ARTICLE 5 SUBSTITUTE A AS AMENDED

 

RELATING TO GOVERNMENTAL ORGANIZATION

 

     SECTION 1. Sections 42-7.2-2, 42-7.2-5 and 42-7.2-6.1 of the General Laws in Chapter

42-7.2 entitled “Office of Health and Human Services” are hereby amended to read as follows:

 

     42-7.2-2.  Executive office of health and human services. -- There is hereby established

within the executive branch of state government an executive office of health and human services

to serve as the principal agency of the executive branch of state government for managing the

departments of children, youth and families, elderly affairs, health, human services, and mental

health, retardation and hospitals. In this capacity, the office shall:

        (a) Lead the state's five health and human services departments in order to:

        (1) Improve the economy, efficiency, coordination, and quality of health and human

services policy and planning, budgeting and financing.

        (2) Design strategies and implement best practices that foster service access, consumer

safety and positive outcomes.

        (3) Maximize and leverage funds from all available public and private sources,

including federal financial participation, grants and awards.

        (4) Increase public confidence by conducting independent reviews of health and human

services issues in order to promote accountability and coordination across departments.

        (5) Ensure that state health and human services policies and programs are responsive to

changing consumer needs and to the network of community providers that deliver assistive

services and supports on their behalf.

        (b) Supervise the administrations of federal and state medical assistance programs by

acting as the single state agency authorized under title XIX of the U.S. Social Security act, 42

U.S.C. § 1396a et seq., notwithstanding any general or public law or regulation to the contrary,

and exercising such single state agency authority for such other federal and state programs as may

be designated by the governor. Except as provided for herein, Nothing nothing in this chapter

shall be construed as transferring to the secretary: (1) The powers, duties or functions conferred

upon the departments by Rhode Island general laws for the administration of the foregoing

federal and state programs; or (2) The administrative responsibility for the preparation and

submission of any state plans, state plan amendments, or federal waiver applications, as may be

approved from time to time by the secretary with respect to the foregoing federal and state

programs.

 

     42-7.2-5.  Duties of the secretary. -- The secretary shall be subject to the direction and

supervision of the governor for the oversight, coordination and cohesive direction of state

administered health and human services and in ensuring the laws are faithfully executed, not

withstanding any law to the contrary. In this capacity, the Secretary of Health and Human

Services shall be authorized to:

        (1) Coordinate the administration and financing of health care benefits, human services

and programs including those authorized by the Global Consumer Choice Compact Waiver and,

as applicable, the Medicaid State Plan under Title XIX of the US Social Security Act. However,

nothing in this section shall be construed as transferring to the secretary the powers, duties or

functions conferred upon the departments by Rhode Island public and general laws for the

administration of federal/state programs financed in whole or in part with Medicaid funds or the

administrative responsibility for the preparation and submission of any state plans, state plan

amendments, or authorized federal waiver applications.

        (2) Serve as the governor's chief advisor and liaison to federal policymakers on

Medicaid reform issues as well as the principal point of contact in the state on any such related

matters.

        (3) Review and ensure the coordination of any new departmental waiver Global

Consumer Choice Compact Waiver requests and renewals as well as any initiatives and proposals

requiring amendments to the Medicaid state plan or category one (I) or two (II) changes, as

described in the special terms and conditions of the Global Consumer Choice Compact Waiver

with the potential to affect the scope, amount or duration of publicly-funded health care services,

provider payments or reimbursements, or access to or the availability of benefits and services as

provided by Rhode Island general and public laws. The secretary shall consider whether any such

waivers or amendments changes are legally and fiscally sound and consistent with the state's

policy and budget priorities. The secretary shall also assess whether a proposed waiver or

amendment change is capable of obtaining the necessary approvals from federal officials and

achieving the expected positive consumer outcomes. Department directors shall, within the

timelines specified, provide any information and resources the secretary deems necessary in order

to perform the reviews authorized in this section;

