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House File 715

Partial Bill History

Bill Text

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  1  1                                           HOUSE FILE 715
  1  2 
  1  3                             AN ACT
  1  4 RELATING TO APPROPRIATIONS FOR THE DEPARTMENT OF HUMAN
  1  5    SERVICES AND THE PREVENTION OF DISABILITIES POLICY
  1  6    COUNCIL AND INCLUDING OTHER PROVISIONS AND APPROPRIATIONS
  1  7    INVOLVING HUMAN SERVICES AND HEALTH CARE, AND PROVIDING
  1  8    FOR EFFECTIVE AND APPLICABILITY DATES.
  1  9 
  1 10 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  1 11 
  1 12                           DIVISION I
  1 13                         APPROPRIATIONS
  1 14    Section 1.  FAMILY INVESTMENT PROGRAM GENERAL FUND.  There
  1 15 is appropriated from the general fund of the state to the
  1 16 department of human services for the fiscal year beginning
  1 17 July 1, 1997, and ending June 30, 1998, the following amount,
  1 18 or so much thereof as is necessary, to be used for the purpose
  1 19 designated:
  1 20    To be credited to the family investment program account and
  1 21 used for assistance under the family investment program under
  1 22 chapter 239 or the JOBS program under chapter 249C, or under
  1 23 chapter 239B, as created in Senate File 516, if enacted by the
  1 24 Seventy-seventh General Assembly, 1997 Session:  
  1 25 .................................................. $  9,060,000
  1 26    1.  The department of workforce development, in
  1 27 consultation with the department of human services, shall
  1 28 implement recruitment and employment practices to include
  1 29 former and current family investment program recipients.  The
  1 30 department of workforce development shall submit a report of
  1 31 the practices implemented and the results of the
  1 32 implementation to the general assembly by January 1, 1998.
  1 33    It is the intent of the general assembly that the
  1 34 department of human services shall work with the department of
  1 35 workforce development and local community collaborative
  2  1 efforts to provide support services for family investment
  2  2 program participants.  The support services shall be directed
  2  3 to those participant families who would benefit from the
  2  4 support services and are likely to have success in achieving
  2  5 economic independence.  Community collaborative efforts
  2  6 selected to provide support services shall have an existing
  2  7 program providing support services with a significant local
  2  8 match and a measurable record of success.
  2  9    2.  Of the funds appropriated in this section, $6,832,592
  2 10 is allocated for the JOBS program.
  2 11    3.  The department shall work with religious organizations
  2 12 and other charitable institutions to increase the availability
  2 13 of host homes, referred to as second chance homes or other
  2 14 living arrangements under the federal Personal Responsibility
  2 15 and Work Opportunity Reconciliation Act of 1996, Pub. L. No.
  2 16 104-193, } 103.  The purpose of the homes or arrangements is
  2 17 to provide a supportive and supervised living arrangement for
  2 18 minor parents receiving assistance under the family investment
  2 19 program who, under 1995 Iowa Acts, chapter 53, section 1,
  2 20 subsection 3, paragraph "a", or under chapter 239B, as created
  2 21 in Senate File 516, if enacted by the Seventy-seventh General
  2 22 Assembly, 1997 Session, may receive assistance while living in
  2 23 an alternative setting other than with their parent or legal
  2 24 guardian.
  2 25    Sec. 2.  TEMPORARY ASSISTANCE FOR NEEDY FAMILIES BLOCK
  2 26 GRANT.  There is appropriated from the fund created in section
  2 27 8.41 to the department of human services for the fiscal year
  2 28 beginning July 1, 1997, and ending June 30, 1998, from moneys
  2 29 received under the federal temporary assistance for needy
  2 30 families block grant pursuant to the federal Personal
  2 31 Responsibility and Work Opportunity Reconciliation Act of
  2 32 1996, Pub. L. No. 104-193, which are appropriated for the
  2 33 federal fiscal years beginning October 1, 1996, and ending
  2 34 September 30, 1997, and beginning October 1, 1997, and ending
  2 35 September 30, 1998, the following amounts to be used for the
  3  1 purposes designated:
  3  2    Moneys appropriated in this section shall be used in
  3  3 accordance with the federal law making the funds available,
  3  4 applicable Iowa law, appropriations made from the general fund
  3  5 of the state in this Act for the purpose designated, and
  3  6 administrative rules adopted to implement the federal and Iowa
  3  7 law.  If actual federal revenues credited to the fund created
  3  8 in section 8.41 through June 30, 1998, are less than the
  3  9 amounts appropriated in this section, the amounts appropriated
  3 10 shall be reduced proportionately and the department may reduce
  3 11 expenditures as deemed necessary by the department to meet the
  3 12 reduced funding level:
  3 13    1.  To be credited to the family investment program account
  3 14 and used for assistance under the family investment program
  3 15 under chapter 239 or chapter 239B, as created in Senate File
  3 16 516, if enacted by the Seventy-seventh General Assembly, 1997
  3 17 Session:  
  3 18 .................................................. $ 97,288,698
  3 19    2.  For the job opportunities and basic skills (JOBS)
  3 20 program, and implementing family investment agreements, in
  3 21 accordance with chapter 249C, or chapter 239B, as created in
  3 22 Senate File 516, if enacted by the Seventy-seventh General
  3 23 Assembly, 1997 Session:  
  3 24 .................................................. $ 18,038,404
  3 25    3.  For field operations:  
  3 26 .................................................. $  5,756,227
  3 27    4.  For general administration:  
  3 28 .................................................. $  2,573,844
  3 29    5.  For local administrative costs:  
  3 30 .................................................. $  1,732,617
  3 31    6.  For replacement of reductions in the federal social
  3 32 services block grant with federal TANF block grant funds,
  3 33 except for the allocation to child care:  
  3 34 .................................................. $  4,546,031
  3 35    7.  For state child care assistance:  
  4  1 .................................................. $  1,214,089
  4  2    8.  For emergency assistance:  
  4  3 .................................................. $    375,049
  4  4    Notwithstanding section 8.33, moneys appropriated in this
  4  5 section of this Act which remain unencumbered or unobligated
  4  6 at the close of the fiscal year shall not revert from the fund
  4  7 from which appropriated but shall remain available for
  4  8 allocation under law in the succeeding fiscal year.
  4  9    Sec. 3.  FAMILY INVESTMENT PROGRAM ACCOUNT.
  4 10    1.  Moneys credited to the family investment program
  4 11 account for the fiscal year beginning July 1, 1997, and ending
  4 12 June 30, 1998, shall be used in accordance with the following
  4 13 requirements:
  4 14    a.  The department shall provide assistance in accordance
  4 15 with chapters 239 and 249C or in accordance with chapter 239B,
  4 16 as created in Senate File 516, if enacted by the Seventy-
  4 17 seventh General Assembly, 1997 Session.
  4 18    b.  The department shall continue the special needs program
  4 19 under the family investment program.
  4 20    c.  The department shall implement federal welfare reform
  4 21 data requirements pursuant to the appropriations made for that
  4 22 purpose.
  4 23    d.  The department shall continue expansion of the
  4 24 electronic benefit transfer program as necessary to comply
  4 25 with federal requirements.  The target date for statewide
  4 26 implementation of the program is July 1, 1999.
  4 27    e.  The department shall conduct an evaluation of the
  4 28 welfare reform program and child well-being provisions to
  4 29 measure the program's effectiveness, impacts on children and
  4 30 families, and impacts across programs, and to identify
  4 31 effective strategies.
  4 32    f.  The department shall continue to contract for services
  4 33 in developing and monitoring an entrepreneurial training
  4 34 program to provide technical assistance to families which
  4 35 receive assistance under the family investment program.
  5  1    g.  For family investment agreements developed beginning
  5  2 July 1, 1997, the maximum allowable time period for
  5  3 postsecondary education is limited to twenty-four months.
  5  4    2.  The department may transfer funds in accordance with
  5  5 section 8.39, either federal or state, to or from the child
  5  6 day care appropriations made for the fiscal year beginning
  5  7 July 1, 1997, if the department deems this would be a more
  5  8 effective method of paying for JOBS program child care, to
  5  9 maximize federal funding, or to meet federal maintenance of
  5 10 effort requirements.
  5 11    3.  Moneys appropriated in this Act and credited to the
  5 12 family investment program account for the fiscal year
  5 13 beginning July 1, 1997, and ending June 30, 1998, are
  5 14 allocated as follows:
  5 15    a.  For the food stamp employment and training program:  
  5 16 .................................................. $    129,985
  5 17    b.  For the family development and self-sufficiency grant
  5 18 program as provided under section 217.12:  
  5 19 .................................................. $  2,328,805
  5 20    (1)  Of the funds allocated for the family development and
  5 21 self-sufficiency grant program in this lettered paragraph, not
  5 22 more than 5 percent of the funds shall be used for the
  5 23 administration of the grant program.
  5 24    (2)  Based upon the annual evaluation report concerning
  5 25 each grantee funded by previously appropriated funds and
  5 26 through the solicitation of additional grant proposals, the
  5 27 family development and self-sufficiency council may use the
  5 28 allocated funds to renew or expand existing grants or award
  5 29 new grants.  In utilizing the increased funding to expand the
  5 30 program, the council shall give consideration, in addition to
  5 31 other criteria established by the council, to a grant
  5 32 proposal's intended use of local funds with a grant and to
  5 33 whether a grant proposal would expand the availability of the
  5 34 program's services to a wider geographic area.
  5 35    (3)  Family development and self-sufficiency grantees shall
  6  1 not supplant previous local funding with state or federal
  6  2 funds.
  6  3    c.  For increasing participation in vocational and
  6  4 postsecondary training which lasts not more than twelve
  6  5 months:  
  6  6 .................................................. $    998,400
  6  7    d.  For replacing reductions in the federal social services
  6  8 block grant with federal TANF block grant funds, except for
  6  9 the allocation to child care:  
  6 10 .................................................  $  4,546,031
  6 11    e.  For child day care in place of funds previously
  6 12 allocated from the federal social services block grant to
  6 13 child care:  
  6 14 .................................................. $  1,214,089
  6 15    The department may transfer the allocation made in this
  6 16 paragraph directly into the appropriation made in this Act for
  6 17 child day care.
  6 18    f.  If an enactment of the Seventy-seventh General
  6 19 Assembly, 1997 Session, establishes a new Code chapter 239B,
  6 20 as created in Senate File 516, and provides for the
  6 21 elimination of the work transition period under the family
  6 22 investment program, the following allocations shall apply:
  6 23    (1)  For the diversion subaccount of the family investment
  6 24 program account:  
  6 25 .................................................. $    500,000
  6 26    Moneys allocated to the diversion subaccount shall be used
  6 27 for a pilot initiative of providing incentives to assist
  6 28 families who would otherwise be eligible for the family
  6 29 investment program in obtaining or retaining employment and to
  6 30 assist participant families in overcoming barriers to
  6 31 obtaining employment.  Incentives may be provided in the form
  6 32 of payment or services.  The department may limit the
  6 33 availability of the pilot initiative on the basis of
  6 34 geographic area or numbers of individuals provided with
  6 35 incentives.  The department shall make recommendations on or
  7  1 before January 15, 1998, regarding the potential benefits of
  7  2 expanding the initiative.  The department may adopt emergency
  7  3 administrative rules in order to implement the provisions of
  7  4 this subparagraph.
  7  5    (2)  For incentive grants of not more than $5,000 per grant
  7  6 to community organizations serving as an operating
  7  7 organization for administration of individual development
  7  8 accounts in accordance with chapter 541A:  
  7  9 .................................................. $     50,000
  7 10    (3)  For assistance associated with elimination of the
  7 11 employment earnings disregard period when determining the
  7 12 effective date of assistance for unemployed parent families:  
  7 13 .................................................. $    150,000
  7 14    4.  Of the child support collections assigned under the
  7 15 family investment program, an amount equal to the federal
  7 16 share of support collections shall be deposited in the child
  7 17 support recovery appropriation.  The remainder of the assigned
  7 18 child support collections and the state share of incentives
  7 19 received by the child support recovery unit shall be deposited
  7 20 in the family investment program account.
  7 21    5.  The department shall discontinue payment of the first
  7 22 $50 of the assigned child support collected by the department
  7 23 in any given month to an applicant for family investment
  7 24 program assistance approved for assistance on or after the
  7 25 effective date of this Act.  A recipient who is approved to
  7 26 receive assistance prior to the effective date of this Act
  7 27 shall continue to be eligible to receive the payment until the
  7 28 recipient is no longer eligible for the family investment
  7 29 program, but shall not be eligible to receive the payment upon
  7 30 reapplication and subsequent receipt of family investment
  7 31 program assistance.  The department may adopt emergency rules
  7 32 to implement this subsection.
  7 33    6.  The department may adopt emergency administrative rules
  7 34 for the family investment, food stamp, and medical assistance
  7 35 programs, if necessary, to comply with federal requirements.
  8  1 Prior to adoption of the rules, the department shall consult
  8  2 with the welfare reform council, members of the public
  8  3 involved in development of welfare reform policy established
  8  4 in the 1993 legislative session, and the chairpersons and
  8  5 ranking members of the joint appropriations subcommittee on
  8  6 human services.
  8  7    7.  Moneys appropriated for the job opportunities and basic
  8  8 skills (JOBS) program in 1996 Iowa Acts, chapter 1213, section
  8  9 7, which remain unobligated or unexpended at the close of the
  8 10 fiscal year beginning July 1, 1996, as provided in that Act,
  8 11 shall be used for the JOBS program in the fiscal year
  8 12 beginning July 1, 1997.
