii) have no obligation to cover emergency services provided on an emergency basis that are not covered services under the MCO's contract with the Department of Healthcare and Family Services; and (iii) not condition coverage for emergency services on the treating provider notifying the MCO of the enrollee's emergency medical screening examination and treatment within 10 days after presentation for emergency services. Provides that the determination of the attending emergency physician, or the practitioner responsible for the enrollee's care at the hospital, of whether an enrollee requires inpatient stabilization services, can be stabilized in the outpatient setting, or is sufficiently stabilized for discharge or transfer to another facility, shall be binding on the MCO. Provides that an MCO shall not reimburse inpatient stabilization services billed on an inpatient institutional claim under the outpatient reimbursement methodology and shall not reimburse providers for emergency services in cases of fraud. Requires the Department to impose sanctions on a MCO for noncompliance, including, but not limited to, financial penalties, suspension of enrollment of new enrollees, and termination of the MCO's contract with the Department. Effective immediately. LRB103 37679 KTG 67806 b LRB103 37679 KTG 67806 b A BILL FOR
22 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4977 Introduced , by Rep. Robyn Gabel SYNOPSIS AS INTRODUCED:
33 305 ILCS 5/5-30.1 305 ILCS 5/5-30.1
44 305 ILCS 5/5-30.1
55 Amends the Medical Assistance Article of the Illinois Public Aid Code. Makes changes to provisions requiring Medicaid managed care organizations (MCO) to make payments for emergency services. Requires an MCO to pay any provider of emergency services, including inpatient stabilization services provided during the inpatient stabilization period, that does not have in effect a contract with the MCO. Defines "inpatient stabilization period" to mean the initial 72 hours of inpatient stabilization services, beginning from the date and time of the order for inpatient admission to the hospital. Provides that when determining payment for all emergency services, including inpatient stabilization services provided during the inpatient stabilization period, the MCO shall: (i) not impose any service authorization requirements, including, but not limited to, prior authorization, prior approval, pre-certification, concurrent review, or certification of admission; (ii) have no obligation to cover emergency services provided on an emergency basis that are not covered services under the MCO's contract with the Department of Healthcare and Family Services; and (iii) not condition coverage for emergency services on the treating provider notifying the MCO of the enrollee's emergency medical screening examination and treatment within 10 days after presentation for emergency services. Provides that the determination of the attending emergency physician, or the practitioner responsible for the enrollee's care at the hospital, of whether an enrollee requires inpatient stabilization services, can be stabilized in the outpatient setting, or is sufficiently stabilized for discharge or transfer to another facility, shall be binding on the MCO. Provides that an MCO shall not reimburse inpatient stabilization services billed on an inpatient institutional claim under the outpatient reimbursement methodology and shall not reimburse providers for emergency services in cases of fraud. Requires the Department to impose sanctions on a MCO for noncompliance, including, but not limited to, financial penalties, suspension of enrollment of new enrollees, and termination of the MCO's contract with the Department. Effective immediately.
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1111 1 AN ACT concerning public aid.
1212 2 Be it enacted by the People of the State of Illinois,
1313 3 represented in the General Assembly:
1414 4 Section 5. The Illinois Public Aid Code is amended by
1515 5 changing Section 5-30.1 as follows:
1616 6 (305 ILCS 5/5-30.1)
1717 7 Sec. 5-30.1. Managed care protections.
1818 8 (a) As used in this Section:
1919 9 "Managed care organization" or "MCO" means any entity
2020 10 which contracts with the Department to provide services where
2121 11 payment for medical services is made on a capitated basis.
