House File 2539 - Reprinted



                                       HOUSE FILE       
                                       BY  COMMITTEE ON HUMAN
                                           RESOURCES

                                       (SUCCESSOR TO HSB 757)


    Passed House, Date               Passed Senate,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to health care reform including health care
  2    coverage intended for children and adults, health information
  3    technology, end=of=life care decision making, preexisting
  4    conditions and dependent children coverage, medical homes,
  5    prevention and chronic care management, a buy=in provision for
  6    certain individuals under the medical assistance program,
  7    disease prevention and wellness initiatives, health care
  8    transparency, and including an applicability provision.
  9 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
 10  HF 2539
 11  jg/25

PAG LIN



  1  1                           DIVISION I
  1  2                   HEALTH CARE COVERAGE INTENT
  1  3    Section 1.  DECLARATION OF INTENT.
  1  4    1.  It is the intent of the general assembly, as funding
  1  5 becomes available, to progress toward achievement of the goal
  1  6 that all Iowans have health care coverage which meets certain
  1  7 standards of quality and affordability with the initial
  1  8 priority being that all children have such health care
  1  9 coverage by December 31, 2010.
  1 10    2.  It is the intent of the general assembly that if
  1 11 sufficient funding is available, and if federal
  1 12 reauthorization of the state children's health insurance
  1 13 program provides sufficient federal allocations to the state
  1 14 and authorization to cover such children as an option under
  1 15 the state children's health insurance program, the department
  1 16 of human services shall expand coverage under the state
  1 17 children's health insurance program to cover children with
  1 18 family incomes up to three hundred percent of the federal
  1 19 poverty level, with appropriate cost sharing established for
  1 20 families with incomes above two hundred percent of the federal
  1 21 poverty level.
  1 22    3.  It is the intent of the general assembly that the
  1 23 department of human services, in consultation with state and
  1 24 national experts, develop an operational plan to provide
  1 25 health care coverage for all children in the state by building
  1 26 upon the current state children's health insurance program.
  1 27 The operational plan shall be completed by January 1, 2010,
  1 28 and submitted to the general assembly for review.
  1 29    4.  It is the intent of the general assembly that the
  1 30 department of human services, in consultation with state and
  1 31 national experts, develop an operational plan to provide
  1 32 health care coverage to all adults.  The operational plan
  1 33 shall be completed by January 1, 2013, and submitted to the
  1 34 general assembly for review.
  1 35    5.  It is the intent of the general assembly to promote
  2  1 continued dialogue between the Iowa comprehensive health
  2  2 insurance association and other interested parties to address
  2  3 the issues of preexisting conditions and the affordability of
  2  4 health care coverage.
  2  5                           DIVISION II
  2  6            IOWA HEALTH INFORMATION TECHNOLOGY SYSTEM
  2  7                          DIVISION XXI
  2  8            IOWA HEALTH INFORMATION TECHNOLOGY SYSTEM
  2  9    Sec. 2.  NEW SECTION.  135.154  DEFINITIONS.
  2 10    As used in this division, unless the context otherwise
  2 11 requires:
  2 12    1.  "Board" means the state board of health created
  2 13 pursuant to section 136.1.
  2 14    2.  "Department" means the department of public health.
  2 15    3.  "Health care professional" means a person who is
  2 16 licensed, certified, or otherwise authorized or permitted by
  2 17 the law of this state to administer health care in the
  2 18 ordinary course of business or in the practice of a
  2 19 profession.
  2 20    4.  "Health information technology" means the application
  2 21 of information processing, involving both computer hardware
  2 22 and software, that deals with the storage, retrieval, sharing,
  2 23 and use of health care information, data, and knowledge for
  2 24 communication, decision making, quality, safety, and
  2 25 efficiency of clinical practice, and may include but is not
  2 26 limited to:
  2 27    a.  An electronic health record that electronically
  2 28 compiles and maintains health information that may be derived
  2 29 from multiple sources about the health status of an individual
  2 30 and may include a core subset of each care delivery
  2 31 organization's electronic medical record such as a continuity
  2 32 of care record or a continuity of care document, computerized
  2 33 physician order entry, electronic prescribing, or clinical
  2 34 decision support.
  2 35    b.  A personal health record through which an individual
  3  1 and any other person authorized by the individual can maintain
  3  2 and manage the individual's health information.
  3  3    c.  An electronic medical record that is used by health
  3  4 care professionals to electronically document, monitor, and
  3  5 manage health care delivery within a care delivery
  3  6 organization, is the legal record of the patient's encounter
  3  7 with the care delivery organization, and is owned by the care
  3  8 delivery organization.
  3  9    d.  A computerized provider order entry function that
  3 10 permits the electronic ordering of diagnostic and treatment
  3 11 services, including prescription drugs.
  3 12    e.  A decision support function to assist physicians and
  3 13 other health care providers in making clinical decisions by
  3 14 providing electronic alerts and reminders to improve
  3 15 compliance with best practices, promote regular screenings and
  3 16 other preventive practices, and facilitate diagnoses and
  3 17 treatments.
  3 18    f.  Tools to allow for the collection, analysis, and
  3 19 reporting of information or data on adverse events, the
  3 20 quality and efficiency of care, patient satisfaction, and
  3 21 other health care=related performance measures.
  3 22    5.  "Interoperability" means the ability of two or more
  3 23 systems or components to exchange information or data in an
  3 24 accurate, effective, secure, and consistent manner and to use
  3 25 the information or data that has been exchanged and includes
  3 26 but is not limited to:
  3 27    a.  The capacity to connect to a network for the purpose of
  3 28 exchanging information or data with other users.
  3 29    b.  The ability of a connected, authenticated user to
  3 30 demonstrate appropriate permissions to participate in the
  3 31 instant transaction over the network.
  3 32    c.  The capacity of a connected, authenticated user to
  3 33 access, transmit, receive, and exchange usable information
  3 34 with other users.
  3 35    6.  "Recognized interoperability standard" means
  4  1 interoperability standards recognized by the office of the
  4  2 national coordinator for health information technology of the
  4  3 United States department of health and human services.
  4  4    Sec. 3.  NEW SECTION.  135.155  IOWA ELECTRONIC HEALTH ==
  4  5 PRINCIPLES == GOALS.
  4  6    1.  Health information technology is rapidly evolving so
  4  7 that it can contribute to the goals of improving access to and
  4  8 quality of health care, enhancing efficiency, and reducing
  4  9 costs.
  4 10    2.  To be effective, the health information technology
  4 11 system shall comply with all of the following principles:
  4 12    a.  Be patient=centered and market=driven.
  4 13    b.  Be based on approved standards developed with input
  4 14 from all stakeholders.
  4 15    c.  Protect the privacy of consumers and the security and
  4 16 confidentiality of all health information.
  4 17    d.  Promote interoperability.
  4 18    e.  Ensure the accuracy, completeness, and uniformity of
  4 19 data.
  4 20    3.  Widespread adoption of health information technology is
  4 21 critical to a successful health information technology system
  4 22 and is best achieved when all of the following occur:
  4 23    a.  The market provides a variety of certified products
  4 24 from which to choose in order to best fit the needs of the
  4 25 user.
  4 26    b.  The system provides incentives for health care
  4 27 professionals to utilize the health information technology and
  4 28 provides rewards for any improvement in quality and efficiency
  4 29 resulting from such utilization.
  4 30    c.  The system provides protocols to address critical
  4 31 problems.
  4 32    d.  The system is financed by all who benefit from the
  4 33 improved quality, efficiency, savings, and other benefits that
  4 34 result from use of health information technology.
  4 35    Sec. 4.  NEW SECTION.  135.156  ELECTRONIC HEALTH
  5  1 INFORMATION == DEPARTMENT DUTIES == ADVISORY COUNCIL.
