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Minnesota Legislature

Office of the Revisor of Statutes

SF 1340

as introduced - 90th Legislature (2017 - 2018) Posted on 02/24/2017 08:59am

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

Current Version - as introduced

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A bill for an act
relating to health; modifying provisions governing measures to assess the quality
of health care services offered by health care providers;amending Minnesota
Statutes 2016, sections 62U.02; 256B.072.

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

Section 1.

Minnesota Statutes 2016, section 62U.02, is amended to read:


62U.02 PAYMENT RESTRUCTURING; QUALITY INCENTIVE PAYMENTS.

Subdivision 1.

Development.

(a) The commissioner of health shall develop a standardized
set of measures new text beginfor use by health plan companies as specified in subdivision 5. From the
standardized set of measures, the commissioner shall establish statewide measures
new text endby which
to assess the quality of health care services offered by health care providers, including health
care providers certified as health care homes under section 256B.0751. deleted text beginQuality measures
must be based on medical evidence and be developed through a process in which providers
participate.
deleted text end The new text beginstatewide new text endmeasures shall be used for the quality incentive payment system
developed in subdivision 2 and new text beginthe quality transparency requirements in subdivision 3. The
statewide measures
new text endmust:

new text begin (1) for purposes of assessing the quality of care provided at physician clinics, including
clinics certified as health care homes under section 256B.0751, be selected from the available
measures as defined in Code of Federal Regulations, title 42, part 414 or 495, as amended,
unless a particular diagnosis, condition, service, or procedure is not reflected in any of the
available measures;
new text end

new text begin (2) be based on medical evidence;
new text end

new text begin (3) be developed through a process in which providers participate;
new text end

deleted text begin (1)deleted text endnew text begin (4)new text end include uniform definitions, measures, and forms for submission of data, to the
greatest extent possible;

deleted text begin (2)deleted text endnew text begin (5)new text end seek to avoid increasing the administrative burden on health care providers;new text begin and
new text end

deleted text begin (3) be initially based on existing quality indicators for physician and hospital services,
which are measured and reported publicly by quality measurement organizations, including,
but not limited to, Minnesota Community Measurement and specialty societies;
deleted text end

deleted text begin (4)deleted text endnew text begin (6)new text end place a priority on measures of health care outcomes, rather than process measures,
wherever possibledeleted text begin; and
deleted text end

deleted text begin (5) incorporate measures for primary care, including preventive services, coronary artery
and heart disease, diabetes, asthma, depression, and other measures as determined by the
commissioner
deleted text end.

new text begin The measures may also include measures of care infrastructure and patient satisfaction.
new text end

new text begin (b) By June 30, 2018, the commissioner shall review and update the statewide measures
used to assess the quality of health care services offered by health care providers, including
health care providers certified as health care homes under section 256B.0751. The updated
statewide measures shall be based on a measurement framework that identifies the most
important elements for assessing the quality of care, articulates statewide quality improvement
goals, ensures clinical relevance, fosters alignment with other measurement efforts, and
defines the roles of stakeholders. No more than six statewide measures shall be required
for single-specialty physician practices and no more than ten statewide measures shall be
required for multispecialty physician practices. Measures in addition to the six statewide
measures for single-specialty practices and the ten statewide measures for multispecialty
practices may be included for a physician practice if derived from administrative claims
data. The commissioner shall develop the framework in consultation with stakeholders that
include consumer, community, and advocacy organizations representing diverse communities
and patients; health plan companies; health care providers whose quality is assessed; health
care purchasers; community health boards; and quality improvement and measurement
organizations. The commissioner, in consultation with stakeholders, shall review the
framework at least once every three years.
new text end

deleted text begin (b)deleted text endnew text begin (c)new text end Effective July 1, 2016, the commissioner shall stratify quality measures by race,
ethnicity, preferred language, and country of origin beginning with five measures, and
stratifying additional measures to the extent resources are available. On or after January 1,
2018, the commissioner may require measures to be stratified by other sociodemographic
factors that according to reliable data are correlated with health disparities and have an
impact on performance on quality or cost indicators. New methods of stratifying data under
this paragraph must be tested and evaluated through pilot projects prior to adding them to
the statewide system. In determining whether to add additional sociodemographic factors
and developing the methodology to be used, the commissioner shall consider the reporting
burden on providers and determine whether there are alternative sources of data that could
be used. The commissioner shall ensure that categories and data collection methods are
developed in consultation with those communities impacted by health disparities using
culturally appropriate community engagement principles and methods. The commissioner
shall implement this paragraph in coordination with the contracting entity retained under
subdivision 4, in order to build upon the data stratification methodology that has been
developed and tested by the entity. Nothing in this paragraph expands or changes the
commissioner's authority to collect, analyze, or report health care data. Any data collected
to implement this paragraph must be data that is available or is authorized to be collected
under other laws. Nothing in this paragraph grants authority to the commissioner to collect
or analyze patient-level or patient-specific data of the patient characteristics identified under
this paragraph.

deleted text begin (c)deleted text endnew text begin (d)new text end The new text beginstatewide new text endmeasures shall be reviewed at least annually by the commissioner.

Subd. 2.

Quality incentive payments.

(a) By July 1, 2009, the commissioner shall
develop a system of quality incentive payments under which providers are eligible for
quality-based payments that are in addition to existing payment levels, based upon a
comparison of provider performance against specified targets, and improvement over time.
The targets must be based upon and consistent with the quality measures established under
subdivision 1.