2222 12 "Emergency services" means health care items and services,
2323 13 including inpatient and outpatient hospital services,
2424 14 furnished or required to evaluate and stabilize an emergency
2525 15 medical condition. "Emergency services" include inpatient
2626 16 stabilization services furnished during the inpatient
2727 17 stabilization period. "Emergency services" do not include
2828 18 post-stabilization medical services. include:
2929 19 (1) emergency services, as defined by Section 10 of
3030 20 the Managed Care Reform and Patient Rights Act;
3131 21 (2) emergency medical screening examinations, as
3232 22 defined by Section 10 of the Managed Care Reform and
3333 23 Patient Rights Act;
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3737 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4977 Introduced , by Rep. Robyn Gabel SYNOPSIS AS INTRODUCED:
3838 305 ILCS 5/5-30.1 305 ILCS 5/5-30.1
3939 305 ILCS 5/5-30.1
4040 Amends the Medical Assistance Article of the Illinois Public Aid Code. Makes changes to provisions requiring Medicaid managed care organizations (MCO) to make payments for emergency services. Requires an MCO to pay any provider of emergency services, including inpatient stabilization services provided during the inpatient stabilization period, that does not have in effect a contract with the MCO. Defines "inpatient stabilization period" to mean the initial 72 hours of inpatient stabilization services, beginning from the date and time of the order for inpatient admission to the hospital. Provides that when determining payment for all emergency services, including inpatient stabilization services provided during the inpatient stabilization period, the MCO shall: (i) not impose any service authorization requirements, including, but not limited to, prior authorization, prior approval, pre-certification, concurrent review, or certification of admission; (ii) have no obligation to cover emergency services provided on an emergency basis that are not covered services under the MCO's contract with the Department of Healthcare and Family Services; and (iii) not condition coverage for emergency services on the treating provider notifying the MCO of the enrollee's emergency medical screening examination and treatment within 10 days after presentation for emergency services. Provides that the determination of the attending emergency physician, or the practitioner responsible for the enrollee's care at the hospital, of whether an enrollee requires inpatient stabilization services, can be stabilized in the outpatient setting, or is sufficiently stabilized for discharge or transfer to another facility, shall be binding on the MCO. Provides that an MCO shall not reimburse inpatient stabilization services billed on an inpatient institutional claim under the outpatient reimbursement methodology and shall not reimburse providers for emergency services in cases of fraud. Requires the Department to impose sanctions on a MCO for noncompliance, including, but not limited to, financial penalties, suspension of enrollment of new enrollees, and termination of the MCO's contract with the Department. Effective immediately.
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6868 1 (3) post-stabilization medical services, as defined by
6969 2 Section 10 of the Managed Care Reform and Patient Rights
7070 3 Act; and
7171 4 (4) emergency medical conditions, as defined by
7272 5 Section 10 of the Managed Care Reform and Patient Rights
7373 6 Act.
7474 7 "Emergency medical condition" means a medical condition
7575 8 manifesting itself by acute symptoms of sufficient severity,
7676 9 regardless of the final diagnosis given, such that a prudent
7777 10 layperson, who possesses an average knowledge of health and
7878 11 medicine, could reasonably expect the absence of immediate
7979 12 medical attention to result in:
8080 13 (1) placing the health of the individual (or, with
8181 14 respect to a pregnant woman, the health of the woman or her
8282 15 unborn child) in serious jeopardy;
8383 16 (2) serious impairment to bodily functions;
8484 17 (3) serious dysfunction of any bodily organ or part;
8585 18 (4) inadequately controlled pain; or
8686 19 (5) with respect to a pregnant woman who is having
8787 20 contractions:
8888 21 (A) inadequate time to complete a safe transfer to
8989 22 another hospital before delivery; or
9090 23 (B) a transfer to another hospital may pose a
9191 24 threat to the health or safety of the woman or unborn
9292 25 child.
9393 26 "Emergency medical screening examination" means a medical
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104104 1 screening examination and evaluation by a physician licensed
105105 2 to practice medicine in all its branches or, to the extent
106106 3 permitted by applicable laws, by other appropriately licensed
107107 4 personnel under the supervision of or in collaboration with a
108108 5 physician licensed to practice medicine in all its branches to
109109 6 determine whether the need for emergency services exists.
110110 7 "Inpatient stabilization period" means the initial 72
111111 8 hours of inpatient stabilization services, beginning from the
112112 9 date and time of the order for inpatient admission to the
113113 10 hospital.
114114 11 "Inpatient stabilization services" mean emergency services
115115 12 furnished in the inpatient setting at a licensed hospital
116116 13 pursuant to an order for inpatient admission by a physician or
117117 14 other qualified practitioner who has admitting privileges at
118118 15 the hospital, as permitted by State law, to stabilize an
119119 16 emergency medical condition following an emergency medical
120120 17 screening examination.