  5  2    1.  a.  The department shall direct a public and private
  5  3 collaborative effort to promote the adoption and use of health
  5  4 information technology in this state in order to improve
  5  5 health care quality, increase patient safety, reduce health
  5  6 care costs, enhance public health, and empower individuals and
  5  7 health care professionals with comprehensive, real=time
  5  8 medical information to provide continuity of care and make the
  5  9 best health care decisions.  The department shall provide
  5 10 oversight for the development, implementation, and
  5 11 coordination of an interoperable electronic health records
  5 12 system, telehealth expansion efforts, the health information
  5 13 technology infrastructure, and other health information
  5 14 technology initiatives in this state.  The department shall be
  5 15 guided by the principles and goals specified in section
  5 16 135.155.
  5 17    b.  All health information technology efforts shall
  5 18 endeavor to represent the interests and meet the needs of
  5 19 consumers and the health care sector, protect the privacy of
  5 20 individuals and the confidentiality of individuals'
  5 21 information, promote physician best practices, and make
  5 22 information easily accessible to the appropriate parties.  The
  5 23 system developed shall be consumer=driven, flexible, and
  5 24 expandable.
  5 25    2.  The department shall do all of the following:
  5 26    a.  Establish a technical advisory group which shall
  5 27 consist of the representatives of entities involved in the
  5 28 electronic health records system task force established
  5 29 pursuant to section 217.41A, Code 2007, a licensed practicing
  5 30 physician, a consumer, and any other members the department
  5 31 determines necessary to assist in the department's duties at
  5 32 various stages of development of the electronic health
  5 33 information system.  Executive branch agencies shall also be
  5 34 included as necessary to assist in the duties of the
  5 35 department.  Public members of the technical advisory group
  6  1 shall receive reimbursement for actual expenses incurred while
  6  2 serving in their official capacity only if they are not
  6  3 eligible for reimbursement by the organization that they
  6  4 represent.  Any legislative members shall be paid the per diem
  6  5 and expenses specified in section 2.10.
  6  6    b.  Adopt a statewide health information technology plan by
  6  7 January 1, 2009.  In developing the plan, the department shall
  6  8 seek the input of providers, payers, and consumers.  Standards
  6  9 and policies developed for the plan shall promote and be
  6 10 consistent with national standards developed by the office of
  6 11 the national coordinator for health information technology of
  6 12 the United States department of health and human services and
  6 13 shall address or provide for all of the following:
  6 14    (1)  The effective, efficient, statewide use of electronic
  6 15 health information in patient care, health care policymaking,
  6 16 clinical research, health care financing, and continuous
  6 17 quality improvement.  The department shall adopt requirements
  6 18 for interoperable electronic health records in this state
  6 19 including a recognized interoperability standard.
  6 20    (2)  Education of the public and health care sector about
  6 21 the value of health information technology in improving
  6 22 patient care, and methods to promote increased support and
  6 23 collaboration of state and local public health agencies,
  6 24 health care professionals, and consumers in health information
  6 25 technology initiatives.
  6 26    (3)  Standards for the exchange of health care information.
  6 27    (4)  Policies relating to the protection of privacy of
  6 28 patients and the security and confidentiality of patient
  6 29 information.
  6 30    (5)  Policies relating to information ownership.
  6 31    (6)  Policies relating to governance of the various facets
  6 32 of the health information technology system.
  6 33    (7)  A single patient identifier or alternative mechanism
  6 34 to share secure patient information.  If no alternative
  6 35 mechanism is acceptable to the department, all health care
  7  1 professionals shall utilize the mechanism selected by the
  7  2 department by January 1, 2010.
  7  3    (8)  A standard continuity of care record and other issues
  7  4 related to the content of electronic transmissions.  All
  7  5 health care professionals shall utilize the standard
  7  6 continuity of care record by January 1, 2010.
  7  7    (9)  Requirements for electronic prescribing.
  7  8    (10)  Economic incentives and support to facilitate
  7  9 participation in an interoperable system by health care
  7 10 professionals.
  7 11    c.  Identify existing and potential health information
  7 12 technology efforts in this state, regionally, and nationally,
  7 13 and integrate existing efforts to avoid incompatibility
  7 14 between efforts and avoid duplication.
  7 15    d.  Coordinate public and private efforts to provide the
  7 16 network backbone infrastructure for the health information
  7 17 technology system.  In coordinating these efforts, the
  7 18 department shall do all of the following:
  7 19    (1)  Adopt policies to effectuate the logical cost
  7 20 effective usage of and access to the state=owned network, and
  7 21 support of telecommunication carrier products, where
  7 22 applicable.
  7 23    (2)  Consult with the Iowa communications network, private
  7 24 fiberoptic networks, and any other communications entity to
  7 25 seek collaboration, avoid duplication, and leverage
  7 26 opportunities in developing a backbone network.
  7 27    (3)  Establish protocols to ensure compliance with any
  7 28 applicable federal standards.
  7 29    (4)  Determine costs for accessing the network at a level
  7 30 that provides sufficient funding for the network.
  7 31    e.  Promote the use of telemedicine.
  7 32    (1)  Examine existing barriers to the use of telemedicine
  7 33 and make recommendations for eliminating these barriers.
  7 34    (2)  Examine the most efficient and effective systems of
  7 35 technology for use and make recommendations based on the
  8  1 findings.
  8  2    f.  Address the workforce needs generated by increased use
  8  3 of health information technology.
  8  4    g.  Adopt rules in accordance with chapter 17A to implement
  8  5 all aspects of the statewide plan and the network.
  8  6    h.  Coordinate, monitor, and evaluate the adoption, use,
  8  7 interoperability, and efficiencies of the various facets of
  8  8 health information technology in this state.
  8  9    i.  Seek and apply for any federal or private funding to
  8 10 assist in the implementation and support of the health
  8 11 information technology system and make recommendations for
  8 12 funding mechanisms for the ongoing development and maintenance
  8 13 costs of the health information technology system.
  8 14    j.  Identify state laws and rules that present barriers to
  8 15 the development of the health information technology system
  8 16 and recommend any changes to the governor and the general
  8 17 assembly.
  8 18    3.  Recommendations and other activities resulting from the
  8 19 duties authorized for the department under this section shall
  8 20 require approval by the board prior to any subsequent action
  8 21 or implementation.
  8 22    Sec. 5.  Section 8D.13, Code 2007, is amended by adding the
  8 23 following new subsection:
  8 24    NEW SUBSECTION.  20.  Access shall be offered to the Iowa
  8 25 hospital association for the collection, maintenance, and
  8 26 dissemination of health and financial data for hospitals and
  8 27 for hospital educational services.  The Iowa hospital
  8 28 association shall be responsible for all costs associated with
  8 29 becoming part of the network, as determined by the commission.
  8 30    Sec. 6.  Section 136.3, Code 2007, is amended by adding the
  8 31 following new subsection:
  8 32    NEW SUBSECTION.  11.  Perform those duties authorized
  8 33 pursuant to section 135.156.
  8 34    Sec. 7.  Section 217.41A, Code 2007, is repealed.
  8 35                          DIVISION III
  9  1                END=OF=LIFE CARE DECISION MAKING
  9  2    Sec. 8.  NEW SECTION.  231.62  END=OF=LIFE CARE DECISION
  9  3 MAKING.
  9  4    1.  The department shall consult with the Iowa medical
  9  5 society, the Iowa end=of=life coalition, the Iowa hospice
  9  6 organization, the university of Iowa palliative care program,
  9  7 and other health care professionals whose scope of practice
  9  8 includes end=of=life care to develop educational and
  9  9 patient=centered information on end=of=life care for
  9 10 terminally ill patients and health care professionals.
