Bill Text For SB1703 - House Floor Version

 1|              HOUSE OF REPRESENTATIVES - FLOOR VERSION                 |
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 2|                          STATE OF OKLAHOMA                            |
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 3|             2nd Session of the 59th Legislature (2024)                |
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 4|ENGROSSED SENATE                                                       |
  |BILL NO. 1703                        By: Daniels of the Senate         |
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  |                                         McEntire of the House         |
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 9|       An Act relating to the state Medicaid program;                  |
  |       amending 63 O.S. 2021, Section 5051.2, which relates            |
10|       to recovery of expenses; prohibiting certain insurers           |
  |       and third-party administrators from denying claims on           |
11|       specified grounds; requiring acceptance of certain              |
  |       authorization; requiring response to certain inquiry            |
12|       within specified time frame; clarifying language; and           |
  |       declaring an emergency.                                         |
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15|BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:                  |
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16|    SECTION 1.     AMENDATORY     63 O.S. 2021, Section 5051.2, is     |
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17|amended to read as follows:                                            |
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18|    Section 5051.2.  A.  Whenever the Oklahoma Health Care Authority   |
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19|pays for medical services or renders medical services, for or on       |
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20|behalf of a person who has been injured or suffered an illness or      |
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21|disease, the right of the provider of the services to reimbursement    |
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22|shall be automatically assigned to the Oklahoma Health Care            |
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23|Authority, upon notice to the insurer or other party obligated as a    |
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arsid5987169 SB1703 HFLR                                           Page 1
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 1|matter of law or agreement to reimburse the provider on behalf of      |
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 2|the patient.                                                           |
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 3|    B.  Upon the assignment, the Authority, for purposes of the        |
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 4|claim for reimbursement, becomes a provider of medical services.       |
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 5|    C.  The assignment of the right to reimbursement shall be          |
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 6|applied and considered valid against any employer or insurer under     |
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 7|the Administrative Workers' Compensation Act in this state.            |
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 8|    D.  Each insurer, upon receiving a claim from the Oklahoma         |
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 9|Health Care Authority, shall accept the state's right of recovery,     |
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10|to process and, if appropriate, pay the claim to the same extent       |
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11|that the plan would have been liable if it had been billed at the      |
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12|point of sale or by the original provider of services.  Insurer The    |
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13|insurer shall not deny the Authority claims on the basis of the date   |
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14|of submission, the format of the claim, or for failure to present      |
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15|proper documentation of coverage at the point of sale.                 |
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16|    E.  An insurer or third-party administrator, except a Medicare     |
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17|Advantage plan, shall not deny the Authority claims solely on the      |
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18|basis that a claimed item or service did not receive prior             |
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19|authorization under the rules or coverage policies of the insurer or   |
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20|third-party administrator.  The insurer or third-party administrator   |
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21|shall accept an authorization provided by the Authority for an item    |
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22|or service covered under the state Medicaid program or under a home-   |
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23|and community-based services waiver for such individual as if such     |
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arsid5987169 SB1703 HFLR                                           Page 2
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 1|authorization was made by the insurer or third-party administrator     |
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 2|for such item or service.                                              |
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 3|    F.  If the Authority submits an inquiry regarding a claim to an    |
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 4|insurer or third-party administrator not later than three (3) years    |
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 5|after the date of provision of the claimed item or service, the        |
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 6|insurer or third-party administrator shall respond to the inquiry      |
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 7|within sixty (60) days of receiving the inquiry.                       |
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 8|    G.  Insurer An insurer shall make appropriate payments to the      |
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 9|Authority as long as the claim is submitted for consideration within   |
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10|three (3) years from the date the service was furnished.  Any action   |
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11|by the Authority to enforce the payment of the claim shall be          |
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12|commenced within six (6) years of the submission of the claim by the   |
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13|Authority.                                                             |
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14|    SECTION 2.  It being immediately necessary for the preservation    |
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15|of the public peace, health or safety, an emergency is hereby          |
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16|declared to exist, by reason whereof this act shall take effect and    |
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17|be in full force from and after its passage and approval.              |
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19|COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS AND BUDGET, dated     |
  |04/18/2024 - DO PASS.                                                  |
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arsid5987169 SB1703 HFLR                                           Page 3
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