121121 18 "Post-stabilization medical services" means health care
122122 19 services provided to an enrollee that are furnished in a
123123 20 licensed hospital by a provider that is qualified to furnish
124124 21 such services and determined to be medically necessary and
125125 22 directly related to the emergency medical condition following
126126 23 stabilization.
127127 24 (b) As provided by Section 5-16.12, managed care
128128 25 organizations are subject to the provisions of the Managed
129129 26 Care Reform and Patient Rights Act.
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140140 1 (c) An MCO shall pay any provider of emergency services,
141141 2 including inpatient stabilization services provided during the
142142 3 inpatient stabilization period, that does not have in effect a
143143 4 contract with the contracted Medicaid MCO. The default rate of
144144 5 reimbursement shall be the rate paid under Illinois Medicaid
145145 6 fee-for-service program methodology, including all policy
146146 7 adjusters, including but not limited to Medicaid High Volume
147147 8 Adjustments, Medicaid Percentage Adjustments, Outpatient High
148148 9 Volume Adjustments, and all outlier add-on adjustments to the
149149 10 extent such adjustments are incorporated in the development of
150150 11 the applicable MCO capitated rates.
151151 12 (d) An MCO shall pay for all post-stabilization services
152152 13 as a covered service in any of the following situations:
153153 14 (1) the MCO authorized such services;
154154 15 (2) such services were administered to maintain the
155155 16 enrollee's stabilized condition within one hour after a
156156 17 request to the MCO for authorization of further
157157 18 post-stabilization services;
158158 19 (3) the MCO did not respond to a request to authorize
159159 20 such services within one hour;
160160 21 (4) the MCO could not be contacted; or
161161 22 (5) the MCO and the treating provider, if the treating
162162 23 provider is a non-affiliated provider, could not reach an
163163 24 agreement concerning the enrollee's care and an affiliated
164164 25 provider was unavailable for a consultation, in which case
165165 26 the MCO must pay for such services rendered by the
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176176 1 treating non-affiliated provider until an affiliated
177177 2 provider was reached and either concurred with the
178178 3 treating non-affiliated provider's plan of care or assumed
179179 4 responsibility for the enrollee's care. Such payment shall
180180 5 be made at the default rate of reimbursement paid under
181181 6 Illinois Medicaid fee-for-service program methodology,
182182 7 including all policy adjusters, including but not limited
183183 8 to Medicaid High Volume Adjustments, Medicaid Percentage
184184 9 Adjustments, Outpatient High Volume Adjustments and all
185185 10 outlier add-on adjustments to the extent that such
186186 11 adjustments are incorporated in the development of the
187187 12 applicable MCO capitated rates.
188188 13 (d) Notwithstanding any other provision of law, the (e)
189189 14 The following requirements apply to MCOs in determining
190190 15 payment for all emergency services, including inpatient
191191 16 stabilization services provided during the inpatient
192192 17 stabilization period:
193193 18 (1) The MCO MCOs shall not impose any service
194194 19 authorization requirements for prior approval of emergency
195195 20 services, including, but not limited to, prior
196196 21 authorization, prior approval, pre-certification,
197197 22 concurrent review, or certification of admission.
198198 23 (2) The MCO shall cover emergency services provided to
199199 24 enrollees who are temporarily away from their residence
200200 25 and outside the contracting area to the extent that the
201201 26 enrollees would be entitled to the emergency services if
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212212 1 they still were within the contracting area.
213213 2 (3) The MCO shall have no obligation to cover
214214 3 emergency medical services provided on an emergency basis
215215 4 that are not covered services under the contract.
216216 5 (4) The MCO shall not condition coverage for emergency
217217 6 services on the treating provider notifying the MCO of the
218218 7 enrollee's emergency medical screening examination and
219219 8 treatment within 10 days after presentation for emergency
220220 9 services.
