1.1                          A bill for an act 
  1.2             relating to human services; establishing an outreach 
  1.3             campaign for health coverage; creating a preventive 
  1.4             services funding pool; reducing income verification 
  1.5             requirements for medical assistance; providing 
  1.6             12-month continuous coverage under medical assistance 
  1.7             for children; limiting premiums under MinnesotaCare; 
  1.8             creating a demonstration project for presumptive 
  1.9             eligibility; appropriating money; amending Minnesota 
  1.10            Statutes 2000, sections 256B.04, by adding a 
  1.11            subdivision; 256B.056, subdivisions 4b, 5a, 5b, 7; 
  1.12            256B.057, subdivision 2; 256B.061; 256L.04, 
  1.13            subdivision 2; 256L.05, subdivisions 2, 4; 256L.07, 
  1.14            subdivisions 1, 3; 256L.15, subdivisions 1, 2; 
  1.15            proposing coding for new law in Minnesota Statutes, 
  1.16            chapter 256B; repealing Minnesota Statutes 2000, 
  1.17            section 256L.15, subdivision 3. 
  1.18  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.19     Section 1.  Minnesota Statutes 2000, section 256B.04, is 
  1.20  amended by adding a subdivision to read: 
  1.21     Subd. 3a.  [CHILD APPLICATION FORMS.] The commissioner 
  1.22  shall develop an application form to be used to determine the 
  1.23  eligibility of a child for medical assistance, general 
  1.24  assistance medical care, and the MinnesotaCare program that does 
  1.25  not request information that is not necessary to determine 
  1.26  eligibility for a child.  
  1.27     Sec. 2.  Minnesota Statutes 2000, section 256B.056, 
  1.28  subdivision 4b, is amended to read: 
  1.29     Subd. 4b.  [INCOME VERIFICATION.] The local agency shall 
  1.30  not require a monthly income verification form for a recipient 
  1.31  who is a resident of a long-term care facility and who has 
  2.1   monthly earned income of $80 or less.  The commissioner or 
  2.2   county agency shall use electronic verification as the primary 
  2.3   method of income verification.  If there is a discrepancy in the 
  2.4   electronic verification, an individual may be required to submit 
  2.5   additional verification.  
  2.6      Sec. 3.  Minnesota Statutes 2000, section 256B.056, 
  2.7   subdivision 5a, is amended to read: 
  2.8      Subd. 5a.  [INDIVIDUALS ON FIXED INCOME.] Recipients of 
  2.9   medical assistance who receive only fixed unearned income, where 
  2.10  such income is unvarying in amount and timing of receipt 
  2.11  throughout the year, shall report and verify their income 
  2.12  annually. 
  2.13     Sec. 4.  Minnesota Statutes 2000, section 256B.056, 
  2.14  subdivision 5b, is amended to read: 
  2.15     Subd. 5b.  [INDIVIDUALS WITH LOW INCOME.] Recipients of 
  2.16  medical assistance not residing in a long-term care facility who 
  2.17  have slightly fluctuating income which is below the medical 
  2.18  assistance income limit shall report and verify their income on 
  2.19  a semiannual basis. 
  2.20     Sec. 5.  Minnesota Statutes 2000, section 256B.056, 
  2.21  subdivision 7, is amended to read: 
  2.22     Subd. 7.  [PERIOD OF ELIGIBILITY.] Eligibility is available 
  2.23  for the month of application and for three months prior to 
  2.24  application if the person was eligible in those prior months.  A 
  2.25  redetermination of eligibility must occur every 12 months.  A 
  2.26  child under 19 years of age and who is determined to be eligible 
  2.27  for medical assistance shall remain eligible until the earlier 
  2.28  of:  the end of a 12-month period beginning the month after the 
  2.29  application is approved; eligibility is reapproved; or the child 
  2.30  exceeds 19 years of age.  