  8 13    8.  Not more than the following amounts of the moneys
  8 14 received under the temporary assistance for needy families
  8 15 block grant and appropriated to the department pursuant to
  8 16 1997 Iowa Acts, House File 125, section 1, which remain
  8 17 unobligated or unexpended at the close of the fiscal year
  8 18 beginning July 1, 1996, as provided in that Act, shall be used
  8 19 for the following purposes in the fiscal year beginning July
  8 20 1, 1997, in the order designated:
  8 21    a.  For emergency assistance:  
  8 22 .................................................. $    224,951
  8 23    b.  For the JOBS program:  
  8 24 .................................................. $    300,000
  8 25    c.  For family support community-based grants:  
  8 26 .................................................. $    200,000
  8 27    d.  For pregnancy prevention grants:  
  8 28 .................................................. $    250,000
  8 29    e.  For technology needs and other resources necessary to
  8 30 meet federal welfare reform reporting, tracking, and case
  8 31 management requirements:  
  8 32 .................................................. $  2,950,000
  8 33    9.  Notwithstanding 1995 Iowa Acts, chapter 220, section
  8 34 11, moneys appropriated to the department of human services
  8 35 for purposes of costs associated with the development of the
  9  1 X-pert computer system shall not revert on August 31, 1997,
  9  2 but shall remain available for the purpose designated until
  9  3 the close of the fiscal year beginning July 1, 1997.  
  9  4    Sec. 4.  EMERGENCY ASSISTANCE.  There is appropriated from
  9  5 the general fund of the state to the department of human
  9  6 services for the fiscal year beginning July 1, 1997, and
  9  7 ending June 30, 1998, the following amount, or so much thereof
  9  8 as is necessary, to be used for the purpose designated:
  9  9    For emergency assistance to families with dependent
  9 10 children for homeless prevention programs:  
  9 11 .................................................. $  1,967,000
  9 12    1.  The emergency assistance provided for in this section
  9 13 shall be available beginning October 1 of the fiscal year and
  9 14 shall be provided only if all other publicly funded resources
  9 15 have been exhausted.  Specifically, emergency assistance is
  9 16 the program of last resort and shall not supplant assistance
  9 17 provided by the low-income home energy assistance program
  9 18 (LIHEAP), county general relief, and veterans affairs
  9 19 programs.  The department shall establish a $500 maximum
  9 20 payment, per family, in a twelve-month period.  The emergency
  9 21 assistance includes, but is not limited to, assisting people
  9 22 who face eviction, potential eviction, or foreclosure, utility
  9 23 shutoff or fuel shortage, loss of heating energy supply or
  9 24 equipment, homelessness, utility or rental deposits, or other
  9 25 specified crisis which threatens family or living
  9 26 arrangements.  The emergency assistance shall be available to
  9 27 migrant families who would otherwise meet eligibility
  9 28 criteria.  The department may contract for the administration
  9 29 and delivery of the program.  The program shall be terminated
  9 30 when funds are exhausted.
  9 31    2.  For the fiscal year beginning July 1, 1997, the
  9 32 department shall continue the process for the state to receive
  9 33 refunds of rent deposits for emergency assistance recipients
  9 34 which were paid by persons other than the state.  The refunds
  9 35 received by the department under this subsection shall be
 10  1 deposited with the moneys of the appropriation made in this
 10  2 section and used as additional funds for the emergency
 10  3 assistance program.  Notwithstanding section 8.33, moneys
 10  4 received by the department under this subsection which remain
 10  5 after the emergency assistance program is terminated and state
 10  6 moneys in the emergency assistance account which remain
 10  7 unobligated or unexpended at the close of the fiscal year
 10  8 shall not revert to the general fund of the state but shall
 10  9 remain available for expenditure when the program resumes
 10 10 operation on October 1 in the succeeding fiscal year.
 10 11    3.  Of the funds appropriated in this section, $10,000 is
 10 12 allocated to the community voice mail program to continue the
 10 13 existing program.  The funds shall be made available beginning
 10 14 July 1, 1997.
 10 15    Sec. 5.  MEDICAL ASSISTANCE.  There is appropriated from
 10 16 the general fund of the state to the department of human
 10 17 services for the fiscal year beginning July 1, 1997, and
 10 18 ending June 30, 1998, the following amount, or so much thereof
 10 19 as is necessary, to be used for the purpose designated:
 10 20    For medical assistance, including reimbursement for
 10 21 abortion services, which shall be available under the medical
 10 22 assistance program only for those abortions which are
 10 23 medically necessary:  
 10 24 .................................................. $381,789,000
 10 25    1.  Medically necessary abortions are those performed under
 10 26 any of the following conditions:
 10 27    a.  The attending physician certifies that continuing the
 10 28 pregnancy would endanger the life of the pregnant woman.
 10 29    b.  The attending physician certifies that the fetus is
 10 30 physically deformed, mentally deficient, or afflicted with a
 10 31 congenital illness.
 10 32    c.  The pregnancy is the result of a rape which is reported
 10 33 within 45 days of the incident to a law enforcement agency or
 10 34 public or private health agency which may include a family
 10 35 physician.
 11  1    d.  The pregnancy is the result of incest which is reported
 11  2 within 150 days of the incident to a law enforcement agency or
 11  3 public or private health agency which may include a family
 11  4 physician.
 11  5    e.  Any spontaneous abortion, commonly known as a
 11  6 miscarriage, if not all of the products of conception are
 11  7 expelled.
 11  8    2.  Notwithstanding section 8.39, the department may
 11  9 transfer funds appropriated in this section to a separate
 11 10 account established in the department's case management unit
 11 11 for expenditures required to provide case management services
 11 12 for mental health, mental retardation, and developmental
 11 13 disabilities services under medical assistance which are
 11 14 jointly funded by the state and county, pending final
 11 15 settlement of the expenditures.  Funds received by the case
 11 16 management unit in settlement of the expenditures shall be
 11 17 used to replace the transferred funds and are available for
 11 18 the purposes for which the funds were appropriated in this
 11 19 section.
 11 20    3.  a.  The county of legal settlement shall be billed for
 11 21 50 percent of the nonfederal share of the cost of case
 11 22 management provided for adults, day treatment, and partial
 11 23 hospitalization in accordance with sections 249A.26 and
 11 24 249A.27, and 100 percent of the nonfederal share of the cost
 11 25 of care for adults which is reimbursed under a federally
 11 26 approved home and community-based waiver that would otherwise
 11 27 be approved for provision in an intermediate care facility for
 11 28 persons with mental retardation, provided under the medical
 11 29 assistance program.  The state shall have responsibility for
 11 30 the remaining 50 percent of the nonfederal share of the cost
 11 31 of case management provided for adults, day treatment, and
 11 32 partial hospitalization.  For persons without a county of
 11 33 legal settlement, the state shall have responsibility for 100
 11 34 percent of the nonfederal share of the costs of case
 11 35 management provided for adults, day treatment, partial
 12  1 hospitalization, and the home and community-based waiver
 12  2 services.  The case management services specified in this
 12  3 subsection shall be billed to a county only if the services
 12  4 are provided outside of a managed care contract.
 12  5    b.  The state shall pay the entire nonfederal share of the
 12  6 costs for case management services provided to persons 17
 12  7 years of age and younger who are served in a medical
 12  8 assistance home and community-based waiver program for persons
 12  9 with mental retardation.
 12 10    c.  Medical assistance funding for case management services
 12 11 for eligible persons 17 years of age and younger shall also be
 12 12 provided to persons residing in counties with child welfare
 12 13 decategorization projects implemented in accordance with
 12 14 section 232.188, provided these projects have included these
 12 15 persons in their service plan and the decategorization project
 12 16 county is willing to provide the nonfederal share of costs.
 12 17    d.  When paying the necessary and legal expenses of
 12 18 intermediate care facilities for persons with mental
 12 19 retardation (ICFMR), the cost payment requirements of section
 12 20 222.60 shall be considered fulfilled when payment is made in
 12 21 accordance with the medical assistance payment rates
 12 22 established for ICFMRs by the department and the state or a
 12 23 county of legal settlement is not obligated for any amount in
 12 24 excess of the rates.
 12 25    4.  The department may adopt and implement administrative
 12 26 rules regarding a prepaid mental health services plan for
 12 27 medical assistance patients.  The rules shall include but not
 12 28 be limited to service provider standards, service
 12 29 reimbursement, and funding mechanisms.  Notwithstanding the
 12 30 provisions of subsection 3, paragraph "a", of this section and
 12 31 section 249A.26, requiring counties to pay all or part of the
 12 32 nonfederal share of certain services provided to persons with
 12 33 disabilities under the medical assistance program, the state
 12 34 shall pay 100 percent of the nonfederal share of any services
 12 35 included in the plan implemented pursuant to this subsection.
 13  1    5.  The department shall utilize not more than $60,000 of
 13  2 the funds appropriated in this section to continue the
 13  3 AIDS/HIV health insurance premium payment program as
 13  4 established in 1992 Iowa Acts, Second Extraordinary Session,
 13  5 Chapter 1001, section 409, subsection 6.  Of the funds
 13  6 allocated in this subsection, not more than $5,000 may be
 13  7 expended for administrative purposes.
 13  8    6.  Of the funds appropriated to the Iowa department of
 13  9 health for substance abuse grants, $950,000 for the fiscal
 13 10 year beginning July 1, 1997, shall be transferred to the
 13 11 department of human services for an integrated substance abuse
 13 12 managed care system.
 13 13    7.  The department of human services, in cooperation with
 13 14 the Iowa department of public health and in consultation with
 13 15 county representatives and affected providers, shall review
 13 16 potential funding streams, treatment methods, and provider
 13 17 options for expansion of dual diagnosis services, providing
 13 18 both mental health and substance abuse services, and shall
 13 19 report the findings of the review and recommendations to the
 13 20 joint appropriations subcommittee on human services on or
 13 21 before January 1, 1998.
 13 22    8.  The department shall continue the medical assistance
 13 23 home and community-based waiver for persons with physical
 13 24 disabilities as a means to further develop the personal
 13 25 assistance services program under section 225C.46.  The waiver
 13 26 shall not be implemented in a manner which would require
 13 27 additional county or state funding for assistance provided to
 13 28 an individual served under the waiver.  The waiver shall be
 13 29 limited in application to persons with physical disabilities
 13 30 who reside in a medical institution at the time of applying
 13 31 for assistance and who have been residents of a medical
 13 32 institution for a minimum of thirty consecutive days.
 13 33    9.  The department shall not expand the requirement of drug
 13 34 prior authorization without prior approval of the general
 13 35 assembly except to require prior authorization of an
 14  1 equivalent of a prescription drug which is subject to prior
 14  2 authorization as of June 30, 1997.  The department shall adopt
 14  3 administrative rules to implement this provision.
 14  4    10.  The department of human services, in consultation with
 14  5 the Iowa department of public health and the department of
 14  6 education, shall continue the program to utilize the early and
 14  7 periodic screening, diagnosis, and treatment (EPSDT) funding
 14  8 under medical assistance, to the extent possible, to implement
 14  9 the screening component of the EPSDT program through the
 14 10 school system.  The department may enter into contracts to
 14 11 utilize maternal and child health centers, the public health
 14 12 nursing program, or school nurses in implementing this
 14 13 provision.
 14 14    11.  The department shall continue the case study for
 14 15 outcome-based performance standards for programs serving
 14 16 persons with mental retardation or other developmental
 14 17 disabilities proposed pursuant to 1994 Iowa Acts, chapter
 14 18 1170, section 56.  The department shall adopt rules applicable
 14 19 to the programs included in the case study, request a waiver
 14 20 of applicable federal requirements, and take other actions
 14 21 deemed necessary by the department to continue the case study.
 14 22    12.  The department shall develop methodologies to directly
 14 23 reimburse hospitals with medical assistance-approved graduate
 14 24 medical education programs for the direct and indirect costs
 14 25 of medical education programs at those hospitals and for a
 14 26 disproportionate share payment as allowed by the federal cap
 14 27 at those hospitals with qualifying programs.  The level of
 14 28 this reimbursement shall be equal to the amount of managed
 14 29 care capitation payments attributable to direct medical
 14 30 education plus indirect medical education add-on components
 14 31 included as part of the capitated rate setting methodology and
 14 32 to the amounts paid through the fee-for-service inpatient
 14 33 diagnostic-related groups and outpatient ambulatory patient
 14 34 groups hospital reimbursement systems for state fiscal year
 14 35 1994-1995, with an adjustment, if the federal upper limits
 15  1 test has not been exceeded, to allow an increase for state
 15  2 fiscal year 1996-1997 costs.  This subsection shall only apply
 15  3 to any capitated payment contracts entered into after June 30,
 15  4 1997.  The department may adopt emergency rules to implement
 15  5 this subsection.
 15  6    13.  The department, in consultation with the Iowa
 15  7 department of public health, the department of elder affairs,
 15  8 home and community-based service providers, consumers, and
 15  9 members of the joint appropriations subcommittee on human
 15 10 services, shall evaluate the feasibility of improving access
 15 11 and delivery of services to consumers and of improving cost-
 15 12 effectiveness by incorporating the personal care services
 15 13 option into the medical assistance program.