221221 10 (5) The determination of the attending emergency
222222 11 physician, or the practitioner responsible for the
223223 12 enrollee's care at the hospital, the provider actually
224224 13 treating the enrollee, of whether an enrollee requires
225225 14 inpatient stabilization services, can be stabilized in the
226226 15 outpatient setting, or is sufficiently stabilized for
227227 16 discharge or transfer to another facility, shall be
228228 17 binding on the MCO. The MCO shall cover and reimburse
229229 18 providers for emergency services as billed by the provider
230230 19 for all enrollees whether the emergency services are
231231 20 provided by an affiliated or non-affiliated provider,
232232 21 except in cases of fraud. The MCO shall not reimburse
233233 22 inpatient stabilization services provided during the
234234 23 inpatient stabilization period and billed on an inpatient
235235 24 institutional claim under the outpatient reimbursement
236236 25 methodology.
237237 26 (6) The MCO's financial responsibility for
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248248 1 post-stabilization medical care services it has not
249249 2 pre-approved ends when:
250250 3 (A) a plan physician with privileges at the
251251 4 treating hospital assumes responsibility for the
252252 5 enrollee's care;
253253 6 (B) a plan physician assumes responsibility for
254254 7 the enrollee's care through transfer;
255255 8 (C) a contracting entity representative and the
256256 9 treating physician reach an agreement concerning the
257257 10 enrollee's care; or
258258 11 (D) the enrollee is discharged.
259259 12 (e) An MCO shall pay for all post-stabilization medical
260260 13 services as a covered service in any of the following
261261 14 situations:
262262 15 (1) the MCO authorized such services;
263263 16 (2) such services were administered to maintain the
264264 17 enrollee's stabilized condition within one hour after a
265265 18 request to the MCO for authorization of further
266266 19 post-stabilization services;
267267 20 (3) the MCO did not respond to a request to authorize
268268 21 such services within one hour;
269269 22 (4) the MCO could not be contacted; or
270270 23 (5) the MCO and the treating provider, if the treating
271271 24 provider is a non-affiliated provider, could not reach an
272272 25 agreement concerning the enrollee's care and an affiliated
273273 26 provider was unavailable for a consultation, in which case
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284284 1 the MCO must pay for such services rendered by the
285285 2 treating non-affiliated provider until an affiliated
286286 3 provider was reached and either concurred with the
287287 4 treating non-affiliated provider's plan of care or assumed
288288 5 responsibility for the enrollee's care. Such payment shall
289289 6 be made at the default rate of reimbursement paid under
290290 7 the State's Medicaid fee-for-service program methodology,
291291 8 including all policy adjusters, including, but not limited
292292 9 to, Medicaid High Volume Adjustments, Medicaid Percentage
293293 10 Adjustments, Outpatient High Volume Adjustments, and all
294294 11 outlier add-on adjustments to the extent that such
295295 12 adjustments are incorporated in the development of the
296296 13 applicable MCO capitated rates.
297297 14 (f) Network adequacy and transparency.
298298 15 (1) The Department shall:
299299 16 (A) ensure that an adequate provider network is in
300300 17 place, taking into consideration health professional
301301 18 shortage areas and medically underserved areas;
302302 19 (B) publicly release an explanation of its process
303303 20 for analyzing network adequacy;
304304 21 (C) periodically ensure that an MCO continues to
305305 22 have an adequate network in place;
306306 23 (D) require MCOs, including Medicaid Managed Care
307307 24 Entities as defined in Section 5-30.2, to meet
308308 25 provider directory requirements under Section 5-30.3;
309309 26 (E) require MCOs to ensure that any
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320320 1 Medicaid-certified provider under contract with an MCO
321321 2 and previously submitted on a roster on the date of
322322 3 service is paid for any medically necessary,
323323 4 Medicaid-covered, and authorized service rendered to
324324 5 any of the MCO's enrollees, regardless of inclusion on
325325 6 the MCO's published and publicly available directory
326326 7 of available providers; and
327327 8 (F) require MCOs, including Medicaid Managed Care
328328 9 Entities as defined in Section 5-30.2, to meet each of
329329 10 the requirements under subsection (d-5) of Section 10
330330 11 of the Network Adequacy and Transparency Act; with
331331 12 necessary exceptions to the MCO's network to ensure
332332 13 that admission and treatment with a provider or at a
333333 14 treatment facility in accordance with the network
334334 15 adequacy standards in paragraph (3) of subsection
335335 16 (d-5) of Section 10 of the Network Adequacy and
336336 17 Transparency Act is limited to providers or facilities
337337 18 that are Medicaid certified.