  2.31     Sec. 6.  Minnesota Statutes 2000, section 256B.057, 
  2.32  subdivision 2, is amended to read: 
  2.33     Subd. 2.  [CHILDREN.] A child one two through five 18 years 
  2.34  of age in a family whose countable income is less no greater 
  2.35  than 133 225 percent of the federal poverty guidelines for the 
  2.36  same family size, is eligible for medical assistance.  A child 
  3.1   six through 18 years of age, who was born after September 30, 
  3.2   1983, in a family whose countable income is less than 100 
  3.3   percent of the federal poverty guidelines for the same family 
  3.4   size is eligible for medical assistance "Countable income" means 
  3.5   gross income.  
  3.6      Sec. 7.  Minnesota Statutes 2000, section 256B.061, is 
  3.7   amended to read: 
  3.8      256B.061 [ELIGIBILITY; RETROACTIVE EFFECT; RESTRICTIONS.] 
  3.9      (a) If any individual has been determined to be eligible 
  3.10  for medical assistance, it will be made available for care and 
  3.11  services included under the plan and furnished in or after the 
  3.12  third month before the month in which the individual made 
  3.13  application for such assistance, if such individual was, or upon 
  3.14  application would have been, eligible for medical assistance at 
  3.15  the time the care and services were furnished.  The commissioner 
  3.16  may limit, restrict, or suspend the eligibility of an individual 
  3.17  for up to one year upon that individual's conviction of a 
  3.18  criminal offense related to application for or receipt of 
  3.19  medical assistance benefits. 
  3.20     (b) On the basis of information provided on the completed 
  3.21  application, an applicant who meets the following criteria shall 
  3.22  be determined eligible beginning in the month of application: 
  3.23     (1) whose gross income is less than 90 percent of the 
  3.24  applicable income standard; 
  3.25     (2) whose total liquid assets are less than 90 percent of 
  3.26  the asset limit; 
  3.27     (3) (2) does not reside in a long-term care facility; and 
  3.28     (4) (3) meets all other eligibility requirements. 
  3.29  The applicant must provide all required verifications within 30 
  3.30  days' notice of the eligibility determination or eligibility 
  3.31  shall be terminated. 
  3.32     (c) Under this chapter and chapter 256D, the commissioner 
  3.33  shall develop and implement a pilot project establishing 
  3.34  presumptive eligibility for children under age 19 with family 
  3.35  income at or below the medical assistance guidelines.  The 
  3.36  commissioner shall select locations such as provider offices, 
  4.1   hospitals, clinics, and schools where presumptive eligibility 
  4.2   for medical assistance shall be determined on site by a trained 
  4.3   staff person.  The commissioner shall expand presumptive 
  4.4   eligibility effective July 1, 2002, by selecting additional 
  4.5   locations.  The entity determining presumptive eligibility for a 
  4.6   child must notify the parent or caretaker at the time of the 
  4.7   determination and provide the parent or caretaker with an 
  4.8   application form, and within five working days after the date of 
  4.9   the presumptive eligibility determination must notify the 
  4.10  commissioner.  The presumptive eligibility period ends on the 
  4.11  earlier of the date a child is found to be eligible for medical 
  4.12  assistance, or the last day of the month after the month of the 
  4.13  presumptive eligibility determination if no application for 
  4.14  medical assistance has been filed for that child.  
  4.15     Sec. 8.  [256B.78] [OUTREACH EFFORTS.] 
  4.16     Subdivision 1.  [STATEWIDE CAMPAIGN.] The commissioner of 
  4.17  human services shall coordinate a public/private partnership to 
  4.18  provide a statewide outreach campaign on the importance of 
  4.19  health coverage and the availability of coverage through both 
  4.20  public assistance health care programs and the private health 
  4.21  insurance market.  The campaign shall include messages directed 
  4.22  to the general population as well as culturally specific and 
  4.23  community-based messages.  
  4.24     Subd. 2.  [LOCAL OUTREACH GRANTS.] (a) The commissioner 
  4.25  shall award grants to public or private organizations to provide 
  4.26  local community-based outreach to assist families with children 
  4.27  in obtaining health coverage.  
  4.28     (b) In awarding these grants, the commissioner shall 
  4.29  consider the following:  
  4.30     (1) the ability to contact or serve non-English-speaking 
  4.31  families; 
  4.32     (2) the ability to provide trained workers at accessible 
  4.33  outreach centers to assist families with children by offering 
  4.34  services ranging from providing information up to on-site 
  4.35  enrollment in a health care program; and 
  4.36     (3) the ability to serve geographic areas and populations 
  5.1   with the greatest disparity in health coverage and health status.
