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HB130.html
03 LC 28 0866
House Bill
130 By: Representatives Holmes of the 48th,
Post 1 and Orrock of the 51st
A BILL TO BE
ENTITLED AN ACT
To amend Title 31 of the Official Code of Georgia Annotated,
relating to health, so as to provide a short title; to provide for legislative
intent and findings; to provide for definitions; to create the Georgia health
care corporation; to provide for the governance of such corporation by a board
of governors; to provide for the appointment and terms of members of the board
of governors; to provide for ex officio members; to provide for meetings,
voting, compensation, powers, duties, and responsibilities of the board of
governors; to provide for the Georgia health plan; to provide for elements of
the Georgia health plan; to provide for the establishment of a state health care
budget; to provide that health care services provided in the Georgia health plan
shall not be insured by, contracted for, or provided by insurers; to provide
exceptions; to provide for the development of payment plans; to authorize the
creation of health care regions within the state; to provide for the
implementation of the Georgia health plan in developmental phases; to provide
for a transitional team to assist in such implementation; to provide for reports
and recommendations; to provide for the development of the health plan benefits
and coverages; to provide for matters relative to the administration and
operation of the health plan; to establish the health care trust fund; to
provide for accounts within the health care trust fund; to provide for rules and
regulations; to provide for reservation of rights; to provide for statutory
construction; to provide effective dates and conditions thereto; to repeal
conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF
GEORGIA:
SECTION 1.
Title 31 of the Official Code of Georgia Annotated, relating
to health, is amended by adding at the end a new chapter to read as
follows:
"CHAPTER
46
31-46-1. This chapter shall be
known and may be cited as the 'Georgia Health Care
Act.'
31-46-2. (a) The
General Assembly finds that the health care crisis in Georgia and in the United
States so threatens the public health and welfare and undermines economic
prosperity that state action is necessary. Reliance on a combination of private
insurance and public coverage for personal health care has proved inequitable,
grossly expensive, inefficient, and inadequate to meet the needs of the people.
This chapter is enacted to provide comprehensive health care coverage for every
Georgian and to maximize health care quality, freedom of choice, and cost
effectiveness. These goals shall be achieved through creation of a publicly
financed, single-payer, single-budget health insurance coverage system to
replace the current mix of public and private payment
methods. (b) Georgians suffer poor health status. The
infant mortality rate, a standard measure of overall quality of life, is now the
worst among the states. The United States rate is higher than those of 20 other
nations. Some rural counties have infant death rates that are higher than in
developing countries. Citizens of 11 other countries live longer than people in
the United States despite their often higher rates of smoking, alcohol
consumption, and other health risks. Residents of 46 other states live longer
than Georgians. Our child immunization rates are lower than in much of the rest
of the world. Access to necessary health care is declining. People with
serious conditions are seeing doctors less often than in previous
years. (c) Lack of health insurance is a major reason
for this suffering. People without insurance are less likely to see doctors,
more likely to be ill or to have debilitating conditions, more likely to miss
work or school, more likely to get care only episodically in a hospital
emergency room after a condition has become more expensive to treat, and more
likely to die prematurely of treatable disorders. Added to the health risk from
inability to get regular care is the threat of financial ruin in the event of
illness or accident. Medical bills are the leading cause of personal
bankruptcy. (d) Over one million Georgians and 35
million people in the United States have no public or private insurance
coverage. In Georgia, the risk of being uninsured crosses demographic and
occupational categories. Among our uninsured people are children, families with
only one parent at home, people in rural areas, urban dwellers, personal service
workers, construction workers, those working in agriculture, and professionals.
