Act No. 84

Public Acts of 2005

Approved by the Governor

July 19, 2005

Filed with the Secretary of State

July 19, 2005

EFFECTIVE DATE: July 19, 2005

STATE OF MICHIGAN

93RD LEGISLATURE

REGULAR SESSION OF 2005

Introduced by Senators Jacobs and Emerson

ENROLLED SENATE BILL No. 447

AN ACT to amend 1939 PA 280, entitled "An act to protect the welfare of the people of this state; to provide general assistance, hospitalization, infirmary and medical care to poor or unfortunate persons; to provide for compliance by this state with the social security act; to provide protection, welfare and services to aged persons, dependent children, the blind, and the permanently and totally disabled; to administer programs and services for the prevention and treatment of delinquency, dependency and neglect of children; to create a state department of social services; to prescribe the powers and duties of the department; to provide for the interstate and intercounty transfer of dependents; to create county and district departments of social services; to create within certain county departments, bureaus of social aid and certain divisions and offices thereunder; to prescribe the powers and duties of the departments, bureaus and officers; to provide for appeals in certain cases; to prescribe the powers and duties of the state department with respect to county and district departments; to prescribe certain duties of certain other state departments, officers, and agencies; to make an appropriation; to prescribe penalties for the violation of the provisions of this act; and to repeal certain parts of this act on specific dates," by amending section 109f (MCL 400.109f), as added by 2000 PA 410.

The People of the State of Michigan enact:

Sec. 109f. (1) The department of community health shall support the use of medicaid funds for specialty services and supports for eligible medicaid beneficiaries with a serious mental illness, developmental disability, serious emotional disturbance, or substance abuse disorder. Medicaid-covered specialty services and supports shall be managed and delivered by specialty prepaid health plans chosen by the department of community health with advice and recommendations from the specialty services panel created in section 109g. The specialty services and supports shall be carved out from the basic medicaid health care benefits package.

(2) Specialty prepaid health plans shall be considered medicaid managed care organizations as described in section 1903(m)(1)(A) of title XIX of the social security act, 42 USC 1396b, and shall be responsible for providing defined inpatient services, outpatient hospital services, physician services, other specified medicaid state plan services, and additional services approved by the centers for medicare and medicaid services under section 1915(b)(3) of title XIX of the social security act, 42 USC 1396n. As medicaid managed care organizations, specialty prepaid health plans are subject to the quality assurance assessment fee described in section 224b of the insurance code of 1956, 1956 PA 218, MCL 500.224b.

This act is ordered to take immediate effect.

Secretary of the Senate

Clerk of the House of Representatives

Approved

Governor