 15 14    Sec. 6.  HEALTH INSURANCE PREMIUM PAYMENT PROGRAM.  There
 15 15 is appropriated from the general fund of the state to the
 15 16 department of human services for the fiscal year beginning
 15 17 July 1, 1997, and ending June 30, 1998, the following amount,
 15 18 or so much thereof as is necessary, to be used for the purpose
 15 19 designated:
 15 20    For administration of the health insurance premium payment
 15 21 program, including salaries, support, maintenance, and
 15 22 miscellaneous purposes:  
 15 23 .................................................. $    390,000
 15 24 ............................................... FTEs      17.00
 15 25    Sec. 7.  MEDICAL CONTRACTS.  There is appropriated from the
 15 26 general fund of the state to the department of human services
 15 27 for the fiscal year beginning July 1, 1997, and ending June
 15 28 30, 1998, the following amount, or so much thereof as is
 15 29 necessary, to be used for the purpose designated:
 15 30    For medical contracts:  
 15 31 .................................................. $  7,700,000
 15 32    1.  a.  The department shall continue prospective drug
 15 33 utilization review and may establish drug surveillance prior
 15 34 authorization under the medical assistance program.
 15 35    b.  The department shall develop and implement an
 16  1 individual patient tracking system to assess the effectiveness
 16  2 of the drug prior authorization program.  The system shall
 16  3 include patient specific elements including, at a minimum, the
 16  4 drug prescribed or requested, the alternative drug dispensed,
 16  5 the quantity requested, the quantity dispensed, and the drugs
 16  6 dispensed during required trials.
 16  7    c.  The department shall conduct a prior authorization
 16  8 cost-effectiveness study, at no cost to the state, and shall
 16  9 not use any entity or individual currently or previously
 16 10 utilized by the department to perform the study.
 16 11    d.  The prospective drug utilization review and prior
 16 12 authorization cost-effectiveness studies shall include, but
 16 13 are not limited to, all of the following:
 16 14    (1)  The net cost of the substitution of brand name drugs
 16 15 for which alternatives are required, including the drug
 16 16 rebates, if applicable, under the Iowa prior authorization
 16 17 regimen.
 16 18    (2)  The costs attributable to the ambulatory treatment of
 16 19 iatrogenic, unexpected conditions which result when the
 16 20 prescribed drug is not authorized and a substitution is made
 16 21 under the Iowa prior authorization regimen, when it is
 16 22 possible to determine that the conditions resulted from the
 16 23 substitution of the alternative medication for the prescribed
 16 24 medication.
 16 25    (3)  The costs attributable to institutionalization and
 16 26 treatment for iatrogenic, unexpected conditions which result
 16 27 when the prescribed drug is not authorized and a substitution
 16 28 is made under the Iowa prior authorization regimen when it is
 16 29 possible to determine that the condition resulted from the
 16 30 substitution of the alternative medication for the prescribed
 16 31 medication.
 16 32    (4)  The costs of prescribing mandates, such as requiring
 16 33 two failures of generic drug treatment before allowing the
 16 34 prescribing of a brand name alternative.
 16 35    (5)  The measurement of the cost-effectiveness of patient
 17  1 outcomes under prior authorization compared to the patient
 17  2 outcomes under prospective drug utilization review.
 17  3    (6)  The comparison of administrative costs for prior
 17  4 authorization review and prospective drug utilization review.
 17  5    The department shall review the methodology for calculating
 17  6 and projecting costs savings and shall update the methodology,
 17  7 if necessary.
 17  8    The costs identified under the studies performed shall be
 17  9 netted against the cost savings projected by the department to
 17 10 accurately determine and report cost savings for the drug
 17 11 prior authorization program.
 17 12    The department shall submit a report of the studies to the
 17 13 general assembly on or before March 1, 1998, for review.
 17 14 Subsequent to that date, the general assembly may direct the
 17 15 department to remove from the categories of prescription drugs
 17 16 for which prior authorization is currently required, all of
 17 17 the drugs for which the comparative studies establish that
 17 18 prospective drug utilization review is at least as cost-
 17 19 effective in patient outcomes as prior authorization.
 17 20    2.  a.  In any managed care contract for mental health or
 17 21 substance abuse services entered into by the department on or
 17 22 after July 1, 1997, the request for proposals shall allow for
 17 23 coverage by the contractor on a regional or statewide basis.
 17 24 The department shall consult with the chairpersons and ranking
 17 25 members of the joint appropriations subcommittee on human
 17 26 services in developing the request for proposals and in
 17 27 evaluating the responses.  In determining whether a contract
 17 28 shall be entered into to provide regional or statewide
 17 29 coverage, the department shall consider the most effective
 17 30 means of providing access to and delivery of services to
 17 31 recipients of services and shall consider the cost-
 17 32 effectiveness of the particular proposal.
 17 33    b.  The department, in consultation with the Iowa
 17 34 department of public health, shall evaluate the feasibility of
 17 35 combining coverage for mental health and substance abuse
 18  1 services in any managed care contract entered into for these
 18  2 services.
 18  3    3.  The department shall implement the plan, as submitted
 18  4 to the general assembly on or before January 1, 1996, to
 18  5 administratively pursue reimbursement for pharmacy services
 18  6 for which a recipient of medical assistance also has third-
 18  7 party coverage.  The department may use increased collections
 18  8 of pharmaceutical rebates or existing funds to implement this
 18  9 subsection.
 18 10    Sec. 8.  STATE SUPPLEMENTARY ASSISTANCE.  There is
 18 11 appropriated from the general fund of the state to the
 18 12 department of human services for the fiscal year beginning
 18 13 July 1, 1997, and ending June 30, 1998, the following amount,
 18 14 or so much thereof as is necessary, to be used for the purpose
 18 15 designated:
 18 16    For state supplementary assistance, funeral assistance, and
 18 17 the medical assistance waiver for persons with mental
 18 18 retardation rent subsidy program:  
 18 19 .................................................. $ 19,190,000
 18 20    1.  The department shall increase the personal needs
 18 21 allowance for residents of residential care facilities by the
 18 22 same percentage and at the same time as federal supplemental
 18 23 security income and federal social security benefits are
 18 24 increased due to a recognized increase in the cost of living.
 18 25 The department may adopt emergency rules to implement this
 18 26 subsection.
 18 27    2.  a.  If during the fiscal year beginning July 1, 1997,
 18 28 the department projects that state supplementary assistance
 18 29 expenditures for a calendar year will not meet the federal
 18 30 pass-along requirement specified in Title XVI of the federal
 18 31 Social Security Act, section 1618, as codified in 42 U.S.C. }
 18 32 1382g, the department may take actions including but not
 18 33 limited to increasing the personal needs allowance for
 18 34 residential care facility residents and making programmatic
 18 35 adjustments or upward adjustments of the residential care
 19  1 facility or in-home health-related care reimbursement rates
 19  2 prescribed in this Act to ensure that federal requirements are
 19  3 met.  The department may adopt emergency rules to implement
 19  4 the provisions of this subsection.
 19  5    b.  If during the fiscal year beginning July 1, 1997, the
 19  6 department projects that state supplementary assistance
 19  7 expenditures will exceed the amount appropriated, the
 19  8 department may transfer funds appropriated in this Act for
 19  9 medical assistance for the purposes of the state supplementary
 19 10 assistance program.  However, funds shall only be transferred
 19 11 from the medical assistance appropriation if the funds
 19 12 transferred are projected to be in excess of the funds
 19 13 necessary for the medical assistance program.
 19 14    3.  The department may use up to $75,000 of the funds
 19 15 appropriated in this section for a rent subsidy program for
 19 16 adult persons to whom all of the following apply:
 19 17    a.  Are receiving assistance under the medical assistance
 19 18 home and community-based services for persons with mental
 19 19 retardation (HCBS/MR) program.
 19 20    b.  Were discharged from an intermediate care facility for
 19 21 persons with mental retardation (ICFMR) immediately prior to
 19 22 receiving HCBS/MR services.
 19 23    The goal of the subsidy program shall be to encourage and
 19 24 assist in enabling persons who currently reside in an ICFMR to
 19 25 move to a community living arrangement.  An eligible person
 19 26 may receive assistance in meeting their rental expense and, in
 19 27 the initial two months of eligibility, in purchasing necessary
 19 28 household furnishings and supplies.  The program shall be
 19 29 implemented so that it does not meet the federal definition of
 19 30 state supplementary assistance and will not impact the federal
 19 31 pass-along requirement specified in Title XVI of the federal
 19 32 Social Security Act, section 1618, as codified in 42 U.S.C. }
 19 33 1382g.
 19 34    Sec. 9.  CHILD DAY CARE ASSISTANCE.  There is appropriated
 19 35 from the general fund of the state to the department of human
 20  1 services for the fiscal year beginning July 1, 1997, and
 20  2 ending June 30, 1998, the following amount, or so much thereof
 20  3 as is necessary, to be used for the purposes designated:
 20  4    For protective child day care assistance and state child
 20  5 care assistance:  
 20  6 .................................................. $ 13,740,000
 20  7    1.  Of the funds appropriated in this section, $3,696,286
 20  8 shall be used for protective child day care assistance.
 20  9    2.  Of the funds appropriated in this section, $8,215,889
 20 10 shall be used for state child care assistance.
 20 11    3.  For the purposes of this subsection, the term "poverty
 20 12 level" means the poverty level defined by the poverty income
 20 13 guidelines published by the United States department of health
 20 14 and human services.  Effective October 1, 1997, the department
 20 15 shall increase to 125 percent the maximum federal poverty
 20 16 level used to determine eligibility for state child care
 20 17 assistance.  Based upon the availability of the funding
 20 18 provided in subsection 2 the department shall establish
 20 19 waiting lists for state child care assistance in descending
 20 20 order of prioritization as follows:
 20 21    a.  Families with an income at or below 100 percent of the
 20 22 federal poverty level whose members are employed at least 30
 20 23 hours per week, and parents with a family income at or below
 20 24 100 percent of the federal poverty level who are under the age
 20 25 of 21 and are participating in an educational program leading
 20 26 to a high school diploma or equivalent.
 20 27    b.  Parents with a family income at or below 100 percent of
 20 28 the federal poverty level who are under the age of 21 and are
 20 29 participating, at a satisfactory level, in an approved
 20 30 training program or in an educational program.
 20 31    c.  Families with an income of more than 100 percent but
 20 32 not more than 125 percent of the federal poverty level whose
 20 33 members are employed at least 30 hours per week.  Assistance
 20 34 provided to families pursuant to this paragraph shall be
 20 35 provided in accordance with a sliding fee scale developed by
 21  1 the department.
 21  2    d.  Families with an income at or below 155 percent of the
 21  3 federal poverty level with a special needs child as a member
 21  4 of the family.
 21  5    e.  Families with an income at or below 100 percent of the
 21  6 federal poverty level whose members are employed part-time at
 21  7 least 20 hours per week.
 21  8    The department may adopt emergency rules to implement the
 21  9 provisions of this subsection.
 21 10    4.  Migrant seasonal farm worker families whose family
 21 11 income is equal to or less than 110 percent of the United
 21 12 States office of management and budget poverty guidelines are
 21 13 eligible for state child care assistance.  The monthly family
 21 14 income shall be determined by calculating the total amount of
 21 15 family income earned during the 12-month period preceding the
 21 16 date of application for the assistance and dividing the total
 21 17 amount by 12.
 21 18    5.  Nothing in this section shall be construed or is
 21 19 intended as, or shall imply, a grant of entitlement for
 21 20 services to persons who are eligible for assistance due to an
 21 21 income level consistent with the requirements of this section.
 21 22 Any state obligation to provide services pursuant to this
 21 23 section is limited to the extent of the funds appropriated in
 21 24 this section.
 21 25    6.  Of the funds appropriated in this section, $636,641 is
 21 26 allocated for the statewide program for child day care
 21 27 resource and referral services under section 237A.26.
 21 28    7.  The department may use any of the funds appropriated in
 21 29 this section as a match to obtain federal funds for use in
 21 30 expanding child day care assistance and related programs.  For
 21 31 the purpose of expenditures of state and federal child day
 21 32 care funding, funds shall be considered obligated at the time
 21 33 expenditures are projected or are allocated to the
 21 34 department's regions.  Projections shall be based on current
 21 35 and projected caseload growth, current and projected provider
 22  1 rates, staffing requirements for eligibility determination and
 22  2 management of program requirements including data systems
 22  3 management, staffing requirements for administration of the
 22  4 program, contractual and grant obligations and any transfers
 22  5 to other state agencies, and obligations for decategorization
 22  6 or innovation projects.
 22  7    8.  Of the funds appropriated in this section, $1,191,184
 22  8 is allocated for transitional child care assistance.
 22  9    9.  During the 1997-1998 fiscal year, the department shall
 22 10 utilize the moneys deposited in the child day care credit fund
 22 11 created in section 237A.28 for state child care assistance, in
 22 12 addition to the moneys allocated for that purpose in this
 22 13 section.
 22 14    10.  The department shall assist the Hispanic educational
 22 15 resource center in Des Moines in identifying or providing
 22 16 replacement funding if the elimination of previous allocations
 22 17 made to the center under this section results in a negative
 22 18 impact to the center in providing child day care services.  If
 22 19 replacement funding is not identified, the department shall
 22 20 replace the funding with federal child care and development
 22 21 block grant moneys.
 22 22    11.  The department shall consult with service providers in
 22 23 evaluating the practice of requiring recipients of state child
 22 24 care assistance to make a co-payment to service providers.
 22 25 The evaluation shall consider the impact on system
 22 26 administration, service providers, and others.  The department
 22 27 shall report the evaluation results to the governor and
 22 28 general assembly on or before December 15, 1997.