  9 11    2.  For the purposes of this section, "end=of=life care"
  9 12 means care provided to meet the physical, psychological,
  9 13 social, spiritual, and practical needs of terminally ill
  9 14 patients and their caregivers.
  9 15                           DIVISION IV
  9 16                      HEALTH CARE COVERAGE
  9 17    Sec. 9.  NEW SECTION.  505.31  REIMBURSEMENT ACCOUNTS.
  9 18    The commissioner of insurance shall assist employers with
  9 19 twenty=five or fewer employees with implementing and
  9 20 administering plans under section 125 of the Internal Revenue
  9 21 Code, including medical expense reimbursement accounts and
  9 22 dependent care accounts.  The commissioner shall provide
  9 23 information about the assistance available to small employers
  9 24 on the insurance division's internet site.
  9 25    Sec. 10.  Section 509.3, Code 2007, is amended by adding
  9 26 the following new subsection:
  9 27    NEW SUBSECTION.  8.  A provision that the insurer will
  9 28 permit continuation of existing coverage for an unmarried
  9 29 dependent child of an insured or enrollee who so elects, at
  9 30 least through the age of twenty=five years old or so long as
  9 31 the dependent child maintains full=time status as a student in
  9 32 an accredited institution of postsecondary education,
  9 33 whichever occurs last, at a premium established in accordance
  9 34 with the insurer's rating practices.
  9 35    Sec. 11.  Section 513C.7, subsection 2, paragraph a, Code
 10  1 2007, is amended to read as follows:
 10  2    a.  The individual basic or standard health benefit plan
 10  3 shall not deny, exclude, or limit benefits for a covered
 10  4 individual for losses incurred more than twelve months
 10  5 following the effective date of the individual's coverage due
 10  6 to a preexisting condition.  A preexisting condition shall not
 10  7 be defined more restrictively than any of the following:
 10  8    (1)  a.  A condition that would cause an ordinarily prudent
 10  9 person to seek medical advice, diagnosis, care, or treatment
 10 10 during the twelve months immediately preceding the effective
 10 11 date of coverage.
 10 12    (2)  b.  A condition for which medical advice, diagnosis,
 10 13 care, or treatment was recommended or received during the
 10 14 twelve months immediately preceding the effective date of
 10 15 coverage.
 10 16    (3)  c.  A pregnancy existing on the effective date of
 10 17 coverage.
 10 18    Sec. 12.  Section 513C.7, subsection 2, paragraph b, Code
 10 19 2007, is amended by striking the paragraph.
 10 20    Sec. 13.  NEW SECTION.  514A.3B  ADDITIONAL REQUIREMENTS.
 10 21    1.  An insurer which accepts an individual for coverage
 10 22 under an individual policy or contract of accident and health
 10 23 insurance shall waive any time period applicable to a
 10 24 preexisting condition exclusion or limitation period
 10 25 requirement of the policy or contract with respect to
 10 26 particular services in an individual health benefit plan for
 10 27 the period of time the individual was previously covered by
 10 28 qualifying previous coverage as defined in section 513C.3 that
 10 29 provided benefits with respect to such services, provided that
 10 30 the qualifying previous coverage was continuous to a date not
 10 31 more than sixty=three days prior to the effective date of the
 10 32 new policy or contract.  For purposes of this section, periods
 10 33 of coverage under medical assistance provided pursuant to
 10 34 chapter 249A or 514I, or Medicare coverage provided pursuant
 10 35 to Title XVIII of the federal Social Security Act shall not be
 11  1 counted with respect to the sixty=three=day requirement.
 11  2    2.  An insurer issuing an individual policy or contract of
 11  3 accident and health insurance which provides coverage for
 11  4 dependent children of the insured shall permit continuation of
 11  5 coverage for an unmarried dependent child of an insured or
 11  6 enrollee who so elects, at least through the age of
 11  7 twenty=five years old or so long as the dependent child
 11  8 maintains full=time status as a student in an accredited
 11  9 institution of postsecondary education, whichever occurs last,
 11 10 at a premium established in accordance with the insurer's
 11 11 rating practices.
 11 12    Sec. 14.  APPLICABILITY.  This division of this Act applies
 11 13 to policies or contracts of accident and health insurance
 11 14 delivered or issued for delivery or continued or renewed in
 11 15 this state on or after July 1, 2008.
 11 16                           DIVISION V
 11 17                          MEDICAL HOME
 11 18                          DIVISION XXII
 11 19                          MEDICAL HOME
 11 20    Sec. 15.  NEW SECTION.  135.157  DEFINITIONS.
 11 21    As used in this chapter, unless the context otherwise
 11 22 requires:
 11 23    1.  "Board" means the state board of health created
 11 24 pursuant to section 136.1.
 11 25    2.  "Department" means the department of public health.
 11 26    3.  "Health care professional" means a person who is
 11 27 licensed, certified, or otherwise authorized or permitted by
 11 28 the law of this state to administer health care in the
 11 29 ordinary course of business or in the practice of a
 11 30 profession.
 11 31    4.  "Medical home" means a team approach to providing
 11 32 health care that originates in a primary care setting; fosters
 11 33 a partnership among the patient, the personal provider, and
 11 34 other health care professionals, and where appropriate, the
 11 35 patient's family; utilizes the partnership to access all
 12  1 medical and nonmedical health=related services needed by the
 12  2 patient and the patient's family to achieve maximum health
 12  3 potential; maintains a centralized, comprehensive record of
 12  4 all health=related services to promote continuity of care; and
 12  5 has all of the characteristics specified in section 135.158.
 12  6    5.  "National committee for quality assurance" means the
 12  7 nationally recognized, independent nonprofit organization that
 12  8 measures the quality and performance of health care and health
 12  9 care plans in the United States; provides accreditation,
 12 10 certification, and recognition programs for health care plans
 12 11 and programs; and is recognized in Iowa as an accrediting
 12 12 organization for commercial and Medicaid=managed care
 12 13 organizations.
 12 14    6.  "Personal provider" means the patient's first point of
 12 15 contact in the health care system with a primary care provider
 12 16 who identifies the patient's health needs, and, working with a
 12 17 team of health care professionals, provides for and
 12 18 coordinates appropriate care to address the health needs
 12 19 identified.
 12 20    7.  "Primary care" means health care which emphasizes
 12 21 providing for a patient's general health needs and utilizes
 12 22 collaboration with other health care professionals and
 12 23 consultation or referral as appropriate to meet the needs
 12 24 identified.
 12 25    8.  "Primary care provider" means any of the following who
 12 26 provide primary care:
 12 27    a.  A physician who is a family or general practitioner, a
 12 28 pediatrician, an internist, an obstetrician, or a
 12 29 gynecologist.
 12 30    b.  An advanced registered nurse practitioner.
 12 31    c.  A physician assistant.
 12 32    Sec. 16.  NEW SECTION.  135.158  MEDICAL HOME PURPOSES ==
 12 33 CHARACTERISTICS.
 12 34    1.  The purposes of a medical home are the following:
 12 35    a.  To reduce disparities in health care access, delivery,
 13  1 and health care outcomes.
 13  2    b.  To improve quality of health care and lower health care
 13  3 costs, thereby creating savings to allow more Iowans to have
 13  4 health care coverage and to provide for the sustainability of
 13  5 the health care system.
 13  6    c.  To provide a tangible method to document if each Iowan
 13  7 has access to health care.
 13  8    2.  A medical home has all of the following
 13  9 characteristics:
 13 10    a.  A personal provider.  Each patient has an ongoing
 13 11 relationship with a personal provider trained to provide first
 13 12 contact and continuous and comprehensive care.
 13 13    b.  A provider=directed medical practice.  The personal
 13 14 provider leads a team of individuals at the practice level who
 13 15 collectively take responsibility for the ongoing health care
 13 16 of patients.
