2023 -- S 0530 SUBSTITUTE A
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LC001403/SUB A
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S TATE OF RHODE IS LAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2023
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A N A C T
RELATING TO STATE AFFAIRS AND GOVERNME NT -- THE HEALTHCARE SERVICES
FUNDING PLAN ACT
Introduced By: Senators Goodwin, and DiMario
Date Introduced: March 07, 2023
Referred To: Senate Finance
It is enacted by the General Assembly as follows:
SECTION 1. Section 42-7.4-3 of the General Laws in Chapter 42-7.4 entitled "The 1
Healthcare Services Funding Plan Act" is hereby amended to read as follows: 2
42-7.4-3. Imposition of healthcare services funding contribution. 3
(a) Each insurer is required to pay the healthcare services funding contribution for each 4
contribution enrollee of the insurer at the time the contribution is calculated and paid, at the rate set 5
forth in this section. 6
(1) Beginning January 1, 2016 July 1, 2023, the secretary shall set the healthcare services 7
funding contribution each fiscal year in an amount equal to: (i) The child immunization funding 8
requirement described in § 23-1-46; plus (ii) The adult immunization funding requirement 9
described in § 23-1-46; plus (iii) The children’s health services funding requirement described in § 10
42-12-29; plus (iv) The psychiatry resource network funding requirement described in § 23-1-46.1 11
and all as divided by (iv)(v) The number of contribution enrollees of all insurers. 12
(2) The contribution set forth herein shall be in addition to any other fees or assessments 13
upon the insurer allowable by law. 14
(b) The contribution shall be paid by the insurer; provided, however, a person providing 15
health benefits coverage on a self-insurance basis that uses the services of a third-party 16
administrator shall not be required to make a contribution for a contribution enrollee where the 17
contribution on that enrollee has been or will be made by the third-party administrator. 18
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(c) The secretary shall create a process to facilitate the transition to the healthcare services 1
funding contribution method that: (i) assures adequate funding beginning July 1, 2016, (ii) reflects 2
that funding via the healthcare services funding contribution method initially will be for only a 3
portion of the state’s fiscal year, and (iii) avoids duplicate liability for any insurer that made a 4
payment under the premium assessment method in effect prior to January 1, 2016, for a period for 5
which it would also be liable for a contribution under the healthcare services funding contribution 6
method as described in this chapter. 7
SECTION 2. Chapter 23-1 of the General Laws entitled "Department of Health" is hereby 8
amended by adding thereto the following section: 9
23-1-46.1. Psychiatry resource network account (Effective July 1, 2023). 10
(a) There is created within the general fund a restricted receipt account to be known as the 11
"PRN account." All money in the account shall be utilized by the department of health to effectuate 12
coverage for the following services: Existing Rhode Island lines including the PediPRN and 13
MomsPRN information lines together with any additional information line, referral service, or 14
hotline which is available to providers or residents in the state, and which is funded pursuant to 15
regulation adopted by the director of the department of health. Amounts collected pursuant to § 42-16
7.4-3(a)(1)(iv) shall be deposited in the "PRN account." The funds shall be used solely for the 17
purposes of the "PRN account," and no other. 18
(b) Each year's psychiatry resource network funding requirement in § 42-7.4-3(a)(1)(iv) 19
shall be the amount: 20
(1) Projected by the department of health for the services in subsection (a) of this section; 21
plus 22
(2) A ten percent (10%) contingency for unexpected expenses; and after 23
(3) Deduction for any projected carryover of excess funds from prior assessments. 24
(c) The department of health shall submit to the general assembly an annual report on the 25
program and costs related to the program, on or before February 1 of each year. The department 26
shall make available to each insurer required to make a contribution pursuant to § 42-7.4-3, upon 27
its request, detailed information regarding the programs described in subsection (a) of this section 28
and the costs related to those programs. 29
(d) The "PRN account" shall be exempt from the indirect costs recovery provisions of § 30
35-4-27. 31
SECTION 3. Section 35-4-27 of the General Laws in Chapter 35-4 entitled "State Funds" 32
is hereby amended to read as follows: 33
35-4-27. Indirect cost recoveries on restricted receipt accounts. 34
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Indirect cost recoveries of ten percent (10%) of cash receipts shall be transferred from all 1
restricted-receipt accounts, to be recorded as general revenues in the general fund. However, there 2
shall be no transfer from cash receipts with restrictions received exclusively: (1) From contributions 3
from nonprofit charitable organizations; (2) From the assessment of indirect cost-recovery rates on 4
federal grant funds; or (3) Through transfers from state agencies to the department of administration 5
