AB780: Bill Text

AB780, s. 3 Section 3 . 49.343 (1d) (cg) of the statutes is created to read:

AB780,5,13 49.343 (1d) (cg) "Performance-based contracting system" means a system of paying a provider for services based on the achievement of specified measurable outcomes.

Note: Sections 3 and 4 create definitions for "performance-based contracting system" and "provider."

AB780, s. 4 Section 4 . 49.343 (1d) (cr) of the statutes is created to read:

AB780,6,3 49.343 (1d) (cr) "Provider" means a residential care center for children and youth, a group home, or a child welfare agency.

AB780, s. 5 Section 5. 49.343 (2) (b) (intro.) of the statutes, as created by 2009 Wisconsin Act 28, is amended to read:

AB780,6,13 49.343 (2) (b) (intro.) The department shall review a proposed rate submitted under par. (a) and audit the residential care center for children and youth, group home, or child welfare agency provider submitting the proposed rate to determine whether the proposed rate is appropriate to the level of services to be provided, the qualifications of the residential care center for children and youth, group home, or child welfare agency provider to provide those services, and the reasonable and necessary costs of providing those services. In reviewing a proposed rate, the department shall consider all of the following factors:

Note: This Section deletes "residential care center for children and youth, group home, or child welfare agency" and substitutes "provider," which is defined in the bill as a residential care center for children and youth, group home, or child welfare agency.

AB780, s. 6 Section 6 . 49.343 (2) (b) 1m. of the statutes is created to read:

AB780,6,18 49.343 (2) (b) 1m. Changes in the consumer price index for all urban consumers, U.S. city average, for the medical care group, as determined by the U.S. department of labor, for the 12 months ending on June 30 of the year in which the proposed rate is submitted.

AB780, s. 7 Section 7. 49.343 (2) (b) 5. of the statutes, as created by 2009 Wisconsin Act 28, is amended to read:

AB780,6,23 49.343 (2) (b) 5. Changes in service delivery proposed by the residential care center for children and youth, group home, or child welfare agency provider and agreed to by the department.

Note: This Section deletes "residential care center for children and youth, group home, or child welfare agency" and substitutes "provider," which is defined in the bill as a residential care center for children and youth, group home, or child welfare agency.

AB780, s. 8 Section 8 . 49.343 (2) (b) 6. of the statutes is created to read:

AB780,7,3 49.343 (2) (b) 6. Whether the agency is accredited by a national accrediting body that has developed child welfare standards.

Note: Sections 6 and 8 add factors DCF must consider in reviewing a per client rate proposed by a group home or an RCC or an administrative rate proposed by a child welfare agency. Under Section 6 , DCF must consider changes in the consumer price index for all urban consumers, U.S. city average, for the medical care group and whether the provider is accredited by a national accrediting body that has developed child welfare standards.

AB780, s. 9 Section 9. 49.343 (2) (c) of the statutes, as created by 2009 Wisconsin Act 28, is amended to read:

AB780,7,19 49.343 (2) (c) If the department determines under par. (b) that a proposed rate submitted under par. (a) is appropriate, the department shall approve the proposed rate. If the department does not approve a proposed rate, the department shall negotiate with the residential care center for children and youth, group home, or child welfare agency provider to determine an agreed to rate. If after negotiations a rate is not agreed to, the department and residential care center for children and youth, group home, or child welfare agency the provider shall engage in mediation under the rate resolution procedure promulgated by rule under sub. (4) to arrive at an agreed to rate. If after mediation a rate is not agreed to, the residential care center for children and youth, group home, or child welfare agency may not provide the service for which the rate was proposed department shall order a rate for the service after considering the factors under par. (b). A provider may appeal the rate set by the department as a contested case under ch. 227 by filing with the department a request for a hearing within 30 days after the date of the order.

Note: This Section provides that DCF must order a per client rate for a group home or an RCC or an administrative rate for a child welfare agency if the provider's proposed rate is not approved by DCF and if DCF and the provider do not agree to a rate after negotiations and mediation. Under this Section, a provider may appeal the rate set by DCF as a contested case under ch. 227, stats., by filing a request for a hearing with DCF within 30 days of the order.

AB780, s. 10 Section 10. 49.343 (3) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

AB780,8,5 49.343 (3) Audit. The department may require an audit of any residential care center for children and youth, group home, or child welfare agency provider for the purpose of collecting federal funds.

Note: This Section deletes "residential care center for children and youth, group home, or child welfare agency" and substitutes "provider," which is defined in the bill as a residential care center for children and youth, group home, or child welfare agency.