Many uninsured Georgians are in working families. More Americans are losing
coverage daily. While people with low incomes are most likely to be uninsured,
with over half of Georgians with incomes between 50 percent and 100 percent of
the national poverty level lacking insurance, a growing number of people with
higher incomes are losing their coverage. Of the 1.3 million Americans who lost
insurance in 1991, almost 75 percent had incomes of over $25,000.00 and a third
had incomes of over $50,000.00. (e) Paradoxically,
while many people suffer poor health, shortened life, and financial insecurity
because of medical expenses, annual personal health spending for Georgians has
now reached nearly $6,000.00 per family. Families pay 72 percent of this cost
through insurance premiums, taxes, and out-of-pocket expenditures while
businesses pay 28 percent through insurance, taxes, and other means. National
health spending now exceeds $2,500.00 per person. We spend a third more per
person than do Canadians and twice as much as do Japanese and Germans despite
the fact that they cover virtually all of their citizens and experience better
health. Health costs now exceed 13 percent of our gross national product and
double digit annual health care inflation persists. Besides taking an
unacceptable human toll, disproportionately high spending in the health industry
also saps the
country´s
economic strength and contributes to trade
deficits. (f) The financing system is inefficient.
With hundreds of different insurers and public programs making payments to
health care providers, it is impossible to plan a budget using available funds
to achieve specified goals as any family or business must do. Each insurer
competes with the others to minimize costs and maximize earnings from premium
income or simply to minimize expenditures while individual and institutional
health care providers attempt to maximize revenues. The result is a shell game
in which: (1) Costs are shifted from one payor to
another; (2) Decisions by patients and their doctors
are scrutinized and overridden by insurers; (3)
Benefits are uneven and unclear to patients, doctors, and hospitals, subject to
cancellation or restriction, and may have exclusions or dollar maximums
resulting in noncoverage of needed care; (4) People
are forced increasingly to use designated providers, which is not the case in
Canada, Japan, or Germany; (5) Employers wishing to
avoid insurance premium increases or loss of coverage have an incentive to avoid
hiring or to discharge otherwise valuable employees with health
problems; (6) Nearly a quarter of every health dollar
is spent on coverage verification, utilization review, and billing related
administration; and (7) High technology care, although
unquestionably beneficial when used appropriately, gets disproportionate
emphasis because it is more profitable than primary care. Studies show that
many expensive and dangerous procedures performed on well-insured people are
unnecessary. (g) Private health insurance provided
through
employers´
group plans and individual policies covers a decreasing share of health care
costs. Nationally, private insurance pays for only 33 percent of personal
health expenses today, down from 44 percent in 1975. The majority of such costs
are paid by government and by patients out of pocket. Only about 23 percent of
Georgians´
personal health bills are paid through employment based insurance, and these
percentages include the
employee´s
share of premiums. Georgians pay more out of pocket than the national average.
The number of Medicaid enrollees has also increased dramatically in the last
year so that about 750,000 Georgians are now
covered. (h) A major reason for the declining role of
private coverage is the erosion of the traditional basis of insurance: to
spread risk over a large group so that no individual has to pay too much for
protection. Increasingly, private insurers seek to avoid risk, rather than to
spread it, by using underwriting and risk-rating procedures to deny coverage or
charge prohibitively high premiums for people with conditions such as high blood
pressure, asthma, cancer, AIDS, or birth defects. It is estimated that a third
of the population has conditions that would now subject them to exclusion or
high rates if they had to seek insurance outside of a large group. Increasingly
sophisticated genetic testing will compound this problem. Thousands of
Georgians also experience 'job lock' because they fear being unable to obtain
new insurance. (i) In addition, some private insurance
may not be reliable because of financial instability of the companies.