338338 19 (2) Each MCO shall confirm its receipt of information
339339 20 submitted specific to physician or dentist additions or
340340 21 physician or dentist deletions from the MCO's provider
341341 22 network within 3 days after receiving all required
342342 23 information from contracted physicians or dentists, and
343343 24 electronic physician and dental directories must be
344344 25 updated consistent with current rules as published by the
345345 26 Centers for Medicare and Medicaid Services or its
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356356 1 successor agency.
357357 2 (g) Timely payment of claims.
358358 3 (1) The MCO shall pay a claim within 30 days of
359359 4 receiving a claim that contains all the essential
360360 5 information needed to adjudicate the claim.
361361 6 (2) The MCO shall notify the billing party of its
362362 7 inability to adjudicate a claim within 30 days of
363363 8 receiving that claim.
364364 9 (3) The MCO shall pay a penalty that is at least equal
365365 10 to the timely payment interest penalty imposed under
366366 11 Section 368a of the Illinois Insurance Code for any claims
367367 12 not timely paid.
368368 13 (A) When an MCO is required to pay a timely payment
369369 14 interest penalty to a provider, the MCO must calculate
370370 15 and pay the timely payment interest penalty that is
371371 16 due to the provider within 30 days after the payment of
372372 17 the claim. In no event shall a provider be required to
373373 18 request or apply for payment of any owed timely
374374 19 payment interest penalties.
375375 20 (B) Such payments shall be reported separately
376376 21 from the claim payment for services rendered to the
377377 22 MCO's enrollee and clearly identified as interest
378378 23 payments.
379379 24 (4)(A) The Department shall require MCOs to expedite
380380 25 payments to providers identified on the Department's
381381 26 expedited provider list, determined in accordance with 89
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392392 1 Ill. Adm. Code 140.71(b), on a schedule at least as
393393 2 frequently as the providers are paid under the
394394 3 Department's fee-for-service expedited provider schedule.
395395 4 (B) Compliance with the expedited provider requirement
396396 5 may be satisfied by an MCO through the use of a Periodic
397397 6 Interim Payment (PIP) program that has been mutually
398398 7 agreed to and documented between the MCO and the provider,
399399 8 if the PIP program ensures that any expedited provider
400400 9 receives regular and periodic payments based on prior
401401 10 period payment experience from that MCO. Total payments
402402 11 under the PIP program may be reconciled against future PIP
403403 12 payments on a schedule mutually agreed to between the MCO
404404 13 and the provider.
405405 14 (C) The Department shall share at least monthly its
406406 15 expedited provider list and the frequency with which it
407407 16 pays providers on the expedited list.
408408 17 (g-5) Recognizing that the rapid transformation of the
409409 18 Illinois Medicaid program may have unintended operational
410410 19 challenges for both payers and providers:
411411 20 (1) in no instance shall a medically necessary covered
412412 21 service rendered in good faith, based upon eligibility
413413 22 information documented by the provider, be denied coverage
414414 23 or diminished in payment amount if the eligibility or
415415 24 coverage information available at the time the service was
416416 25 rendered is later found to be inaccurate in the assignment
417417 26 of coverage responsibility between MCOs or the
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428428 1 fee-for-service system, except for instances when an
429429 2 individual is deemed to have not been eligible for
430430 3 coverage under the Illinois Medicaid program; and
431431 4 (2) the Department shall, by December 31, 2016, adopt
432432 5 rules establishing policies that shall be included in the
433433 6 Medicaid managed care policy and procedures manual
434434 7 addressing payment resolutions in situations in which a
435435 8 provider renders services based upon information obtained
436436 9 after verifying a patient's eligibility and coverage plan
437437 10 through either the Department's current enrollment system
438438 11 or a system operated by the coverage plan identified by
439439 12 the patient presenting for services:
440440 13 (A) such medically necessary covered services
441441 14 shall be considered rendered in good faith;
442442 15 (B) such policies and procedures shall be
443443 16 developed in consultation with industry
444444 17 representatives of the Medicaid managed care health
445445 18 plans and representatives of provider associations
446446 19 representing the majority of providers within the
447447 20 identified provider industry; and
448448 21 (C) such rules shall be published for a review and
449449 22 comment period of no less than 30 days on the
450450 23 Department's website with final rules remaining
451451 24 available on the Department's website.