  5.2      (c) The commissioner shall include specific performance 
  5.3   expectations that will require grantees to track the number of 
  5.4   enrollees in state programs, monitor these grants, and may 
  5.5   terminate a grant if the outreach effort does not increase 
  5.6   enrollment in the state health care programs.  
  5.7      Subd. 3.  [LOCAL SITES.] The commissioner shall provide 
  5.8   applications and other health care program information to 
  5.9   provider offices, hospitals, local human services agencies, 
  5.10  community health sites, and elementary schools to encourage and 
  5.11  assist these sites in conducting outreach efforts.  These sites 
  5.12  may assist families with children by offering services ranging 
  5.13  from providing information up to on-site enrollment in public 
  5.14  assistance programs. 
  5.15     Subd. 4.  [TOLL-FREE TELEPHONE NUMBER.] The commissioner 
  5.16  shall implement a toll-free resource telephone number to provide 
  5.17  information on health care coverage options, including 
  5.18  information on medical assistance, general assistance medical 
  5.19  care, and the MinnesotaCare program.  
  5.20     Sec. 9.  [256B.79] [HEALTH CARE PREVENTIVE SERVICES POOL.] 
  5.21     The commissioner of human services shall create an 
  5.22  uncompensated care pool to reimburse community clinics and other 
  5.23  health care providers that provide initial health care 
  5.24  screenings and preventive care services to children who are 
  5.25  uninsured.  The commissioner shall establish a process for 
  5.26  clinics to apply for reimbursement.  As a condition of receiving 
  5.27  payment from this pool, the clinic or provider must offer 
  5.28  services ranging from providing information up to on-site 
  5.29  enrollment.  
  5.30     Sec. 10.  Minnesota Statutes 2000, section 256L.04, 
  5.31  subdivision 2, is amended to read: 
  5.32     Subd. 2.  [COOPERATION IN ESTABLISHING THIRD-PARTY 
  5.33  LIABILITY, PATERNITY, AND OTHER MEDICAL SUPPORT.] (a) To be 
  5.34  eligible for MinnesotaCare, individuals and families must 
  5.35  cooperate with the state agency to identify potentially liable 
  5.36  third-party payers and assist the state in obtaining third-party 
  6.1   payments.  "Cooperation" includes, but is not limited to, 
  6.2   identifying any third party who may be liable for care and 
  6.3   services provided under MinnesotaCare to the enrollee, providing 
  6.4   relevant information to assist the state in pursuing a 
  6.5   potentially liable third party, and completing forms necessary 
  6.6   to recover third-party payments.  For families with children 
  6.7   whose gross family income is equal to or less than 225 percent 
  6.8   of the federal poverty guidelines, cooperation also includes 
  6.9   providing information about a group health plan in which the 
  6.10  family is enrolled or eligible to enroll.  If the health plan is 
  6.11  determined cost-effective by the state agency and premiums are 
  6.12  paid by the state or local agency or there is no cost to the 
  6.13  enrollee, the MinnesotaCare enrollee must enroll or remain 
  6.14  enrolled in the group health plan, and the commissioner may 
  6.15  exempt the enrollee from the requirements of section 256L.12.  
  6.16  For purposes of this subdivision, coverage provided by the 
  6.17  Minnesota comprehensive health association under chapter 62E 
  6.18  shall not be considered group health plan coverage or 
  6.19  cost-effective by the state and local agency.  
  6.20     (b) A parent, guardian, relative caretaker, or child 
  6.21  enrolled in the MinnesotaCare program must cooperate with the 
  6.22  department of human services and the local agency in 
  6.23  establishing the paternity of an enrolled child and in obtaining 
  6.24  medical care support and payments for the child and any other 
  6.25  person for whom the person can legally assign rights, in 
  6.26  accordance with applicable laws and rules governing the medical 
  6.27  assistance program.  A child shall not be ineligible for or 
  6.28  disenrolled from the MinnesotaCare program solely because the 
  6.29  child's parent, relative caretaker, or guardian fails to 
  6.30  cooperate in establishing paternity or obtaining medical support.