Nationally, liquidations of life or health insurers occurred at a rate of about
19 per year from 1984 to 1990, with a high of 43 in 1989, up from an average of
five per year from 1975 to 1983. Georgia was fourth in the nation among states
reporting dollar value of unpaid claims by multiple employer welfare
associations from 1988 to 1990. (j) Almost 60 percent
of employment based health coverage is now provided through employers that
self-insure. This is a dramatic increase from the 5 percent of companies that
self-insured in 1970. Like private companies, self-insured plans may not
provide security for a person who requires health services. Employers may
cancel them, and courts have allowed such plans arbitrarily to reduce benefits
based on the nature and expense of an
enrollee´s
condition. (k) Although public subsidy of health care
for low-income people figures prominently in a discussion of health care costs,
79 percent of all federal health care expenditures are for the nonpoor. Federal
expenditures include medicare, the federal share of Medicaid, benefits for
employees and public officials,
veterans´
and other health programs, a tax benefit for employees whose employer paid
health insurance premiums are not counted as taxable income to them, corporate
tax deductions, and hospital tax exemptions. State and local governments
provide similar benefits and tax subsidies. This variety of on-budget and
off-budget revenue streams and the plethora of private insurers create a
wasteful, inequitable health care payment system which defies any attempt to
budget and plan rationally. (l) Limited reorganization
of health care financing under the rubric of 'managed competition' has been
proposed. The United States Congressional Budget Office has testified that this
approach will neither save money nor assure coverage of the population within
five years. (m) The United States General Accounting
Office, on the other hand, has determined that administrative efficiencies
achieved by combining dollars expended on personal health services from all
sources and using them to devise a single-budget, single-payor plan would
finance uniform coverage for the entire population and would allow reduction or
elimination of copayments and deductibles. Current revenue sources include
medicare, Medicaid, other government programs, private health insurance premiums
paid by employers and individuals, tax subsidies, and out-of-pocket payments. A
progressive tax system to replace what individuals now pay through current
revenue streams would assure that payment is based on ability to pay throughout
the life span, rather than penalizing people when they are
ill. (n) In light of the foregoing, the General
Assembly rejects proposals such as tax credits, 'pay or play' employer plans,
rationing schemes, managed competition, and other forced managed care systems
that continue reliance on the fragmented public and private payment system
because it finds that system to be inherently inequitable and inefficient. The
General Assembly adopts the approach of this chapter in order to secure as a
right equitable access to comprehensive, high-quality, cost-effective health
care with freedom of choice for all
Georgians.
31-46-3. As
used in this chapter, the term: (1) 'Board of
governors' or 'board' means the Georgia health care corporation board of
governors created under Code Section 31-46-4 or the successor body, if
any. (2) 'Consumer' means a person who is not employed
by any health care facility or provider and who has no financial or fiduciary
interest in any health care facility or provider. (3)
'Critical health care services' means services identified through the process
established in Code Section 31-46-10 and addressed in the improper queuing
provisions set forth in Code Section 31-46-13. (4)
'Enrollee' means any person who is a resident of Georgia and who is enrolled in
the Georgia health plan. (5) 'Executive officer' means
the executive officer of the Georgia health care service corporation created
under Code Section 31-46-4 or the successor body, if
any. (6) 'Georgia health care corporation' or
'corporation' means the public corporation established under Code Section
31-46-4. (7) 'Georgia health plan,' 'health care
plan,' 'health plan,' or 'plan' means the health plan provided under Code
Section 31-46-4. (8) 'Health care facility' or
'facility' means a hospital licensed under Chapter 7 of this title or other
institutions licensed by the state under that chapter that the board of
governors identify as appropriate to provide health care plan
services. (9) 'Health care provider,' 'provider,' or
'practitioner' means a physician licensed under Chapter 34 of Title 43 or other
licensed health professionals regulated under Chapter 9, 11, 26, 28, 29, 30, 33,
35, 39, or 44 of Title 43 and whom the board of governors identify as
appropriate to provide services through the health care
plan. (10) 'Health care services' means a set of
comprehensive basic health care services defined under Code Section 31-46-10 and
provided by the Georgia health plan. (11) 'Improper
queuing' means the waiting period to receive critical health care services in
excess of acceptable standards and guidelines as established by the board of
governors under Code Section 31-46-10. (12) 'Insurer'
means an accident and sickness insurer, a health care plan, a health maintenance
organization, a fraternal benefit society, a nonprofit medical service
corporation, or a nonprofit hospital service corporation authorized pursuant to
Title 33 to sell accident and sickness insurance policies, subscriber
certificates, or other contracts of insurance by whatever name
called. (13) 'Nonmedical services' means services that
are not necessarily provided by a provider or facility but are deemed by the
board of governors as critical for the efficient and effective delivery of
health care services and may include, but are not limited to, transportation and
language translation services. (14) 'Resident' means a
person who is domiciled in this state. (15) 'State
health care budget' or 'health care budget' means a budget that finances the
total amount of health care services provided in the health care plan with funds
enumerated in Code Section
31-46-7.
