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STATE OF OKLAHOMA
2nd Session of the 58th Legislature (2022)
HOUSE BILL 2971 By: Nichols
AS INTRODUCED
An Act relating to public health; amending 63 O.S.
2021, Section 5007, which relates to the Oklahoma
Health Care Authority Board; modifying member
qualifications; modifying members ' terms of service;
amending 63 O.S. 2021, Section 5008, which relates to
the Administrator of the Oklahoma Health Care
Authority; modifying Administrator 's qualifications,
selection process, and term of service; and providing
an effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 63 O.S. 20 21, Section 5007, is
amended to read as follows:
Section 5007. A. There is hereby created the Ok lahoma Health
Care Authority Board which shall consist of the following nine (9)
members:
1. Five members appointed by the Governor . Two of the members
appointed by the Governor shall be consumers and one shall be a
physician licensed to practice medicin e in the State of Oklahoma ;
2. Two members appointed by the Speaker of the House of
Representatives; and
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3. Two members appointed by the President Pro Tempore of the
Senate.
B. Members appointed pursuant to subsection A of this section,
with the exception of the consumer members, shall include pers ons
having experience in medical care, health care services, health care
delivery, health care finance, health insurance, or managed health
care. Consumer members shall have no financial or professional
interest in medical care, health care services, heal th care
delivery, health care finance, health insurance, or managed health
care. In making the appointments, the appointing authority shall
also give consideration to urban, rural, gender, and minority
representation.
C. Each member shall serve at the pleasure of until the end of
the term of his or her appointing authority and may be removed or
replaced without with cause. Any member of the Board shall be
prohibited from voting on any issue in which the membe r has a direct
financial interest. The Admini strator of the Oklahoma Health Care
Authority shall be an ex officio member of the Board, but shall be
entitled to vote only in case of a tie vote.
C. D. The Board shall have the power and duty to:
1. Establish the policies of the Oklahoma Health Care
Authority;
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2. Adopt and promulgate rules as necessary and appropriate to
carry out the duties and responsibilities of the Authority. The
Board shall be the rulemaking body for the Authority; and
3. Adopt, publish and submit by January 1 of each year to th e
Governor, the President Pro Tempore of the Senate, and the Speaker
of the House of Representatives appropriate administrative policies
and the business plan for that year. All actions governed by the
administrative policies and annual business plan shal l be examined
annually in an independent audit.
D. E. A majority of the members of the Board shall constitute a
quorum for the transaction of business and for taking any official
action. Official action of th e Board must have a favorable vote by
a majority of the members present.
E. F. Members appointed pursuant to subsection A of this
section shall serve without compensation but shall be reimbursed for
expenses incurred in the performance of their duties in accordance
with the State Travel Reimbursement Act.
F. G. The Board and the Authority shall act in accordance with
the provisions of the Oklahoma Open Meeting Act, the Oklahoma Open
Records Act and the Administrative Procedures Act.
SECTION 2. AMENDATORY 63 O.S. 20 21, Section 5008, is
amended to read as follows:
Section 5008. A. The Administrator of the Oklahoma Health Care
Authority shall have the training and experience necessary for the
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administration of the Authority , as determined by the Oklahoma
Health Care Authority Board, including, but not limited to, prior
experience in the administration of managed health care . The
Administrator shall be appointed by the Governor with the advice and
consent of the Senate and from among three candidates who m the Board
shall select. The Administrator shall serve at the pleasure of the
Governor Board and may be removed or replaced without with cause.
Compensation for the Administrator shall be determined by the
Governor Board. The Administrator may be removed from office by a
two-thirds (2/3) vote of the members elected to and constituting
each chamber of the Legislature.
B. The Administrator of the Oklahoma Health Care Authority
shall be the chief executive officer of the Authority an d shall act
for the Authority in all matters e xcept as may be otherwise provided
by law. The powers and duties of the Administrator shall include
but not be limited to:
1. Supervision of the activities of the Authority;
2. Formulation and recommendation of rules for approval or
rejection by the Okl ahoma Health Care Authority Board and
enforcement of rules and standards promulgated by the Board;
3. Preparation of the plans, reports and proposals required by
the Oklahoma Health Care Authority Act, Section 5003 et seq. of this
title, other reports as necessary and appropriate, and an annual
budget for the review and approval of the Board;
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4. Employment of such staff as may be necessary to perform the
duties of the Authority including but not limited to an attorney to
provide legal assistance to the Au thority for the state Medicaid
program; and
5. Establishment of a contract bidding process which:
a. encourages competition among entities contracting with
the Authority for state -purchased and state-subsidized
health care; provided, however, the Authorit y may make
patient volume adjustments to any managed care plan
whose prime contractor is a state -sponsored,
nationally accredited medical school. The Authority
may also make education or research supplemental
payments to state-sponsored, nationally accred ited
medical schools based on the level of participation in
any managed care plan by managed care plan
participants,
b. coincides with the state budgetary process, and
c. specifies conditions for awarding contr acts to any
insuring entity.
C. The Administrator may appoint advisory committees as
necessary to assist the Authority with the performance of its duties
or to provide the Authority with expertise in technical matters.
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SECTION 3. This act shall become effective November 1, 2022.
58-2-8441 AB 09/13/21