  6.31     Sec. 11.  Minnesota Statutes 2000, section 256L.05, 
  6.32  subdivision 2, is amended to read: 
  6.33     Subd. 2.  [COMMISSIONER'S DUTIES.] The commissioner shall 
  6.34  use individuals' social security numbers as identifiers for 
  6.35  purposes of administering the plan and conduct data matches to 
  6.36  verify income.  Applicants shall submit evidence of individual 
  7.1   and family income, earned and unearned, such as the most recent 
  7.2   income tax return, wage slips, or other documentation that is 
  7.3   determined by the commissioner as necessary to verify income 
  7.4   eligibility or county agency shall use electronic verification 
  7.5   as the primary method of income verification.  If there is a 
  7.6   discrepancy in the electronic verification, an individual may be 
  7.7   required to submit additional verification.  In addition, the 
  7.8   commissioner shall perform random audits to verify reported 
  7.9   income and eligibility.  The commissioner may execute data 
  7.10  sharing arrangements with the department of revenue and any 
  7.11  other governmental agency in order to perform income 
  7.12  verification related to eligibility and premium payment under 
  7.13  the MinnesotaCare program. 
  7.14     Sec. 12.  Minnesota Statutes 2000, section 256L.05, 
  7.15  subdivision 4, is amended to read: 
  7.16     Subd. 4.  [APPLICATION PROCESSING.] The commissioner of 
  7.17  human services shall determine an applicant's eligibility for 
  7.18  MinnesotaCare no more than 30 days from the date that the 
  7.19  application is received by the department of human services.  
  7.20  Beginning January 1, 2000, this requirement also applies to 
  7.21  local county human services agencies that determine eligibility 
  7.22  for MinnesotaCare.  Once annually at application or 
  7.23  reenrollment, to prevent processing delays, applicants or 
  7.24  enrollees who, from the information provided on the application, 
  7.25  appear to meet eligibility requirements shall be enrolled upon 
  7.26  timely payment of premiums.  The enrollee must provide all 
  7.27  required verifications within 30 days of notification of the 
  7.28  eligibility determination or coverage from the program shall be 
  7.29  terminated.  Enrollees who are determined to be ineligible when 
  7.30  verifications are provided shall be disenrolled from the program.
  7.31     Sec. 13.  Minnesota Statutes 2000, section 256L.07, 
  7.32  subdivision 1, is amended to read: 
  7.33     Subdivision 1.  [GENERAL REQUIREMENTS.] (a) Children 
  7.34  enrolled in the original children's health plan as of September 
  7.35  30, 1992, and children who enrolled in the MinnesotaCare program 
  7.36  after September 30, 1992, pursuant to Laws 1992, chapter 549, 
  8.1   article 4, section 17, and families with children who have 
  8.2   family gross incomes that are equal to or less than 150 225 
  8.3   percent of the federal poverty guidelines are eligible without 
  8.4   meeting the requirements of subdivision 2, as long as they 
  8.5   maintain continuous coverage in the MinnesotaCare program or 
  8.6   medical assistance.  Children who apply for MinnesotaCare on or 
  8.7   after the implementation date of the employer-subsidized health 
  8.8   coverage program as described in Laws 1998, chapter 407, article 
  8.9   5, section 45, who have family gross incomes that are equal to 
  8.10  or less than 150 percent of the federal poverty guidelines, must 
  8.11  meet the requirements of subdivision 2 to be eligible for 
  8.12  MinnesotaCare subdivisions 2 and 3. 
  8.13     (b) Families enrolled in MinnesotaCare under section 
  8.14  256L.04, subdivision 1, whose income increases above 275 percent 
  8.15  of the federal poverty guidelines, are no longer eligible for 
  8.16  the program and shall be disenrolled by the commissioner.  