 22 29    Sec. 10.  CHILD SUPPORT RECOVERY.  There is appropriated
 22 30 from the general fund of the state to the department of human
 22 31 services for the fiscal year beginning July 1, 1997, and
 22 32 ending June 30, 1998, the following amount, or so much thereof
 22 33 as is necessary, to be used for the purposes designated:
 22 34    For child support recovery, including salaries, support,
 22 35 maintenance, and miscellaneous purposes and for not more than
 23  1 the following full-time equivalent positions:  
 23  2 .................................................. $  6,605,000
 23  3 ............................................... FTEs     226.22
 23  4    1.  The director of human services, within the limitations
 23  5 of the moneys appropriated in this section, or moneys
 23  6 transferred from the family investment program appropriation
 23  7 for this purpose, shall establish new positions and add
 23  8 employees to the child support recovery unit if the director
 23  9 determines that both the current and additional employees
 23 10 together can reasonably be expected to maintain or increase
 23 11 net state revenue at or beyond the budgeted level.  If the
 23 12 director adds employees, the department shall demonstrate the
 23 13 cost-effectiveness of the current and additional employees by
 23 14 reporting to the joint appropriations subcommittee on human
 23 15 services the ratio of the total amount of administrative costs
 23 16 for child support recoveries to the total amount of the child
 23 17 support recovered.
 23 18    2.  Nonpublic assistance application fees, federal tax
 23 19 refund offset fees, and other user fees received by the child
 23 20 support recovery unit are appropriated and shall be used for
 23 21 the purposes of the child support recovery program.  The
 23 22 director of human services may add positions within the
 23 23 limitations of the amount appropriated for salaries and
 23 24 support for the positions.  The director shall report any
 23 25 positions added pursuant to this subsection to the
 23 26 chairpersons and ranking members of the joint appropriations
 23 27 subcommittee on human services and the legislative fiscal
 23 28 bureau.
 23 29    3.  The director of human services, in consultation with
 23 30 the department of management and the legislative fiscal
 23 31 committee, is authorized to receive and deposit state child
 23 32 support incentive earnings in the manner specified under
 23 33 applicable federal requirements.
 23 34    4.  The director of human services may establish new
 23 35 positions and add state employees to the child support
 24  1 recovery unit or contract for delivery of services if the
 24  2 director determines the employees are necessary to replace
 24  3 county-funded positions eliminated due to termination,
 24  4 reduction, or nonrenewal of a chapter 28E contract.  However,
 24  5 the director must also determine that the resulting increase
 24  6 in the state share of child support recovery incentives
 24  7 exceeds the cost of the positions or contract, the positions
 24  8 or contract are necessary to ensure continued federal funding
 24  9 of the program, or the new positions or contract can
 24 10 reasonably be expected to recover at least twice the amount of
 24 11 money necessary to pay the salaries and support for the new
 24 12 positions or the contract will generate at least 200 percent
 24 13 of the cost of the contract.
 24 14    5.  If initiated by the judicial department, the child
 24 15 support recovery unit shall continue to work with the judicial
 24 16 department to determine the feasibility of implementing a
 24 17 pilot project utilizing a court-appointed referee for judicial
 24 18 determinations on child support matters.  The extent and
 24 19 location of any pilot project shall be jointly developed by
 24 20 the judicial department and the child support recovery unit.
 24 21    6.  The department shall expend up to $50,000, including
 24 22 federal financial participation, for the fiscal year beginning
 24 23 July 1, 1997, for a child support public awareness campaign.
 24 24 The department and the office of the attorney general shall
 24 25 cooperate in continuation of the campaign.  The public
 24 26 awareness campaign shall emphasize, through a variety of media
 24 27 activities, the importance of maximum involvement of both
 24 28 parents in the lives of their children as well as the
 24 29 importance of payment of child support obligations.
 24 30    7.  The department shall continue the option to provide and
 24 31 supervise a community service pilot project for absent parents
 24 32 who are ordered by the court to perform community service for
 24 33 failure to pay child support pursuant to section 598.23A.
 24 34    8.  The director of human services may enter a contract
 24 35 with private collection agencies to collect support payments
 25  1 for cases which have been identified by the department as
 25  2 difficult collection cases if the department determines that
 25  3 this form of collection is more cost effective than
 25  4 departmental collection methods.  The director may use a
 25  5 portion of the state share of funds collected through this
 25  6 means to pay the costs of any contracts authorized under this
 25  7 subsection.
 25  8    9.  Surcharges paid by obligors and received by the unit as
 25  9 a result of the referral of support delinquency by the child
 25 10 support recovery unit to any private collection agency are
 25 11 appropriated to the department and shall be used to pay the
 25 12 costs of any contracts with the collection agencies.
 25 13    10.  The child support recovery unit shall initiate a
 25 14 process to evaluate the satisfaction of consumers, including
 25 15 both obligors and obligees, with the child support recovery
 25 16 unit.  The unit shall submit a report of the findings of the
 25 17 evaluation to the joint appropriations subcommittee on human
 25 18 services on or before December 15, 1997.
 25 19    Sec. 11.  JUVENILE INSTITUTIONS.  There is appropriated
 25 20 from the general fund of the state to the department of human
 25 21 services for the fiscal year beginning July 1, 1997, and
 25 22 ending June 30, 1998, the following amount, or so much thereof
 25 23 as is necessary, to be used for the purposes designated:
 25 24    For the operation of the state training school and the Iowa
 25 25 juvenile home, including salaries, support, maintenance, and
 25 26 miscellaneous purposes and for not more than the following
 25 27 full-time equivalent positions:
 25 28    For the state juvenile institutions:  
 25 29 .................................................. $ 13,869,000
 25 30 ............................................... FTEs     320.77
 25 31    1.  The following amounts of the funds appropriated and
 25 32 full-time equivalent positions authorized in this section are
 25 33 allocated for the Iowa juvenile home at Toledo:  
 25 34 .................................................. $  5,147,000
 25 35 ............................................... FTEs     118.54
 26  1    2.  The following amounts of the funds appropriated and
 26  2 full-time equivalent positions authorized in this section are
 26  3 allocated for the state training school at Eldora:  
 26  4 .................................................. $  8,722,000
 26  5 ............................................... FTEs     202.23
 26  6    3.  During the fiscal year beginning July 1, 1997, the
 26  7 population levels at the state juvenile institutions shall not
 26  8 exceed the population guidelines established under 1990 Iowa
 26  9 Acts, chapter 1239, section 21.
 26 10    4.  Of the funds appropriated in this section, $10,000
 26 11 shall be used by the state training school and $8,000 by the
 26 12 Iowa juvenile home for grants for adolescent pregnancy
 26 13 prevention activities at the institutions in the fiscal year
 26 14 beginning July 1, 1997.
 26 15    5.  Within the amount appropriated in this section, the
 26 16 department may reallocate funds as necessary to best fulfill
 26 17 the needs of the institutions provided for in the
 26 18 appropriation.
 26 19    Sec. 12.  CHILD AND FAMILY SERVICES.  There is appropriated
 26 20 from the general fund of the state to the department of human
 26 21 services for the fiscal year beginning July 1, 1997, and
 26 22 ending June 30, 1998, the following amount, or so much thereof
 26 23 as is necessary, to be used for the purpose designated:
 26 24    For child and family services:  
 26 25 .................................................. $111,084,000
 26 26    1.  The department may transfer moneys appropriated in this
 26 27 section as necessary to pay the nonfederal costs of services
 26 28 reimbursed under medical assistance or the family investment
 26 29 program which are provided to children who would otherwise
 26 30 receive services paid under the appropriation in this section.
 26 31 The department may transfer funds appropriated in this section
 26 32 to the appropriations in this Act for general administration
 26 33 and for field operations for resources necessary to implement
 26 34 and operate the services funded in this section.
 26 35    2.  a.  Of the funds appropriated in this section, up to
 27  1 $29,153,146 is allocated as the statewide expenditure target
 27  2 under section 232.143 for group foster care maintenance and
 27  3 services.
 27  4    b.  The department shall report quarterly to the
 27  5 legislative fiscal bureau concerning the status of each
 27  6 region's efforts to contain expenditures for group foster care
 27  7 placements in accordance with the regional plan established
 27  8 pursuant to section 232.143.
 27  9    c.  The department shall not certify any additional
 27 10 enhanced residential treatment beds, unless the director of
 27 11 human services approves the beds as necessary, based on the
 27 12 type of children to be served and the location of the enhanced
 27 13 residential treatment beds.
 27 14    d.  (1)  Of the funds appropriated in this section, not
 27 15 more than $5,690,600 is allocated as the state match funding
 27 16 for psychiatric medical institutions for children.
 27 17    (2)  The department may transfer all or a portion of the
 27 18 funds allocated in this paragraph for psychiatric medical
 27 19 institutions for children (PMICs) to the appropriation in this
 27 20 Act for medical assistance and shall not amend the managed
 27 21 mental health care contract to include PMICs.
 27 22    e.  Of the funds allocated in this subsection, $1,419,005
 27 23 is allocated as the state match funding for 50 highly
 27 24 structured juvenile program beds.  If the number of beds
 27 25 provided for in this paragraph is not utilized, the remaining
 27 26 funds allocated may be used for group foster care.
 27 27    f.  It is the intent of the general assembly that of the
 27 28 statewide expenditure target established in this subsection,
 27 29 the moneys allocated in accordance with section 232.143 as the
 27 30 budget target to each of the department's regions shall
 27 31 constitute the region's annual budget for group foster care.
 27 32 The representatives appointed by the department of human
 27 33 services and the juvenile court to establish the plan to
 27 34 contain expenditures for children placed in group foster care
 27 35 ordered by the court within the budget target allocated to the
 28  1 region shall establish the plan in a manner so as to ensure
 28  2 the moneys allocated to the region under section 232.141 shall
 28  3 last the entire fiscal year.
 28  4    3.  The department shall establish a goal that not more
 28  5 than 15 percent of the children placed in foster care funded
 28  6 under the federal Social Security Act, Title IV-E, may be
 28  7 placed in foster care for a period of more than 24 months.
 28  8    4.  In accordance with the provisions of section 232.188,
 28  9 the department shall continue the program to decategorize
 28 10 child welfare services in additional counties or clusters of
 28 11 counties.
 28 12    5.  The provisions of section 232.142, subsection 3,
 28 13 requiring financial aid to be paid by the state for the
 28 14 establishment, improvements, operation, and maintenance of
 28 15 county or multicounty juvenile detention homes shall not apply
 28 16 for the fiscal year beginning July 1, 1997.  Section 25B.2,
 28 17 subsection 3, shall not apply to this subsection.
 28 18    6.  The amount of the appropriation made in this section
 28 19 available for foster care is based upon expansion of the
 28 20 number of children in foster care who are eligible for federal
 28 21 supplemental security income (SSI).  The department may use up
 28 22 to $200,000 of those funds to enter into a performance-based
 28 23 contract to secure SSI benefits for children placed in foster
 28 24 care.  The contract shall include provisions for training of
 28 25 department of human services and juvenile court staff,
 28 26 completion of applications, tracking of application results,
 28 27 and representation during the appeals process whenever an
 28 28 appeal is necessary to secure SSI benefits.  The department
 28 29 may extend the contract for an additional two years.
 28 30 Notwithstanding section 217.30 and section 232.2, subsection
 28 31 11, and any other provision of law to the contrary, the
 28 32 director or the director's designee on behalf of a child in
 28 33 foster care may release medical, mental health, substance
 28 34 abuse, or any other information necessary only to determine
 28 35 the child's eligibility for SSI benefits, and may sign
 29  1 releases for the information.  In the case of a child in the
 29  2 custody of juvenile court services, the state court
 29  3 administrator or administrator's designee acting on behalf of
 29  4 a child in foster care may release medical, mental health,
 29  5 substance abuse, or any other information necessary only to
 29  6 determine the child's eligibility for SSI benefits, and may
 29  7 sign releases for the information.  In any release of
 29  8 information made pursuant to this subsection, confidentiality
 29  9 shall be maintained to the maximum extent possible.
 29 10    7.  A portion of the funds appropriated in this section may
 29 11 be used for emergency family assistance to provide other
 29 12 resources required for a family participating in a family
 29 13 preservation or reunification project to stay together or to
 29 14 be reunified.
 29 15    8.  Notwithstanding section 234.35, subsection 1, for the
 29 16 fiscal year beginning July 1, 1997, state funding for shelter
 29 17 care paid pursuant to section 234.35, subsection 1, paragraph
 29 18 "h", shall be limited to $7,403,905.  The department shall
 29 19 develop a formula, in consultation with the shelter care
 29 20 committee and the judicial department, to allocate shelter
 29 21 care funds to the department's regions.  The department may
 29 22 adopt emergency rules to implement this subsection.
 29 23    9.  Of the funds appropriated in this section, not more
 29 24 than $577,128 may be used to develop and maintain the state's
 29 25 implementation of the national adoption and foster care
 29 26 information system pursuant to the requirements of Pub. L.
 29 27 No. 99-509.  The department may transfer funds as necessary
 29 28 from the appropriations in this Act for field operations and
 29 29 general administration to implement this subsection.  Moneys
 29 30 allocated in accordance with this subsection shall be
 29 31 considered encumbered for the purposes of section 8.33.
 29 32    10.  Of the funds appropriated in this section, up to
 29 33 $777,632 may be used as determined by the department for any
 29 34 of the following purposes:
 29 35    a.  For general administration of the department to improve
 30  1 staff training efforts.
 30  2    b.  For oversight of termination of parental rights and
 30  3 permanency planning efforts on a statewide basis.
 30  4    c.  For personnel, assigned by the attorney general, to
 30  5 provide additional services relating to termination of
 30  6 parental rights and child in need of assistance cases.