(b) To the extent possible, the payment system must adjust for variations in patient
population in order to reduce incentives to health care providers to avoid high-risk patients
or populations, including those with risk factors related to race, ethnicity, language, country
of origin, and sociodemographic factors.

(c) The requirements of section 62Q.101 do not apply under this incentive payment
system.

Subd. 3.

Quality transparency.

(a) The commissioner shall establish standards for
measuring health outcomes, establish a system for risk adjusting quality measures, and issue
deleted text begin annualdeleted text endnew text begin periodicnew text end public reports on new text begintrends in new text endprovider quality deleted text beginbeginning July 1, 2010deleted text endnew text begin at the
statewide, regional, and community levels
new text end.

(b) Effective July 1, 2017, the risk adjustment system established under this subdivision
shall adjust for patient characteristics identified under subdivision 1, paragraph deleted text begin(b)deleted text endnew text begin (c)new text end, that
are correlated with health disparities and have an impact on performance on cost and quality
measures. The risk adjustment method may consist of reporting based on an
actual-to-expected comparison that reflects the characteristics of the patient population
served by the clinic or hospital. The commissioner shall implement this paragraph in
coordination with any contracting entity retained under subdivision 4.

(c) deleted text beginBy January 1, 2010,deleted text end Physician clinics and hospitals shall submit standardized
electronic information deleted text beginon the outcomes and processes associated with patient caredeleted text endnew text begin for the
identified statewide measures
new text end to the commissioner or the commissioner's designee. deleted text beginIn
addition to measures of care processes and outcomes, the report may include other measures
designated by the commissioner, including, but not limited to, care infrastructure and patient
satisfaction.
deleted text end The commissioner shall ensure that any quality data reporting requirements
established under this subdivision are not duplicative of publicly reported, communitywide
quality reporting activities currently under way in Minnesota. new text beginThe commissioner shall ensure
that any quality data reporting requirements for physician clinics are aligned with the
specifications and timelines for the selected measures as defined in subdivision 1, paragraph
(a), clause (1). The commissioner may require reporting of additional data on race, ethnicity,
preferred language, country of origin, or other sociodemographic factors as identified under
subdivision 1, paragraph (c), and as required for stratification or risk adjustment.
new text endNothing
in this subdivision is intended to replace or duplicate current privately supported activities
related to quality measurement and reporting in Minnesota.

Subd. 4.

Contracting.

The commissioner may contract with a private entity or consortium
of private entities to complete the tasks in subdivisions 1 to 3. The private entity or
consortium deleted text beginmustdeleted text endnew text begin maynew text end be nonprofit and have governance that includes representatives from
the following stakeholder groups: health care providers, including providers serving high
concentrations of patients and communities impacted by health disparities; health plan
companies; consumers, including consumers representing groups who experience health
disparities; employers or other health care purchasers; and state government. No one
stakeholder group shall have a majority of the votes on any issue or hold extraordinary
powers not granted to any other governance stakeholder.

Subd. 5.

Implementation.

(a) By January 1, 2010, health plan companies shall use the
standardized deleted text beginqualitydeleted text endnew text begin set ofnew text end measures established under this section and shall not require
providers to use and report health plan company-specific quality and outcome measures.

(b) By July 1, 2010, the commissioner of management and budget shall implement this
incentive payment system for all participants in the state employee group insurance program.

Sec. 2.

Minnesota Statutes 2016, section 256B.072, is amended to read:


256B.072 PERFORMANCE REPORTING AND QUALITY IMPROVEMENT
SYSTEM.

(a) The commissioner of human services shall establish a performance reporting system
for health care providers who provide health care services to public program recipients
covered under chapters 256B, 256D, and 256L, reporting separately for managed care and
fee-for-service recipients.

(b) The measures used for the performance reporting system for medical groups shall
include measures of care for asthma, diabetes, hypertension, and coronary artery disease
and measures of preventive care services. The measures used for the performance reporting
system for inpatient hospitals shall include measures of care for acute myocardial infarction,
heart failure, and pneumonia, and measures of care and prevention of surgical infections.
In the case of a medical group, the measures used shall be consistent with measures published
by nonprofit Minnesota or national organizations that produce and disseminate health care
quality measures or evidence-based health care guidelines. In the case of inpatient hospital
measures, the commissioner shall appoint the Minnesota Hospital Association and Stratis
Health to advise on the development of the performance measures to be used for hospital
reporting. To enable a consistent measurement process across the community, the
commissioner may use measures of care provided for patients in addition to those identified
in paragraph (a). The commissioner shall ensure collaboration with other health care reporting
organizations so that the measures described in this section are consistent with those reported
by those organizations and used by other purchasers in Minnesota.

(c) The commissioner may require providers to submit information in a required format
to a health care reporting organization or to cooperate with the information collection
procedures of that organization. The commissioner may collaborate with a reporting
organization to collect information reported and to prevent duplication of reporting.

(d) By October 1, 2007, and annually thereafter, the commissioner shall report through
a public Web site the results by medical groups and hospitals, where possible, of the measures
under this section, and shall compare the results by medical groups and hospitals for patients
enrolled in public programs to patients enrolled in private health plans. To achieve this
reporting, the commissioner may collaborate with a health care reporting organization that
operates a Web site suitable for this purpose.

(e) Performance measures must be stratified as provided under section 62U.02,
subdivision 1, paragraph deleted text begin(b)deleted text endnew text begin (c)new text end, and risk-adjusted as specified in section 62U.02, subdivision
3, paragraph (b).