31-46-4. (a) The
Georgia health care corporation is created as a public corporation in this state
to implement and administer the Georgia health plan. The corporation shall be
governed by a board of governors composed of 19 members, 15 of whom shall be
appointed by the Governor with the advice and consent of the Senate and four of
whom shall be the following voting ex officio members who shall serve on the
board during the time they hold the following offices: the commissioner of the
Department of Human Resources, the Commissioner of Insurance, the commissioner
of community health, and the state revenue commissioner. Of the 15 appointed
members, ten members shall represent consumers, including representatives of
individuals with special health care needs and access problems, and five shall
represent providers and facilities. (b) Of the initial
appointments made by the Governor, three shall be for a term ending July 1,
2006; three shall be for a term ending July 1, 2007; three shall be for a term
ending July 1, 2008; three shall be for a term ending July 1, 2009; and
three shall be for a term ending July 1, 2010. Thereafter, terms of office
shall be for five years, each term ending on the first day of
July. (c) Each appointed member shall hold office from
the date of that
person´s
appointment until the end of the term for which the person was appointed. Any
member appointed to fill a vacancy occurring prior to the expiration of the term
for which that
person´s
predecessor was appointed shall hold office for the remainder of that term.
Each member shall continue in office subsequent to the expiration date of that
person´s
term until that
person´s
successor takes office or until a period of 60 days has elapsed, whichever
occurs first. (d) The Governor annually shall appoint
the chairperson, vice chairperson, and secretary of the board from among the
membership of the board. (e) Meetings shall be held
upon the call of the chairperson and as may be provided by procedures prescribed
by the board. (f) Ten members of the board constitute
a quorum and the affirmative vote of ten members shall be necessary for any
action to be taken by the board. (g) The Governor, at
any time after notice and opportunity for hearing, may remove for cause any
member appointed by the Governor. (h) The members of
the board shall serve without compensation but shall be reimbursed for their
expenses incurred while engaged in the business of the board. Appointed members
of the board shall receive the expenses and allowances authorized for
legislative members of interim legislative committees. Members of the board who
are officers or employees of the state shall receive no compensation for their
services on the board, but they shall be reimbursed for expenses incurred by
them in the performance of their duties as members of the board in the same
manner as they are reimbursed for expenses incurred in the performance of their
duties as officers or employees of the state. The funds necessary for the
reimbursement of the expenses of any such state officer or employee shall come
from funds appropriated to or otherwise available to the respective department
of that officer or employee. All other funds necessary to carry out the
provisions of this resolution shall come equally from the funds appropriated to
the Georgia health care service
corporation.
31-46-5. The
board shall have all the powers necessary or convenient to carry out and
effectuate the purposes and provisions of this chapter, including, but without
limiting the generality of the foregoing, the following
powers: (1) To sue and be
sued; (2) To have a seal and alter the
same; (3) To make and execute contracts and other
instruments necessary to exercise the powers of the
board; (4) To acquire, accept, or retain equitable
interests, security interests, or other interests in any property, real or
personal, by mortgage, assignment, security agreement, pledge, conveyance,
contract, lien, loan agreement, or other consensual transfer in order to secure
the repayment of any moneys loaned or credit extended by the
board; (5) To accept gifts, grants, or devises of any
property; (6) To exchange, transfer, assign, pledge,
mortgage, or dispose of any real or personal property or interest
therein; (7) To mortgage, pledge, or assign any
revenue, income, tolls, charges, or fees received by the
board; (8) To borrow money for any corporate
purpose; (9) To appoint officers, agents, and
employees; and (10) To make use of any facilities
afforded by the federal government or any agency or instrumentality
thereof.
