HLS 24RS-1647 ORIGINAL 2024 Regular Session HOUSE BILL NO. 780 BY REPRESENTATIVE HUGHES PROCUREMENT: Provides relative to the extension of existing fiscal intermediary contracts 1 AN ACT 2To amend and reenact R.S. 39:198(I)(introductory paragraph) and (3), relative to contracts 3 for fiscal intermediary services; to provide with respect to extension of such 4 contracts; and to provide for related matters. 5Be it enacted by the Legislature of Louisiana: 6 Section 1. R.S. 39:198(I)(introductory paragraph) and (3) are hereby amended and 7reenacted to read as follows: 8 ยง198. Types of contracts permitted 9 * * * 10 I. Contracts for fiscal intermediary services. State agencies may enter into 11 contracts for fiscal intermediary services. The term of the contract shall be one 12 hundred twenty months. If special circumstances, as provided in Paragraph (9) of this 13 Subsection, necessitate, additional one-year extensions of the contract, not to exceed 14 three years for each such extension, may be granted. The award process and final 15 contract shall include the following: 16 * * * 17 (3) The one-hundred-twenty-month term of such contract shall be divided 18 into one period of between thirty-six months and sixty months, immediately followed 19 by successive twelve-month periods. The state shall have an option to renew such 20 contract for each of the twelve-month periods. If the state does not exercise its Page 1 of 2 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 24RS-1647 ORIGINAL HB NO. 780 1 option to renew, the contract shall be terminated. In the event special circumstances 2 occur, as provided in Paragraph (9) of this Subsection, additional twelve-month 3 extensions of the contract, not to exceed three years for each such extension, may be 4 granted. 5 * * * DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 780 Original 2024 Regular Session Hughes Abstract: Authorizes extension of fiscal intermediary services contracts for periods up to three years at a time. Present law authorizes state agencies to procure contracts for fiscal intermediary services. Defines "fiscal intermediary services" as an information technology system including but not limited to electronic visit verification, third-party liability, financial management, provider management system, care management, healthcare claims and encounter processing, payment integrity, data warehousing, and pharmacy benefit management, that is used for managing all or part of a Medicaid program. Proposed law retains present law. Present law provides that the term of any fiscal intermediary services contract shall be 120 months. Proposed law retains present law. Present law provides that if special circumstances, as defined in present law, necessitate, additional one-year extensions of the contract may be granted. Proposed law changes this from one-year extensions to extensions up to three years. (Amends R.S. 39:198(I)(intro. para.) and (3)) Page 2 of 2 CODING: Words in struck through type are deletions from existing law; words underscored are additions.