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HF 470

as introduced - 87th Legislature (2011 - 2012) Posted on 02/10/2011 10:40am

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 02/10/2011

Current Version - as introduced

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A bill for an act
relating to education; providing for a more cost effective K-12 special education
third-party billing process; amending Minnesota Statutes 2010, section 125A.21,
subdivisions 2, 3; Laws 2009, chapter 79, article 5, section 60, as amended.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2010, section 125A.21, subdivision 2, is amended to
read:


Subd. 2.

Third-party reimbursement.

(a) Beginning July 1, 2000, districts
shall seek reimbursement from insurers and similar third parties for the cost of services
provided by the district whenever the services provided by the district are otherwise
covered by the child's health coverage. Districts shall request, but may not require, the
child's family to provide information about the child's health coverage when a child with a
disability begins to receive services from the district of a type that may be reimbursable,
and shall request, but may not require, updated information after that as needed.

(b) For children enrolled in medical assistance under chapter 256B or MinnesotaCare
under chapter 256L who have no other health coverage, a district shall provide an initial
written notice to the enrolled child's parent or legal representative of its intent to seek
reimbursement from medical assistance or MinnesotaCare for the individual education
plan health-related services provided by the district.new text begin The notice shall include:
new text end

new text begin (1) the right of the parent or legal representative to request a copy of all records
concerning individualized education program health-related services disclosed by the
district to any third party;
new text end

new text begin (2) the right of the parent or legal representative to withdraw consent for disclosing a
child's records at any time without consequence, including consent that was initially
given as part of the application process for MinnesotaCare or medical assistance under
section 256B.08, subdivision 1; and
new text end

new text begin (3) a decision to revoke consent for schools to share information from education
records does not impact a parent's eligibility for MinnesotaCare or medical assistance.
new text end

(c) The district shall give the parent or legal representative annual written notice of:

(1) the district's intent to seek reimbursement from medical assistance or
MinnesotaCare for individual education plan health-related services provided by the
district;

(2) the right of the parent or legal representative to request a copy of all records
concerning individual education plan health-related services disclosed by the district to
any third party; and

(3) the right of the parent or legal representative to withdraw consent for disclosure
of a child's records at any time without consequencenew text begin , including consent that was initially
given as part of the application process for MinnesotaCare or medical assistance under
section 256B.08, subdivision 1
new text end .

The written notice shall be provided as part of the written notice required by Code of
Federal Regulations, title 34, section 300.504.

(d) In order to access the private health care coverage of a child who is covered by
private health care coverage in whole or in part, a district must:

(1) obtain annual written informed consent from the parent or legal representative, in
compliance with subdivision 5; and

(2) inform the parent or legal representative that a refusal to permit the district
or state Medicaid agency to access their private health care coverage does not relieve
the district of its responsibility to provide all services necessary to provide free and
appropriate public education at no cost to the parent or legal representative.

(e) If the commissioner of human services obtains federal approval to exempt
covered individual education plan health-related services from the requirement that private
health care coverage refuse payment before medical assistance may be billed, paragraphs
(b), (c), and (d) shall also apply to students with a combination of private health care
coverage and health care coverage through medical assistance or MinnesotaCare.

(f) In the event that Congress or any federal agency or the Minnesota legislature
or any state agency establishes lifetime limits, limits for any health care services,
cost-sharing provisions, or otherwise provides that individual education plan health-related
services impact benefits for persons enrolled in medical assistance or MinnesotaCare, the
amendments to this subdivision adopted in 2002 are repealed on the effective date of any
federal or state law or regulation that imposes the limits. In that event, districts must
obtain informed consent consistent with this subdivision as it existed prior to the 2002
amendments and subdivision 5, before seeking reimbursement for children enrolled in
medical assistance under chapter 256B or MinnesotaCare under chapter 256L who have
no other health care coverage.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2010, section 125A.21, subdivision 3, is amended to read:


Subd. 3.

Use of reimbursements.

