Bill Text: AZ HB2857 | 2012 | Fiftieth Legislature 2nd Regular | Introduced
Bill Title: Health; welfare; budget reconciliation; 2012-2013
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2012-05-01 - House Committee of the Whole action: Do Pass Amended [HB2857 Detail]
Download: Arizona-2012-HB2857-Introduced.html
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REFERENCE TITLE: health; welfare; budget reconciliation; 2012-2013 |
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State of Arizona House of Representatives Fiftieth Legislature Second Regular Session 2012
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HB 2857 |
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Introduced by Representative Kavanagh (with permission of Committee on Rules)
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AN ACT
amending section 35‑142.01, Arizona Revised Statutes; amending Laws 2011, chapter 31, section 34; making a transfer; relating to health and welfare budget reconciliation.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 35-142.01, Arizona Revised Statutes, is amended to read:
35-142.01. Reimbursement of appropriated funds; receipt and deposit; prohibition
A. Except as provided in subsection B of this section, when monies are appropriated to a budget unit for a specific program or purpose which that is subject to reimbursement in whole or in part from federal monies or any other source, and which that is so noted in the appropriation bill, the budget unit, upon receipt of such reimbursement, shall deposit the monies, pursuant to sections 35‑146 and 35‑147, in the state general fund or the fund from which the appropriation was originally made. If the reimbursement is not noted in the appropriation bill, it may be credited to the account out of which the expenditure was incurred if the director of the budget unit determines that reimbursement within the fiscal year is necessary for operation of the budget unit and was not specifically considered and rejected by the legislature at the time of appropriating monies to the budget unit. The director of the budget unit shall notify the joint legislative budget committee, the governor's office of strategic planning and budgeting and the state comptroller in writing of determinations made pursuant to this section.
B. When monies are appropriated to the Arizona health care cost containment system administration or the department of health services and the specific program or purpose for which the monies are appropriated is subject to reimbursement for reconciliation payments from or penalties against program contractors or health plans, the department or administration, on receipt of such reimbursement, shall deposit the monies, pursuant to sections 35‑146 and 35‑147, in the state general fund or the fund from which the appropriation was originally made. The Arizona health care cost containment system administration and the department of health services are prohibited from allowing reconciliation payments from or penalties against program contractors or health plans to be credited against future payments to the program contractor or health plan.
Sec. 2. Laws 2011, chapter 31, section 34 is amended to read:
Sec. 34. Exemption from rule making; Arizona health care cost containment system; retroactivity
A. Notwithstanding any other law, the Arizona health care cost containment system is authorized to adopt rules necessary to implement a program within available appropriations and is exempt from the rule making requirements of title 41, chapter 6, Arizona Revised Statutes, through June 30, 2013 January 1, 2012 for the following purposes:
1. Making changes to the amount, duration or scope of services provided pursuant to section 36-2907, subsection D, Arizona Revised Statutes.
2. Establishing and maintaining rules regarding standards, methods and procedures for determining eligibility necessary to implement a program within the available appropriation.
3. Making changes to reimbursement rates and methodologies, including rules relating to cost sharing responsibilities of eligible persons.
4. Implementing any provisions of this act.
B. The agency shall provide public notice and an opportunity for public comment on proposed rules at least thirty days before rules are adopted or amended pursuant to this section.
C. The Arizona health care cost containment system administration is exempt from the rule making requirements of title 41, chapter 6, Arizona Revised Statutes, for one year after the effective date of this act, July 20, 2011 to implement the requirements of section 36-2903.01, subsection H, Arizona Revised Statutes, as amended by this act.
D. Any rules adopted by the Arizona health care cost containment system administration implementing program changes pursuant to this section shall continue in effect through June 30, 2013. After June 30, 2013, the administration may not continue any program changes made pursuant to this section without specific statutory authorization.