        (4) Beginning in 2006, prepare and submit to the governor, the chairpersons of the

house and senate finance committees, the caseload estimating conference, and to the joint

legislative committee for health care oversight, by no later than February 1 March 15 of each

year, a comprehensive overview of all Medicaid expenditures outcomes, and utilization rates. The

overview shall include, but not be limited to, the following information:

        (i) Expenditures under Titles XIX and XXI of the Social Security Act, as amended;

        (ii) Expenditures, outcomes and utilization rates by population and sub-population

served (e.g. families with children, children with disabilities, children in foster care, children

receiving adoption assistance, adults with disabilities, and the elderly);

        (iii) Expenditures, outcomes and utilization rates by each state department or other

municipal or public entity receiving federal reimbursement under Titles XIX and XXI of the

Social Security Act, as amended; and

      (iv) Expenditures, outcomes and utilization rates by type of service and/or service

provider. The directors of the departments, as well as local governments and school departments,

shall assist and cooperate with the secretary in fulfilling this responsibility by providing whatever

resources, information and support shall be necessary.

        (5) Resolve administrative, jurisdictional, operational, program, or policy conflicts

among departments and their executive staffs and make necessary recommendations to the

governor.

        (6) Assure continued progress toward improving the quality, the economy, the

accountability and the efficiency of state-administered health and human services. In this

capacity, the secretary shall:

        (i) Direct implementation of reforms in the human resources practices of the

departments that streamline and upgrade services, achieve greater economies of scale and

establish the coordinated system of the staff education, cross- training, and career development

services necessary to recruit and retain a highly-skilled, responsive, and engaged health and

human services workforce;

        (ii) Encourage the departments to utilize consumer-centered approaches to service

design and delivery that expand their capacity to respond efficiently and responsibly to the

diverse and changing needs of the people and communities they serve;

        (iii) Develop all opportunities to maximize resources by leveraging the state's

purchasing power, centralizing fiscal service functions related to budget, finance, and

procurement, centralizing communication, policy analysis and planning, and information systems

and data management, pursuing alternative funding sources through grants, awards and

partnerships and securing all available federal financial participation for programs and services

provided through the departments; and

      (iv) Improve the coordination and efficiency of health and human services legal

functions by centralizing adjudicative and legal services and overseeing their timely and judicious

administration. ;

     (v) Facilitate the rebalancing of the long term system by creating an assessment and

coordination organization or unit for the expressed purpose of developing and implementing

procedures across departments that ensure that the appropriate publicly-funded health services are

provided at the right time and in the most appropriate and least restrictive setting; and

     (vi) Strengthen health and human services program integrity, quality control and

collections, and recovery activities by consolidating functions within the office in a single unit

that ensures all affected parties pay their fair share of the cost of services and are aware of

alternative financing.

     (vii) Broaden access to publicly funded food and nutrition services by consolidating

agency programs and initiatives to eliminate duplication and overlap and improve the availability

and quality of services; and

     (viii) Assure protective services are available to vulnerable elders and adults with

developmental and other disabilities by reorganizing existing services, establishing new services

where gaps exist and centralizing administrative responsibility for oversight of all related

initiatives and programs.

      (7) Prepare and integrate comprehensive budgets for the health and human services

departments and any other functions and duties assigned to the office. The budgets shall be

submitted to the state budget office by the secretary, for consideration by the governor, on behalf

of the state's health and human services in accordance with the provisions set forth in § 35-3-4 of

the Rhode Island general laws.

       (8) Utilize objective data to evaluate health and human services policy goals, resource

use and outcome evaluation and to perform short and long-term policy planning and

development.

       (9) Establishment of an integrated approach to interdepartmental information and data

management that complements and furthers the goals of the CHOICES initiative and that will

facilitate the transition to consumer-centered system of state administered health and human

services.