 30  7    d.  For specialized permanency planning field operations
 30  8 staff.
 30  9    11.  The department may adopt administrative rules
 30 10 following consultation with child welfare services providers
 30 11 to implement outcome-based child welfare services pilot
 30 12 projects.  The rules may include, but are not limited to, the
 30 13 development of program descriptions, provider licensing and
 30 14 certification standards, reimbursement and payment amounts,
 30 15 contract requirements, assessment and service necessity
 30 16 requirements, eligibility criteria, claims submission
 30 17 procedures, and accountability standards.
 30 18    12.  Of the funds appropriated in this section, up to
 30 19 $200,000 may be used to develop, in cooperation with providers
 30 20 of children and family services, juvenile court, and other
 30 21 interested parties, an outcomes-based approach for family-
 30 22 centered, family preservation, family-community-based support,
 30 23 and wrap-around services to evaluate and improve outcomes for
 30 24 children and families.  The department shall submit an
 30 25 outcomes-based budget for these programs and shall submit the
 30 26 budget with other budget documents required pursuant to
 30 27 section 8.23.  The department may adopt administrative rules
 30 28 to implement this subsection.
 30 29    13.  The department shall continue to make adoption
 30 30 presubsidy and adoption subsidy payments to adoptive parents
 30 31 at the beginning of the month for the current month.
 30 32    14.  Federal funds received by the state during the fiscal
 30 33 year beginning July 1, 1997, as the result of the expenditure
 30 34 of state funds appropriated during a previous state fiscal
 30 35 year for a service or activity funded under this section,
 31  1 shall be used as additional funding for services provided
 31  2 under this section.  Moneys received by the department in
 31  3 accordance with the provisions of this subsection shall remain
 31  4 available for the purposes designated until June 30, 1999.
 31  5    15.  In each fiscal year, if the department determines that
 31  6 sufficient funds are available under the appropriation in this
 31  7 section, the department may transfer up to $135,136 to the
 31  8 appropriation in this Act for field operations to fund up to
 31  9 an additional 5.00 FTEs beyond the authorized limit to respond
 31 10 to increased applications resulting from recruitment efforts
 31 11 in order to increase the number of adoptions of children with
 31 12 special needs.
 31 13    16.  In addition to the report for group foster care
 31 14 placements, the department shall report quarterly to the
 31 15 legislative fiscal bureau concerning the status of each
 31 16 region's funding expenditures compared with allocations in the
 31 17 regional plan for services provided under this section.
 31 18    17.  The department and juvenile court services shall
 31 19 develop criteria for the department regional administrator and
 31 20 chief juvenile court officer to grant exceptions to extend
 31 21 eligibility, within the funds allocated, for intensive
 31 22 tracking and supervision and for supervised community
 31 23 treatment to delinquent youth beyond age 18 who are subject to
 31 24 release from the state training school, a highly structured
 31 25 juvenile program, or group care.  The department shall report
 31 26 the number of such exceptions granted and the related
 31 27 expenditures to the joint appropriations subcommittee on human
 31 28 services on or before January 1, 1998.  The department may
 31 29 adopt emergency administrative rules to implement this
 31 30 subsection.
 31 31    18.  Of the moneys appropriated in this section, not more
 31 32 than $900,000 is allocated to provide clinical assessment
 31 33 services as necessary to continue funding of children's
 31 34 rehabilitation services under medical assistance in accordance
 31 35 with federal law and requirements.  The funding allocated is
 32  1 the amount projected to be necessary for providing the
 32  2 clinical assessment services.  The department shall submit a
 32  3 report to the general assembly on or before January 1, 1998,
 32  4 regarding the development of a new model for determining
 32  5 rehabilitative needs in place of clinical assessment and
 32  6 treatment teams.  The department shall implement the new model
 32  7 on or before June 30, 1998, in a manner so as to reduce
 32  8 paperwork and other information requirements to the minimum
 32  9 level necessary for compliance with the federal requirements
 32 10 for the clinical assessment services.
 32 11    19.  The department shall adopt and implement emergency
 32 12 rules to provide for user fees for international and private
 32 13 adoptions.  The fees collected shall be deposited in the
 32 14 adoption administrative fund and shall be used to provide
 32 15 these services.
 32 16    Sec. 13.  CONNER DECREE.  There is appropriated from the
 32 17 general fund of the state to the department of human services
 32 18 for the fiscal year beginning July 1, 1997, and ending June
 32 19 30, 1998, the following amount, or so much thereof as is
 32 20 necessary, to be used for the purpose designated:
 32 21    For providing training in accordance with the consent
 32 22 decree of Conner v. Branstad, No. 4-86-CU-30871(S.D. Iowa,
 32 23 July 14, 1994):  
 32 24 .................................................. $     46,000
 32 25    Sec. 14.  COMMUNITY-BASED PROGRAMS – ADOLESCENT PREGNANCY
 32 26 PREVENTION.  There is appropriated from the general fund of
 32 27 the state to the department of human services for the fiscal
 32 28 year beginning July 1, 1997, and ending June 30, 1998, the
 32 29 following amount, or so much thereof as is necessary, to be
 32 30 used for the purpose designated:
 32 31    For community-based programs, on the condition that family
 32 32 planning services are funded, including salaries, support,
 32 33 maintenance, and miscellaneous purposes and for not more than
 32 34 the following full-time equivalent positions:  
 32 35 .................................................. $  2,270,000
 33  1 ............................................... FTEs       1.00
 33  2    1.  Of the funds appropriated in this section, $486,146
 33  3 shall be used for adolescent pregnancy prevention grants,
 33  4 including not more than $156,048 for programs to prevent
 33  5 pregnancies during the adolescent years and to provide support
 33  6 services for pregnant or parenting adolescents.  It is the
 33  7 intent of the general assembly that by July 1, 1999, grants
 33  8 awarded under this subsection be required to meet the criteria
 33  9 under subsection 2 including the provision of community-wide
 33 10 services within the proximity of a community or region.  In
 33 11 addition to the awarding of grants, funds may also be used for
 33 12 grant evaluation and for a statewide media campaign.
 33 13    2.  Of the funds appropriated in this section, $298,000
 33 14 shall be used for grants to community or regional groups which
 33 15 demonstrate broad-based representation from community
 33 16 representatives including but not limited to schools,
 33 17 churches, human service-related organizations, and businesses.
 33 18 Priority in the awarding of grants shall be given to groups
 33 19 which provide services to both urban and rural areas within
 33 20 the proximity of the community or region and which provide
 33 21 age-appropriate programs adapted for both male and female
 33 22 youth at the elementary, middle, and high school levels.  A
 33 23 program shall focus on the prevention of initial pregnancies
 33 24 during the adolescent years by emphasizing sexual abstinence
 33 25 as the only completely safe and effective means of avoiding
 33 26 pregnancy and sexually transmitted diseases and by providing
 33 27 information regarding the comparative failure rates of
 33 28 contraceptives, and by emphasizing responsible decision making
 33 29 in relationships, managing of peer and social pressures,
 33 30 development of self-esteem, the costs and responsibilities of
 33 31 parenting, and information regarding the alternative of
 33 32 adoption for placement of a child.  The program shall also
 33 33 include an evaluation and assessment component which includes
 33 34 evaluation of and recommendations for improvement of the
 33 35 program by the youth and parents involved.  Evaluation and
 34  1 assessment reports shall be provided to the department of
 34  2 human services, at a time determined by the department in the
 34  3 grant award.  Community or regional groups interested in
 34  4 applying for a grant under this subsection may be issued a
 34  5 planning grant or may utilize grant moneys for the costs of
 34  6 technical assistance to analyze community needs, match service
 34  7 providers to needs, negotiate service provision strategies, or
 34  8 other assistance to focus grant services provided under this
 34  9 subsection.  The technical assistance may be provided by
 34 10 organizations affiliated with institutions under the authority
 34 11 of the state board of regents or other organizations
 34 12 experienced in providing technical assistance concerning
 34 13 similar services.
 34 14    3.  It is the intent of the general assembly that the
 34 15 department of human services and the Iowa department of public
 34 16 health shall identify existing abstinence education or
 34 17 community-based programs which comply with the requirements
 34 18 established in section 912, subchapter V, of the federal
 34 19 Social Security Act, as codified in 42 U.S.C. } 701 et seq.
 34 20 for matching of federal funds to be received on or after
 34 21 October 1, 1997.
 34 22    4.  Of the funds appropriated in this section, $731,014
 34 23 shall be used by the department for child abuse prevention
 34 24 grants.
 34 25    Sec. 15.  COURT-ORDERED SERVICES PROVIDED TO JUVENILES.
 34 26 There is appropriated from the general fund of the state to
 34 27 the department of human services for the fiscal year beginning
 34 28 July 1, 1997, and ending June 30, 1998, the following amount,
 34 29 or so much thereof as is necessary, to be used for the purpose
 34 30 designated:
 34 31    Payment of the expenses of court-ordered services provided
 34 32 to juveniles which are a charge upon the state pursuant to
 34 33 section 232.141, subsection 4:  
 34 34 .................................................. $  3,290,000
 34 35    1.  Notwithstanding section 232.141 or any other provision
 35  1 of law, the funds appropriated in this section shall be
 35  2 allocated to the judicial districts as determined by the state
 35  3 court administrator.  The state court administrator shall make
 35  4 the determination on the allocations on or before June 15.
 35  5    2.  a.  Each judicial district shall continue the planning
 35  6 group for the court-ordered services for juveniles provided in
 35  7 that district which was established pursuant to 1991 Iowa
 35  8 Acts, chapter 267, section 119.  A planning group shall
 35  9 continue to perform its duties as specified in that law.
 35 10 Reimbursement rates for providers of court-ordered evaluation
 35 11 and treatment services paid under section 232.141, subsection
 35 12 4, shall be negotiated with providers by each judicial
 35 13 district's planning group.
 35 14    b.  Each district planning group shall submit an annual
 35 15 report in January to the state court administrator and the
 35 16 department of human services.  The report shall cover the
 35 17 preceding fiscal year and shall include a preliminary report
 35 18 on the current fiscal year.  The administrator and the
 35 19 department shall compile these reports and submit the reports
 35 20 to the chairpersons and ranking members of the joint
 35 21 appropriations subcommittee on human services and the
 35 22 legislative fiscal bureau.
 35 23    3.  The department of human services shall develop policies
 35 24 and procedures to ensure that the funds appropriated in this
 35 25 section are spent only after all other reasonable actions have
 35 26 been taken to utilize other funding sources and community-
 35 27 based services.  The policies and procedures shall be designed
 35 28 to achieve the following objectives relating to services
 35 29 provided under chapter 232:
 35 30    a.  Maximize the utilization of funds which may be
 35 31 available from the medical assistance program including usage
 35 32 of the early and periodic screening, diagnosis, and treatment
 35 33 (EPSDT) program.
 35 34    b.  Recover payments from any third-party insurance carrier
 35 35 which is liable for coverage of the services, including health
 36  1 insurance coverage.
 36  2    c.  Pursue development of agreements with regularly
 36  3 utilized out-of-state service providers which are intended to
 36  4 reduce per diem costs paid to those providers.
 36  5    4.  The department of human services, in consultation with
 36  6 the state court administrator and the judicial district
 36  7 planning groups, shall compile a monthly report describing
 36  8 spending in the districts for court-ordered services for
 36  9 juveniles, including the utilization of the medical assistance
 36 10 program.  The reports shall be submitted on or before the
 36 11 twentieth day of each month to the chairpersons and ranking
 36 12 members of the joint appropriations subcommittee on human
 36 13 services and the legislative fiscal bureau.
 36 14    5.  Notwithstanding chapter 232 or any other provision of
 36 15 law, a district or juvenile court in a department of human
 36 16 services district shall not order any service which is a
 36 17 charge upon the state pursuant to section 232.141 if there are
 36 18 insufficient court-ordered services funds available in the
 36 19 district allocation to pay for the service.  The chief
 36 20 juvenile court officer shall work with the judicial district
 36 21 planning group to encourage use of the funds appropriated in
 36 22 this section such that there are sufficient funds to pay for
 36 23 all court-related services during the entire year.  The eight
 36 24 chief juvenile court officers shall attempt to anticipate
 36 25 potential surpluses and shortfalls in the allocations and
 36 26 shall cooperatively request the state court administrator to
 36 27 transfer funds between the districts' allocations as prudent.
 36 28    6.  Notwithstanding any provision of law to the contrary, a
 36 29 district or juvenile court shall not order a county to pay for
 36 30 any service provided to a juvenile pursuant to an order
 36 31 entered under chapter 232 which is a charge upon the state
 36 32 under section 232.141, subsection 4.
 36 33    7.  Of the funds appropriated in this section, not more
 36 34 than $100,000 may be used by the judicial department for
 36 35 administration of the requirements under this section and for
 37  1 travel associated with court-ordered placements which are a
 37  2 charge upon the state pursuant to section 232.141, subsection
 37  3 4.
 37  4    8.  Of the funds appropriated in this section, not more
 37  5 than $580,000 may be transferred to the appropriation in this
 37  6 Act for child and family services and used to provide school-
 37  7 based supervision of children adjudicated under chapter 232.