31-46-6. (a)
Notwithstanding other provisions of law, it is the responsibility of the board
of governors to implement the provisions of this chapter so that all residents
shall be enrolled in the health care plan by July 1, 2008. The plan shall
incorporate the following elements: (1) All residents
of Georgia shall have the right to participate in the Georgia health care plan
regardless of age, sex, marital status, ethnicity, race, health condition,
geographic location, employment, or economic
status; (2) A uniform set of appropriate health care
services, developed under Code Section 31-46-10, that adhere to the principles
set forth in Code Section 31-46-2 shall be available to all enrollees. Such
health care services shall be provided in an efficient and timely
manner; (3) The Georgia health care corporation shall
be developed based on the concept of a unified administrative organizational
structure having complete operational control over all aspects of the health
plan, including budgeting, health plan benefit design, data collection,
negotiation, contracting, and payment. The board of governors may, but is not
required to, contract with insuring entities or other appropriate organizations
to act as regional administrative entities or provide other administrative
services; (4) A state health care budget, as defined
in Code Section 31-46-3, derived from sources identified in Code Section 31-46-7
shall be established; (5) Health care facilities that
provide health care services through the plan shall be funded by an annual
health care facility operating budget negotiated by the executive officer,
reflecting the total cost of health care services provided through the plan,
which is based on data adjusted for patient characteristics and other factors,
updated at least annually, and considers regional variations, if any. Capital
expenditures and health care provider education costs shall be paid separately
by the plan; (6) Each health care provider shall have
the option of payment that is negotiated on the basis of fee for service, annual
budget, or capitation. Payments shall be set within each specialty or scope of
practice in the manner prescribed by the board of governors. These fees shall
be computed taking into consideration the principles set forth in the federal
resource based relative value scale, incentives to provide wellness services,
and the least intrusive procedures appropriate for the prevention or treatment
of illnesses or injuries. The board may establish incentives to ensure that
needed providers are available in traditionally underserved areas. Except for
regional variations authorized under Code Section 31-46-8 or other actuarially
based variations, capitation rates shall be uniformly based on the number of
enrollees served by the provider. If such provider chooses to be reimbursed
through an annual budget, the amount shall be determined in a manner similar to
a health care facility annual budget. The board of governors shall develop
incentives for health care providers to participate in service organizations
that are cost effective; (7) The board of governors
may contract directly with local health departments or districts, public or
private not-for-profit health centers, health care facilities, or other
appropriate governmental agencies to provide health plan
services; (8) No health care facility, health care
provider, or insurer may charge any additional fees or balance bills for
services included in the health plan that are provided to
enrollees; (9) The plan shall include necessary
nonmedical services to eliminate barriers to needed health care
services; (10) The plan shall include portability
provisions whereby an enrollee traveling out of state continues to be covered
under the plan. The board shall establish a payment schedule for payment of
out-of-state services. The board shall also endeavor to ensure that enrollees
do not use out-of-state health care providers as regular sources of health care
services but may permit reasonable exceptions; and (11)
The plan shall provide for an explicit grievance and complaint procedure whereby
an enrollee may file a complaint or grievance regarding any aspect of the plan
and the filing shall be addressed expeditiously. (b)
As of July 1, 2008, no insurer may independently insure, contract for, or
provide those health care services provided through the Georgia health plan.
Nothing in this chapter shall preclude such an insurer from insuring, providing,
or contracting for health services not included in the health plan nor restrict
the right of an employer to offer, or employee representative from negotiating
for, services not included in the plan. Facilities and practitioners may offer
enhanced benefits not included in the plan if, through organizational and
administrative efficiencies, plan services can be provided for less than the
contracted amount. However, additional payment shall not be required of nor
permitted by an enrollee receiving such enhanced
service. (c) Initially, any benefits for health care
services provided under any policy of
workers´
compensation insurance or a self-insured
workers´
compensation program, state and federal veterans health care program, and the
civilian health and medical program of the uniformed services (CHAMPUS) of the
United States Department of Defense shall not be included in the health plan but
shall be studied for future inclusion. (d) The board
shall develop payment schedules for persons from out of state who receive
services through the plan. Such schedules shall reflect the total cost of the
health care service provided. (e) In developing the
plan, the board of governors should consider the likelihood of the establishment
of a national health care plan adopted by the federal government and its
implications. (f) The board shall consider
implementing a publicly operated liability insurance plan for providers who
provide Georgia health plan services. The board shall report, as necessary, its
determination as to the necessity or desirability of such plan to the General
Assembly by December 1,
2005.
