15 Be it enacted by the Legislature of the
State of Kansas:
16 Section 1. (a) The
secretary of social and rehabilitation services shall
17 develop and submit a plan consistent with
federal guidelines established
18 under section 4901 of public law 105-33 (42
U.S.C. 1397aa et seq.; title
19 XXI).
20 (b) The plan developed
under subsection (a) shall be a capitated man-
21 aged care plan covering Kansas children
from zero to 19 years which:
22 (1) Contains benefit
levels at least equal to those for the early and
23 periodic screening, diagnosis and treatment
program;
24 (2) provides for
presumptive eligibility for children where applicable;
25 (3) provides continuous
eligibility for 12 months once a formal de-
26 termination is made that a child is
eligible subject to subsection (e);
27 (4) has performance
based contracting with measurable outcomes in-
28 dicating age appropriate utilization of
plan services to include, but not
29 limited to, such measurable services as
immunizations, vision, hearing and
30 dental exams, emergency room utilization,
annual physical exams and
31 asthma; and
32 (5) will provide
targeted low-income children, as defined under sec-
33 tion 4901 of public law 105-33 (42 U.S.C.
1397aa, et seq.), coverage sub-
34 ject to appropriations.
35 (c) (1) The
secretary is authorized to contract with entities author-
36 ized to transact health insurance business
in this state to implement the
37 health insurance coverage plan pursuant to
subsection (a) providing for
38 several plan options to enrollees which are
coordinated with federal and
39 state child health care programs.
40 (2) The secretary is
authorized to enter into contracts with entities to
41 provide managed mental health care
services. In entering into such con-
42 tracts, the secretary shall assure that
contracted entities demonstrate the
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1 ability to provide a full array of
mental health services in accordance with
2 the early and periodic screening,
diagnosis and treatment plan. The sec-
3 retary shall not develop a request
for proposal process which excludes
4 community mental health centers from
the opportunity to bid for man-
5 aged mental health care services.
6 (d) When
developing and implementing the plan in subsection (a),
7 the secretary to the extent
authorized by law:
8 (1) Shall include
provisions that encourage contracting insurers to
9 utilize and coordinate with existing
community health care institutions
10 and providers;
11 (2) may work with public
health care providers and other community
12 resources to provide educational programs
promoting healthy lifestyles
13 and appropriate use of the plan's health
services;
14 (3) shall plan for
outreach and maximum enrollment of eligible chil-
15 dren through cooperation with local health
departments, schools, child
16 care facilities and other community
institutions and providers;
17 (4) shall provide for a
simplified enrollment plan;
18 (5) shall provide cost
sharing as allowed by law;
19 (6) shall not count the
caring program for children, the Kansas health
20 insurance association plan or any charity
health care plan as insurance
21 under subsection (e)(1); and
22 (7) may provide for
payment of health insurance premiums, including
23 contributions to a medical savings account
if applicable, if it is determined
24 cost effective, taking into account the
number of children to be served
25 and the benefits to be provided.
26 (e) A child shall not be
eligible for coverage and shall lose coverage
27 under the plan developed under subsection
(a) of section 1, and amend-
28 ments thereto, if:
29 (1) During the prior six
months, the child was covered with a com-
30 prehensive health insurance policy by an
insurance company, health
31 maintenance organization or nonprofit
hospital and medical insurance
32 corporation authorized to do business in
this state and such insurance is
33 still available to the child; or
34 (2) such family has not
paid the enrollee's applicable share of any
35 premium due.
36 If the family pays all of the
delinquent premiums owed during the year,
37 such child will again be eligible for
coverage for the remaining months
38 of the continuous eligibility period.
39 (f) The plan developed
under section 4901 of public law 105-33 (42
40 U.S.C. 1397aa et seq., and
amendments thereto) is not an entitlement
41 program. The availability of the plan
benefits shall be subject to funds
42 appropriated. The secretary shall not
utilize waiting lists, but shall monitor
43 costs of the program and make necessary
adjustments to stay within the
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1 program's appropriations.
2 Sec. 2. The
secretary of social and rehabilitation services shall adopt
3 rules and regulations as necessary to
implement and administer the pro-
4 visions of this act.
5 Sec. 3. (a)
(1) None of the funds appropriated to implement this act
6 shall be expended for any
abortion.
