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Letter to CMS - Medicaid Managed Care Policies - Agency for ...

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Standard XII: Administration and Management<br />

CONTRACT<br />

SECTION<br />

59. REFORM<br />

CAPITATED:<br />

Approved CBPs<br />

Exhibit 5<br />

60. REFORM<br />

CAPITATED:<br />

Sufficiency<br />

Testing the CBP<br />

Exhibit 5<br />

61. REFORM<br />

CAPITATED:<br />

Maximum<br />

Annual Dollar<br />

Value of the CBP<br />

Exhibit 5<br />

62. REFORM<br />

CAPITATED:<br />

Changing the<br />

CBPs<br />

AGENCY FOR HEALTHCARE ADMINISTRATION<br />

MANAGED CARE ORGANIZATIONS<br />

Compliance Moni<strong>to</strong>ring Tool with Specific Contract Standards<br />

CONTRACT REQUIREMENT COMPLIANT SCORING<br />

Approved CBPs must comply with the benefit<br />

grid plan evaluation <strong>to</strong>ol and instructions<br />

available from HSD. The <strong>Agency</strong> tests the health<br />

plan’s CBP <strong>for</strong> actuarial equivalency and<br />

sufficiency of benefits, be<strong>for</strong>e approving the<br />

CBP. Actuarial equivalency is tested by using a<br />

benefit plan evaluation <strong>to</strong>ol that:<br />

a. Compares the value of the level of benefits in<br />

the proposed package <strong>to</strong> the value of the<br />

current <strong>Medicaid</strong> State Plan package <strong>for</strong> the<br />

average member of the covered population.<br />

b. Ensures that the overall level of benefits is<br />

appropriate.<br />

Sufficiency is tested by comparing the proposed<br />

CBP <strong>to</strong> state-established standards. The<br />

standards are based on the covered population’s<br />

his<strong>to</strong>rical use of <strong>Medicaid</strong> State Plan services.<br />

These standards are used <strong>to</strong> ensure that the<br />

proposed CBP is adequate <strong>to</strong> cover the needs of<br />

the vast majority of the enrollees.<br />

If, in its CBP, the health plan limits a service <strong>to</strong> a<br />

maximum annual dollar value, the health plan<br />

must calculate the dollar value of the service<br />

using the <strong>Medicaid</strong> fee schedule.<br />

The CBPs may change on a Contract year basis<br />

and only if approved by the <strong>Agency</strong> in writing.<br />

The health plan submits <strong>to</strong> HSD its CBP <strong>for</strong><br />

recertification of actuarial equivalency and<br />

a. Yes<br />

No<br />

N/A<br />

b. Yes<br />

No<br />

N/A<br />

Yes<br />

No<br />

N/A<br />

Yes<br />

No<br />

N/A<br />

Yes<br />

No<br />

N/A<br />

Met<br />

Partially Met<br />

Not Met<br />

Met<br />

Partially Met<br />

Not Met<br />

Met<br />

Partially Met<br />

Not Met<br />

Met<br />

Partially Met<br />

Not Met<br />

DOCUMENTS<br />

REVIEWED<br />

FINDINGS<br />

State of Florida Compliance Moni<strong>to</strong>ring_Standard_XII_F2_07_11<br />

Page 23

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