D. E. This section is effective, as amended by this act, applies retroactively to April 1, 2011 January 1, 2012.
Sec. 3. ALTCS; county contributions; fiscal year 2012-2013
A. Notwithstanding section 11-292, Arizona Revised Statutes, county contributions for the Arizona long-term care system for fiscal year 2012-2013 are as follows:
1. Apache $ 611,200
2. Cochise $ 5,266,800
3. Coconino $ 1,834,500
4. Gila $ 2,146,400
5. Graham $ 1,434,200
6. Greenlee $ 192,800
7. La Paz $ 625,200
8. Maricopa $148,533,600
9. Mohave $ 8,000,100
10. Navajo $ 2,529,300
11. Pima $ 39,316,400
12. Pinal $ 15,081,500
13. Santa Cruz $ 1,904,900
14. Yavapai $ 8,450,900
15. Yuma $ 7,292,700
B. If the overall cost for the Arizona long-term care services line item exceeds the amount specified in the general appropriations act for fiscal year 2012-2013, the state treasurer shall collect from the counties the difference between the amount specified in subsection A of this section and the counties' share of the state's actual contribution. The counties' share of the state contribution shall be in compliance with any federal maintenance of effort requirements. The director of the Arizona health care cost containment system administration shall notify the state treasurer of the counties' share of the state's contribution and report the amount to the director of the joint legislative budget committee. The state treasurer shall withhold from any other monies payable to that county from whatever state funding source is available an amount necessary to fulfill that county's requirement specified in this subsection. The state treasurer shall not withhold distributions from the highway user revenue fund pursuant to title 28, chapter 18, article 2, Arizona Revised Statutes. The state treasurer shall deposit the amounts withheld pursuant to this subsection and amounts paid pursuant to subsection A of this section in the long-term care system fund established by section 36-2913, Arizona Revised Statutes.
Sec. 4. Sexually violent persons; county reimbursement; fiscal year 2012-2013; deposit; tax withholding
A. Notwithstanding any other law, if this state pays the costs of a commitment of an individual determined to be sexually violent by the court, the county shall reimburse the department of health services for fifty per cent of these costs for fiscal year 2012-2013.
B. The department of health services shall deposit the reimbursements, pursuant to sections 35‑146 and 35‑147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36‑545.08, Arizona Revised Statutes.
C. Each county shall make the reimbursements for these costs as specified in subsection A of this section within thirty days after a request by the department of health services. If the county does not make the reimbursement, the superintendent of the Arizona state hospital shall notify the state treasurer of the amount owed and the treasurer shall withhold the amount, including any additional interest as provided in section 42‑1123, Arizona Revised Statutes, from any transaction privilege tax distributions to the county. The treasurer shall deposit the withholdings, pursuant to sections 35‑146 and 35‑147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36‑545.08, Arizona Revised Statutes.
D. Notwithstanding any other law, a county may meet any statutory funding requirements of this section from any source of county revenue designated by the county, including funds of any countywide special taxing district in which the board of supervisors serves as the board of directors.
E. County contributions made pursuant to this section are excluded from the county expenditure limitations.
Sec. 5. Competency restoration treatment; city and county reimbursement; fiscal year 2012-2013; deposit; tax withholding
A. Notwithstanding section 13-4512, Arizona Revised Statutes, if this state pays the costs of a defendant's inpatient competency restoration treatment pursuant to section 13-4512, Arizona Revised Statutes, the city or county shall reimburse the department of health services for one hundred per cent of these costs for fiscal year 2012-2013.
B. The department of health services shall deposit the reimbursements, pursuant to sections 35-146 and 35-147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36-545.08, Arizona Revised Statutes.
C. Each city and county shall make the reimbursements for these costs as specified in subsection A of this section within thirty days after a request by the department of health services. If the city or county does not make the reimbursement, the superintendent of the Arizona state hospital shall notify the state treasurer of the amount owed and the treasurer shall withhold the amount, including any additional interest as provided in section 42-1123, Arizona Revised Statutes, from any transaction privilege tax distributions to the city or county. The treasurer shall deposit the withholdings, pursuant to sections 35-146 and 35-147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36‑545.08, Arizona Revised Statutes.
D. Notwithstanding any other law, a county may meet any statutory funding requirements of this section from any source of county revenue designated by the county, including funds of any countywide special taxing district in which the board of supervisors serves as the board of directors.