       (10) At the direction of the governor or the general assembly, conduct independent

reviews of state-administered health and human services programs, policies and related agency

actions and activities and assist the department directors in identifying strategies to address any

issues or areas of concern that may emerge thereof. The department directors shall provide any

information and assistance deemed necessary by the secretary when undertaking such

independent reviews.

       (11) Provide regular and timely reports to the governor and make recommendations with

respect to the state's health and human services agenda.

       (12) Employ such personnel and contract for such consulting services as may be

required to perform the powers and duties lawfully conferred upon the secretary.

       (13) Implement the provisions of any general or public law or regulation related to the

disclosure, confidentiality and privacy of any information or records, in the possession or under

the control of the executive office or the departments assigned to the executive office, that may be

developed or acquired for purposes directly connected with the secretary's duties set forth herein.

       (14) Hold the director of each health and human services department accountable for

their administrative, fiscal and program actions in the conduct of the respective powers and duties

of their agencies.

 

     42-7.2-6.1. Transfer of powers and functions. -- (a) There are hereby transferred to the

executive office of health and human services the powers and functions of the departments with

respect to the following:

        (1) By July 1, 2007, fiscal services including budget preparation and review, financial

management, purchasing and accounting and any related functions and duties deemed necessary

by the secretary;

        (2) By July 1, 2007, legal services including applying and interpreting the law,

oversight to the rule-making process, and administrative adjudication duties and any related

functions and duties deemed necessary by the secretary;

        (3) By September 1, 2007, communications including those functions and services

related to government relations, public education and outreach and media relations and any

related functions and duties deemed necessary by the secretary;

        (4) By March 1, 2008, policy analysis and planning including those functions and

services related to the policy development, planning and evaluation and any related functions and

duties deemed necessary by the secretary; and

        (5) By June 30, 2008, information systems and data management including the

financing, development and maintenance of all data-bases and information systems and platforms

as well as any related operations deemed necessary by the secretary;

     (6) By October 1, 2009, assessment and coordination for long-term care including those

functions related to determining level of care or need for services, development of individual

service/care plans and planning, identification of service options, the pricing of service options

and choice counseling; and

     (7) By October 1, 2009, program integrity, quality control and collection and recovery

functions including any that detect fraud and abuse or assure that beneficiaries, providers, and

third-parties pay their fair share of the cost of services, as well as any that promote alternatives to

publicly financed services, such as the long-term care health insurance partnership.

     (8) By January 1, 2011, client protective services including any such services provided to

children, elders and adults with developmental and other disabilities;

     (9) By March 1, 2010, administrative management of food and nutritional services

including food stamps, WIC and any other such programs or initiatives in which operational

efficiencies that improve access may be achieve through greater consolidation or coordination of

functions.

        (b) The secretary shall determine in collaboration with the department directors whether

the officers, employees, agencies, advisory councils, committees, commissions, and task forces of

the departments who were performing such functions shall be transferred to the office. Duties that

are incidental to the performance of the functions transferred to the office in subpart (a) shall

remain with the departments providing that the employees responsible thereof are performing

functions that have not been transferred.

        (c) In the transference of such functions, the secretary shall be responsible for ensuring:

        (1) Minimal disruption of services to consumers;

        (2) Elimination of duplication of functions and operations;

        (3) Services are coordinated and functions are consolidated where appropriate;

        (4) Clear lines of authority are delineated and followed;

        (5) Cost-savings are achieved whenever feasible;

        (6) Program application and eligibility determination processes are coordinated and,

where feasible, integrated; and

        (7) State and federal funds available to the office and the entities therein are allocated

and utilized for service delivery to the fullest extent possible.

        (d) Except as provided herein, no provision of this chapter or application thereof shall

be construed to limit or otherwise restrict the departments of children, youth and families, human

services, elderly affairs, health, and mental health, retardation, and hospitals from fulfilling any

statutory requirement or complying with any regulation deemed otherwise valid.