AB780, s. 11 Section 11. 49.343 (4) (a) of the statutes, as created by 2009 Wisconsin Act 28, is amended to read:

AB780,8,12 49.343 (4) (a) Standards for determining whether a proposed rate is appropriate to the level of services to be provided, the qualifications of a residential care center for children and youth, group home, or child welfare agency provider to provide those services, and the reasonable and necessary costs of providing those services.

Note: This Section deletes "residential care center for children and youth, group home, or child welfare agency" and substitutes "provider," which is defined in the bill as a residential care center for children and youth, group home, or child welfare agency.

AB780, s. 12 Section 12. 49.343 (4) (c) of the statutes, as created by 2009 Wisconsin Act 28, is amended to read:

AB780,8,17 49.343 (4) (c) Procedures for reviewing proposed rates, including rate resolution procedures for mediating an agreed to ordering a rate when negotiations and mediation fail to produce an agreed to rate.

Note: This Section requires DCF to promulgate administrative rules for reviewing proposed per client rates for group homes and RCCs and administrative rates for child welfare agencies, including procedures for ordering a rate when negotiations and mediation fail to produce an agreed to rate.

AB780, s. 13 Section 13. 49.343 (5) of the statutes is created to read:

AB780,9,8 49.343 (5) Advisory committee. The secretary shall create an advisory committee under s. 15.04 (1) (c) consisting of representatives of purchasers; county departments; the department, in a county having a population of 500,000 or more; tribes; consumers; and a statewide association of private, incorporated family and children's social service agencies representing all groups of providers that are affected by the rate regulation process. The committee shall advise the department on all of the following:

AB780,9,9 (a) The development of administrative rules under sub. (4).

AB780,9,11 (b) The implementation of rate regulation for providers as authorized under this section.

AB780,9,13 (c) The identification of the measurements specified in sub. (6) (a) and the development of the payment levels specified in sub. (6) (a).

Note: This Section requires the secretary of children and families to create an advisory committee and specifies the membership of the committee. Under the Section, the committee is required to advise DCF on the development of administrative rules relating to rate setting, the implementation of rate regulation for providers, and the identification of performance-based measurements and payment levels that correspond to the achievement of those measurements.

AB780, s. 14 Section 14. 49.343 (6) of the statutes is created to read:

AB780,9,18 49.343 (6) Performance-based contracting system. (a) For purposes of implementing a performance-based contracting system, the department, in cooperation with the advisory committee created under sub. (5), shall do all of the following:

AB780,9,21 1. Identify measurements by which to evaluate the performance of providers in meeting both the goals for the children placed in their care and the goals for the out-of-home care system in this state and adjust, as needed, those measurements.

AB780,10,2 2. Develop payment levels that correspond to the achievement of the measurements identified under subd. 1. based on the assessed level of care of a child.

AB780,10,7 (b) By November 1, 2010, the department shall submit a report that outlines a plan for implementing a performance-based contracting system to the standing committee of each house of the legislature that is concerned with child welfare issues. The report shall describe the measurements identified under par. (a) 1. and the payment levels developed under par. (a) 2.

AB780,10,12 (c) Beginning on January 1, 2011, the department shall select a representative sample of providers and evaluate the performance of those providers in attaining the measurements identified under par. (a) 1. Based on that evaluation, the department, in consultation with the advisory committee created under sub. (5), shall adjust, as needed, those measurements by December 31, 2011.

AB780,10,18 (d) Beginning on January 1, 2013, the department shall evaluate the performance of all providers in this state in attaining the measurements identified under par. (a) 1. Based on that evaluation, the department, in consultation with the advisory committee created under sub. (5), shall adjust, as needed, those measurements by December 31, 2013, and in subsequent years as determined necessary by the department.

Note: This Section requires DCF, for purposes of implementing a performance-based contracting system, to identify measurements by which to evaluate the performance of providers in meeting both the goals for the children placed in their care and the goals for the out-of-home care system in this state and to adjust, as needed, those measurements, in cooperation with the advisory committee created under this bill. This Section also requires DCF to develop payment levels that correspond to the achievement of those measurements based on the assessed level of care of a child.

In addition, this Section requires DCF, by November 1, 2010, to submit a report that outlines a plan for implementing the performance-based contracting system to the standing committee of each house of the legislature that is concerned with child welfare issues. The report must describe the measurements identified and the payment levels developed by DCF in cooperation with the advisory committee.

Note: Finally, this Section requires DCF, beginning on January 1, 2011, to select a representative sample of providers and evaluate the performance of those providers in attaining the measurements identified by DCF in cooperation with the advisory committee. The Section also requires DCF, beginning on January 1, 2013, to evaluate the performance of all providers in this state in attaining those measurements.

AB780,11,1 (End)