E. County contributions made pursuant to this section are excluded from the county expenditure limitations.
Sec. 6. State employee health benefits
For fiscal year 2012‑2013, the department of administration shall not implement a differentiated health insurance premium based on the integrated or nonintegrated status of a health insurance provider available through the state employee health insurance program.
Sec. 7. AHCCCS; disproportionate share payments
A. Disproportionate share payments for fiscal year 2012-2013 made pursuant to section 36-2903.01, subsection P, Arizona Revised Statutes, include:
1. $89,877,700 for a qualifying nonstate operated public hospital. The Maricopa county special health care district shall provide a certified public expense form for the amount of qualifying disproportionate share hospital expenditures made on behalf of this state to the administration on or before May 1, 2013 for all state plan years as required by the Arizona health care cost containment system 1115 waiver standard terms and conditions. The administration shall assist the district in determining the amount of qualifying disproportionate share hospital expenditures. Once the administration files a claim with the federal government and receives federal funds participation based on the amount certified by the Maricopa county special health care district, if the certification is equal to or greater than $89,877,700, the administration shall distribute $4,202,300 to the Maricopa county special health care district and deposit the balance of the federal funds participation in the state general fund. If the certification provided is for an amount less than $89,877,700, and the administration determines that the revised amount is correct pursuant to the methodology used by the administration pursuant to section 36-2903.01, Arizona Revised Statutes, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives, shall distribute $4,202,300 to the Maricopa county special health care district and shall deposit the balance of the federal funds participation in the state general fund. If the certification provided is for an amount less than $89,877,700 and the administration determines that the revised amount is not correct pursuant to the methodology used by the administration pursuant to section 36-2903.01, Arizona Revised Statutes, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives and shall deposit the total amount of the federal funds participation in the state general fund.
2. $28,474,900 for the Arizona state hospital. The Arizona state hospital shall provide a certified public expense form for the amount of qualifying disproportionate share hospital expenditures made on behalf of the state to the administration on or before March 31, 2013. The administration shall assist the Arizona state hospital in determining the amount of qualifying disproportionate share hospital expenditures. Once the administration files a claim with the federal government and receives federal funds participation based on the amount certified by the Arizona state hospital, the administration shall distribute the entire amount of federal financial participation to the state general fund. If the certification provided is for an amount less than $28,474,900, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives and shall distribute the entire amount of federal financial participation to the state general fund. The certified public expense form provided by the Arizona state hospital shall contain both the total amount of qualifying disproportionate share hospital expenditures and the amount limited by section 1923(g) of the social security act.
3. $9,284,800 for private qualifying disproportionate share hospitals. The Arizona health care cost containment system administration shall make payments to hospitals consistent with this appropriation and the terms of the section 1115 waiver, however, payments shall be limited to those hospitals that either:
(a) Meet the mandatory definition of disproportionate share qualifying hospitals under section 1923 of the social security act.
(b) Are located in Yuma county and contain at least three hundred beds.
B. Disproportionate share payments in fiscal year 2012‑2013 made pursuant to section 36‑2903.01, subsection D, Arizona Revised Statutes, include amounts for disproportionate share hospitals designated by political subdivisions of this state, tribal governments and any university under the jurisdiction of the Arizona board of regents. Contingent on approval by the administration and the centers for medicare and medicaid services, any amount of federal funding allotted to this state pursuant to section 1923(f) of the social security act and not otherwise expended under subsection A, paragraph 1, 2 or 3 of this section shall be made available for distribution pursuant to this subsection. Political subdivisions of this state, tribal governments and any university under the jurisdiction of the Arizona board of regents may designate hospitals eligible to receive disproportionate share funds in an amount up to the limit prescribed in section 1923(g) of the social security act if those political subdivisions, tribal governments or universities provide sufficient monies to qualify for the matching federal monies for the disproportionate share payments.
Sec. 8. AHCCCS transfer; counties; federal monies
On or before December 31, 2013, notwithstanding any other law, for fiscal year 2012‑2013 the Arizona health care cost containment system administration shall transfer to the counties such portion, if any, as may be necessary to comply with section 10201(c)(6) of the patient protection and affordable care act (P.L. 111‑148), regarding the counties' proportional share of the state's contribution.