 37  8    Sec. 16.  MENTAL HEALTH INSTITUTES.  There is appropriated
 37  9 from the general fund of the state to the department of human
 37 10 services for the fiscal year beginning July 1, 1997, and
 37 11 ending June 30, 1998, the following amount, or so much thereof
 37 12 as is necessary, to be used for the purposes designated:
 37 13    For the state mental health institutes for salaries,
 37 14 support, maintenance, and miscellaneous purposes and for not
 37 15 more than the following full-time equivalent positions:  
 37 16 .................................................. $ 41,480,900
 37 17 ............................................... FTEs     888.10
 37 18    1.  The funds appropriated and full-time equivalent
 37 19 positions authorized in this section are allocated as follows:
 37 20    a.  State mental health institute at Cherokee:  
 37 21 .................................................. $ 13,199,400
 37 22 ............................................... FTEs     296.98
 37 23    b.  State mental health institute at Clarinda:  
 37 24 .................................................. $  6,324,400
 37 25 ............................................... FTEs     136.82
 37 26    c.  State mental health institute at Independence:  
 37 27 .................................................. $  17,133,200
 37 28 ............................................... FTEs      366.82
 37 29    For the fiscal year beginning July 1, 1997, the state
 37 30 mental health institute at Independence shall implement a
 37 31 pilot project accounting test of managing revenues and
 37 32 expenditures attributable to the mental health institute in a
 37 33 manner that permits the net state expenditure amount to be
 37 34 determined.  The mental health institute shall submit a
 37 35 preliminary report in January 1998, and a status report in
 38  1 October 1998, to the governor and the joint appropriations
 38  2 subcommittee on human services concerning the pilot project.
 38  3 The reports shall identify advantages and disadvantages of
 38  4 utilizing the pilot project approach and any changes in policy
 38  5 or statute identified to improve an implementation of the
 38  6 pilot project approach.
 38  7    d.  State mental health institute at Mount Pleasant:  
 38  8 .................................................. $  4,823,900
 38  9 ............................................... FTEs      87.48
 38 10    The department shall develop a plan for implementing a dual
 38 11 diagnosis program at the state mental institute at Mount
 38 12 Pleasant to commence July 1, 1998.  The department shall
 38 13 submit the plan to the governor and the general assembly on or
 38 14 before January 2, 1998.  
 38 15    2.  Within the funds appropriated in this section, the
 38 16 department may reallocate funds as necessary to best fulfill
 38 17 the needs of the institutions provided for in the
 38 18 appropriation.
 38 19    3.  As part of the discharge planning process at the state
 38 20 mental health institutes, the department shall provide
 38 21 assistance in obtaining eligibility for federal supplemental
 38 22 security income (SSI) to those individuals whose care at a
 38 23 state mental health institute is the financial responsibility
 38 24 of the state.
 38 25    Sec. 17.  HOSPITAL-SCHOOLS.  There is appropriated from the
 38 26 general fund of the state to the department of human services
 38 27 for the fiscal year beginning July 1, 1997, and ending June
 38 28 30, 1998, the following amount, or so much thereof as is
 38 29 necessary, to be used for the purposes designated:
 38 30    For the state hospital-schools, for salaries, support,
 38 31 maintenance, and miscellaneous purposes and for not more than
 38 32 the following full-time equivalent positions:  
 38 33 .................................................. $ 28,613,376
 38 34 ............................................... FTEs    1508.00
 38 35    1.  The funds appropriated and full-time equivalent
 39  1 positions authorized in this section are allocated as follows:
 39  2    a.  State hospital-school at Glenwood:  
 39  3 .................................................. $  2,108,276
 39  4 ............................................... FTEs     872.50
 39  5    (1)  The department shall implement a pilot project of
 39  6 operating the hospital-school with a net general fund
 39  7 appropriation.  The amount allocated in this paragraph is the
 39  8 net state appropriation amount projected to be needed for the
 39  9 state hospital-school at Glenwood.  Purposes of the pilot
 39 10 project are to encourage the hospital-school to operate with
 39 11 increased self-sufficiency, to improve quality and efficiency,
 39 12 and to support collaborative efforts between the hospital-
 39 13 school and counties and other funders of services available
 39 14 from the hospital-school.  The pilot project shall not be
 39 15 implemented in a manner which results in a cost increase to
 39 16 the state or cost shifting between the state, the medical
 39 17 assistance program, counties, or other sources of funding for
 39 18 the state hospital-school.  Moneys allocated in this paragraph
 39 19 may be used throughout the fiscal year in the manner necessary
 39 20 for purposes of cash flow management, and for purposes of cash
 39 21 flow management the hospital-school may temporarily draw more
 39 22 than the amount allocated, provided the amount allocated is
 39 23 not exceeded at the close of the fiscal year.
 39 24    (2)  In implementing the pilot project, subject to the
 39 25 approval of the department, except for revenues under section
 39 26 249A.11, revenues attributable to the state hospital-school
 39 27 for the fiscal year beginning July 1, 1997, shall be deposited
 39 28 into the hospital-school's account, including but not limited
 39 29 to all of the following:
 39 30    (a)  Moneys received by the state from billings to counties
 39 31 under section 222.73.
 39 32    (b)  The federal share of medical assistance revenue
 39 33 received under chapter 249A.
 39 34    (c)  Federal Medicare program payments.
 39 35    (d)  Moneys received from client financial participation.
 40  1    (e)  Other revenues generated from current, new, or
 40  2 expanded services which the state hospital-school is
 40  3 authorized to provide.
 40  4    (3)  For the initial year of the pilot project, the
 40  5 institution shall develop a report detailing the items for
 40  6 which depreciation reimbursement funds would have been
 40  7 utilized if the depreciation reimbursement had been retained
 40  8 by the institution.  This report shall be included with the
 40  9 preliminary report submitted pursuant to subparagraph (5) in
 40 10 January 1998.
 40 11    (4)  For the purposes of allocating the salary adjustment
 40 12 fund moneys appropriated in another Act, the state hospital-
 40 13 school at Glenwood shall be considered to be funded entirely
 40 14 with state moneys.
 40 15    (5)  The state hospital-school and the department shall
 40 16 submit a preliminary report in January 1998, and a status
 40 17 report in October 1998, to the governor and the joint
 40 18 appropriations subcommittee on human services concerning the
 40 19 pilot project.
 40 20    b.  State hospital-school at Woodward:  
 40 21 .................................................. $  26,505,100
 40 22 ............................................... FTEs      635.50
 40 23    2.  Within the funds appropriated in this section, the
 40 24 department may reallocate funds as necessary to best fulfill
 40 25 the needs of the institutions provided for in the
 40 26 appropriation.
 40 27    3.  The department may implement a pilot project to bill
 40 28 for state hospital-school services utilizing a scope of
 40 29 services used for private providers of intermediate care
 40 30 facilities for persons with mental retardation services in a
 40 31 manner which does not shift costs between the medical
 40 32 assistance program, counties, or other sources of funding for
 40 33 the state-hospital schools.
 40 34    Sec. 18.  MENTAL ILLNESS SPECIAL SERVICES.  There is
 40 35 appropriated from the general fund of the state to the
 41  1 department of human services for the fiscal year beginning
 41  2 July 1, 1997, and ending June 30, 1998, the following amount,
 41  3 or so much thereof as is necessary, to be used for the purpose
 41  4 designated:
 41  5    For mental illness special services:  
 41  6 .................................................. $    121,220
 41  7    1.  The department and the Iowa finance authority shall
 41  8 develop methods to implement the financing for existing
 41  9 community-based facilities and to implement financing for the
 41 10 development of affordable community-based housing facilities.
 41 11 The department shall assure that clients are referred to the
 41 12 housing as it is developed.
 41 13    2.  The funds appropriated in this section are to provide
 41 14 funds for construction and start-up costs to develop community
 41 15 living arrangements to provide for persons with mental illness
 41 16 who are homeless.  These funds may be used to match federal
 41 17 Stewart B. McKinney Homeless Assistance Act grant funds.
 41 18 Programs or areas which have previously received funding shall
 41 19 be eligible for additional funding under this appropriation.
 41 20    Sec. 19.  FAMILY SUPPORT SUBSIDY PROGRAM.  There is
 41 21 appropriated from the general fund of the state to the
 41 22 department of human services for the fiscal year beginning
 41 23 July 1, 1997, and ending June 30, 1998, the following amount,
 41 24 or so much thereof as is necessary, to be used by the division
 41 25 of children and family services for the purpose designated:
 41 26    For the family support subsidy program:  
 41 27 .................................................. $  1,670,000
 41 28    The department may use up to $200,000 of the moneys
 41 29 appropriated in this section to continue the children-at-home
 41 30 program, of which not more than $30,000 shall be used for
 41 31 administrative costs.
 41 32    Sec. 20.  SPECIAL NEEDS GRANTS.  There is appropriated from
 41 33 the general fund of the state to the department of human
 41 34 services for the fiscal year beginning July 1, 1997, and
 41 35 ending June 30, 1998, the following amount, or so much thereof
 42  1 as is necessary, to be used for the purpose designated:
 42  2    To provide special needs grants to families with a family
 42  3 member at home who has a developmental disability or to a
 42  4 person with a developmental disability:  
 42  5 .................................................. $     53,212
 42  6    Grants must be used by a family to defray special costs of
 42  7 caring for the family member to prevent out-of-home placement
 42  8 of the family member or to provide for independent living
 42  9 costs.  The grants may be administered by a private nonprofit
 42 10 agency which serves people statewide provided that no
 42 11 administrative costs are received by the agency.  Regular
 42 12 reports regarding the special needs grants with the family
 42 13 support subsidy program and an annual report concerning the
 42 14 characteristics of the grantees shall be provided to the
 42 15 legislative fiscal bureau.
 42 16    Sec. 21.  MI/MR/DD STATE CASES.  There is appropriated from
 42 17 the general fund of the state to the department of human
 42 18 services for the fiscal year beginning July 1, 1997, and
 42 19 ending June 30, 1998, the following amount, or so much thereof
 42 20 as is necessary, to be used for the purpose designated:
 42 21    For purchase of local services for persons with mental
 42 22 illness, mental retardation, and developmental disabilities
 42 23 where the client has no established county of legal
 42 24 settlement:  
 42 25 .................................................. $  6,910,000
 42 26    If a county has a county management plan which is approved
 42 27 by the director of human services pursuant to section 331.439,
 42 28 the services paid for under this section are exempt from the
 42 29 department's purchase of service system requirements.  The
 42 30 department shall adopt rules to implement the provisions of
 42 31 this paragraph.
 42 32    Sec. 22.  MENTAL HEALTH AND DEVELOPMENTAL DISABILITIES –
 42 33 COMMUNITY SERVICES FUND.  There is appropriated from the
 42 34 general fund of the state to the mental health and
 42 35 developmental disabilities community services fund created in
 43  1 section 225C.7 for the fiscal year beginning July 1, 1997, and
 43  2 ending June 30, 1998, the following amount, or so much thereof
 43  3 as is necessary, to be used for the purpose designated:
 43  4    For mental health and developmental disabilities community
 43  5 services in accordance with this Act:  
 43  6 .................................................. $ 17,400,000
 43  7    1.  Of the funds appropriated in this section, $17,121,138
 43  8 shall be allocated to counties for funding of community-based
 43  9 mental health and developmental disabilities services.  The
 43 10 moneys shall be allocated to a county as follows:
 43 11    a.  Fifty percent based upon the county's proportion of the
 43 12 state's population of persons with an annual income which is
 43 13 equal to or less than the poverty guideline established by the
 43 14 federal office of management and budget.
 43 15    b.  Fifty percent based upon the county's proportion of the
 43 16 state's general population.
 43 17    2.  a.  A county shall utilize the funding the county
 43 18 receives pursuant to subsection 1 for services provided to
 43 19 persons with a disability, as defined in section 225C.2.
 43 20 However, no more than 50 percent of the funding shall be used
 43 21 for services provided to any one of the service populations.
 43 22    b.  A county shall use at least 50 percent of the funding
 43 23 the county receives under subsection 1 for contemporary
 43 24 services provided to persons with a disability, as described
 43 25 in rules adopted by the department.
 43 26    3.  Of the funds appropriated in this section, $30,000
 43 27 shall be used to support the Iowa compass program providing
 43 28 computerized information and referral services for Iowans with
 43 29 disabilities and their families.
 43 30    4.  The department shall submit an annual report concerning
 43 31 each population served and each service funded in this section
 43 32 to the chairpersons and ranking members of the joint
 43 33 appropriations subcommittee on human services and the
 43 34 legislative fiscal bureau.
 43 35    5.  Of the funds appropriated in this section, not more
 44  1 than $248,862 shall be provided to those counties having
 44  2 supplemental per diem contracts in effect on June 30, 1994,
 44  3 which were originally initiated under 1993 Iowa Acts, chapter
 44  4 172, section 16, subsection 2.  The amount provided to each
 44  5 county shall be equal to the amount the county would be
 44  6 eligible to receive under the supplemental per diem contracts
 44  7 in effect on June 30, 1994, if the contracts were continued in
 44  8 effect for the entire fiscal year beginning July 1, 1997.
 44  9    6.  a.  Funding appropriated for purposes of the federal
 44 10 social services block grant is allocated for distribution to
 44 11 counties for local purchase of services for persons with
 44 12 mental illness or mental retardation or other developmental
 44 13 disability.
 44 14    b.  The funds allocated in this subsection shall be
 44 15 expended by counties in accordance with eligibility guidelines
 44 16 established in the department's rules outlining general
 44 17 provisions for service administration.  Services eligible for
 44 18 payment with funds allocated in this subsection are limited to
 44 19 any of the following which are provided in accordance with the
 44 20 department's administrative rules for the services:  adult
 44 21 support, adult day care, administrative support for
 44 22 volunteers, community supervised apartment living
 44 23 arrangements, residential services for adults, sheltered work,
 44 24 supported employment, supported work training, transportation,
 44 25 and work activity.