31-46-7. (a) The
state health care budget shall reflect the total expenditure of the plan. The
board of governors shall develop the state health care budget based on state
economic and revenue indicators and other forecasting methods. The state health
care budget shall be comprised of the sources identified in subsection (b) of
this Code section. The board of governors shall submit the state care health
budget, which shall include estimated amounts of each trust fund account as set
forth in Code Section 31-46-11, as part of the
Governor´s
annual budget request. The General Assembly may adopt, reject, or reduce the
budget so submitted and advise the board regarding individual amounts in each
trust fund account. (b) The state health care budget
shall include funds to be obtained from the following
sources: (1) Medicare, Parts A and B, Title XVIII of
the federal Social Security Act, as amended; (2)
Medicaid, Title XIX of the federal Social Security Act, as
amended; (3) Such other federal funds as may be made
available; (4) Gifts, grants, or donations from
private sources; and (5) State appropriations for the
plan derived from progressive personal and corporate income taxes and such other
revenue sources as the General Assembly authorizes. (c)
Health care budget funds shall be deposited in the Georgia health care trust
fund created in Code Section
31-46-11.
31-46-8. The
board of governors may create Georgia health care regions upon the determination
that differences in demographics, geography, population density, cost of living,
economic status, availability of health care facilities and health care
providers, or other relevant factors require some variation in the
administration and service delivery of the Georgia health plan. In such case,
the board of governors shall designate regional boundaries that best reflect the
differences and may appoint a regional administrative entity to operate the plan
within the designated region. All organizational and service delivery
variations must be consistent with the Georgia health plan elements set forth in
Code Section
31-46-6.
31-46-9. The
Georgia health plan shall be implemented in developmental phases as
follows: (1) By March 1, 2005, the director of the
Office of Planning and Budget shall establish a transitional team composed of
staff of the commissioners of the Department of Community Health, Department of
Human Resources, Department of Revenue, and Department of Insurance. The
director may request participation of the appropriate legislative committee
staff. The transitional team shall conduct analyses and
identify: (A) The necessary transfer and consolidation
of responsibilities among state agencies to implement fully this
chapter; (B) State and federal laws that would need to
be repealed, amended, or waived to implement this chapter;
and (C) Appropriate guidelines for the administrative
cost of the plan. The transitional team shall report
its findings to the director and board by October 1, 2005, and on that date be
disbanded; (2) By July 1, 2005, the board of governors
shall be appointed. As soon as possible thereafter, the board
shall: (A) Appoint the executive
officer; (B) Hire the necessary
staff; (C) Develop necessary data sources;
and (D) Develop the necessary methods to establish the
state health care budget; (3) By December 1, 2005, the
board of governors shall submit to the appropriate committees of the General
Assembly an agency transfer and consolidation report, which shall address
staffing, equipment, facilities, and funds, along with drafts of any necessary
legislation. It shall also recommend appropriate cost guidelines for the
administration of the plan; (4) By December 1, 2005,
the board shall: (A) Report to the Governor and the
appropriate committees of the General Assembly the extent that statutory
revisions are needed; (B) Report its recommendations
regarding medical malpractice as required in subsection (f) of Code Section
31-46-6; and (C) Submit requests for necessary federal
waivers to implement this chapter; (5) By July 1,
2006, the board shall report to the Governor and the appropriate committees of
the General Assembly, if necessary, regarding implementation of the plan without
federal waivers; (6) By September 1, 2006, the board
shall have: (A) Established health care regions if
deemed necessary; (B) Determined plan
benefits; (C) Identified strategies addressing
improper queuing; (D) Developed procedures regarding
enrollment and facility and provider negotiations and payments;
and (E) Defined a list of critical health care
services; (7) By October 1, 2006, consistent with the
executive budget process, the board of governors shall submit the first proposed
state health care budget to the Governor; (8) During
its 2007 session, the General Assembly should consider the material submitted to
it pursuant to this Code section in an expeditious manner;
and (9) By July 1, 2008, consistent with specific
appropriations, all provisions of this chapter shall be in full effect of
law.