Sec. 9. County acute care contribution; fiscal year 2012-2013
A. Notwithstanding section 11-292, Arizona Revised Statutes, for fiscal year 2012-2013 for the provision of hospitalization and medical care, the counties shall contribute the following amounts:
1. Apache $ 268,800
2. Cochise $ 2,214,800
3. Coconino $ 742,900
4. Gila $ 1,413,200
5. Graham $ 536,200
6. Greenlee $ 190,700
7. La Paz $ 212,100
8. Maricopa $20,225,200
9. Mohave $ 1,237,700
10. Navajo $ 310,800
11. Pima $14,951,800
12. Pinal $ 2,715,600
13. Santa Cruz $ 482,800
14. Yavapai $ 1,427,800
15. Yuma $ 1,325,100
B. If a county does not provide funding as specified in subsection A of this section, the state treasurer shall subtract the amount owed by the county to the Arizona health care cost containment system fund and the long‑term care system fund established by section 36-2913, Arizona Revised Statutes, from any payments required to be made by the state treasurer to that county pursuant to section 42-5029, subsection D, paragraph 2, Arizona Revised Statutes, plus interest on that amount pursuant to section 44-1201, Arizona Revised Statutes, retroactive to the first day the funding was due. If the monies the state treasurer withholds are insufficient to meet that county's funding requirements as specified in subsection A of this section, the state treasurer shall withhold from any other monies payable to that county from whatever state funding source is available an amount necessary to fulfill that county's requirement. The state treasurer shall not withhold distributions from the highway user revenue fund pursuant to title 28, chapter 18, article 2, Arizona Revised Statutes.
C. Payment of an amount equal to one-twelfth of the total amount determined pursuant to subsection A of this section shall be made to the state treasurer on or before the fifth day of each month. On request from the director of the Arizona health care cost containment system administration, the state treasurer shall require that up to three months' payments be made in advance, if necessary.
D. The state treasurer shall deposit the amounts paid pursuant to subsection C of this section and amounts withheld pursuant to subsection B of this section in the Arizona health care cost containment system fund and the long-term care system fund established by section 36-2913, Arizona Revised Statutes.
E. If payments made pursuant to subsection C of this section exceed the amount required to meet the costs incurred by the Arizona health care cost containment system for the hospitalization and medical care of those persons defined as an eligible person pursuant to section 36-2901, paragraph 6, subdivisions (a), (b) and (c), Arizona Revised Statutes, the director of the Arizona health care cost containment system administration may instruct the state treasurer either to reduce remaining payments to be paid pursuant to this section by a specified amount or to provide to the counties specified amounts from the Arizona health care cost containment system fund and the long-term care system fund.
F. It is the intent of the legislature that the Maricopa county contribution pursuant to subsection A of this section be reduced in each subsequent year according to the changes in the GDP price deflator. For the purposes of this subsection, "GDP price deflator" has the same meaning prescribed in section 41-563, Arizona Revised Statutes.
Sec. 10. Hospitalization and medical care contribution; fiscal year 2012-2013
A. Notwithstanding any other law, for fiscal year 2012-2013, beginning with the second monthly distribution of transaction privilege tax revenues, the state treasurer shall withhold one‑eleventh of the following amounts from state transaction privilege tax revenues otherwise distributable, after any amounts withheld for the county long-term care contribution or the county administration contribution pursuant to section 11-292, subsection O, Arizona Revised Statutes, for deposit in the Arizona health care cost containment system fund established by section 36-2913, Arizona Revised Statutes, for the provision of hospitalization and medical care:
1. Apache $ 87,300
2. Cochise $ 162,700
3. Coconino $ 160,500
4. Gila $ 65,900
5. Graham $ 46,800
6. Greenlee $ 12,000
7. La Paz $ 24,900
8. Mohave $ 187,400
9. Navajo $ 122,800
10. Pima $1,115,900
11. Pinal $ 218,300
12. Santa Cruz $ 51,600
13. Yavapai $ 206,200
14. Yuma $ 183,900
B. If the monies the state treasurer withholds are insufficient to meet that county's funding requirement as specified in subsection A of this section, the state treasurer shall withhold from any other monies payable to that county from whatever state funding source is available an amount necessary to fulfill that county's requirement. The state treasurer shall not withhold distributions from the highway user revenue fund pursuant to title 28, chapter 18, article 2, Arizona Revised Statutes.
