99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB5559

 

Introduced , by Rep. Litesa E. Wallace

 

SYNOPSIS AS INTRODUCED:
 
305 ILCS 5/5-30.1

    Amends the Medical Assistance Article of the Illinois Public Aid Code. In a provision concerning managed care organizations (MCOs) contracted with the Department of Healthcare and Family Services to provide health services, requires the Department to develop a procedure no later than January 1, 2017 to directly test the provider network directories submitted to the State by each MCO. Provides that the procedure must directly test the accuracy of the information contained in the provider directories, the ability of prospective patients to obtain an appointment, and the timeliness of appointments offered to prospective patients. Requires the Department to develop the procedure in consultation with MCOs, providers, consumer advocacy organizations, and other relevant stakeholders and to contract with a third party with experience developing or evaluating procedures to directly test Medicaid provider availability and access in Illinois and other states. Sets forth certain provider types the Department is required to test for each MCO and mandatory managed care region, including: (i) primary care; (ii) mental health treatment; (iii) adult specialty; (iv) child specialty; and (v) any additional provider types the Department has reason to believe may not exist in sufficient numbers in one or more mandatory managed care regions. Requires the Department to annually publish the data collected in its External Quality Review Technical Report. Permits the Department to adopt any rules necessary to implement these responsibilities. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning public aid.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Public Aid Code is amended by
5changing Section 5-30.1 as follows:
 
6    (305 ILCS 5/5-30.1)
7    Sec. 5-30.1. Managed care protections.
8    (a) As used in this Section:
9    "Managed care organization" or "MCO" means any entity which
10contracts with the Department to provide services where payment
11for medical services is made on a capitated basis.
12    "Emergency services" include:
13        (1) emergency services, as defined by Section 10 of the
14    Managed Care Reform and Patient Rights Act;
15        (2) emergency medical screening examinations, as
16    defined by Section 10 of the Managed Care Reform and
17    Patient Rights Act;
18        (3) post-stabilization medical services, as defined by
19    Section 10 of the Managed Care Reform and Patient Rights
20    Act; and
21        (4) emergency medical conditions, as defined by
22    Section 10 of the Managed Care Reform and Patient Rights
23    Act.

 

 

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1    (b) As provided by Section 5-16.12, managed care
2organizations are subject to the provisions of the Managed Care
3Reform and Patient Rights Act.
4    (c) An MCO shall pay any provider of emergency services
5that does not have in effect a contract with the contracted
6Medicaid MCO. The default rate of reimbursement shall be the
7rate paid under Illinois Medicaid fee-for-service program
8methodology, including all policy adjusters, including but not
9limited to Medicaid High Volume Adjustments, Medicaid
10Percentage Adjustments, Outpatient High Volume Adjustments,
11and all outlier add-on adjustments to the extent such
12adjustments are incorporated in the development of the
13applicable MCO capitated rates.
14    (d) An MCO shall pay for all post-stabilization services as
15a covered service in any of the following situations:
16        (1) the MCO authorized such services;
17        (2) such services were administered to maintain the
18    enrollee's stabilized condition within one hour after a
19    request to the MCO for authorization of further
20    post-stabilization services;
21        (3) the MCO did not respond to a request to authorize
22    such services within one hour;
23        (4) the MCO could not be contacted; or
24        (5) the MCO and the treating provider, if the treating
25    provider is a non-affiliated provider, could not reach an
26    agreement concerning the enrollee's care and an affiliated

 

 

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1    provider was unavailable for a consultation, in which case
2    the MCO must pay for such services rendered by the treating
3    non-affiliated provider until an affiliated provider was
4    reached and either concurred with the treating
5    non-affiliated provider's plan of care or assumed
6    responsibility for the enrollee's care. Such payment shall
7    be made at the default rate of reimbursement paid under
8    Illinois Medicaid fee-for-service program methodology,
9    including all policy adjusters, including but not limited
10    to Medicaid High Volume Adjustments, Medicaid Percentage
11    Adjustments, Outpatient High Volume Adjustments and all
12    outlier add-on adjustments to the extent that such
13    adjustments are incorporated in the development of the
14    applicable MCO capitated rates.
15    (e) The following requirements apply to MCOs in determining
16payment for all emergency services:
17        (1) MCOs shall not impose any requirements for prior
18    approval of emergency services.
19        (2) The MCO shall cover emergency services provided to
20    enrollees who are temporarily away from their residence and
21    outside the contracting area to the extent that the
22    enrollees would be entitled to the emergency services if
23    they still were within the contracting area.
24        (3) The MCO shall have no obligation to cover medical
25    services provided on an emergency basis that are not
26    covered services under the contract.

 

 

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1        (4) The MCO shall not condition coverage for emergency
2    services on the treating provider notifying the MCO of the
3    enrollee's screening and treatment within 10 days after
4    presentation for emergency services.
5        (5) The determination of the attending emergency
6    physician, or the provider actually treating the enrollee,
7    of whether an enrollee is sufficiently stabilized for
8    discharge or transfer to another facility, shall be binding
9    on the MCO. The MCO shall cover emergency services for all
10    enrollees whether the emergency services are provided by an
11    affiliated or non-affiliated provider.
12        (6) The MCO's financial responsibility for
13    post-stabilization care services it has not pre-approved
14    ends when:
15            (A) a plan physician with privileges at the
16        treating hospital assumes responsibility for the
17        enrollee's care;
18            (B) a plan physician assumes responsibility for
19        the enrollee's care through transfer;
20            (C) a contracting entity representative and the
21        treating physician reach an agreement concerning the
22        enrollee's care; or
23            (D) the enrollee is discharged.
24    (f) Network adequacy.
25        (1) The Department shall:
26            (A) ensure that an adequate provider network is in