31-46-10. (a) The
board of governors shall define the health care plan benefits which shall
include those health care and related services which promote and maintain the
highest attainable health and quality of life for all Georgians at a reasonable
cost achieved through system efficiencies and appropriate
care. (b) The health plan shall include, at least, the
following categories of coverage: (1) Clinical and
community based primary and preventive health care; (2)
Health care practitioner services; (3) Inpatient and
outpatient hospital services; (4) Testing and
diagnostic services; (5) Prescription
drugs; (6) Dental
services; (7) Mental health
services; (8) Long-term services, including attendant
services, assistive technology, home and community based services and living
alternatives, limited institutional beds, and respite care;
and (9) Certain auxiliary services, such as
transportation necessary to facilitate use of health care
services. (c) Health plan benefits shall not
include: (1) Cosmetic surgery except medically
necessary reconstructive surgery and related services;
and (2) Examinations associated with life insurance or
legal proceedings. (d) The health plan may include
other coverage determined by the board of governors to be effective, necessary,
and consistent with the principles set forth in Code Section
31-46-2. (e) The specific schedule of health care
services associated with the categories of coverage authorized by this Code
section shall be developed by the board of governors under subsection (f) of
this Code section. (f)(1) The board of governors shall
establish procedures to determine what specific schedule of health care services
shall be covered in the plan and to assure that such services are provided in a
timely and appropriate manner. (2) The board of
governors shall monitor developments in establishment of standards of care and
standards for appropriate use of technology, including national practice
guidelines, and shall incorporate into the health plan such standards and
guidelines as the board deems appropriate. (3) The
board of governors shall develop a schedule of critical, high priority health
care services and related time guidelines for delivery of such services or
treatment. The schedules and guidelines shall be the basis for expending funds
from the improper queuing reserve account established in Code Section
31-46-11. (4) Recognizing that some providers have
significant financial interests in major diagnostic equipment, surgical
facilities, and laboratories through which their patients receive services and
recognizing that such financial interests may create unusual incentives to order
use of tests and treatment, the board of governors shall identify and monitor
utilization of these services. The board shall conduct studies to determine if
excess utilization is occurring and shall take appropriate steps to curb any
excess utilization attributable to financial
incentives. (5) The board of governors shall monitor
utilization generally to determine whether aspects of the payment system create
incentives for underuse or overuse of certain services detrimental to
cost-effective attainment of optimal health and functional ability for all
Georgians and shall take appropriate steps to correct any adverse
incentives. (6) The board of governors shall develop
and implement health care quality assurance
programs. (7) To carry out the requirements of this
subsection, the board of governors shall periodically establish a health care
service review panel, including consumers and providers, to review information
on need, efficacy, and cost effectiveness of specific services and treatments
and to recommend standards, guidelines, and methods. The board of governors
shall also consult with the public and with appropriate professional and
regulatory bodies and other state agencies in carrying out the requirements of
this
subsection.