C. On request from the director of the Arizona health care cost containment system administration, the state treasurer shall require that up to three months' payments be made in advance.
D. In fiscal year 2012-2013, the sum of $2,646,200 withheld pursuant to subsection A of this section is allocated for the county acute care contribution for the provision of hospitalization and medical care services administered by the Arizona health care cost containment system administration.
E. County contributions made pursuant to this section are excluded from the county expenditure limitations.
Sec. 11. Proposition 204 administration; county expenditure limitation
County contributions for the administrative costs of implementing sections 36-2901.01 and 36-2901.04, Arizona Revised Statutes, that are made pursuant to section 11-292, subsection O, Arizona Revised Statutes, are excluded from the county expenditure limitations.
Sec. 12. AHCCCS; ambulance services; reimbursement
Notwithstanding section 36‑2239, subsection H, Arizona Revised Statutes, for dates of service on and after October 1, 2012 through September 30, 2013, the Arizona health care cost containment system administration and its contractors shall reimburse ambulance service providers in an amount equal to 72.2 per cent of the amounts prescribed by the department of health services.
Sec. 13. AHCCCS; risk contingency rate setting
Notwithstanding any other law, for the contract year beginning October 1, 2012 and ending September 30, 2013, the Arizona health care cost containment system administration may continue the risk contingency rate setting for all managed care organizations and the funding for all managed care organizations administrative funding levels that was imposed for the contract year beginning October 1, 2010 and ending September 30, 2011.
Sec. 14. AHCCCS; social security administration; medicare liability waiver
The Arizona health care cost containment system may participate in any special disability workload 1115 demonstration waiver offered by the centers for medicare and medicaid services. Any credits provided by the 1115 demonstration waiver process are to be used in the fiscal year when such credits are made available to fund the state share of any medical assistance expenditures that qualify for federal financial participation under the medicaid program. The Arizona health care cost containment system administration shall report the receipt of any credits to the director of the joint legislative budget committee by December 31, 2012 and June 30, 2013.
Sec. 15. Child care assistance eligibility; notification
Notwithstanding section 46‑803, Arizona Revised Statutes, for fiscal year 2012‑2013, the department of economic security may reduce maximum income eligibility levels for child care assistance in order to manage within appropriated and available monies. The department of economic security shall notify the joint legislative budget committee of any change in maximum income eligibility levels for child care within fifteen days after implementing the change.
Sec. 16. Department of economic security; drug testing; TANF cash benefits recipients
During fiscal year 2012‑2013, the department of economic security shall screen and test each adult recipient who is otherwise eligible for temporary assistance for needy families cash benefits and who the department has reasonable cause to believe engages in the illegal use of controlled substances. Any recipient who is found to have tested positive for the use of a controlled substance that was not prescribed for the recipient by a licensed health care provider is ineligible to receive benefits for a period of one year.
Sec. 17. Dental self-insurance; review
For fiscal year 2012‑2013, prior to self-insuring a dental plan as authorized by section 38-651, Arizona Revised Statutes, the department of administration shall submit a plan for dental self-insurance to the joint legislative budget committee for review. The plan shall include an analysis of the costs and benefits associated with switching to self-insurance compared to other insurance options, including the options in place at the time of the change.
Sec. 18. Intent; implementation of program
It is the intent of the legislature that for fiscal year 2012‑2013 the Arizona health care cost containment system administration implement a program within the available appropriation.
Sec. 19. Intent; false claims act; savings
It is the intent of the legislature that the Arizona health care cost containment system administration comply with the federal false claims act and maximize savings in, and continue to consider best available technologies in detecting fraud in, the administration's programs.
