SLS 10RS-23 REENGROSSED Page 1 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Regular Session, 2010 SENATE BILL NO. 207 BY SENATOR MOUNT HEALTH SERVICES. Provides for contracts for fiscal intermediary services in processing claims of health care providers. (8/15/10) AN ACT1 To amend and reenact R.S. 39:198(D)(2) and (8), relative to contracts for fiscal intermediary2 services in processing claims of health care providers; to provide for submission of3 justification for the issuance of a solicitation for proposal; to provide for the exercise4 of an option to renew; to provide for public hearings; and to provide for related5 matters.6 Be it enacted by the Legislature of Louisiana:7 Section 1. R.S. 39:198(D)(2) and (8) are hereby amended and reenacted to read as8 follows: 9 ยง198. Types of contracts permitted10 The types of contracts permitted in the procurement of data processing11 equipment, related services, and software are defined herein, and the provisions of12 this Part supersede, with respect to such procurements, any existing conflicting13 statutory provisions.14 * * *15 D. Contracts for fiscal intermediary services in processing claims of health16 care providers. State agencies may enter into contracts for fiscal intermediary17 SB NO. 207 SLS 10RS-23 REENGROSSED Page 2 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. services in processing claims of health care providers. The term of such a contract1 shall be one hundred twenty months. In the event special circumstances, as provided2 in Paragraph (9), necessitate, additional one-year extensions of the contract may be3 granted. The award process and final contract shall include the following:4 * * *5 (2) Justification for the contract shall be submitted to the state central6 purchasing agency and shall be presented in a public hearing submitted to the House7 and Senate committees on Health health and Welfare welfare , meeting jointly, or8 a joint subcommittee thereof at least forty-five days prior to the issuance of a9 solicitation for proposals. Within thirty days of receipt of the justification by the10 House and Senate committees on health and welfare, either committee may11 convene a meeting separately or jointly for the purpose of conducting a public12 hearing on the justification which was submitted. Such justification shall include13 identification and consideration of all factors, including costs, relevant to the14 solicitation for proposals and the final contract.15 * * *16 (8) No option to renew such contract shall be exercised by the state until after17 a public hearing concerning such renewal has been held before the House and Senate18 committees on Health and Welfare, meeting jointly or a joint subcommittee thereof.19 the following criteria have been satisfied:20 (a) The Department of Health and Hospitals has conducted a public21 hearing concerning such renewal.22 (b) The Department of Health and Hospitals submits to the House and23 Senate committees on health and welfare a notice of intention by the24 Department of Health and Hospitals to exercise the option to renew such25 contract and a copy of any public testimony which was taken at the public26 hearing held by the Department of Health and Hospitals. The House and Senate27 committees on health and welfare, meeting separately or jointly, may hold a28 public hearing concerning such renewal within thirty days following the receipt29 SB NO. 207 SLS 10RS-23 REENGROSSED Page 3 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. of a notice of intention by the Department of Health and Hospitals to exercise1 the option to renew such contract.2 (c) The House and Senate committees on health and welfare, meeting3 separately or jointly, have conducted a public hearing concerning such renewal4 or thirty days have elapsed from the date the Department of Health and5 Hospitals submitted a notice of intention to renew such contract to the House6 and Senate committees on health and welfare and neither committee has posted7 a public notice of meeting concerning the renewal of such contract.8 * * *9 The original instrument was prepared by Greg Waddell. The following digest, which does not constitute a part of the legislative instrument, was prepared by Michelle Broussard-Johnson. DIGEST Mount (SB 207) Present law requires that the award process for a contract for fiscal intermediary services include justification for the contract being submitted to the state central purchasing agency and shall be presented in a public hearing to the House and Senate committees on health and welfare, meeting jointly, or a joint subcommittee thereof prior to the issuance of a solicitation for proposals. Proposed law removes the requirement that the justification shall be presented in a public hearing to the House and Senate committees on health and welfare and makes this requirement permissive requiring the public hearing only in the event either committee requests such a hearing within 30 days from submission of the justification by DHH to the committees. Present law provides that no option to renew such contract shall be exercised by the state until after a public hearing concerning such renewal has been held before the House and Senate committees on health and welfare, meeting jointly, or a joint subcommittee thereof. Proposed law provides that no option to renew such contract shall be exercised by the state until the following criteria have been satisfied: (1) The Department of Health and Hospitals has conducted a public hearing concerning such renewal. (2)The Department of Health and Hospitals submits to the House and Senate committees on health and welfare a notice of intention by the Department of Health and Hospitals to exercise the option to renew such contract and a copy of any public testimony which was taken at the public hearing held by the Department of Health and Hospitals. The House and Senate committees on health and welfare, meeting separately or jointly, may hold a public hearing concerning such renewal within 30 days following the receipt of a notice of intention by the Department of Health and Hospitals to exercise the option to renew such contract. SB NO. 207 SLS 10RS-23 REENGROSSED Page 4 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. (3)The House and Senate committees on health and welfare, meeting separately or jointly, have conducted a public hearing concerning such renewal or 30 days have elapsed from the date the Department of Health and Hospitals submitted a notice of intention to renew such contract to the House and Senate committees on health and welfare and neither committee has posted a public notice of meeting concerning the renewal of such contract. Effective August 15, 2010. (Amends R.S. 39:198(D)(2) and (8)) Summary of Amendments Adopted by Senate Committee Amendments Proposed by Senate Committee on Health and Welfare to the original bill. 1. Provides that either the House or Senate committee on health and welfare may convene a public hearing within the thirty-day time frame rather than simply having to call the public hearing during the time frame. 2. Technical amendments. Senate Floor Amendments to reengrossed bill. 1. Technical amendments made