 13 17    c.  Whole person orientation.  The personal provider is
 13 18 responsible for providing for all of a patient's health care
 13 19 needs or taking responsibility for appropriately arranging
 13 20 health care by other qualified health care professionals.
 13 21 This responsibility includes health care at all stages of life
 13 22 including provision of acute care, chronic care, preventive
 13 23 services, and end=of=life care.
 13 24    d.  Coordination and integration of care.  Care is
 13 25 coordinated and integrated across all elements of the complex
 13 26 health care system and the patient's community.  Care is
 13 27 facilitated by registries, information technology, health
 13 28 information exchanges, and other means to assure that patients
 13 29 receive the indicated care when and where they need and want
 13 30 the care in a culturally and linguistically appropriate
 13 31 manner.
 13 32    e.  Quality and safety.  The following are quality and
 13 33 safety components of the medical home:
 13 34    (1)  Provider=directed medical practices advocate for their
 13 35 patients to support the attainment of optimal,
 14  1 patient=centered outcomes that are defined by a care planning
 14  2 process driven by a compassionate, robust partnership between
 14  3 providers, the patient, and the patient's family.
 14  4    (2)  Evidence=based medicine and clinical decision=support
 14  5 tools guide decision making.
 14  6    (3)  Providers in the medical practice accept
 14  7 accountability for continuous quality improvement through
 14  8 voluntary engagement in performance measurement and
 14  9 improvement.
 14 10    (4)  Patients actively participate in decision making and
 14 11 feedback is sought to ensure that the patients' expectations
 14 12 are being met.
 14 13    (5)  Information technology is utilized appropriately to
 14 14 support optimal patient care, performance measurement, patient
 14 15 education, and enhanced communication.
 14 16    (6)  Practices participate in a voluntary recognition
 14 17 process conducted by an appropriate nongovernmental entity to
 14 18 demonstrate that the practice has the capabilities to provide
 14 19 patient=centered services consistent with the medical home
 14 20 model.
 14 21    (7)  Patients and families participate in quality
 14 22 improvement activities at the practice level.
 14 23    f.  Enhanced access to health care.  Enhanced access to
 14 24 health care is available through systems such as open
 14 25 scheduling, expanded hours, and new options for communication
 14 26 between the patient, the patient's personal provider, and
 14 27 practice staff.
 14 28    g.  Payment.  The payment system appropriately recognizes
 14 29 the added value provided to patients who have a
 14 30 patient=centered medical home.  The payment structure
 14 31 framework of the medical home provides all of the following:
 14 32    (1)  Reflects the value of provider and nonprovider staff
 14 33 and patient=centered care management work that is in addition
 14 34 to the face=to=face visit.
 14 35    (2)  Pays for services associated with coordination of
 15  1 health care both within a given practice and between
 15  2 consultants, ancillary providers, and community resources.
 15  3    (3)  Supports adoption and use of health information
 15  4 technology for quality improvement.
 15  5    (4)  Supports provision of enhanced communication access
 15  6 such as secure electronic mail and telephone consultation.
 15  7    (5)  Recognizes the value of physician work associated with
 15  8 remote monitoring of clinical data using technology.
 15  9    (6)  Allows for separate fee=for=service payments for
 15 10 face=to=face visits.  Payments for health care management
 15 11 services that are in addition to the face=to=face visit do not
 15 12 result in a reduction in the payments for face=to=face visits.
 15 13    (7)  Recognizes case mix differences in the patient
 15 14 population being treated within the practice.
 15 15    (8)  Allows providers to share in savings from reduced
 15 16 hospitalizations associated with provider=guided health care
 15 17 management in the office setting.
 15 18    (9)  Allows for additional payments for achieving
 15 19 measurable and continuous quality improvements.
 15 20    Sec. 17.  NEW SECTION.  135.159  MEDICAL HOME SYSTEM ==
 15 21 ADVISORY COUNCIL == DEVELOPMENT AND IMPLEMENTATION.
 15 22    1.  The department shall administer the medical home
 15 23 system.  The department shall adopt rules pursuant to chapter
 15 24 17A necessary to administer the medical home system.
 15 25    2.  a.  The department shall establish an advisory council
 15 26 which shall include but is not limited to all of the following
 15 27 members, selected by their respective organizations, and any
 15 28 other members the department determines necessary to assist in
 15 29 the department's duties at various stages of development of
 15 30 the medical home system:
 15 31    (1)  The director of human services, or the director's
 15 32 designee.
 15 33    (2)  The commissioner of insurance, or the commissioner's
 15 34 designee.
 15 35    (3)  A representative of health insurers.
 16  1    (4)  A representative of the Iowa dental association.
 16  2    (5)  A representative of the Iowa nurses association.
 16  3    (6)  A physician licensed pursuant to chapter 148 and a
 16  4 physician licensed pursuant to chapter 150 who are family
 16  5 physicians and members of the Iowa academy of family
 16  6 physicians.
 16  7    (7)  A health care consumer.
 16  8    (8)  A representative of the Iowa collaborative safety net
 16  9 provider network established pursuant to section 135.153.
 16 10    (9)  A representative of the governor's developmental
 16 11 disabilities council.
 16 12    (10)  A representative of the Iowa chapter of the American
 16 13 academy of pediatrics.
 16 14    (11)  A representative of the child and family policy
 16 15 center.
 16 16    (12)  A representative of the Iowa pharmacy association.
 16 17    (13)  A representative of the Iowa chiropractic society.
 16 18    b.  Public members of the advisory council shall receive
 16 19 reimbursement for actual expenses incurred while serving in
 16 20 their official capacity only if they are not eligible for
 16 21 reimbursement by the organization that they represent.
 16 22    3.  The department shall develop a plan for implementation
 16 23 of a statewide medical home system.  The initial phase shall
 16 24 focus on providing a medical home for children, beginning with
 16 25 those children who are recipients of the medical assistance
 16 26 program.  The second phase shall focus on providing a medical
 16 27 home to the expansion population under the IowaCare program
 16 28 and to adult recipients of medical assistance.  The third
 16 29 phase shall focus on providing a medical home to other adults.
 16 30 The department, in collaboration with parents, schools,
 16 31 communities, health plans, and providers, shall endeavor to
 16 32 increase healthy outcomes for children and adults by linking
 16 33 the children and adults with a medical home, identifying
 16 34 health improvement goals for children and adults, and linking
 16 35 reimbursement strategies to increasing healthy outcomes for
 17  1 children and adults.  The plan shall provide that the medical
 17  2 home system shall do all of the following:
 17  3    a.  Coordinate and provide access to evidence=based health
 17  4 care services, emphasizing convenient, comprehensive primary
 17  5 care and including preventive, screening, and well=child
 17  6 health services.
 17  7    b.  Provide access to appropriate specialty care and
 17  8 inpatient services.
 17  9    c.  Provide quality=driven and cost=effective health care.
 17 10    d.  Provide access to pharmacist=delivered medication
 17 11 reconciliation and medication therapy management services,
 17 12 where appropriate.
 17 13    e.  Promote strong and effective medical management
 17 14 including but not limited to planning treatment strategies,
 17 15 monitoring health outcomes and resource use, sharing
 17 16 information, and organizing care to avoid duplication of
 17 17 service.
 17 18    f.  Emphasize patient and provider accountability.
 17 19    g.  Prioritize local access to the continuum of health care
 17 20 services in the most appropriate setting.
 17 21    h.  Establish a baseline for medical home goals and
 17 22 establish performance measures that indicate a child or adult
 17 23 has an established and effective medical home.  For children,
 17 24 these goals and performance measures may include but are not
 17 25 limited to childhood immunizations rates, well=child care
 17 26 utilization rates, care management for children with chronic
 17 27 illnesses, emergency room utilization, and oral health service
 17 28 utilization.