  8.17  Individuals enrolled in MinnesotaCare under section 256L.04, 
  8.18  subdivision 7, whose income increases above 175 percent of the 
  8.19  federal poverty guidelines are no longer eligible for the 
  8.20  program and shall be disenrolled by the commissioner.  For 
  8.21  persons disenrolled under this subdivision, MinnesotaCare 
  8.22  coverage terminates the last day of the calendar month following 
  8.23  the month in which the commissioner determines that the income 
  8.24  of a family or individual exceeds program income limits.  
  8.25     (c) Notwithstanding paragraph (b), individuals and families 
  8.26  may remain enrolled in MinnesotaCare if ten percent of their 
  8.27  annual income is less than the annual premium for a policy with 
  8.28  a $500 deductible available through the Minnesota comprehensive 
  8.29  health association.  Individuals and families who are no longer 
  8.30  eligible for MinnesotaCare under this subdivision shall be given 
  8.31  an 18-month notice period from the date that ineligibility is 
  8.32  determined before disenrollment.  
  8.33     Sec. 14.  Minnesota Statutes 2000, section 256L.07, 
  8.34  subdivision 3, is amended to read: 
  8.35     Subd. 3.  [OTHER HEALTH COVERAGE.] (a) Families and 
  8.36  individuals enrolled in the MinnesotaCare program must have no 
  9.1   health coverage while enrolled or for at least four months prior 
  9.2   to application and renewal.  Children enrolled in the original 
  9.3   children's health plan and children in families with income 
  9.4   equal to or less than 150 percent of the federal poverty 
  9.5   guidelines, who have other health insurance, are eligible if the 
  9.6   coverage: 
  9.7      (1) lacks two or more of the following: 
  9.8      (i) basic hospital insurance; 
  9.9      (ii) medical-surgical insurance; 
  9.10     (iii) prescription drug coverage; 
  9.11     (iv) dental coverage; or 
  9.12     (v) vision coverage; 
  9.13     (2) requires a deductible of $100 or more per person per 
  9.14  year; or 
  9.15     (3) lacks coverage because the child has exceeded the 
  9.16  maximum coverage for a particular diagnosis or the policy 
  9.17  excludes a particular diagnosis. 
  9.18     The commissioner may change this eligibility criterion for 
  9.19  sliding scale premiums in order to remain within the limits of 
  9.20  available appropriations.  The requirement of no health coverage 
  9.21  does not apply to newborns.  
  9.22     (b) Medical assistance, general assistance medical care, 
  9.23  and civilian health and medical program of the uniformed 
  9.24  service, CHAMPUS, are not considered insurance or health 
  9.25  coverage for purposes of the four-month requirement described in 
  9.26  this subdivision. 
  9.27     (c) For purposes of this subdivision, Medicare Part A or B 
  9.28  coverage under title XVIII of the Social Security Act, United 
  9.29  States Code, title 42, sections 1395c to 1395w-4, is considered 
  9.30  health coverage.  An applicant or enrollee may not refuse 
  9.31  Medicare coverage to establish eligibility for MinnesotaCare. 
  9.32     (d) Applicants who were recipients of medical assistance or 
  9.33  general assistance medical care within one month of application 
  9.34  must meet the provisions of this subdivision and subdivision 2. 
  9.35     Sec. 15.  Minnesota Statutes 2000, section 256L.15, 
  9.36  subdivision 1, is amended to read: 
 10.1      Subdivision 1.  [PREMIUM DETERMINATION.] Families with 
 10.2   children and individuals shall pay a premium determined 
 10.3   according to a sliding fee based on a percentage of the family's 
 10.4   gross family income, except that families with children whose 
 10.5   gross family income is equal to or less than 225 percent of the 
 10.6   federal poverty guidelines and American Indian families are 
 10.7   exempt from the requirement to pay premiums.  "American Indian" 
 10.8   has the meaning given to persons to whom services will be 
 10.9   provided for in Code of Federal Regulations, title 42, section 
 10.10  36.12.  Pregnant women and children under age two are exempt 
 10.11  from the provisions of section 256L.06, subdivision 3, paragraph 
 10.12  (b), clause (3), requiring disenrollment for failure to pay 
 10.13  premiums.  For pregnant women, this exemption continues until 
 10.14  the first day of the month following the 60th day postpartum.  