for the payment of debt service. These indirect cost recoveries shall be applied to all accounts, 6
unless prohibited by federal law or regulation, court order, or court settlement. The following 7
restricted receipt accounts shall not be subject to the provisions of this section: 8
Executive Office of Health and Human Services 9
Organ Transplant Fund 10
HIV Care Grant Drug Rebates 11
Health System Transformation Project 12
Rhode Island Statewide Opioid Abatement Account 13
HCBS Support-ARPA 14
HCBS Admin Support-ARPA 15
Department of Human Services 16
Veterans’ home — Restricted account 17
Veterans’ home — Resident benefits 18
Pharmaceutical Rebates Account 19
Demand Side Management Grants 20
Veteran’s Cemetery Memorial Fund 21
Donations — New Veterans’ Home Construction 22
Department of Health 23
Pandemic medications and equipment account 24
Miscellaneous Donations/Grants from Non-Profits 25
State Loan Repayment Match 26
Healthcare Information Technology 27
Healthcare services funding accounts for the psychiatry resource network (PRN) 28
Department of Behavioral Healthcare, Developmental Disabilities and Hospitals 29
Eleanor Slater non-Medicaid third-party payor account 30
Hospital Medicare Part D Receipts 31
RICLAS Group Home Operations 32
Commission on the Deaf and Hard of Hearing 33
Emergency and public communication access account 34
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Department of Environmental Management 1
National heritage revolving fund 2
Environmental response fund II 3
Underground storage tanks registration fees 4
De Coppet Estate Fund 5
Rhode Island Historical Preservation and Heritage Commission 6
Historic preservation revolving loan fund 7
Historic Preservation loan fund — Interest revenue 8
Department of Public Safety 9
E-911 Uniform Emergency Telephone System 10
Forfeited property — Retained 11
Forfeitures — Federal 12
Forfeited property — Gambling 13
Donation — Polygraph and Law Enforcement Training 14
Rhode Island State Firefighter’s League Training Account 15
Fire Academy Training Fees Account 16
Attorney General 17
Forfeiture of property 18
Federal forfeitures 19
Attorney General multi-state account 20
Forfeited property — Gambling 21
Department of Administration 22
OER Reconciliation Funding 23
Health Insurance Market Integrity Fund 24
RI Health Benefits Exchange 25
Information Technology Investment Fund 26
Restore and replacement — Insurance coverage 27
Convention Center Authority rental payments 28
Investment Receipts — TANS 29
OPEB System Restricted Receipt Account 30
Car Rental Tax/Surcharge-Warwick Share 31
Grants Management Administration 32
Executive Office of Commerce 33
Housing Resources Commission Restricted Account 34
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Housing Production Fund 1
Department of Revenue 2
DMV Modernization Project 3
Jobs Tax Credit Redemption Fund 4
Legislature 5
Audit of federal assisted programs 6
Department of Children, Youth and Families 7
Children’s Trust Accounts — SSI 8
Military Staff 9
RI Military Family Relief Fund 10
RI National Guard Counterdrug Program 11
Treasury 12
Admin. Expenses — State Retirement System 13
Retirement — Treasury Investment Options 14
Defined Contribution — Administration - RR 15
Violent Crimes Compensation — Refunds 16
Treasury Research Fellowship 17
Business Regulation 18
Banking Division Reimbursement Account 19
Office of the Health Insurance Commissioner Reimbursement Account 20
Securities Division Reimbursement Account 21
Commercial Licensing and Racing and Athletics Division Reimbursement Account 22
Insurance Division Reimbursement Account 23
Historic Preservation Tax Credit Account 24
Marijuana Trust Fund 25
Social Equity Assistance Fund 26
Judiciary 27
Arbitration Fund Restricted Receipt Account 28
Third-Party Grants 29
RI Judiciary Technology Surcharge Account 30
Department of Elementary and Secondary Education 31
Statewide Student Transportation Services Account 32
School for the Deaf Fee-for-Service Account 33
School for the Deaf — School Breakfast and Lunch Program 34
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Davies Career and Technical School Local Education Aid Account 1
Davies — National School Breakfast & Lunch Program 2
School Construction Services 3
Office of the Postsecondary Commissioner 4
Higher Education and Industry Center 5
IGT STEM Scholarships 6
Department of Labor and Training 7
Job Development Fund 8
Rhode Island Council on the Arts 9
Governors’ Portrait Donation Fund 10
Statewide records management system account 11
SECTION 4. This act shall take effect on July 1, 2023. 12
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LC001403/SUB A - Page 7 of 7
EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO STATE AFFAIRS AND GOVERNMENT -- THE HEALTHCARE SERVICES
FUNDING PLAN ACT
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This act would amend Rhode Island's existing healthcare services funding plan act by 1
adding an account relating to a new psychiatry resource network to fund Rhode Island's present 2
PediPRN and MomsPRN, as well as similar programs which may be added by regulation in the 3
future. It also adds an assessment to those previously authorized by the healthcare services funding 4
plan act for purposes of funding this new account. 5
This act would take effect on July 1, 2023. 6
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