      (e) The secretary shall prepare and submit to the leadership of the house and senate

finance committees, by no later than January 1, 2010, a plan for restructuring functional

responsibilities across the departments to establish a consumer centered integrated system of

health and human services that provides high quality and cost-effective services at the right time

and in the right setting across the life-cycle.

 

     SECTION 2. Section 23-1-8 of the General Laws in Chapter 21-1 is entitled “Department

of Health” is hereby amended to read as follows:

 

     23-1-8.  Toxicologist Forensic Scientist – Crime detection. – The director of health

shall appoint in accordance with law a suitable and qualified toxicologist forensic scientist to

conduct examinations of evidence in connection with scientific crime detection, and for that

purpose the director shall cooperate with the Rhode Island state police, the department of the

attorney general, and other law enforcement agencies in the matter of scientific crime detection.

 

     SECTION 3. Section 31-27-2 of the General Laws in Chapter is 12-5 entitled “Motor

Vehicle Offenses” is hereby amended to read as follows:

 

      31-27-2.  Driving under influence of liquor or drugs. – (a) Whoever drives or

otherwise operates any vehicle in the state while under the influence of any intoxicating liquor,

drugs, toluene, or any controlled substance as defined in chapter 28 of title 21, or any

combination of these, shall be guilty of a misdemeanor except as provided in subdivision (d)(3)

and shall be punished as provided in subsection (d) of this section.

       (b) Any person charged under subsection (a) of this section whose blood alcohol

concentration is eight one-hundredths of one percent (.08%) or more by weight as shown by a

chemical analysis of a blood, breath, or urine sample shall be guilty of violating subsection (a) of

this section. This provision shall not preclude a conviction based on other admissible evidence.

Proof of guilt under this section may also be based on evidence that the person charged was under

the influence of intoxicating liquor, drugs, toluene, or any controlled substance defined in chapter

28 of title 21, or any combination of these, to a degree which rendered the person incapable of

safely operating a vehicle. The fact that any person charged with violating this section is or has

been legally entitled to use alcohol or a drug shall not constitute a defense against any charge of

violating this section.

      (2) Whoever drives or otherwise operates any vehicle in the state with a blood presence

of any scheduled controlled substance as defined within chapter 28 of title 21, as shown by

analysis of a blood or urine sample, shall be guilty of a misdemeanor and shall be punished as

provided in subsection (d) of this section.

     (c) In any criminal prosecution for a violation of subsection (a) of this section, evidence

as to the amount of intoxicating liquor, toluene, or any controlled substance as defined in chapter

28 of title 21, or any combination of these, in the defendant's blood at the time alleged as shown

by a chemical analysis of the defendant's breath, blood, or urine or other bodily substance shall be

admissible and competent, provided that evidence is presented that the following conditions have

been complied with:

      (1) The defendant has consented to the taking of the test upon which the analysis is

made. Evidence that the defendant had refused to submit to the test shall not be admissible unless

the defendant elects to testify.

     (2) A true copy of the report of the test result was mailed within seventy-two (72) hours

of the taking of the test to the person submitting to a breath test.

     (3) Any person submitting to a chemical test of blood, urine, or other body fluids shall

have a true copy of the report of the test result mailed to him or her within thirty (30) days

following the taking of the test.

     (4) The test was performed according to methods and with equipment approved by the

director of the department of health of the state of Rhode Island and by an authorized individual.

     (5) Equipment used for the conduct of the tests by means of breath analysis had been

tested for accuracy within thirty (30) days preceding the test by personnel qualified as

hereinbefore provided, and breathalyzer operators shall be qualified and certified by the

department of health within three hundred sixty-five (365) days of the test.