7 (2) None of the
funds appropriated to implement this act shall be
8 expended for health benefits coverage
that includes coverage of abortion.
9 (3) The term
``health benefits coverage'' means the package of serv-
10 ices covered by entities in subsection (c)
of section 1 and amendments
11 thereto authorized to transact health
insurance business in this state pur-
12 suant to a contract or other arrangement
entered into under sections of
13 this act.
14 (b) The limitations
established in subsection (a) shall not apply to an
15 abortion:
16 (1) If the pregnancy is
the result of an act of rape, aggravated indecent
17 liberties with a child or incest; or
18 (2) if necessary to save
the life of the pregnant woman.
19 Sec. 4. The
secretary in contracting for capitated managed health
20 care for children shall include in the pool
of persons to be covered those
21 eligible children covered by the Kansas
medicaid program as law allows.
22 Sec. 5. The
secretary shall enter into contracts as deemed appropri-
23 ate to carry out the provisions of this
act. Administrative services under
24 this program shall be contracted with
private entities. Nothing in this act
25 precludes the secretary from entering into
a contract with the agency
26 medicaid management information system
fiscal agent.
27 Sec. 6. The
secretary shall advise and consult with the health care
28 data governing board on issues relating to
children's health status.
29 Sec. 7. For the
purpose of financially empowering parents to choose
30 a health plan for a child, the secretary
should review and report both
31 verbally and in writing to the joint
committee on children's issues prior
32 to each legislative session with
recommendations regarding the following
33 items:
34 (a) Direct transfer of
the annual premium for a plan chosen by an
35 eligible low-income family to the
insurer;
36 (b) The use of a
refundable tax credit for an eligible low-income fam-
37 ily to apply toward the purchase of a
child's health care coverage. Such
38 refundable tax credit would cover most or
all of the cost of the insurance
39 with the parents paying any difference.
Additionally, an eligible low-in-
40 come family would receive full benefit of
the credit, regardless of how
41 small their income tax obligation was;
and
42 (c) The status of the
Kansas insurance coverage for children's pro-
43 gram including all performance measures
relating to the Kansas insurance
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1 coverage for children's program.
2 Sec. 8. (a)
There is hereby created the joint committee on children's
3 issues which shall be within the
legislative branch of state government
4 and which shall be composed of 10
members. Five members shall be
5 members of the house of
representatives and five members shall be mem-
6 bers of the senate. Three of the
members who are representatives shall
7 be appointed by the speaker of the
house of representatives, three mem-
8 bers who are senators shall be
appointed by the president of the senate,
9 two members who are representatives
shall be appointed by the minority
10 leader of the house of representatives and
two members who are senators
11 shall be appointed by the minority leader
of the senate. [At least one
12 member of the committee from the house
of representatives shall
13 be a member of the committee on
insurance, one member shall be
14 a member of the committee on health and
human services and one
15 member shall be a member of the
committee on appropriations.
16 At least one member of the committee
from the senate shall be a
17 member of the committee on financial
institutions and insurance,
18 one member shall be a member of the
committee on public health
19 and welfare and one member shall be a
member of the committee
20 on ways and means.]
21 (b) All members of the
joint committee on children's issues shall
22 serve for terms of two years ending on the
first day of the regular session
23 of the legislature commencing in the first
odd-numbered year after the
24 year of appointment, except that the first
members shall be appointed on
25 the effective date of this act and shall
serve for terms ending on the first
26 day of the regular session of the
legislature commencing in 1999. If a
27 vacancy occurs in the office of any member
of the joint committee on
28 children's issues, a successor shall be
appointed in the same manner as
29 the original appointment for the remainder
of the term. The chairperson
30 shall be appointed for a term of one year
which ends on the first day of
31 the next occurring regular session of the
legislature. The speaker of the
32 house of representatives shall appoint the
first chairperson on the effec-
33 tive date of this act and shall appoint the
chairperson for the term com-
34 mencing on the first day of the regular
session of the legislature com-
35 mencing in 1999 for a one-year term to end
on the first day of the regular
36 session of the legislature commencing in
the year 2000. The president of
37 the senate shall appoint the next
chairperson on the first day of the regular
38 session of the legislature commencing in
the year 2000 for a one-year
39 term which ends on the first day of the
next occurring regular session of
40 the legislature. Thereafter the appointment
of the chairperson shall con-
41 tinue to alternate between the speaker of
the house of representatives
42 and the president of the senate with each
subsequent chairperson being
43 appointed for a one-year term ending on the
first day of the regular
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1 session of the legislature in the
next occurring regular session of the leg-
2 islature after the year of
appointment. If a vacancy occurs in the office of
3 the chairperson, a member of the
joint committee who is a member of
4 the same house of the legislature as
the member who vacated the office
5 shall be appointed by the speaker of
the house or president of the senate,
6 depending on the house membership of
the vacating member, to fill such
7 vacancy.