452452 25 The rules on payment resolutions shall include, but
453453 26 not be limited to:
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464464 1 (A) the extension of the timely filing period;
465465 2 (B) retroactive prior authorizations; and
466466 3 (C) guaranteed minimum payment rate of no less
467467 4 than the current, as of the date of service,
468468 5 fee-for-service rate, plus all applicable add-ons,
469469 6 when the resulting service relationship is out of
470470 7 network.
471471 8 The rules shall be applicable for both MCO coverage
472472 9 and fee-for-service coverage.
473473 10 If the fee-for-service system is ultimately determined to
474474 11 have been responsible for coverage on the date of service, the
475475 12 Department shall provide for an extended period for claims
476476 13 submission outside the standard timely filing requirements.
477477 14 (g-6) MCO Performance Metrics Report.
478478 15 (1) The Department shall publish, on at least a
479479 16 quarterly basis, each MCO's operational performance,
480480 17 including, but not limited to, the following categories of
481481 18 metrics:
482482 19 (A) claims payment, including timeliness and
483483 20 accuracy;
484484 21 (B) prior authorizations;
485485 22 (C) grievance and appeals;
486486 23 (D) utilization statistics;
487487 24 (E) provider disputes;
488488 25 (F) provider credentialing; and
489489 26 (G) member and provider customer service.
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500500 1 (2) The Department shall ensure that the metrics
501501 2 report is accessible to providers online by January 1,
502502 3 2017.
503503 4 (3) The metrics shall be developed in consultation
504504 5 with industry representatives of the Medicaid managed care
505505 6 health plans and representatives of associations
506506 7 representing the majority of providers within the
507507 8 identified industry.
508508 9 (4) Metrics shall be defined and incorporated into the
509509 10 applicable Managed Care Policy Manual issued by the
510510 11 Department.
511511 12 (g-7) MCO claims processing and performance analysis. In
512512 13 order to monitor MCO payments to hospital providers, pursuant
513513 14 to Public Act 100-580, the Department shall post an analysis
514514 15 of MCO claims processing and payment performance on its
515515 16 website every 6 months. Such analysis shall include a review
516516 17 and evaluation of a representative sample of hospital claims
517517 18 that are rejected and denied for clean and unclean claims and
518518 19 the top 5 reasons for such actions and timeliness of claims
519519 20 adjudication, which identifies the percentage of claims
520520 21 adjudicated within 30, 60, 90, and over 90 days, and the dollar
521521 22 amounts associated with those claims.
522522 23 (g-8) Dispute resolution process. The Department shall
523523 24 maintain a provider complaint portal through which a provider
524524 25 can submit to the Department unresolved disputes with an MCO.
525525 26 An unresolved dispute means an MCO's decision that denies in
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536536 1 whole or in part a claim for reimbursement to a provider for
537537 2 health care services rendered by the provider to an enrollee
538538 3 of the MCO with which the provider disagrees. Disputes shall
539539 4 not be submitted to the portal until the provider has availed
540540 5 itself of the MCO's internal dispute resolution process.
541541 6 Disputes that are submitted to the MCO internal dispute
542542 7 resolution process may be submitted to the Department of
543543 8 Healthcare and Family Services' complaint portal no sooner
544544 9 than 30 days after submitting to the MCO's internal process
545545 10 and not later than 30 days after the unsatisfactory resolution
546546 11 of the internal MCO process or 60 days after submitting the
547547 12 dispute to the MCO internal process. Multiple claim disputes
548548 13 involving the same MCO may be submitted in one complaint,
549549 14 regardless of whether the claims are for different enrollees,
550550 15 when the specific reason for non-payment of the claims
551551 16 involves a common question of fact or policy. Within 10
552552 17 business days of receipt of a complaint, the Department shall
553553 18 present such disputes to the appropriate MCO, which shall then
554554 19 have 30 days to issue its written proposal to resolve the
555555 20 dispute. The Department may grant one 30-day extension of this
556556 21 time frame to one of the parties to resolve the dispute. If the
557557 22 dispute remains unresolved at the end of this time frame or the
558558 23 provider is not satisfied with the MCO's written proposal to
559559 24 resolve the dispute, the provider may, within 30 days, request
560560 25 the Department to review the dispute and make a final
561561 26 determination. Within 30 days of the request for Department
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572572 1 review of the dispute, both the provider and the MCO shall
573573 2 present all relevant information to the Department for
574574 3 resolution and make individuals with knowledge of the issues
575575 4 available to the Department for further inquiry if needed.