     (6) The person arrested and charged with operating a motor vehicle while under the

influence of intoxicating liquor, toluene, or any controlled substance as defined in chapter 28 of

title 21, or, any combination of these in violation of subsection (a) of this section was afforded the

opportunity to have an additional chemical test. The officer arresting or so charging the person

shall have informed the person of this right and afforded him or her a reasonable opportunity to

exercise this right, and a notation to this effect is made in the official records of the case in the

police department. Refusal to permit an additional chemical test shall render incompetent and

inadmissible in evidence the original report.

      (d) Every person found to have violated subdivision (b)(1) of this section shall be

sentenced as follows: for a first violation whose blood alcohol concentration is eight one-

hundredths of one percent (.08%) but less than one-tenth of one percent (.1%) by weight or who

has a blood presence of any scheduled controlled substance as defined in subdivision (b)(2) shall

be subject to a fine of not less than one hundred dollars ($100) nor more than three hundred

dollars ($300), shall be required to perform ten (10) to sixty (60) hours of public community

restitution, and/or shall be imprisoned for up to one year. The sentence may be served in any unit

of the adult correctional institutions in the discretion of the sentencing judge and/or shall be

required to attend a special course on driving while intoxicated or under the influence of a

controlled substance, and his or her driver's license shall be suspended for thirty (30) days up to

one hundred eighty (180) days.

     (ii) Every person convicted of a first violation whose blood alcohol concentration is one-

tenth of one percent (.1%) by weight or above but less than fifteen hundredths of one percent

(.15%) or whose blood alcohol concentration is unknown shall be subject to a fine of not less than

one hundred ($100) dollars nor more than four hundred dollars ($400) and shall be required to

perform ten (10) to sixty (60) hours of public community restitution and/or shall be imprisoned

for up to one year. The sentence may be served in any unit of the adult correctional institutions in

the discretion of the sentencing judge. The person's driving license shall be suspended for a

period of three (3) months to twelve (12) months. The sentencing judge shall require attendance

at a special course on driving while intoxicated or under the influence of a controlled substance

and/or alcoholic or drug treatment for the individual.

     (iii) Every person convicted of a first offense whose blood alcohol concentration is

fifteen hundredths of one percent (.15%) or above, or who is under the influence of a drug,

toluene, or any controlled substance as defined in subdivision (b)(1) shall be subject to a fine of

five hundred dollars ($500) and shall be required to perform twenty (20) to sixty (60) hours of

public community restitution and/or shall be imprisoned for up to one year. The sentence may be

served in any unit of the adult correctional institutions in the discretion of the sentencing judge.

The person's driving license shall be suspended for a period of three (3) months to eighteen (18)

months. The sentencing judge shall require attendance at a special course on driving while

intoxicated or under the influence of a controlled substance and/or alcohol or drug treatment for

the individual.

     (2) Every person convicted of a second violation within a five (5) year period with a

blood alcohol concentration of eight one-hundredths of one percent (.08%) or above but less than

fifteen hundredths of one percent (.15%) or whose blood alcohol concentration is unknown or

who has a blood presence of any controlled substance as defined in subdivision (b)(2), and every

person convicted of a second violation within a five (5) year period regardless of whether the

prior violation and subsequent conviction was a violation and subsequent conviction under this

statute or under the driving under the influence of liquor or drugs statute of any other state, shall

be subject to a mandatory fine of four hundred dollars ($400). The person's driving license shall

be suspended for a period of one year to two (2) years, and the individual shall be sentenced to

not less than ten (10) days nor more than one year in jail. The sentence may be served in any unit

of the adult correctional institutions in the discretion of the sentencing judge; however, not less

than forty-eight (48) hours of imprisonment shall be served consecutively. The sentencing judge

shall require alcohol or drug treatment for the individual, and may prohibit that person from

operating a motor vehicle that is not equipped with an ignition interlock system for a period of

one year to two (2) years following the completion of the sentence as provided in § 31-27-2.8.