8 (c) A quorum of
the joint committee on children's issues shall be six.
9 All actions of the joint committee
shall be taken by a majority of all of
10 the members of the joint committee.
11 (d) The joint committee
on children's issues shall have the authority
12 to meet at any time and at any place within
the state on the call of the
13 chairperson.
14 (e) The provisions of
the acts contained in article 12 of chapter 46 of
15 the Kansas Statutes Annotated, and
amendments thereto, applicable to
16 special committees shall apply to the joint
committee on children's issues
17 to the extent that the same do not conflict
with the specific provisions of
18 this act applicable to the joint
committee.
19 (f) Members of the
committee shall receive compensation, travel ex-
20 penses and subsistence expenses as provided
in K.S.A. 75-3212 and
21 amendments thereto when attending meetings
of the committee.
22 (g) The joint committee
on children's issues shall have the services
23 of the legislative research department, the
office of revisor of statutes and
24 other central legislative staff service
agencies.
25 (h) The joint committee
on children's services [issues]
shall oversee
26 the implementation and operation of the
children's health insurance plans
27 created under the provisions of this act,
including the assessment of the
28 performance based contracting's measurable
outcomes as set forth in sub-
29 section (b)(4) of section 1 and amendments
thereto and other children's
30 issues as the committee deems
necessary.
31 Sec. 9. (a) There
is hereby established in the state treasury the chil-
32 dren's health care programs fund in the
department of the secretary of
33 social and rehabilitation services.
34 (b) Of the moneys
received by the state pursuant to the tobacco lit-
35 igation settlement agreement entered into
or any judgment rendered,
36 regarding the litigation against tobacco
industry companies and related
37 entities, 50% of such moneys shall be
credited to the children's health
38 care programs fund.
39 (c) All moneys credited
to the children's health care programs fund
40 shall be used for the purposes of providing
additional funding for chil-
41 dren's health care, services for children
and tobacco use prevention and
42 cessation programs.
43 (d) All expenditures
from the children's health care programs fund
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1 shall be made in accordance with
appropriation acts upon warrants of the
2 director of accounts and reports
issued pursuant to vouchers approved
3 by the secretary of social and
rehabilitation services or the secretary's
4 designee.
5 Sec. 10. (a)
There is hereby established in the state treasury the Kan-
6 sas insurance coverage for children
fund.
7 (b) The secretary
is authorized to apply for and receive grants, gifts
8 and donations from nonfederal sources
for the purposes set out under
9 this act.
10 (c) The secretary shall
remit all moneys received under subsection
11 (b) to the state treasurer who shall
deposit such moneys in the Kansas
12 insurance coverage for children fund.
13 (d) On or before the
10th day of each month, the director of accounts
14 and reports shall transfer from the state
general fund to the Kansas in-
15 surance coverage for children fund interest
earnings based on: (1) The
16 average daily balance of moneys in such
fund for the preceding month;
17 and (2) the net earnings rate for the
pooled money investment portfolio
18 for the preceding month.
19 (e) All expenditures
from the Kansas insurance coverage for children
20 fund shall be made in accordance with
appropriation acts upon warrants
21 of the director of accounts and reports
issued pursuant to vouchers ap-
22 proved by the secretary or the secretary's
designee for the purposes of
23 this act.
24 Sec. 11. On July 1,
1998, the director of accounts and reports shall
25 transfer $12,000,000 from the state general
fund to the Kansas insurance
26 coverage for children fund.
27 Sec. 12. If any
provision or clause of this act or application thereof
28 to any person or circumstances is held
invalid, such invalidity shall not
29 affect the other provisions or applications
of the act which can be given
30 effect without the invalid provision or
application, and to this end the
31 provisions of this act are declared to be
severable.
32 Sec. 13. This act
shall take effect and be in force from and after its
33 publication in the Kansas register.
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