Of the reimbursements received, districts may:

(1) retain an amount sufficient to compensate the district for its administrative costs
of obtaining reimbursements;

(2) regularly obtain from education- and health-related entities training and other
appropriate technical assistance designed to improve the district's ability to deleted text begin determine
which services are reimbursable and to seek timely reimbursement in a cost-effective
manner
deleted text end new text begin access third-party payments for individualized education program health-related
services
new text end ; or

(3) reallocate reimbursements for the benefit of students with deleted text begin special needsdeleted text end new text begin
individualized education programs or individual family service plans
new text end in the district.

Sec. 3.

Laws 2009, chapter 79, article 5, section 60, as amended by Laws 2009, chapter
173, article 1, section 37, is amended to read:


Sec. 60.

Minnesota Statutes 2008, section 256L.05, is amended by adding a
subdivision to read:


Subd. 1c.

Open enrollment and streamlined application and enrollment
process.

(a) The commissioner and local agencies working in partnership must develop a
streamlined and efficient application and enrollment process for medical assistance and
MinnesotaCare enrollees that meets the criteria specified in this subdivision.

(b) The commissioners of human services and education shall provide
recommendations to the legislature by January 15, 2010, on the creation of an open
enrollment process for medical assistance and MinnesotaCare that is coordinated with
the public education system. The recommendations must:

(1) be developed in consultation with medical assistance and MinnesotaCare
enrollees and representatives from organizations that advocate on behalf of children and
families, low-income persons and minority populations, counties, school administrators
and nurses, health plans, and health care providers;

(2) be based on enrollment and renewal procedures best practices;

(3) simplify the enrollment and renewal processes wherever possible; and

(4) establish a process:

(i) to disseminate information on medical assistance and MinnesotaCare to all
children in the public education system, including prekindergarten programs; and

(ii) for the commissioner of human services to enroll children and other household
members who are eligible.

The commissioner of human services in coordination with the commissioner of
education shall implement an open enrollment process by August 1, 2010, to be effective
beginning with the 2010-2011 school year.

(c) The commissioner and local agencies shall develop an online application process
for medical assistance and MinnesotaCare.

(d) The commissioner shall develop an application for children that is easily
understandable and does not exceed four pages in length.

(e) The commissioner of human services shall present to the legislature, by January
15, 2010, an implementation plan for the open enrollment period and online application
process.

new text begin (f) To ensure parity between all providers of medical services in the ability to seek
reimbursement from MinnesotaCare or medical assistance, the commissioner of human
services, in consultation with the commissioner of education, shall include on new or
revised enrollment forms consent authorization language for all providers of medical
services to the parent's child or children, including schools, by incorporating language on
the enrollment form that is consistent with federal data practices laws requiring consent
before a school may release information from individual educational records. The consent
language shall include a statement that the medical services providers may share with the
commissioner of human services medical or other information in the possession of the
provider that is necessary for the provider to be reimbursed by MinnesotaCare or medical
assistance. The consent language also shall state that information may be shared from
a child's individual educational records and that the parent may revoke the consent for
schools to share information from educational records at any time. The commissioner
shall include substantially similar consent authorization language on each of its other
enrollment forms as each form is scheduled for review, revision, or replacement.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2010, or upon federal
approval, which must be requested by the commissioner, whichever is later.
new text end

Sec. 4. new text begin THIRD-PARTY BILLING.
new text end

new text begin To allow the cost effective billing of medical assistance for covered services that
are not reimbursed by other legally liable third parties, the commissioner of human
services must:
new text end

new text begin (1) summarize and document school district efforts to secure reimbursement from
legally liable third parties; and
new text end

new text begin (2) request permission from the Centers for Medicare and Medicaid Services to
allow school districts to bill Medicaid alone, without first billing private payers, when:
new text end

new text begin (i) a child has both public and private coverage; and
new text end

new text begin (ii) documentation demonstrates that the private payer involved does not reimburse
for individualized education program health-related services.
new text end