 17 29    i.  For children, coordinate with and integrate guidelines,
 17 30 data, and information from existing newborn and child health
 17 31 programs and entities, including but not limited to the
 17 32 healthy opportunities to experience, success=healthy families
 17 33 Iowa program, the community empowerment program, the center
 17 34 for congenital and inherited disorders screening and health
 17 35 care programs, standards of care for pediatric health
 18  1 guidelines, the office of multicultural health established in
 18  2 section 135.12, the oral health bureau established in section
 18  3 135.15, and other similar programs and services.
 18  4    4.  The department shall develop an organizational
 18  5 structure for the medical home system in this state.  The
 18  6 organizational structure plan shall integrate existing
 18  7 resources, provide a strategy to coordinate health care
 18  8 services, provide for monitoring and data collection on
 18  9 medical homes, provide for training and education to health
 18 10 care professionals and families, and provide for transition of
 18 11 children to the adult medical care system.  The organizational
 18 12 structure may be based on collaborative teams of stakeholders
 18 13 throughout the state such as local public health agencies, the
 18 14 collaborative safety net provider network established in
 18 15 section 135.153, or a combination of statewide organizations.
 18 16 Care coordination may be provided through regional offices or
 18 17 through individual provider practices.  The organizational
 18 18 structure may also include the use of telemedicine resources,
 18 19 and may provide for partnering with pediatric and family
 18 20 practice residency programs to improve access to preventive
 18 21 care for children.  The organizational structure shall also
 18 22 address the need to organize and provide health care to
 18 23 increase accessibility for patients including using venues
 18 24 more accessible to patients and having hours of operation that
 18 25 are conducive to the population served.
 18 26    5.  The department shall adopt standards and a process to
 18 27 certify medical homes based on the national committee for
 18 28 quality assurance standards.  The certification process and
 18 29 standards shall provide mechanisms to monitor performance and
 18 30 to evaluate, promote, and improve the quality of health of and
 18 31 health care delivered to patients through a medical home.  The
 18 32 mechanism shall require participating providers to monitor
 18 33 clinical progress and performance in meeting applicable
 18 34 standards and to provide information in a form and manner
 18 35 specified by the department.  The evaluation mechanism shall
 19  1 be developed with input from consumers, providers, and payers.
 19  2 At a minimum the evaluation shall determine any increased
 19  3 quality in health care provided and any decrease in cost
 19  4 resulting from the medical home system compared with other
 19  5 health care delivery systems.  The standards and process shall
 19  6 also include a mechanism for other ancillary service providers
 19  7 to become affiliated with a certified medical home.
 19  8    6.  The department shall adopt education and training
 19  9 standards for health care professionals participating in the
 19 10 medical home system.
 19 11    7.  The department shall provide for system simplification
 19 12 through the use of universal referral forms, internet=based
 19 13 tools for providers, and a central medical home internet site
 19 14 for providers.
 19 15    8.  The department shall recommend a reimbursement
 19 16 methodology and incentives for participation in the medical
 19 17 home system to ensure that providers enter and remain
 19 18 participating in the system.  In developing the
 19 19 recommendations for incentives, the department shall consider,
 19 20 at a minimum, providing incentives to promote wellness,
 19 21 prevention, chronic care management, immunizations, health
 19 22 care management, and the use of electronic health records.  In
 19 23 developing the recommendations for the reimbursement system,
 19 24 the department shall analyze, at a minimum, the feasibility of
 19 25 all of the following:
 19 26    a.  Reimbursement under the medical assistance program to
 19 27 promote wellness and prevention, provide care coordination,
 19 28 and provide chronic care management.
 19 29    b.  Increasing reimbursement to Medicare levels for certain
 19 30 wellness and prevention services, chronic care management, and
 19 31 immunizations.
 19 32    c.  Providing reimbursement for primary care services by
 19 33 addressing the disparities between reimbursement for specialty
 19 34 services and primary care services.
 19 35    d.  Increased funding for efforts to transform medical
 20  1 practices into certified medical homes, including emphasizing
 20  2 the implementation of the use of electronic health records.
 20  3    e.  Targeted reimbursement to providers linked to health
 20  4 care quality improvement measures established by the
 20  5 department.
 20  6    f.  Reimbursement for specified ancillary support services
 20  7 such as transportation for medical appointments and other such
 20  8 services.
 20  9    g.  Providing reimbursement for medication reconciliation
 20 10 and medication therapy management service, where appropriate.
 20 11    9.  The department shall coordinate the requirements and
 20 12 activities of the medical home system with the requirements
 20 13 and activities of the dental home for children as described in
 20 14 section 249J.14, subsection 7, and shall recommend financial
 20 15 incentives for dentists and nondental providers to promote
 20 16 oral health care coordination through preventive dental
 20 17 intervention, early identification of oral disease risk,
 20 18 health care coordination and data tracking, treatment, chronic
 20 19 care management, education and training, parental guidance,
 20 20 and oral health promotions for children.
 20 21    10.  The department shall integrate the recommendations and
 20 22 policies developed by the prevention and chronic care
 20 23 management advisory council into the medical home system.
 20 24    11.  Implementation phases.
 20 25    a.  Initial implementation shall require participation in
 20 26 the medical home system of children who are recipients of the
 20 27 medical assistance program.  The department shall work with
 20 28 the department of human services and shall recommend to the
 20 29 general assembly a reimbursement methodology to compensate
 20 30 providers participating under the medical assistance program
 20 31 for participation in the medical home system.
 20 32    b.  The department shall work with the department of human
 20 33 services to expand the medical home system to adult recipients
 20 34 of medical assistance and the expansion population under the
 20 35 IowaCare program.  The department shall work with the centers
 21  1 for Medicare and Medicaid services of the United States
 21  2 department of health and human services to allow Medicare
 21  3 recipients to utilize the medical home system.
 21  4    c.  The department shall work with the department of
 21  5 administrative services to allow state employees to utilize
 21  6 the medical home system.
 21  7    d.  The department shall work with insurers and
 21  8 self=insured companies, if requested, to make the medical home
 21  9 system available to individuals with private health care
 21 10 coverage.
 21 11    12.  The department shall provide oversight for all
 21 12 certified medical homes.  The department shall review the
 21 13 progress of the medical home system and recommend improvements
 21 14 to the system, as necessary.
 21 15    13.  The department shall annually evaluate the medical
 21 16 home system and make recommendations to the governor and the
 21 17 general assembly regarding improvements to and continuation of
 21 18 the system.
 21 19    14.  Recommendations and other activities resulting from
 21 20 the duties authorized for the department under this section
 21 21 shall require approval by the board prior to any subsequent
 21 22 action or implementation.
 21 23    Sec. 18.  Section 136.3, Code 2007, is amended by adding
 21 24 the following new subsection:
 21 25    NEW SUBSECTION.  12.  Perform those duties authorized
 21 26 pursuant to section 135.159.
 21 27    Sec. 19.  Section 249J.14, subsection 7, Code 2007, is
 21 28 amended to read as follows:
 21 29    7.  DENTAL HOME FOR CHILDREN.  By July 1, 2008 December 31,
 21 30 2010, every recipient of medical assistance who is a child
 21 31 twelve years of age or younger shall have a designated dental
 21 32 home and shall be provided with the dental screenings, and
 21 33 preventive care identified in the oral health standards
 21 34 services, diagnostic services, treatment services, and
 21 35 emergency services as defined under the early and periodic
 22  1 screening, diagnostic, and treatment program.
 22  2                           DIVISION VI
 22  3             PREVENTION AND CHRONIC CARE MANAGEMENT
 22  4                         DIVISION XXIII
 22  5             PREVENTION AND CHRONIC CARE MANAGEMENT
 22  6    Sec. 20.  NEW SECTION.  135.160  DEFINITIONS.