31-46-11. (a)
The health care trust fund is established in the state treasury. All funds
enumerated in Code Section 31-46-7 shall be deposited in the health care trust
fund and shall be expended in a manner consistent with rules adopted by the
board of governors. The trust fund shall consist of five
accounts: (1) The health care account from which funds
shall be expended for health plan services in accordance with rates, budgets,
and contracts negotiated with health care facilities and health care
practitioners; payments for remnant uncompensated care; and nonmedical
services; (2) The capital development account from
which funds shall be expended, as determined necessary by the board in
consultation with other affected agencies and the public, for expansion and
improvement of health facilities and the acquisition of major medical equipment
as defined by the board of governors by rule. The board shall establish
categories of capital expenditures that do not require board
approval; (3) The public health account from which
funds shall be expended for health promotion and illness and injury prevention
services and other public health services in a manner that addresses priority
health goals. Funds from this account shall be allocated to public and private
entities in a manner prescribed by the board of governors by
rule; (4) The improper queuing reserve account from
which funds shall be expended to reduce unacceptable delays in the delivery of
critical health care services as set forth in Code Section 31-46-12;
and (5) The health professional education and research
account from which funds shall be expended to: (A)
Train or retain needed health care providers; (B)
Conduct research relative to the operation of the plan consistent with the
principles set forth in this chapter; and (C)
Compensate facilities for their costs in training or retraining
providers. (b) The board shall not expend or encumber
for an ensuing year amounts exceeding 95 percent of the amount anticipated to
accrue in the account during the
year.
31-46-12. It is the
intent of the General Assembly that all enrollees receive necessary health care
services in a timely manner and that every effort be made to avoid delays in
service that could be detrimental to enrollee health. The board of governors
shall develop strategies that will reduce or prevent improper queuing for
critical health care services, as defined in Code Section 31-46-3. Upon the
development of such strategies and the adoption of related rules, funds from the
improper queuing reserve account of the Georgia health care trust fund may be
used to implement such
strategies.
31-46-13. (a)
The board of governors shall develop the health data sources necessary to
implement and operate efficiently the Georgia health plan. The board of
governors shall publish such data as is necessary to assure quality care and to
promote public health and appropriate use of services. To the extent feasible,
the board of governors shall use existing data systems and coordinate among
existing agencies. The following sources shall be developed or made
available: (1) The board of governors shall coordinate
with appropriate agencies to utilize data collected regarding health facilities
and practitioners, rural health data, epidemiological data, ethnicity data,
social and economic status data, and other data relevant to the
board´s
responsibilities; (2) The board of governors, in
coordination with appropriate agencies and academic institutions shall develop
procedures to analyze clinical and other service outcome data and conduct other
research necessary for the specific purpose of assisting in the design of the
health plan benefits under Code Section 31-46-10;
and (3) The board of governors shall require each
insurer, provider, and facility to provide the board with patient care and cost
information, to include at least: (A) Patient
identifier, including date of birth, sex, and
ethnicity; (B) Provider
identifier; (C)
Diagnosis; (D) Health care services or procedures
provided; (E) Provider charges;
and (F) Amount paid. (b) The
board shall establish by rule confidentiality standards to safeguard the
information from inappropriate use or
release.
31-46-14. The
board of governors shall adopt rules consistent with this chapter for the
administration of the plan. All rules shall be adopted in accordance with
Chapter 13 of Title 50, the 'Georgia Administrative Procedure
Act.'
31-46-15. The
General Assembly reserves the right to amend or repeal all or any part of this
chapter at any time and there shall be no vested private right of any kind
against such amendment or repeal. All rights, privileges, or immunities
conferred by this chapter on any act done pursuant thereto shall exist subject
to the power of the General Assembly to amend or repeal this chapter at any
time.
31-46-16. The
enactment of this chapter shall not terminate or modify any obligation or
liability, civil or criminal, which was in effect when this chapter first
becomes
effective."
SECTION 2.
(a) Subject to the conditions provided in subsection (b) of
this section, those provisions of this Act necessary for making initial
appointments to the board of governors and necessary for establishment of the
transitional team shall become effective upon January 1, 2005, and the remaining
provisions of this Act shall become effective July 1,
2005. (b) This Act shall become effective only if a
resolution proposing an amendment to the Constitution of this state so as to
authorize by general law the establishment and operation of a comprehensive
system, utilizing state funds and other available funds, to finance and assist
in the provision of health care services for all residents of this state is duly
ratified by the voters at the general election conducted in 2004 and becomes
effective January 1, 2005. If such a constitutional amendment is not ratified
by the voters at the general election conducted in 2004, this Act shall be void
and of no effect and shall stand repealed in its entirety on January 1, 2005.
SECTION 3.
All laws and parts of laws in conflict with this Act are
repealed.
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