     (ii) Every person convicted of a second violation within a five (5) year period whose

blood alcohol concentration is fifteen hundredths of one percent (.15%) or above by weight as

shown by a chemical analysis of a blood, breath, or urine sample or who is under the influence of

a drug, toluene, or any controlled substance as defined in subdivision (b)(1) shall be subject to

mandatory imprisonment of not less than six (6) months nor more than one year, a mandatory fine

of not less than one thousand dollars ($1,000) and a mandatory license suspension for a period of

two (2) years from the date of completion of the sentence imposed under this subsection.

     (3) Every person convicted of a third or subsequent violation within a five (5) year period

with a blood alcohol concentration of eight one-hundredths of one percent (.08%) or above but

less than fifteen hundredths of one percent (.15%) or whose blood alcohol concentration is

unknown or who has a blood presence of any scheduled controlled substance as defined in

subdivision (b)(2) regardless of whether any prior violation and subsequent conviction was a

violation and subsequent conviction under this statute or under the driving under the influence of

liquor or drugs statute of any other state, shall be guilty of a felony and be subject to a mandatory

fine of four hundred ($400) dollars. The person's driving license shall be suspended for a period

of two (2) years to three (3) years, and the individual shall be sentenced to not less than one year

and not more than three (3) years in jail. The sentence may be served in any unit of the adult

correctional institutions in the discretion of the sentencing judge; however, not less than forty-

eight (48) hours of imprisonment shall be served consecutively. The sentencing judge shall

require alcohol or drug treatment for the individual, and may prohibit that person from operating

a motor vehicle that is not equipped with an ignition interlock system for a period of two (2) years

following the completion of the sentence as provided in § 31-27-2.8.

     (ii) Every person convicted of a third or subsequent violation within a five (5) year period

whose blood alcohol concentration is fifteen hundredths of one percent (.15%) above by weight

as shown by a chemical analysis of a blood, breath, or urine sample or who is under the influence

of a drug, toluene or any controlled substance as defined in subdivision (b)(1) shall be subject to

mandatory imprisonment of not less than three (3) years nor more than five (5) years, a

mandatory fine of not less than one thousand dollars ($1,000) nor more than five thousand dollars

($5,000) and a mandatory license suspension for a period of three (3) years from the date of

completion of the sentence imposed under this subsection.

     (iii) In addition to the foregoing penalties, every person convicted of a third or

subsequent violation within a five (5) year period regardless of whether any prior violation and

subsequent conviction was a violation and subsequent conviction under this statute or under the

driving under the influence of liquor or drugs statute of any other state shall be subject, in the

discretion of the sentencing judge, to having the vehicle owned and operated by the violator

seized and sold by the state of Rhode Island, with all funds obtained by the sale to be transferred

to the general fund.

     (4) For purposes of determining the period of license suspension, a prior violation shall

constitute any charge brought and sustained under the provisions of this section or § 31-27-2.1.

       (ii) Any person over the age of eighteen (18) who is convicted under this section for

operating a motor vehicle while under the influence of alcohol, other drugs, or a combination of

these, while a child under the age of thirteen (13) years was present as a passenger in the motor

vehicle when the offense was committed may be sentenced to a term of imprisonment of not more

than one year and further shall not be entitled to the benefit of suspension or deferment of this

sentence. The sentence imposed under this section may be served in any unit of the adult

correctional institutions in the discretion of the sentencing judge.

        (5) Any person convicted of a violation under this section shall pay a highway

assessment fine of five hundred dollars ($500) which shall be deposited into the general fund. The

assessment provided for by this subsection shall be collected from a violator before any other

fines authorized by this section.

       (ii) Any person convicted of a violation under this section shall be assessed a fee. The

fee shall be as follows:

         FISCAL YEAR               FISCAL YEAR                        FISCAL YEAR

         1993-1995                        1996-1999                                 2000-2010  

         $147                                $173                                         $86     

     (6) If the person convicted of violating this section is under the age of eighteen (18)

years, for the first violation he or she shall be required to perform ten (10) to sixty (60) hours of

public community restitution, and the juvenile's driving license shall be suspended for a period of

six (6) months, and may be suspended for a period up to eighteen (18) months. The sentencing

judge shall also require attendance at a special course on driving while intoxicated or under the

influence of a controlled substance and alcohol or drug education and/or treatment for the

juvenile. The juvenile may also be required to pay a highway assessment fine of no more than

five hundred dollars ($500), and the assessment imposed shall be deposited into the general fund.