 22  7    For the purpose of this division, unless the context
 22  8 otherwise requires:
 22  9    1.  "Board" means the state board of health created
 22 10 pursuant to section 136.1.
 22 11    2.  "Chronic care" means health care services provided by a
 22 12 health care professional for an established clinical condition
 22 13 that is expected to last a year or more and that requires
 22 14 ongoing clinical management attempting to restore the
 22 15 individual to highest function, minimize the negative effects
 22 16 of the chronic condition, and prevent complications related to
 22 17 the chronic condition.
 22 18    3.  "Chronic care information system" means approved
 22 19 information technology to enhance the development and
 22 20 communication of information to be used in providing chronic
 22 21 care, including clinical, social, and economic outcomes of
 22 22 chronic care.
 22 23    4.  "Chronic care management" means a system of coordinated
 22 24 health care interventions and communications for individuals
 22 25 with chronic conditions, including significant patient
 22 26 self=care efforts, systemic supports for the health care
 22 27 professional and patient relationship, and a chronic care plan
 22 28 emphasizing prevention of complications utilizing
 22 29 evidence=based practice guidelines, patient empowerment
 22 30 strategies, and evaluation of clinical, humanistic, and
 22 31 economic outcomes on an ongoing basis with the goal of
 22 32 improving overall health.
 22 33    5.  "Chronic care plan" means a plan of care between an
 22 34 individual and the individual's principal health care
 22 35 professional that emphasizes prevention of complications
 23  1 through patient empowerment including but not limited to
 23  2 providing incentives to engage the patient in the patient's
 23  3 own care and in clinical, social, or other interventions
 23  4 designed to minimize the negative effects of the chronic
 23  5 condition.
 23  6    6.  "Chronic care resources" means health care
 23  7 professionals, advocacy groups, health departments, schools of
 23  8 public health and medicine, health plans, and others with
 23  9 expertise in public health, health care delivery, health care
 23 10 financing, and health care research.
 23 11    7.  "Chronic condition" means an established clinical
 23 12 condition that is expected to last a year or more and that
 23 13 requires ongoing clinical management.
 23 14    8.  "Department" means the department of public health.
 23 15    9.  "Director" means the director of public health.
 23 16    10.  "Eligible individual" means a resident of this state
 23 17 who has been diagnosed with a chronic condition or is at an
 23 18 elevated risk for a chronic condition and who is a recipient
 23 19 of medical assistance, is a member of the expansion population
 23 20 pursuant to chapter 249J, or is an inmate of a correctional
 23 21 institution in this state.
 23 22    11.  "Health care professional" means health care
 23 23 professional as defined in section 135.157.
 23 24    12.  "Health risk assessment" means screening by a health
 23 25 care professional for the purpose of assessing an individual's
 23 26 health, including tests or physical examinations and a survey
 23 27 or other tool used to gather information about an individual's
 23 28 health, medical history, and health risk factors during a
 23 29 health screening.
 23 30    13.  "State initiative for prevention and chronic care
 23 31 management" or "state initiative" means the state's plan for
 23 32 developing a chronic care organizational structure for
 23 33 prevention and chronic care management, including coordinating
 23 34 the efforts of health care professionals and chronic care
 23 35 resources to promote the health of residents and the
 24  1 prevention and management of chronic conditions, developing
 24  2 and implementing arrangements for delivering prevention
 24  3 services and chronic care management, developing significant
 24  4 patient self=care efforts, providing systemic support for the
 24  5 health care professional=patient relationship and options for
 24  6 channeling chronic care resources and support to health care
 24  7 professionals, providing for community development and
 24  8 outreach and education efforts, and coordinating information
 24  9 technology initiatives with the chronic care information
 24 10 system.
 24 11    Sec. 21.  NEW SECTION.  135.161  PREVENTION AND CHRONIC
 24 12 CARE MANAGEMENT INITIATIVE == ADVISORY COUNCIL.
 24 13    1.  The director, in collaboration with the prevention and
 24 14 chronic care management advisory council, shall develop a
 24 15 state initiative for prevention and chronic care management.
 24 16    2.  The director may accept grants and donations and shall
 24 17 apply for any federal, state, or private grants available to
 24 18 fund the initiative.  Any grants or donations received shall
 24 19 be placed in a separate fund in the state treasury and used
 24 20 exclusively for the initiative or as federal law directs.
 24 21    3.  a.  The director shall establish and convene an
 24 22 advisory council to provide technical assistance to the
 24 23 director in developing a state initiative that integrates
 24 24 evidence=based prevention and chronic care management
 24 25 strategies into the public and private health care systems,
 24 26 including the medical home system.  Public members of the
 24 27 advisory council shall receive their actual and necessary
 24 28 expenses incurred in the performance of their duties and may
 24 29 be eligible to receive compensation as provided in section
 24 30 7E.6.
 24 31    b.  The advisory council shall elicit input from a variety
 24 32 of health care professionals, health care professional
 24 33 organizations, community and nonprofit groups, insurers,
 24 34 consumers, businesses, school districts, and state and local
 24 35 governments in developing the advisory council's
 25  1 recommendations.
 25  2    c.  The advisory council shall submit initial
 25  3 recommendations to the director for the state initiative for
 25  4 prevention and chronic care management no later than July 1,
 25  5 2009.  The recommendations shall address all of the following:
 25  6    (1)  The recommended organizational structure for
 25  7 integrating prevention and chronic care management into the
 25  8 private and public health care systems.  The organizational
 25  9 structure recommended shall align with the organizational
 25 10 structure established for the medical home system developed
 25 11 pursuant to division XXII.  The advisory council shall also
 25 12 review existing prevention and chronic care management
 25 13 strategies used in the health insurance market and in private
 25 14 and public programs and recommend ways to expand the use of
 25 15 such strategies throughout the health insurance market and in
 25 16 the private and public health care systems.
 25 17    (2)  A process for identifying leading health care
 25 18 professionals and existing prevention and chronic care
 25 19 management programs in the state, and coordinating care among
 25 20 these health care professionals and programs.
 25 21    (3)  A prioritization of the chronic conditions for which
 25 22 prevention and chronic care management services should be
 25 23 provided, taking into consideration the prevalence of specific
 25 24 chronic conditions and the factors that may lead to the
 25 25 development of chronic conditions; the fiscal impact to state
 25 26 health care programs of providing care for the chronic
 25 27 conditions of eligible individuals; the availability of
 25 28 workable, evidence=based approaches to chronic care for the
 25 29 chronic condition; and public input into the selection
 25 30 process.  The advisory council shall initially develop
 25 31 consensus guidelines to address the two chronic conditions
 25 32 identified as having the highest priority and shall also
 25 33 specify a timeline for inclusion of additional specific
 25 34 chronic conditions in the initiative.
 25 35    (4)  A method to involve health care professionals in
 26  1 identifying eligible patients for prevention and chronic care
 26  2 management services, which includes but is not limited to the
 26  3 use of a health risk assessment.
 26  4    (5)  The methods for increasing communication between
 26  5 health care professionals and patients, including patient
 26  6 education, patient self=management, and patient follow=up
 26  7 plans.
 26  8    (6)  The educational, wellness, and clinical management
 26  9 protocols and tools to be used by health care professionals,
 26 10 including management guideline materials for health care
 26 11 delivery.
 26 12    (7)  The use and development of process and outcome
 26 13 measures and benchmarks, aligned to the greatest extent
 26 14 possible with existing measures and benchmarks such as the
 26 15 best in class estimates utilized in the national healthcare
 26 16 quality report of the agency for health care research and
 26 17 quality of the United States department of health and human
 26 18 services, to provide performance feedback for health care
 26 19 professionals and information on the quality of health care,
 26 20 including patient satisfaction and health status outcomes.
