1.1                          A bill for an act 
  1.2             relating to human services; increasing prepaid medical 
  1.3             assistance and prepaid general assistance medical care 
  1.4             program capitation rates for nonmetropolitan counties; 
  1.5             amending Minnesota Statutes 2000, section 256B.69, 
  1.6             subdivision 5b. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2000, section 256B.69, 
  1.9   subdivision 5b, is amended to read: 
  1.10     Subd. 5b.  [PROSPECTIVE REIMBURSEMENT RATES.] (a) For 
  1.11  prepaid medical assistance and general assistance medical care 
  1.12  program contract rates set by the commissioner under subdivision 
  1.13  5 and effective on or after January 1, 1998, capitation rates 
  1.14  for nonmetropolitan counties shall on a weighted average be no 
  1.15  less than 88 percent of the capitation rates for metropolitan 
  1.16  counties, excluding Hennepin county.  The commissioner shall 
  1.17  make a pro rata adjustment in capitation rates paid to counties 
  1.18  other than nonmetropolitan counties in order to make this 
  1.19  provision budget neutral.  
  1.20     (b) For prepaid medical assistance and prepaid general 
  1.21  assistance medical care program contract rates set by the 
  1.22  commissioner under subdivision 5 and effective on or after 
  1.23  January 1, ~~2001~~ 2002, capitation rates for nonmetropolitan 
  1.24  counties shall, on a weighted average, be no less than ~~89~~ 95 
  1.25  percent of the capitation rates for metropolitan counties, 
  1.26  excluding Hennepin county. 
  2.1      (c) This subdivision shall not affect the nongeographically 
  2.2   based risk adjusted rates established under section 62Q.03, 
  2.3   subdivision 5a, paragraph (f). 
  2.4      (d) Effective January 1, 2002, the commissioner shall 
  2.5   require prepaid health plans to use all revenue received from 
  2.6   the increase in capitation rates for nonmetropolitan counties 
  2.7   from 89 to no less than 95 percent of the capitation rate for 
  2.8   metropolitan counties, excluding Hennepin county, to increase 
  2.9   reimbursement rates for providers under contract with the 
  2.10  prepaid health plan to serve enrollees from nonmetropolitan 
  2.11  counties.