576576 5 Within 30 days of receiving the relevant information on the
577577 6 dispute, or the lapse of the period for submitting such
578578 7 information, the Department shall issue a written decision on
579579 8 the dispute based on contractual terms between the provider
580580 9 and the MCO, contractual terms between the MCO and the
581581 10 Department of Healthcare and Family Services and applicable
582582 11 Medicaid policy. The decision of the Department shall be
583583 12 final. By January 1, 2020, the Department shall establish by
584584 13 rule further details of this dispute resolution process.
585585 14 Disputes between MCOs and providers presented to the
586586 15 Department for resolution are not contested cases, as defined
587587 16 in Section 1-30 of the Illinois Administrative Procedure Act,
588588 17 conferring any right to an administrative hearing.
589589 18 (g-9)(1) The Department shall publish annually on its
590590 19 website a report on the calculation of each managed care
591591 20 organization's medical loss ratio showing the following:
592592 21 (A) Premium revenue, with appropriate adjustments.
593593 22 (B) Benefit expense, setting forth the aggregate
594594 23 amount spent for the following:
595595 24 (i) Direct paid claims.
596596 25 (ii) Subcapitation payments.
597597 26 (iii) Other claim payments.
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608608 1 (iv) Direct reserves.
609609 2 (v) Gross recoveries.
610610 3 (vi) Expenses for activities that improve health
611611 4 care quality as allowed by the Department.
612612 5 (2) The medical loss ratio shall be calculated consistent
613613 6 with federal law and regulation following a claims runout
614614 7 period determined by the Department.
615615 8 (g-10)(1) "Liability effective date" means the date on
616616 9 which an MCO becomes responsible for payment for medically
617617 10 necessary and covered services rendered by a provider to one
618618 11 of its enrollees in accordance with the contract terms between
619619 12 the MCO and the provider. The liability effective date shall
620620 13 be the later of:
621621 14 (A) The execution date of a network participation
622622 15 contract agreement.
623623 16 (B) The date the provider or its representative
624624 17 submits to the MCO the complete and accurate standardized
625625 18 roster form for the provider in the format approved by the
626626 19 Department.
627627 20 (C) The provider effective date contained within the
628628 21 Department's provider enrollment subsystem within the
629629 22 Illinois Medicaid Program Advanced Cloud Technology
630630 23 (IMPACT) System.
631631 24 (2) The standardized roster form may be submitted to the
632632 25 MCO at the same time that the provider submits an enrollment
633633 26 application to the Department through IMPACT.
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644644 1 (3) By October 1, 2019, the Department shall require all
645645 2 MCOs to update their provider directory with information for
646646 3 new practitioners of existing contracted providers within 30
647647 4 days of receipt of a complete and accurate standardized roster
648648 5 template in the format approved by the Department provided
649649 6 that the provider is effective in the Department's provider
650650 7 enrollment subsystem within the IMPACT system. Such provider
651651 8 directory shall be readily accessible for purposes of
652652 9 selecting an approved health care provider and comply with all
653653 10 other federal and State requirements.
654654 11 (g-11) The Department shall work with relevant
655655 12 stakeholders on the development of operational guidelines to
656656 13 enhance and improve operational performance of Illinois'
657657 14 Medicaid managed care program, including, but not limited to,
658658 15 improving provider billing practices, reducing claim
659659 16 rejections and inappropriate payment denials, and
660660 17 standardizing processes, procedures, definitions, and response
661661 18 timelines, with the goal of reducing provider and MCO
662662 19 administrative burdens and conflict. The Department shall
663663 20 include a report on the progress of these program improvements
664664 21 and other topics in its Fiscal Year 2020 annual report to the
665665 22 General Assembly.