 44 26    c.  In purchasing services with funds allocated in this
 44 27 subsection, a county shall designate a person to provide for
 44 28 eligibility determination and development of a case plan for
 44 29 individuals for whom the services are purchased.  The
 44 30 designated person shall be a medical assistance case manager
 44 31 serving the person's county of residence.  If an individual
 44 32 does not have a case manager, the individual's eligibility
 44 33 shall be determined by a social services caseworker of the
 44 34 department serving the individual's county of residence.  The
 44 35 case plan shall be developed in accordance with the
 45  1 department's rules outlining general provisions for service
 45  2 administration.
 45  3    d.  Services purchased with funds allocated in this
 45  4 subsection must be the result of a referral by the person who
 45  5 identified the services in developing the individual's case
 45  6 plan.
 45  7    e.  Services purchased with funds allocated in this
 45  8 subsection must be under a purchase of service contract
 45  9 established in accordance with the department's administrative
 45 10 rules for purchase of service.
 45 11    f.  The funds provided by this subsection shall be
 45 12 allocated to each county as follows:
 45 13    (1)  Fifty percent based upon the county's proportion of
 45 14 the state's population of persons with an annual income which
 45 15 is equal to or less than the poverty guideline established by
 45 16 the federal office of management and budget.
 45 17    (2)  Fifty percent based upon the amount provided to the
 45 18 county for local purchase of services in the preceding fiscal
 45 19 year.
 45 20    g.  Each county shall submit to the department a plan for
 45 21 funding of the services eligible for payment under this
 45 22 subsection.  The plan may provide for allocation of the funds
 45 23 for one or more of the eligible services.  The plan shall
 45 24 identify the funding amount the county allocates for each
 45 25 service and the time period for which the funding will be
 45 26 available.  Only those services which have funding allocated
 45 27 in the plan are eligible for payment with funds provided in
 45 28 this subsection.
 45 29    h.  A county shall provide advance notice to the individual
 45 30 receiving services, the service provider, and the person
 45 31 responsible for developing the case plan of the date the
 45 32 county determines that funding will no longer be available for
 45 33 a service.
 45 34    i.  The moneys provided under this subsection do not
 45 35 establish an entitlement to the services funded under this
 46  1 subsection.
 46  2    7.  If a county has a county management plan which is
 46  3 approved by the director of human services pursuant to section
 46  4 331.439, the county shall be considered to have met the
 46  5 requirements of subsection 2, and subsection 6, paragraphs
 46  6 "b", "c", "d", "e", and "g".  The department shall adopt rules
 46  7 to implement the provisions of this subsection.
 46  8    8.  It is the intent of the general assembly that to the
 46  9 extent possible, public funding for mental retardation and
 46 10 developmental disabilities services should be used in a
 46 11 flexible manner to reduce reliance on institutional-based
 46 12 services.  To this end, a county may amend the county's
 46 13 service management plans for mental retardation and
 46 14 developmental disabilities services submitted for the fiscal
 46 15 year beginning July 1, 1997, under section 331.439, as
 46 16 necessary for the county to provide appropriate assistance in
 46 17 lieu of placement of an individual in an intermediate care
 46 18 facility for persons with mental retardation or other
 46 19 institutional placement.  The appropriate assistance may be
 46 20 modeled on the personal assistance and family support subsidy
 46 21 programs under chapter 225C.
 46 22    Sec. 23.  PROVIDER REIMBURSEMENT – SHELTERED WORKSHOPS –
 46 23 WORK ACTIVITY SERVICES.  There is appropriated from the
 46 24 general fund of the state to the department of human services
 46 25 for the fiscal year beginning July 1, 1997, and ending June
 46 26 30, 1998, the following amount, or so much thereof as is
 46 27 necessary, to be used for the purpose designated:
 46 28    For payment of an increased provider reimbursement for
 46 29 sheltered workshops and work activity services:  
 46 30 .................................................. $    160,000
 46 31    The moneys appropriated in this section shall be allocated
 46 32 to counties in accordance with the methodology for
 46 33 distribution of local purchase of services moneys in section
 46 34 22, subsection 6, paragraph "f", of this Act.  The moneys
 46 35 provided pursuant to this section shall be used to pay the
 47  1 increase in reimbursement rates by one percent over the
 47  2 reimbursement rate provided on June 30, 1997, for sheltered
 47  3 workshops and work activity services.
 47  4    Sec. 24.  PERSONAL ASSISTANCE.  There is appropriated from
 47  5 the general fund of the state to the department of human
 47  6 services for the fiscal year beginning July 1, 1997, and
 47  7 ending June 30, 1998, the following amount, or so much thereof
 47  8 as is necessary, to be used for the purpose designated:
 47  9    For continuation of a pilot project for the personal
 47 10 assistance services program in accordance with this section:  
 47 11 .................................................. $    364,000
 47 12    The funds appropriated in this section shall be used to
 47 13 continue the pilot project for the personal assistance
 47 14 services program under section 225C.46 in an urban and a rural
 47 15 area.  Not more than $36,400 shall be used for administrative
 47 16 costs.  The pilot project and any federal home and community-
 47 17 based waiver developed under the medical assistance program
 47 18 shall not be implemented in a manner which would require
 47 19 additional county or state costs for assistance provided to an
 47 20 individual served under the pilot project or the waiver.
 47 21    It is the intent of the general assembly that for any new
 47 22 applicants for personal assistance, priority shall be given to
 47 23 providing assistance to individuals for education, job
 47 24 training, and other forms of employment support.  It is also
 47 25 the intent of the general assembly that if other programs
 47 26 become available which provide similar services, current
 47 27 recipients of personal assistance for whom these similar
 47 28 services are appropriate shall be assisted in attaining
 47 29 eligibility for these programs.
 47 30    Sec. 25.  FIELD OPERATIONS.  There is appropriated from the
 47 31 general fund of the state to the department of human services
 47 32 for the fiscal year beginning July 1, 1997, and ending June
 47 33 30, 1998, the following amount, or so much thereof as is
 47 34 necessary, to be used for the purpose designated:
 47 35    For field operations, including salaries, support,
 48  1 maintenance, and miscellaneous purposes and for not more than
 48  2 the following full-time equivalent positions:  
 48  3 .................................................  $ 47,500,000
 48  4 ............................................... FTEs   2,047.00
 48  5    Of the full-time equivalent positions authorized in this
 48  6 section, there are additional positions in excess of the
 48  7 number authorized for the previous fiscal year.  It is the
 48  8 intent of the general assembly that of the additional
 48  9 positions, up to 20 FTEs may be utilized for incremental
 48 10 expansion of the assessment-based approach for responding to
 48 11 reports of child abuse.
 48 12    Sec. 26.  GENERAL ADMINISTRATION.  There is appropriated
 48 13 from the general fund of the state to the department of human
 48 14 services for the fiscal year beginning July 1, 1997, and
 48 15 ending June 30, 1998, the following amount, or so much thereof
 48 16 as is necessary, to be used for the purpose designated:
 48 17    For general administration, including salaries, support,
 48 18 maintenance, and miscellaneous purposes and for not more than
 48 19 the following full-time equivalent positions:  
 48 20 ................................................ $   14,100,000
 48 21 .............................................. FTEs      383.00
 48 22    Of the funds appropriated in this section, $57,090 is
 48 23 allocated for the prevention of disabilities policy council
 48 24 established in section 225B.3.
 48 25    If an expenditure reduction or other cost-saving measure is
 48 26 deemed necessary to maintain expenditures within the amount
 48 27 appropriated to the department in this section, the department
 48 28 shall not implement the reduction or other measure in a manner
 48 29 which reduces service funding for disability rehabilitation
 48 30 programs, including but not limited to, statewide supported
 48 31 employment programs or reduces the drawdown of federal
 48 32 funding.
 48 33    Sec. 27.  VOLUNTEERS.  There is appropriated from the
 48 34 general fund of the state to the department of human services
 48 35 for the fiscal year beginning July 1, 1997, and ending June
 49  1 30, 1998, the following amount, or so much thereof as is
 49  2 necessary, to be used for the purpose designated:
 49  3    For development and coordination of volunteer services:  
 49  4 .................................................. $     98,900
 49  5    Sec. 28.  MEDICAL ASSISTANCE, STATE SUPPLEMENTARY
 49  6 ASSISTANCE, AND SOCIAL SERVICE PROVIDERS REIMBURSED UNDER THE
 49  7 DEPARTMENT OF HUMAN SERVICES.
 49  8    1.  a.  For the fiscal year beginning July 1, 1997, the
 49  9 rate for skilled nursing facilities shall be increased by 3.3
 49 10 percent over the rates in effect on June 30, 1997.
 49 11    b.  For the fiscal year beginning July 1, 1997, the
 49 12 dispensing fee for pharmacists shall remain at the rate in
 49 13 effect on June 30, 1997.  The reimbursement policy for drug
 49 14 product costs shall be in accordance with federal
 49 15 requirements.
 49 16    c.  For the fiscal year beginning July 1, 1997,
 49 17 reimbursement rates for inpatient and outpatient hospital
 49 18 services shall be increased by 2.8 percent over the rates in
 49 19 effect on June 30, 1997.  The department shall continue the
 49 20 outpatient hospital reimbursement system based upon ambulatory
 49 21 patient groups implemented pursuant to 1994 Iowa Acts, chapter
 49 22 1186, section 25, subsection 1, paragraph "f".  In addition,
 49 23 the department shall continue the revised medical assistance
 49 24 payment policy implemented pursuant to that paragraph to
 49 25 provide reimbursement for costs of screening and treatment
 49 26 provided in the hospital emergency room if made pursuant to
 49 27 the prospective payment methodology developed by the
 49 28 department for the payment of outpatient services provided
 49 29 under the medical assistance program.
 49 30    d.  Reimbursement rates for rural health clinics shall be
 49 31 increased in accordance with increases under the federal
 49 32 Medicare program.
 49 33    e.  Home health agencies certified for the federal Medicare
 49 34 program, hospice services, and acute care mental hospitals
 49 35 shall be reimbursed for their current federal Medicare audited
 50  1 costs.
 50  2    f.  The basis for establishing the maximum medical
 50  3 assistance reimbursement rate for nursing facilities shall be
 50  4 the 70th percentile of facility costs as calculated from the
 50  5 June 30, 1997, unaudited compilation of cost and statistical
 50  6 data.  However, to the extent funds are available within the
 50  7 amount projected for reimbursement of nursing facilities
 50  8 within the appropriation for medical assistance in this Act
 50  9 for fiscal year beginning July 1, 1997, and within the
 50 10 appropriation for medical assistance as a whole for fiscal
 50 11 year beginning July 1, 1997, the department shall adjust the
 50 12 maximum medical assistance reimbursement for nursing
 50 13 facilities to the 70th percentile, as calculated on December
 50 14 31, 1997, unaudited compilation of cost and statistical data
 50 15 and the adjustment shall take effect January 1, 1998.
 50 16    g.  Federally qualified health centers shall be reimbursed
 50 17 at 100 percent of reasonable costs as determined by the
 50 18 department in accordance with federal requirements.
 50 19    h.  The reimbursement for dental services shall remain at
 50 20 the rates in effect on June 30, 1997.
 50 21    2.  For the fiscal year beginning July 1, 1997, the maximum
 50 22 cost reimbursement rate for residential care facilities
 50 23 reimbursed by the department shall not be less than $22.20 per
 50 24 day.  The flat reimbursement rate for facilities electing not
 50 25 to file semiannual cost reports shall not be less than $15.88
 50 26 per day.  For the fiscal year beginning July 1, 1997, the
 50 27 maximum reimbursement rate for providers reimbursed under the
 50 28 in-home health-related care program shall not be less than
 50 29 $426.78 per month.
 50 30    3.  Unless otherwise directed in this section, when the
 50 31 department's reimbursement methodology for any provider
 50 32 reimbursed in accordance with this section includes an
 50 33 inflation factor, this factor shall not exceed the amount by
 50 34 which the consumer price index for all urban consumers
 50 35 increased during the calendar year ending December 31, 1996.
 51  1    4.  Notwithstanding section 234.38, in the fiscal year
 51  2 beginning July 1, 1997, the foster family basic daily
 51  3 maintenance rate and the maximum adoption subsidy rate for
 51  4 children ages 0 through 5 years shall be $13.01, the rate for
 51  5 children ages 6 through 11 years shall be $13.77, the rate for
 51  6 children ages 12 through 15 years shall be $15.48, and the
 51  7 rate for children ages 16 and older shall be $15.47.
 51  8    5.  For the fiscal year beginning July 1, 1997, the maximum
 51  9 reimbursement rates for nonrehabilitative treatment and
 51 10 supportive services and for social service providers shall be
 51 11 the same as the rates in effect on June 30, 1997, except under
 51 12 any of the following circumstances:
 51 13    a.  If a new service was added after June 30, 1997, the
 51 14 initial reimbursement rate for the service shall be based upon
 51 15 actual and allowable costs.
 51 16    b.  If a social service provider loses a source of income
 51 17 used to determine the reimbursement rate for the provider, the
 51 18 provider's reimbursement rate may be adjusted to reflect the
 51 19 loss of income, provided that the lost income was used to
 51 20 support actual and allowable costs of a service purchased
 51 21 under a purchase of service contract.
 51 22    c.  The department revises the reimbursement rates as part
 51 23 of the changes in the mental health and developmental
 51 24 disabilities services system initiated pursuant to 1995 Iowa
 51 25 Acts, chapter 206, and associated legislation.