 26 21    (8)  Payment methodologies to align reimbursements and
 26 22 create financial incentives and rewards for health care
 26 23 professionals to utilize prevention services, establish
 26 24 management systems for chronic conditions, improve health
 26 25 outcomes, and improve the quality of health care, including
 26 26 case management fees, payment for technical support and data
 26 27 entry associated with patient registries, and the cost of
 26 28 staff coordination within a medical practice.
 26 29    (9)  Methods to involve public and private groups, health
 26 30 care professionals, insurers, third=party administrators,
 26 31 associations, community and consumer groups, and other
 26 32 entities to facilitate and sustain the initiative.
 26 33    (10)  Alignment of any chronic care information system or
 26 34 other information technology needs with other health care
 26 35 information technology initiatives.
 27  1    (11)  Involvement of appropriate health resources and
 27  2 public health and outcomes researchers to develop and
 27  3 implement a sound basis for collecting data and evaluating the
 27  4 clinical, social, and economic impact of the initiative,
 27  5 including a determination of the impact on expenditures and
 27  6 prevalence and control of chronic conditions.
 27  7    (12)  Elements of a marketing campaign that provides for
 27  8 public outreach and consumer education in promoting prevention
 27  9 and chronic care management strategies among health care
 27 10 professionals, health insurers, and the public.
 27 11    (13)  A method to periodically determine the percentage of
 27 12 health care professionals who are participating, the success
 27 13 of the empowerment=of=patients approach, and any results of
 27 14 health outcomes of the patients participating.
 27 15    (14)  A means of collaborating with the health professional
 27 16 licensing boards pursuant to chapter 147 to review prevention
 27 17 and chronic care management education provided to licensees,
 27 18 as appropriate, and recommendations regarding education
 27 19 resources and curricula for integration into existing and new
 27 20 education and training programs.
 27 21    4.  Following submission of initial recommendations to the
 27 22 director for the state initiative for prevention and chronic
 27 23 care management by the advisory council, the director shall
 27 24 submit the state initiative to the board for approval.
 27 25 Subject to approval of the state initiative by the board, the
 27 26 department shall initially implement the state initiative
 27 27 among the population of eligible individuals.  Following
 27 28 initial implementation, the director shall work with the
 27 29 department of human services, insurers, health care
 27 30 professional organizations, and consumers in implementing the
 27 31 initiative beyond the population of eligible individuals as an
 27 32 integral part of the health care delivery system in the state.
 27 33 The advisory council shall continue to review and make
 27 34 recommendations to the director regarding improvements to the
 27 35 initiative.  Any recommendations are subject to approval by
 28  1 the board.
 28  2    5.  The director of the department of human services shall
 28  3 obtain any federal waivers or state plan amendments necessary
 28  4 to implement the prevention and chronic care management
 28  5 initiative within the medical assistance and IowaCare
 28  6 populations.
 28  7    Sec. 22.  NEW SECTION.  135.162  CLINICIANS ADVISORY PANEL.
 28  8    1.  The director shall convene a clinicians advisory panel
 28  9 to advise and recommend to the department clinically
 28 10 appropriate, evidence=based best practices regarding the
 28 11 implementation of the medical home as defined in section
 28 12 135.157 and the prevention and chronic care management
 28 13 initiative pursuant to section 135.161.  The director shall
 28 14 act as chairperson of the advisory panel.
 28 15    2.  The clinicians advisory panel shall consist of nine
 28 16 members representing licensed medical health care providers
 28 17 selected by their respective professional organizations.
 28 18 Terms of members shall begin and end as provided in section
 28 19 69.19.  Any vacancy shall be filled in the same manner as
 28 20 regular appointments are made for the unexpired portion of the
 28 21 regular term.  Members shall serve terms of three years.  A
 28 22 member is eligible for reappointment for three successive
 28 23 terms.
 28 24    3.  The clinicians advisory panel shall meet on a quarterly
 28 25 basis to receive updates from the director regarding strategic
 28 26 planning and implementation progress on the medical home and
 28 27 the prevention and chronic care management initiative and
 28 28 shall provide clinical consultation to the department
 28 29 regarding the medical home and the initiative.
 28 30                          DIVISION VII
 28 31                     FAMILY OPPORTUNITY ACT
 28 32    Sec. 23.  2007 Iowa Acts, chapter 218, section 126,
 28 33 subsection 1, is amended to read as follows:
 28 34    1.  a.  The provision in this division of this Act relating
 28 35 to eligibility for certain persons with disabilities under the
 29  1 medical assistance program shall only be implemented if when
 29  2 the department of human services determines that sufficient
 29  3 funding is available in appropriations made in this Act, in
 29  4 combination with federal allocations to the state, for the
 29  5 state children's health insurance program, in excess of the
 29  6 amount needed to cover the current and projected enrollment
 29  7 under the state children's health insurance program.  If such
 29  8 a determination is made, the department of human services
 29  9 shall transfer funding from the appropriations made in this
 29 10 Act for the state children's health insurance program, not
 29 11 otherwise required for that program, to the appropriations
 29 12 made in this Act for medical assistance, as necessary, to
 29 13 implement such provision of this division of this Act.
 29 14    b.  The department shall notify the general assembly and
 29 15 the Code editor when the contingency in paragraph "a" occurs.
 29 16                          DIVISION VIII
 29 17             MEDICAL ASSISTANCE QUALITY IMPROVEMENT
 29 18    Sec. 24.  NEW SECTION.  249A.36  MEDICAL ASSISTANCE QUALITY
 29 19 IMPROVEMENT COUNCIL.
 29 20    1.  A medical assistance quality improvement council is
 29 21 established.  The council shall evaluate the clinical outcomes
 29 22 and satisfaction of consumers and providers with the medical
 29 23 assistance program.  The council shall coordinate efforts with
 29 24 the costs and quality performance evaluation completed
 29 25 pursuant to section 249J.16.
 29 26    2.  a.  The council shall consist of seven voting members
 29 27 appointed by the majority leader of the senate, the minority
 29 28 leader of the senate, the speaker of the house, and the
 29 29 minority leader of the house of representatives.  At least one
 29 30 member of the council shall be a consumer and at least one
 29 31 member shall be a medical assistance program provider.  An
 29 32 individual who is employed by a private or nonprofit
 29 33 organization that receives one million dollars or more in
 29 34 compensation or reimbursement from the department, annually,
 29 35 is not eligible for appointment to the council.  The members
 30  1 shall serve terms of three years beginning and ending as
 30  2 provided in section 69.19, and appointments shall comply with
 30  3 sections 69.16 and 69.16A.  Members shall receive
 30  4 reimbursement for actual expenses incurred while serving in
 30  5 their official capacity and may also be eligible to receive
 30  6 compensation as provided in section 7E.6.  Vacancies shall be
 30  7 filled by the original appointing authority and in the manner
 30  8 of the original appointment.  A person appointed to fill a
 30  9 vacancy shall serve only for the unexpired portion of the
 30 10 term.
 30 11    b.  The members shall select a chairperson, annually, from
 30 12 among the membership.  The council shall meet at least
 30 13 quarterly and at the call of the chairperson.  A majority of
 30 14 the members of the council constitutes a quorum.  Any action
 30 15 taken by the council must be adopted by the affirmative vote
 30 16 of a majority of its voting membership.
 30 17    c.  The department shall provide administrative support and
 30 18 necessary supplies and equipment for the council.
 30 19    3.  The council shall consult with and advise the Iowa
 30 20 Medicaid enterprise in establishing a quality assessment and
 30 21 improvement process.