 10.15  Women who remain enrolled during pregnancy or the postpartum 
 10.16  period, despite nonpayment of premiums, shall be disenrolled on 
 10.17  the first of the month following the 60th day postpartum for the 
 10.18  penalty period that otherwise applies under section 256L.06, 
 10.19  unless they begin paying premiums. 
 10.20     Sec. 16.  Minnesota Statutes 2000, section 256L.15, 
 10.21  subdivision 2, is amended to read: 
 10.22     Subd. 2.  [SLIDING FEE SCALE TO DETERMINE PERCENTAGE OF 
 10.23  GROSS INDIVIDUAL OR FAMILY INCOME.] (a) The commissioner shall 
 10.24  establish a sliding fee scale to determine the percentage of 
 10.25  gross individual or family income that households at different 
 10.26  income levels must pay to obtain coverage through the 
 10.27  MinnesotaCare program.  The sliding fee scale must be based on 
 10.28  the enrollee's gross individual or family income.  The sliding 
 10.29  fee scale must contain separate tables based on enrollment of 
 10.30  one, two, or three or more persons.  The sliding fee scale 
 10.31  begins with a premium of 1.5 percent of gross individual or 
 10.32  family income for individuals or families with incomes below the 
 10.33  limits for the medical assistance program for families and 
 10.34  children in effect on January 1, 1999, and proceeds through the 
 10.35  following evenly spaced steps:  1.8, 2.3, 3.1, 3.8, 4.8, 5.9, 
 10.36  7.4, and 8.8 and 5.0 percent.  These percentages are matched to 
 11.1   evenly spaced income steps ranging from the medical assistance 
 11.2   income limit for families and children in effect on January 1, 
 11.3   1999, to 275 percent of the federal poverty guidelines for the 
 11.4   applicable family size, up to a family size of five.  The 
 11.5   sliding fee scale for a family of five must be used for families 
 11.6   of more than five.  The sliding fee scale and percentages are 
 11.7   not subject to the provisions of chapter 14.  If a family or 
 11.8   individual reports increased income after enrollment, premiums 
 11.9   shall not be adjusted until eligibility renewal. 
 11.10     (b) Enrolled individuals and families whose gross annual 
 11.11  income increases above 275 percent of the federal poverty 
 11.12  guideline shall pay the maximum premium.  The maximum premium is 
 11.13  defined as a base charge for one, two, or three or more 
 11.14  enrollees so that if all MinnesotaCare cases paid the maximum 
 11.15  premium, the total revenue would equal the total cost of 
 11.16  MinnesotaCare medical coverage and administration.  In this 
 11.17  calculation, administrative costs shall be assumed to equal ten 
 11.18  percent of the total.  The costs of medical coverage for 
 11.19  pregnant women and children under age two and the enrollees in 
 11.20  these groups shall be excluded from the total.  The maximum 
 11.21  premium for two enrollees shall be twice the maximum premium for 
 11.22  one, and the maximum premium for three or more enrollees shall 
 11.23  be three times the maximum premium for one. 
 11.24     Sec. 17.  [CONSOLIDATION OF PUBLIC HEALTH CARE PROGRAMS.] 
 11.25     The commissioner of human services shall develop a plan to 
 11.26  streamline and consolidate the public health care programs 
 11.27  through merger, transfer, or reconfiguration of existing health 
 11.28  care programs.  At the request of the commissioner of human 
 11.29  services, units of local government shall provide assistance in 
 11.30  evaluating and consolidating existing state and local health 
 11.31  care programs.  The plan must be presented to the legislature by 
 11.32  January 15, 2002, for implementation by July 1, 2003.  
 11.33     Sec. 18.  [ELIGIBILITY COORDINATION.] 
 11.34     The commissioner of human services shall develop and 
 11.35  implement by September 1, 2001, a pilot project establishing 
 11.36  coordinated enrollment for children who have been determined 
 12.1   eligible for medical assistance and the National School Lunch 
 12.2   program.  The commissioner shall develop and implement 
 12.3   coordinated enrollment with other agencies such as Supplemental 
 12.4   Nutrition Program for Women, Infants, and Children (WIC); the 
 12.5   Food Stamp program, and other means-tested public assistance 
 12.6   programs on a statewide basis by January 1, 2003.  