 51 26    6.  The group foster care reimbursement rates paid for
 51 27 placement of children out-of-state shall be calculated
 51 28 according to the same rate-setting principles as those used
 51 29 for in-state providers unless the director determines that
 51 30 appropriate care cannot be provided within the state.  The
 51 31 payment of the daily rate shall be based on the number of days
 51 32 in the calendar month in which service is provided.
 51 33    7.  For the fiscal year beginning July 1, 1997, the
 51 34 combined service and maintenance components of the
 51 35 reimbursement rate paid to a shelter care provider shall be
 52  1 based on the cost report submitted to the department.  The
 52  2 maximum reimbursement rate shall be $76.61 per day.  If the
 52  3 department would reimburse the provider at less than the
 52  4 maximum rate but the provider's cost report justifies a rate
 52  5 of at least $76.61, the department shall readjust the
 52  6 provider's reimbursement rate to the maximum reimbursement
 52  7 rate.
 52  8    8.  For the fiscal year beginning July 1, 1997, the
 52  9 department shall calculate reimbursement rates for
 52 10 intermediate care facilities for persons with mental
 52 11 retardation at the 80th percentile.
 52 12    9.  For the fiscal year beginning July 1, 1997, for child
 52 13 day care providers, the department shall set provider
 52 14 reimbursement rates based on the rate reimbursement survey
 52 15 completed in December 1996.  The department shall set rates in
 52 16 a manner so as to provide incentives for a nonregistered
 52 17 provider to become registered.  The department shall review
 52 18 the effects of providing a rate reimbursement incentive on
 52 19 child day care availability including but not limited to any
 52 20 change in the number of providers who are registered and the
 52 21 effect on access to providers in rural and urban areas.  The
 52 22 department shall report the findings of the review to the
 52 23 general assembly on or before January 2, 1998.
 52 24    10.  The department may, at no cost to the state, implement
 52 25 a pilot project to examine use of a payment system for
 52 26 pharmaceutical care services provided by pharmacists under the
 52 27 medical assistance program.
 52 28    11.  The department of human services shall revise the
 52 29 financial and statistical report form applicable to nursing
 52 30 facilities to incorporate the recommendations made as the
 52 31 result of the directive relating to nursing facilities in
 52 32 accordance with 1996 Iowa Acts, chapter 1213, section 25,
 52 33 subsection 12.  The revisions shall include, but are not
 52 34 limited to, the addition of a category labeled "Patient Care
 52 35 Services" which shall be subdivided into the subcategories of
 53  1 "Direct Patient Care Costs" and "Support Care Costs".  Costs
 53  2 associated with food and dietary wages shall be included in
 53  3 the "Support Care Costs" subcategory.  The department may
 53  4 adopt emergency rules to implement this subsection.
 53  5    12.  For the fiscal year beginning July 1, 1997, the
 53  6 reimbursement rate for psychiatric medical institutions for
 53  7 children shall be increased by 3 percent over the rates in
 53  8 effect on June 30, 1997.
 53  9    13.  The department may adopt emergency rules to implement
 53 10 the provisions of this section.
 53 11    Sec. 29.  STATE INSTITUTIONS – CLOSINGS AND REDUCTIONS.
 53 12    1.  If a state institution administered by the department
 53 13 of human services is to be closed or reduced in size, prior to
 53 14 the closing or reduction the department shall initiate and
 53 15 coordinate efforts in cooperation with the Iowa department of
 53 16 economic development to develop new jobs in the area in which
 53 17 the state institution is located.  In addition, the department
 53 18 may take other actions to utilize any closed unit or other
 53 19 facilities and services of an institution, including but not
 53 20 limited to assisting public or private organizations in
 53 21 utilizing the services and facilities.  The actions may also
 53 22 include assisting an organization with remodeling and lease
 53 23 costs by forgiving future rental or lease payments to the
 53 24 extent necessary for a period not to exceed five years.  The
 53 25 department of human services and the department of economic
 53 26 development shall submit a joint report to the chairpersons
 53 27 and ranking members of the joint appropriations subcommittee
 53 28 on human services on or before January 2, 1998, regarding any
 53 29 efforts made pursuant to this subsection.
 53 30    2.  For purposes of this section, "state institution" means
 53 31 a state mental health institute, a state hospital-school, the
 53 32 state training school, and the Iowa juvenile home under the
 53 33 authority of the department of human services listed in
 53 34 section 218.1.  If excess capacity exists at a state
 53 35 institution beyond the capacity required for placements at the
 54  1 institution under law, the department of human services may
 54  2 enter into a contract with a managed care provider or an
 54  3 organized delivery system for health care, to provide services
 54  4 during the fiscal year beginning July 1, 1997, at the
 54  5 institution for the plan or system without use of county
 54  6 funds.
 54  7    Sec. 30.  PROGRAM SIMPLIFICATION – PAPERWORK REDUCTION.
 54  8 The department of human services shall consult with providers
 54  9 of services relating to child and family services and personal
 54 10 assistance to review provider reporting requirements,
 54 11 applicant and recipient process and documentation
 54 12 requirements, and other paperwork and process requirements.
 54 13 Following the review and no later than January 1, 1999, the
 54 14 department shall implement a process which provides, at a
 54 15 minimum, for a simplified means of demonstrating compliance of
 54 16 providers, applicants, and recipients with document and
 54 17 process requirements which shall include consolidation of
 54 18 reports and forms and which may provide for submission of
 54 19 reports and forms in an electronic format.
 54 20    Sec. 31.  JUVENILE JUSTICE ISSUES.  The legislative council
 54 21 is requested to establish a juvenile justice issues oversight
 54 22 task force.  If established, the task force should be directed
 54 23 to consider the impact of juvenile problems, duplication in
 54 24 intervention services, and gaps in service provision.  The
 54 25 membership of the task force should include interested members
 54 26 of the joint appropriations subcommittees on human services,
 54 27 health and human rights, justice system, and education and of
 54 28 the standing committees for these subject areas.
 54 29    Sec. 32.  SERVICES RESTRUCTURING TASK FORCE.
 54 30    1.  The legislative council is requested to continue the
 54 31 task force established for the 1996 interim of the general
 54 32 assembly in order to develop a comprehensive proposal to
 54 33 accomplish all of the following:
 54 34    a.  Devolution of the control of service delivery to the
 54 35 local level.
 55  1    b.  Elimination of program duplication within the
 55  2 department of human services and between the department of
 55  3 human services and other departments including but not limited
 55  4 to the Iowa department of public health, the department of
 55  5 education, and the judicial department.
 55  6    c.  Reduction of paperwork, red-tape, and bureaucracy to
 55  7 improve the quality of services delivery and consumer
 55  8 satisfaction.
 55  9    d. Evaluation of the adherence of the department of human
 55 10 services to the department's mission statement.
 55 11    2.  In addition, the task force may address the following
 55 12 topics:  granting local authority to deliver public services,
 55 13 use of public institutions and facilities, the possibility of
 55 14 creating an agency for disability and rehabilitation services,
 55 15 and development of a "seamless" system for referral of
 55 16 families to child day care resources and public financial
 55 17 assistance and collaborative programs.
 55 18    Sec. 33.  CHILDREN WITH MENTAL RETARDATION.  It is the
 55 19 intent of the general assembly to appropriate funding of
 55 20 services to children with mental retardation in a manner so
 55 21 that beginning July 1, 1998, separate funding categories for
 55 22 the services will be pooled.  The tentative name for the
 55 23 combined funding pool is "Mental Retardation – Most
 55 24 Appropriate Groupcare Initiative for Children" or "MR –
 55 25 MAGIC".  The service funding streams to be considered for the
 55 26 funding pool shall include but are not limited to the
 55 27 following services or programs to support children with mental
 55 28 retardation and their families:  family support subsidy,
 55 29 intermediate care facility for persons with mental
 55 30 retardation, medical assistance home and community-based
 55 31 waiver services, group foster care, in-home services and other
 55 32 support, state hospital-schools, and state cases.  The
 55 33 department of human services shall convene a work group to
 55 34 make recommendations for implementation of the MR – MAGIC
 55 35 funding pool.  The work group shall include representatives of
 56  1 the department, the personal assistance and family support
 56  2 services council, service providers, families, and advocates.
 56  3 The recommendations shall be submitted to the governor and
 56  4 general assembly on or before October 15, 1997.
 56  5    Sec. 34.  MENTAL HEALTH – CHILDREN.  The mental health and
 56  6 developmental disabilities commission, the council on human
 56  7 services, and the state-county management committee, shall
 56  8 review mental health services for children with the goal of
 56  9 assuring coordination, financing, and provision of effective
 56 10 services.  The commission, council, and committee shall submit
 56 11 a report of findings and recommendations, which shall include
 56 12 recommendations for proposed legislation, to the general
 56 13 assembly on or before December 15, 1997.
 56 14    Sec. 35.  TRANSFER AUTHORITY.  Subject to the provisions of
 56 15 section 8.39, for the fiscal year beginning July 1, 1997, if
 56 16 necessary to meet federal maintenance of effort requirements
 56 17 or to transfer federal temporary assistance for needy families
 56 18 block grant funding to be used for purposes of the federal
 56 19 social services block grant, the department of human services
 56 20 may transfer between any of the appropriations made in this
 56 21 Act to the department for the following purposes, provided
 56 22 that the combined amount of state and federal temporary
 56 23 assistance for needy families block grant funding for each
 56 24 appropriation remains the same before and after the transfer:
 56 25    1.  For the family investment program.
 56 26    2.  For emergency assistance.
 56 27    3.  For child day care assistance.
 56 28    4.  For child and family services.
 56 29    5.  For field operations.
 56 30    6.  For general administration.
 56 31    This section shall not be construed to prohibit existing
 56 32 state transfer authority for other purposes.
 56 33    Sec. 36.  YOUTH SERVICES DEPARTMENT – STUDY.  The
 56 34 legislative council is requested to establish an interim study
 56 35 committee consisting of members of both political parties from
 57  1 both houses of the general assembly to consider whether a
 57  2 separate state department for youth services should be
 57  3 established.  The study may include, but is not limited to, a
 57  4 review of existing programs and services provided to juveniles
 57  5 in this state and the funding mechanisms for those programs
 57  6 and services; identifying the various agencies currently
 57  7 involved in the delivery of those programs and services to
 57  8 juveniles; identifying areas in which programs and services
 57  9 overlap; reviewing the approaches used and experiences of
 57 10 other states in delivering juvenile services; and receiving
 57 11 testimony from agency staff, service providers, and youth
 57 12 services advocates on issues deemed relevant to the delivery
 57 13 of juvenile services in this state.  The committee may be
 57 14 authorized to hire a consultant to provide the background
 57 15 information requested by the committee.  The committee should
 57 16 be directed to submit its findings, together with any
 57 17 recommendations, in a report to the general assembly session
 57 18 which convenes in January 1998.
 57 19    Sec. 37.  EMERGENCY RULES.  If specifically authorized by a
 57 20 provision of this Act, the department of human services or the
 57 21 mental health and mental retardation commission may adopt
 57 22 administrative rules under section 17A.4, subsection 2, and
 57 23 section 17A.5, subsection 2, paragraph "b", to implement the
 57 24 provisions and the rules shall become effective immediately
 57 25 upon filing, unless the effective date is delayed by the
 57 26 administrative rules review committee, notwithstanding section
 57 27 17A.4, subsection 5, and section 17A.8, subsection 9, or a
 57 28 later effective date is specified in the rules.  Any rules
 57 29 adopted in accordance with this section shall not take effect
 57 30 before the rules are reviewed by the administrative rules
 57 31 review committee.  Any rules adopted in accordance with the
 57 32 provisions of this section shall also be published as notice
 57 33 of intended action as provided in section 17A.4.
 57 34    Sec. 38.  REPORTS.  Any reports or information required to
 57 35 be compiled and submitted under this Act shall be submitted to
 58  1 the chairpersons and ranking members of the joint
 58  2 appropriations subcommittee on human services, the legislative
 58  3 fiscal bureau, the legislative service bureau, and to the
 58  4 caucus staffs on or before the dates specified for submission
 58  5 of the reports or information.
 58  6    Sec. 39.  EFFECTIVE DATE.  Section 15, subsection 1, of
 58  7 this division of this Act, relating to determining allocation
 58  8 of court-ordered services funding, and section 3, subsection
 58  9 8, relating to remaining unobligated or unexpended funds for
 58 10 the JOBS program, being deemed of immediate importance, take
 58 11 effect upon enactment.  
 58 12                           DIVISION II
 58 13                       CODIFIED PROVISIONS
 58 14    Sec. 40.  Section 232.52, subsection 2, paragraph e,
 58 15 subparagraph (4), Code 1997, is amended to read as follows:
 58 16    (4)  The child has previously been placed in a treatment
 58 17 facility outside the child's home or in a supervised community
 58 18 treatment program established pursuant to section 232.191,
 58 19 subsection 4, as a result of a prior delinquency adjudication.  
 58 20 
 58 21 
 58 22                                                             
 58 23                               RON J. CORBETT
 58 24                               Speaker of the House
 58 25 
 58 26 
 58 27                                                             
 58 28                               MARY E. KRAMER
 58 29                               President of the Senate
 58 30 
 58 31    I hereby certify that this bill originated in the House and
 58 32 is known as House File 715, Seventy-seventh General Assembly.
 58 33 
 58 34 
 58 35                                                             
 59  1                               ELIZABETH ISAACSON
 59  2                               Chief Clerk of the House
 59  3 Approved                , 1997
 59  4 
 59  5 
 59  6                         
 59  7 TERRY E. BRANSTAD
 59  8 Governor
     

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