 30 22    a.  The process shall be consistent with the health plan
 30 23 employer data and information set developed by the national
 30 24 committee for quality assurance and with the consumer
 30 25 assessment of health care providers and systems developed by
 30 26 the agency for health care research and quality of the United
 30 27 States department of health and human services.  The council
 30 28 shall also coordinate efforts with the Iowa healthcare
 30 29 collaborative to create consistent quality measures.
 30 30    b.  The process may utilize as a basis the medical
 30 31 assistance and state children's health insurance quality
 30 32 improvement efforts of the centers for Medicare and Medicaid
 30 33 services of the United States department of health and human
 30 34 services.
 30 35    c.  The process shall include assessment and evaluation of
 31  1 both managed care and fee=for=service programs, and shall be
 31  2 applicable to services provided to adults and children.
 31  3    d.  The initial process shall be developed and implemented
 31  4 by December 31, 2008, with the initial report of results to be
 31  5 made available to the public by June 30, 2009.  Following the
 31  6 initial report, the council shall submit a report of results
 31  7 to the governor and the general assembly, annually, in
 31  8 January.
 31  9                           DIVISION IX
 31 10                     PREVENTION AND WELLNESS
 31 11                           INITIATIVES
 31 12    Sec. 25.  Section 135.27, Code 2007, is amended by striking
 31 13 the section and inserting in lieu thereof the following:
 31 14    135.27  IOWA HEALTHY COMMUNITIES INITIATIVE == GRANT
 31 15 PROGRAM.
 31 16    1.  PROGRAM GOALS.  The department shall establish a grant
 31 17 program to energize local communities to transform the
 31 18 existing culture into a culture that promotes healthy
 31 19 lifestyles and leads collectively, community by community, to
 31 20 a healthier state.  The grant program shall expand an existing
 31 21 healthy communities initiative to assist local boards of
 31 22 health, in collaboration with existing community resources, to
 31 23 build community capacity in addressing the prevention of
 31 24 chronic disease that results from risk factors including being
 31 25 overweight and obesity.
 31 26    2.  DISTRIBUTION OF GRANTS.  The department shall
 31 27 distribute the grants on a competitive basis and shall support
 31 28 the grantee communities in planning and developing wellness
 31 29 strategies and establishing methodologies to sustain the
 31 30 strategies.  Grant criteria shall be consistent with the
 31 31 existing statewide initiative between the department and the
 31 32 department's partners that promotes increased opportunities
 31 33 for physical activity and healthy eating for Iowans of all
 31 34 ages, or its successor, and the statewide comprehensive plan
 31 35 developed by the existing statewide initiative to increase
 32  1 physical activity, improve nutrition, and promote healthy
 32  2 behaviors.  Grantees shall demonstrate an ability to maximize
 32  3 local, state, and federal resources effectively and
 32  4 efficiently.
 32  5    3.  DEPARTMENTAL SUPPORT.  The department shall provide
 32  6 support to grantees including capacity=building strategies,
 32  7 technical assistance, consultation, and ongoing evaluation.
 32  8    4.  ELIGIBILITY.  Local boards of health representing a
 32  9 coalition of health care providers and community and private
 32 10 organizations are eligible to submit applications.
 32 11    Sec. 26.  NEW SECTION.  135.27A  GOVERNOR'S COUNCIL ON
 32 12 PHYSICAL FITNESS AND NUTRITION.
 32 13    1.  A governor's council on physical fitness and nutrition
 32 14 is established consisting of twelve members appointed by the
 32 15 governor who have expertise in physical activity, physical
 32 16 fitness, nutrition, and promoting healthy behaviors.  At least
 32 17 one member shall be a representative of elementary and
 32 18 secondary physical education professionals, at least one
 32 19 member shall be a health care professional, at least one
 32 20 member shall be a registered dietician, at least one member
 32 21 shall be recommended by the department of elder affairs, and
 32 22 at least one member shall be an active nutrition or fitness
 32 23 professional.  In addition, at least one member shall be a
 32 24 member of a racial or ethnic minority.  The governor shall
 32 25 select a chairperson for the council.  Members shall serve
 32 26 terms of three years beginning and ending as provided in
 32 27 section 69.19.  Appointments are subject to sections 69.16 and
 32 28 69.16A.  Members are entitled to receive reimbursement for
 32 29 actual expenses incurred while engaged in the performance of
 32 30 official duties.  A member of the council may also be eligible
 32 31 to receive compensation as provided in section 7E.6.
 32 32    2.  The council shall assist in developing a strategy for
 32 33 implementation of the statewide comprehensive plan developed
 32 34 by the existing statewide initiative to increase physical
 32 35 activity, improve physical fitness, improve nutrition, and
 33  1 promote healthy behaviors.  The strategy shall include
 33  2 specific components relating to specific populations and
 33  3 settings including early childhood, educational, local
 33  4 community, worksite wellness, health care, and older Iowans.
 33  5 The initial draft of the implementation plan shall be
 33  6 submitted to the governor and the general assembly by December
 33  7 1, 2008.
 33  8    3.  The council shall assist the department in establishing
 33  9 and promoting a best practices internet site.  The internet
 33 10 site shall provide examples of wellness best practices for
 33 11 individuals, communities, workplaces, and schools and shall
 33 12 include successful examples of both evidence=based and
 33 13 nonscientific programs as a resource.
 33 14    4.  The council shall provide oversight for the governor's
 33 15 physical fitness challenge.  The governor's physical fitness
 33 16 challenge shall be administered by the department and shall
 33 17 provide for the establishment of partnerships with communities
 33 18 or school districts to offer the physical fitness challenge
 33 19 curriculum to elementary and secondary school students.  The
 33 20 council shall develop the curriculum, including benchmarks and
 33 21 rewards, for advancing the school wellness policy through the
 33 22 challenge.
 33 23    Sec. 27.  SMALL BUSINESS QUALIFIED WELLNESS PROGRAM TAX
 33 24 CREDIT == PLAN.  The department of public health, in
 33 25 consultation with the division of insurance of the department
 33 26 of commerce and the department of revenue, shall develop a
 33 27 plan to provide a tax credit to small businesses that provide
 33 28 qualified wellness programs to improve the health of their
 33 29 employees.  The plan shall include specification of what
 33 30 constitutes a small business for the purposes of the qualified
 33 31 wellness program, the minimum standards for use by a small
 33 32 business in establishing a qualified wellness program, the
 33 33 criteria and a process for certification of a small business
 33 34 qualified wellness program, and the process for claiming a
 33 35 small business qualified wellness program tax credit.  The
 34  1 department of public health shall submit the plan including
 34  2 any recommendations for changes in law to implement a small
 34  3 business qualified wellness program tax credit to the governor
 34  4 and the general assembly by December 15, 2008.
 34  5                           DIVISION X
 34  6                    HEALTH CARE TRANSPARENCY
 34  7                           DIVISION V
 34  8                    HEALTH CARE TRANSPARENCY
 34  9    Sec. 28.  NEW SECTION.  135.45  HEALTH CARE TRANSPARENCY ==
 34 10 REPORTING REQUIREMENTS.
 34 11    1.  A hospital licensed pursuant to chapter 135B and a
 34 12 physician licensed pursuant to chapter 148, 150, or 150A shall
 34 13 report quality indicators, annually, to the Iowa healthcare
 34 14 collaborative as defined in section 135.40.  The indicators
 34 15 shall be developed by the Iowa healthcare collaborative in
 34 16 accordance with evidence=based practice parameters and
 34 17 appropriate sample size for statistical validation.
 34 18    2.  A manufacturer or supplier of durable medical equipment
 34 19 or medical supplies doing business in the state shall submit a
 34 20 price list to the department of human services, annually, for
 34 21 use in comparing prices for such equipment and supplies with
 34 22 rates paid under the medical assistance program.  The price
 34 23 lists submitted shall be made available to the public.
 34 24 HF 2539
 34 25 av:pf/jg/25