 12.7      Sec. 19.  [HEALTH STATUS IMPROVEMENT GRANTS.] 
 12.8      The commissioner of human services shall award grants to 
 12.9   improve the quality of health care services provided to 
 12.10  children.  Priority shall be given to grant applications that: 
 12.11     (1) develop "best practices guidelines" for primary and 
 12.12  preventative health care services to all children in Minnesota, 
 12.13  regardless of payor; 
 12.14     (2) design and implement community-based education and 
 12.15  evaluation programs for physicians and other direct care 
 12.16  providers to implement best practice guidelines; and 
 12.17     (3) reduce disparities in access to health care services 
 12.18  and in health status of Minnesota children.  
 12.19     Sec. 20.  [UNINSURED AND UNDERSERVED CHILDREN STUDY.] 
 12.20     The commissioner of human services, in consultation with 
 12.21  the commissioner of health, shall evaluate the effects of the 
 12.22  initiatives adopted by the 2001 legislature to increase the 
 12.23  number of insured children, and make recommendations on other 
 12.24  actions needed to provide coverage to all children by the year 
 12.25  2003, including recommendations on ways to improve access to 
 12.26  affordable private health insurance.  The commissioner shall 
 12.27  also report on the effectiveness of state grants for outreach to 
 12.28  improve preventive services for children enrolled in government 
 12.29  health care programs.  The commissioner shall submit an annual 
 12.30  report to the legislature beginning January 15, 2002. 
 12.31     Sec. 21.  [ON-LINE APPLICATION PROCESS.] 
 12.32     The commissioner of human services shall develop an on-line 
 12.33  application process for medical assistance, general assistance 
 12.34  medical care, and the MinnesotaCare program for implementation 
 12.35  by October 1, 2003. 
 12.36     Sec. 22.  [PRIVATE SECTOR INITIATIVES.] 
 13.1      The commissioner of commerce, in consultation with the 
 13.2   </u>
 13.3   commissioners of health, human services, and revenue, shall 
 13.4   develop recommendations for initiatives to encourage the 
 13.5   purchase of private sector health care coverage for children who 
 13.6   are not eligible for public programs.  In developing the 
 13.7   recommendations, the commissioner must consult with 
 13.8   representatives of the health plan companies, including both 
 13.9   health maintenance organizations and indemnity carriers. 
 13.10     At a minimum, the recommendations must include the 
 13.11  following: 
 13.12     (1) education initiatives to inform the public regarding 
 13.13  the availability and accessibility of existing private sector 
 13.14  health care coverage, including policies that provide coverage 
 13.15  for children only; 
 13.16     (2) tax strategies, including greater use of section 125 
 13.17  plans, that would encourage the purchase of dependent coverage 
 13.18  by parents; 
 13.19     (3) market reform strategies to assure access to private 
 13.20  coverage for children, and associated funding recommendations; 
 13.21  and 
 13.22     (4) a coordinated public and private sector information 
 13.23  campaign highlighting the importance of children having health 
 13.24  care coverage and receiving necessary and timely preventive 
 13.25  services. 
 13.26  The recommendations must be submitted to the legislature by 
 13.27  January 15, 2002. 
 13.28     Sec. 23.  [APPROPRIATION.] 
 13.29     (a) $....... is appropriated for the biennium beginning 
 13.30  July 1, 2001, from the general fund to the commissioner of human 
 13.31  services for the outreach efforts described in Minnesota 
 13.32  Statutes, section 256B.78. 
 13.33     (b) $....... is appropriated for the biennium beginning 
 13.34  July 1, 2001, from the general fund to the commissioner of human 
 13.35  services for the health care preventive services funding pool 
 13.36  established under Minnesota Statutes, section 256B.79. 
 13.37     (c) $....... is appropriated for the biennium beginning 
 14.1   July 1, 2001, from the general fund to the commissioner of human 
 14.2   services for the quality improvement grants. 
 14.3      Sec. 24.  [REPEALER.] 
 14.4      Minnesota Statutes 2000, section 256L.15, subdivision 3, is 
 14.5   repealed.