       (ii) If the person convicted of violating this section is under the age of eighteen (18)

years, for a second or subsequent violation regardless of whether any prior violation and

subsequent conviction was a violation and subsequent under this statute or under the driving

under the influence of liquor or drugs statute of any other state, he or she shall be subject to a

mandatory suspension of his or her driving license until such time as he or she is twenty-one (21)

years of age and may, in the discretion of the sentencing judge, also be sentenced to the Rhode

Island training school for a period of not more than one year and/or a fine of not more than five

hundred dollars ($500).

      (7) Any person convicted of a violation under this section may undergo a clinical

assessment at a facility approved by the department of health mental health retardation and

hospitals. Should this clinical assessment determine problems of alcohol, drug abuse, or

psychological problems associated with alcoholic or drug abuse, this person shall be referred to

the T.A.S.C. (treatment alternatives to street crime) program for treatment placement, case

management, and monitoring.

       (e) Percent by weight of alcohol in the blood shall be based upon milligrams of alcohol

per one hundred (100) cubic centimeters of blood.

       (f) There is established an alcohol and drug safety unit within the division of motor

vehicles to administer an alcohol safety action program. The program shall provide for placement

and follow-up for persons who are required to pay the highway safety assessment. The alcohol

and drug safety action program will be administered in conjunction with alcohol and drug

programs within the department of health mental health retardation and hospitals.

       (2) Persons convicted under the provisions of this chapter shall be required to attend a

special course on driving while intoxicated or under the influence of a controlled substance,

and/or participate in an alcohol or drug treatment program. The course shall take into

consideration any language barrier which may exist as to any person ordered to attend, and shall

provide for instruction reasonably calculated to communicate the purposes of the course in

accordance with the requirements of the subsection. Any costs reasonably incurred in connection

with the provision of this accommodation shall be borne by the person being retrained. A copy of

any violation under this section shall be forwarded by the court to the alcohol and drug safety

unit. In the event that persons convicted under the provisions of this chapter fail to attend and

complete the above course or treatment program, as ordered by the judge, then the person may be

brought before the court, and after a hearing as to why the order of the court was not followed,

may be sentenced to jail for a period not exceeding one year.

     (3) The alcohol and drug safety action program within the division of motor vehicles

shall be funded by general revenue appropriations.

     (g) The directors of the health department of the state of Rhode Island is empowered to

make and file with the secretary of state regulations which prescribe the techniques and methods

of chemical analysis of the person's body fluids or breath, and the qualifications and certification

of individuals authorized to administer this testing and analysis.

     (h) Jurisdiction for misdemeanor violations of this section shall be with the district court

for persons eighteen (18) years of age or older and to the family court for persons under the age

of eighteen (18) years. The courts shall have full authority to impose any sentence authorized and

to order the suspension of any license for violations of this section. All trials in the district court

and family court of violations of the section shall be scheduled within thirty (30) days of the

arraignment date. No continuance or postponement shall be granted except for good cause shown.

Any continuances that are necessary shall be granted for the shortest practicable time. Trials in

superior court are not required to be scheduled within thirty (30) days of the arraignment date.

     (i) No fines, suspensions, assessments, alcohol or drug treatment programs, course on

driving while intoxicated or under the influence of a controlled substance, public community

restitution, or jail provided for under this section can be suspended.

       (j) An order to attend a special course on driving while intoxicated that shall be

administered in cooperation with a college or university accredited by the state, shall include a

provision to pay a reasonable tuition for the course in an amount not less than twenty-five dollars

($25.00), and a fee of one hundred seventy-five dollars ($175), which fee shall be deposited into

the general fund.

