1.1                          A bill for an act 
  1.2             relating to human services; modifying prepaid medical 
  1.3             assistance program capitation rates for certain 
  1.4             counties; amending Minnesota Statutes 2000, section 
  1.5             256B.69, subdivision 5b. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2000, section 256B.69, 
  1.8   subdivision 5b, is amended to read: 
  1.9      Subd. 5b.  [PROSPECTIVE REIMBURSEMENT RATES.] (a) For 
  1.10  prepaid medical assistance and general assistance medical care 
  1.11  program contract rates set by the commissioner under subdivision 
  1.12  5 and effective on or after January 1, 1998, capitation rates 
  1.13  for nonmetropolitan counties shall on a weighted average be no 
  1.14  less than 88 percent of the capitation rates for metropolitan 
  1.15  counties, excluding Hennepin county.  The commissioner shall 
  1.16  make a pro rata adjustment in capitation rates paid to counties 
  1.17  other than nonmetropolitan counties in order to make this 
  1.18  provision budget neutral.  
  1.19     (b) For prepaid medical assistance program contract rates 
  1.20  set by the commissioner under subdivision 5 and effective on or 
  1.21  after January 1, 2001 2002, capitation rates for nonmetropolitan 
  1.22  counties shall, on a weighted average, be no less than 89 95 
  1.23  percent of the capitation rates for metropolitan counties, 
  1.24  excluding Hennepin county.  The commissioner shall make a pro 
  1.25  rata adjustment in capitation rates paid to Hennepin county in 
  2.1   order to make the portion of the increase between 89 and 95 
  2.2   percent budget neutral. 
  2.3      (c) This subdivision shall not affect the nongeographically 
  2.4   based risk adjusted rates established under section 62Q.03, 
  2.5   subdivision 5a, paragraph (f). 
  2.6      (d) The commissioner shall require prepaid health plans to 
  2.7   use all revenue received from the increase in capitation rates 
  2.8   for nonmetropolitan counties from 89 to no less than 95 percent 
  2.9   of the capitation rate for metropolitan counties, excluding 
  2.10  Hennepin county, to increase reimbursement rates, effective 
  2.11  January 1, 2002, for providers under contract with the prepaid 
  2.12  health plan to serve enrollees from nonmetropolitan counties.