666666 23 (g-12) Notwithstanding any other provision of law, if the
667667 24 Department or an MCO requires submission of a claim for
668668 25 payment in a non-electronic format, a provider shall always be
669669 26 afforded a period of no less than 90 business days, as a
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680680 1 correction period, following any notification of rejection by
681681 2 either the Department or the MCO to correct errors or
682682 3 omissions in the original submission.
683683 4 Under no circumstances, either by an MCO or under the
684684 5 State's fee-for-service system, shall a provider be denied
685685 6 payment for failure to comply with any timely submission
686686 7 requirements under this Code or under any existing contract,
687687 8 unless the non-electronic format claim submission occurs after
688688 9 the initial 180 days following the latest date of service on
689689 10 the claim, or after the 90 business days correction period
690690 11 following notification to the provider of rejection or denial
691691 12 of payment.
692692 13 (h) The Department shall not expand mandatory MCO
693693 14 enrollment into new counties beyond those counties already
694694 15 designated by the Department as of June 1, 2014 for the
695695 16 individuals whose eligibility for medical assistance is not
696696 17 the seniors or people with disabilities population until the
697697 18 Department provides an opportunity for accountable care
698698 19 entities and MCOs to participate in such newly designated
699699 20 counties.
700700 21 (h-5) Leading indicator data sharing. By January 1, 2024,
701701 22 the Department shall obtain input from the Department of Human
702702 23 Services, the Department of Juvenile Justice, the Department
703703 24 of Children and Family Services, the State Board of Education,
704704 25 managed care organizations, providers, and clinical experts to
705705 26 identify and analyze key indicators from assessments and data
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716716 1 sets available to the Department that can be shared with
717717 2 managed care organizations and similar care coordination
718718 3 entities contracted with the Department as leading indicators
719719 4 for elevated behavioral health crisis risk for children. To
720720 5 the extent permitted by State and federal law, the identified
721721 6 leading indicators shall be shared with managed care
722722 7 organizations and similar care coordination entities
723723 8 contracted with the Department within 6 months of
724724 9 identification for the purpose of improving care coordination
725725 10 with the early detection of elevated risk. Leading indicators
726726 11 shall be reassessed annually with stakeholder input.
727727 12 (i) The requirements of this Section apply to contracts
728728 13 with accountable care entities and MCOs entered into, amended,
729729 14 or renewed after June 16, 2014 (the effective date of Public
730730 15 Act 98-651).
731731 16 (j) Health care information released to managed care
732732 17 organizations. A health care provider shall release to a
733733 18 Medicaid managed care organization, upon request, and subject
734734 19 to the Health Insurance Portability and Accountability Act of
735735 20 1996 and any other law applicable to the release of health
736736 21 information, the health care information of the MCO's
737737 22 enrollee, if the enrollee has completed and signed a general
738738 23 release form that grants to the health care provider
739739 24 permission to release the recipient's health care information
740740 25 to the recipient's insurance carrier.
741741 26 (k) The Department of Healthcare and Family Services,
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752752 1 managed care organizations, a statewide organization
753753 2 representing hospitals, and a statewide organization
754754 3 representing safety-net hospitals shall explore ways to
755755 4 support billing departments in safety-net hospitals.
756756 5 (l) The requirements of this Section added by Public Act
757757 6 102-4 shall apply to services provided on or after the first
758758 7 day of the month that begins 60 days after April 27, 2021 (the
759759 8 effective date of Public Act 102-4).
760760 9 (m) The Department shall impose sanctions on a managed
761761 10 care organization for violating any provision under this
762762 11 Section, including, but not limited to, financial penalties,
763763 12 suspension of enrollment of new enrollees, and termination of
764764 13 the MCO's contract with the Department.
765765 14 (Source: P.A. 102-4, eff. 4-27-21; 102-43, eff. 7-6-21;
766766 15 102-144, eff. 1-1-22; 102-454, eff. 8-20-21; 102-813, eff.
767767 16 5-13-22; 103-546, eff. 8-11-23.)
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