 

 

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1        place, taking into consideration health professional
2        shortage areas and medically underserved areas;
3            (B) publicly release an explanation of its process
4        for analyzing network adequacy;
5            (C) periodically ensure that an MCO continues to
6        have an adequate network in place; and
7            (D) require MCOs to maintain an updated and public
8        list of network providers.
9    (f-5) Medicaid access monitoring.
10        (1) The Department shall develop a procedure to
11    directly test the provider network directories submitted
12    to the State by each MCO contracted with the State to
13    furnish health services. The procedure must directly test
14    the accuracy of the information contained in the provider
15    directories, the ability of prospective patients to obtain
16    an appointment, and the timeliness of appointments offered
17    to prospective patients. In developing the procedure, the
18    Department shall consult with MCOs, providers, consumer
19    advocacy organizations, and other relevant stakeholders.
20    The Department shall fulfill its obligation under this
21    paragraph by contracting with a third party with experience
22    developing or evaluating procedures to directly test
23    Medicaid provider availability and access in Illinois and
24    other states. The procedure shall be developed no later
25    than January 1, 2017.
26        (2) The Department shall test the following provider

 

 

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1    types for each MCO contracted with the State to furnish
2    health care services and for each mandatory managed care
3    region:
4            (A) Primary care.
5            (B) Obstetrics and gynecology.
6            (C) Psychiatry.
7            (D) Mental health treatment.
8            (E) Substance abuse treatment.
9            (F) Hospital.
10            (G) Dental.
11            (H) Adult specialty, including at least 3
12        subspecialties that commonly practice in an outpatient
13        setting, are identified as being in high demand, and
14        are presenting some degree of difficulty in access as
15        reported through public input.
16            (I) Child specialty, including at least 3
17        subspecialties that commonly practice in an outpatient
18        setting, are identified as being in high demand, and
19        are presenting some degree of difficulty in access as
20        reported through public input.
21            (J) Any additional provider types the Department
22        has reason to believe may not exist in sufficient
23        numbers in one or more mandatory managed care regions.
24        (3) The Department shall collect the following data for
25    each provider network tested:
26            (A) the percentage of providers listed in the MCO

 

 

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1        provider directory who practice at the address listed
2        in the MCO provider directory;
3            (B) the percentage of providers listed in the MCO
4        provider directory who can be reached using the contact
5        information listed in the MCO provider directory;
6            (C) the percentage of providers listed in the MCO
7        provider directory who report they are participating
8        in the MCO;
9            (D) the percentage of providers who report they are
10        participating in the MCO and are accepting new patients
11        enrolled in the MCO; and
12            (E) the percentage of providers who report they are
13        accepting new patients enrolled in the MCO and can
14        offer appointments to the prospective patient within
15        the timeframes required under 42 U.S.C. 1396u–2 and
16        State MCO contracts.
17        (4) The procedure established under paragraph (1) must
18    use a published, peer-reviewed methodology to directly
19    test each provider network for each MCO and mandatory
20    managed care region. The procedure shall:
21            (A) use inquiries from researchers posing as a
22        prospective patient or someone acting on behalf of a
23        prospective patient as the direct testing method;
24            (B) ensure a statistically significant sample is
25        tested for each MCO, mandatory managed care region, and
26        required provider type; and

 

 

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1            (C) be conducted at least annually starting in
2        2017.
3        (5) The Department and its contractors shall provide
4    all information and logistical support that is necessary to
5    pose authentically as a prospective patient enrolled in an
6    MCO to any entity developing or conducting the direct test
7    described under this subsection. Such information may
8    include, but is not limited to, simulated Medicaid
9    Recipient Identification Numbers, simulated MCO
10    membership, and any other inputs into the Medicaid
11    Management Information System or other databases used by
12    providers to verify information provided by prospective
13    patients seeking to make an appointment.
14        (6) The Department shall annually publish the data
15    collected under paragraph (3) in the External Quality
16    Review Technical Report required under 42 U.S.C. 1396u–2.
17        (7) The Department shall fulfill its obligations under
18    this subsection by contracting with an external quality
19    review organization, provided they meet all federal
20    competence and independence standards.
21        (8) On or before January 1, 2017, the Director of
22    Healthcare and Family Services may adopt rules necessary to
23    implement the Department's responsibilities under this
24    subsection.
25    (g) Timely payment of claims.
26        (1) The MCO shall pay a claim within 30 days of

 

 

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1    receiving a claim that contains all the essential
2    information needed to adjudicate the claim.
3        (2) The MCO shall notify the billing party of its
4    inability to adjudicate a claim within 30 days of receiving
5    that claim.
6        (3) The MCO shall pay a penalty that is at least equal
7    to the penalty imposed under the Illinois Insurance Code
8    for any claims not timely paid.
9        (4) The Department may establish a process for MCOs to
10    expedite payments to providers based on criteria
11    established by the Department.
12    (h) The Department shall not expand mandatory MCO
13enrollment into new counties beyond those counties already
14designated by the Department as of June 1, 2014 for the
15individuals whose eligibility for medical assistance is not the
16seniors or people with disabilities population until the
17Department provides an opportunity for accountable care
18entities and MCOs to participate in such newly designated
19counties.
20    (i) The requirements of this Section apply to contracts
21with accountable care entities and MCOs entered into, amended,
22or renewed after the effective date of this amendatory Act of
23the 98th General Assembly.
24(Source: P.A. 98-651, eff. 6-16-14.)
 
25    Section 99. Effective date. This Act takes effect upon
26becoming law.