HOUSE BILL No. 6008

 

 

November 9, 2016, Introduced by Rep. Hoadley and referred to the Committee on Appropriations.

 

     A bill to require a feasibility study for long-term care; and

 

to prescribe the responsibilities of certain state departments.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. As used in this act:

 

     (a) "Department" means the department of health and human

 

services.

 

     (b) "Director" means the director of the department.

 

     (c) "Medicaid" and "state Medicaid program" mean the medical

 

assistance program administered under the social welfare act, 1939

 

PA 280, MCL 400.1 to 400.119b.

 

     Sec. 2. (1) The department shall contract for an independent

 

feasibility study and actuarial model of public, private, and

 


public-private hybrid options to help individuals prepare for,

 

access, and afford the long-term services and supports they need.

 

The study shall include a report of its findings and a model for

 

all of the following:

 

     (a) An affordable annual long-term care benefit available to

 

all who meet the minimum eligibility of needing assistance with 2

 

activities of daily living, with the maximum benefit amount to be

 

determined by actuarial analysis.

 

     (b) A public-private reinsurance or risk-sharing model, with

 

the purpose of providing a stable and ongoing source of

 

reimbursement to insurers for a portion of their catastrophic long-

 

term care services and supports losses in order to provide

 

additional insurance capacity for the state. The entity would

 

operate as a public-private partnership supporting the private

 

sector's role as the primary risk bearer.

 

     (c) A long-term care benefit paid for and open to those that

 

are not currently eligible for the state Medicaid program.

 

     (2) The report required under subsection (1) shall include all

 

of the following:

 

     (a) An analysis of public and private long-term care programs

 

that exist in the state, the participation rates for those

 

programs, and any clear gaps that exist, including, but not limited

 

to, gaps in coverage, affordability, and participation.

 

     (b) The expected costs and benefits for participants in a new

 

long-term care benefit program, when accounting for a living wage

 

rate for home care workers and compliance with the fair labor

 

standards act of 1938, 29 USC 201 to 219, the federal regulations


in 29 CFR 552 relating to that act, and state labor laws.

 

     (c) The total anticipated number of participants.

 

     (d) The impact on the current workforce.

 

     (e) A recruitment and retention plan to meet anticipated

 

shortage in the workforce due to the increasing aging population.

 

     (f) The impact of current services, access to a paid

 

workforce, and affordability of care on family caregivers,

 

including how many family members are providing care to the

 

individual, the impact that providing care has on a family

 

caregiver's job, family caregivers' access to training programs,

 

how many hours of care a family caregiver is providing, the types

 

of services a family caregiver is performing, if the primary

 

caregiver is also caring for a child, and if there are children

 

present in the home who also assist with caring for the aging adult

 

in the home.

 

     (g) The projected savings to the state Medicaid program, if

 

any.

 

     (h) Legal and financial risks to the state.

 

     (3) The department shall provide oversight and direction for

 

the analysis described in subsection (2) and shall convene

 

interested stakeholders, including consumer and worker

 

representatives, to provide ongoing input on the feasibility study

 

design. The department shall hold not fewer than 3 meetings for

 

stakeholders to comply with the provisions of this subsection, as

 

follows: a meeting before the study begins, during the study's

 

implementation, and after the study is completed.

 

     (4) The feasibility study and the actuarial analysis that is


included in the feasibility study must be completed and submitted

 

to the department no later than 9 months after the start date of

 

the feasibility study. The department shall hold a public hearing

 

presenting its findings. The department shall submit a report,

 

including the director's findings and recommendations based on the

 

feasibility study and actuarial analysis, to the legislature no

 

later than 60 days after the completion of the feasibility study.

 

     Enacting section 1. This act takes effect 90 days after the

 

date it is enacted into law.