     (k) For the purposes of this section, any test of a sample of blood, breath, or urine for the

presence of alcohol, which relies in whole or in part upon the principle of infrared light

absorption is considered a chemical test.

      (l) If any provision of this section or the application of any provision shall for any reason

be judged invalid, such a judgment shall not affect, impair, or invalidate the remainder of the

section, but shall be confined in this effect to the provision or application directly involved in the

controversy giving rise to the judgment.

 

     SECTION 4. Section 12-1.2-4 of the General Laws in Chapter 12-1.2 entitled "State

Crime Laboratory" is hereby amended to read as follows:

 

     12-1.2-4. Funding. -- The state crime laboratory shall be funded through the budget of

the office of the attorney general department of health.

 

     SECTION 5. Section 46-12.2-4 of the General Laws in Chapter 46-12.2 entitled "Rhode

Island Clean Water Finance Agency" is hereby amended to read as follows:

 

     46-12.2-4. General powers and duties of agency. -- (a) The agency shall have all

powers necessary or convenient to carry out and effectuate the purposes and provisions of this

chapter, including without limiting the generality of the foregoing, the powers and duties:

      (1) To adopt and amend bylaws, rules, regulations, and procedures for the governance of

its affairs, the administration of its financial assistance programs, and the conduct of its business;

      (2) To adopt an official seal;

      (3) To maintain an office at such place or places as it may determine;

      (4) To adopt a fiscal year;

      (5) To adopt and enforce procedures and regulations in connection with the performance

of its functions and duties;

      (6) To sue and be sued;

      (7) To employ personnel as provided in section 46-12.2-5, and to engage accounting,

management, legal, financial, consulting and other professional services;

      (8) Except as provided in this chapter, to receive and apply its revenues to the purposes

of this chapter without appropriation or allotment by the state or any political subdivision thereof;

      (9) To borrow money, issue bonds, and apply the proceeds thereof, as provided in this

chapter, and to pledge or assign or create security interests in revenues, funds, and other property

of the agency and otherwise as provided in this chapter, to pay or secure the bonds; and to invest

any funds held in reserves or in the water pollution control revolving fund, the Rhode Island

water pollution control revolving fund, or the local interest subsidy trust fund, or any revenues or

funds not required for immediate disbursement, in such investments as may be legal investments

for funds of the state;

      (10) To obtain insurance and to enter into agreements of indemnification necessary or

convenient to the exercise of its powers under this chapter;

      (11) To apply for, receive, administer, and comply with the conditions and requirements

respecting any grant, gift, or appropriation of property, services, or moneys;

      (12) To enter into contracts, arrangements, and agreements with other persons, and

execute and deliver all instruments necessary or convenient to the exercise of its powers under

this chapter; such contracts and agreements may include without limitation, loan agreements with

local governmental units, capitalization grant agreements, intended use plans, operating plans,

and other agreements and instruments contemplated by title VI of the Clean Water Act, 33 U.S.C.

section 1381 et seq., or this chapter, grant agreements, contracts for financial assistance or other

forms of assistance from the state or the United States, and trust agreements and other financing

agreements and instruments pertaining to bonds;

      (13) To authorize a representative to appear on its own behalf before other public bodies,

including, without limiting the generality of the foregoing, the congress of the United States, in

all matters relating to its powers and purposes;

      (14) To provide financial assistance to local governmental units to finance costs of

approved projects, and to acquire and hold local governmental obligations at such prices and in

such manner as the agency shall deem advisable, and sell local governmental obligations acquired

or held by it at prices without relation to cost and in such manner as the agency shall deem

advisable, and to secure its own bonds with such obligations all as provided in this chapter;

      (15) To establish and collect such fees and charges as the agency shall determine to be

reasonable;

      (16) To acquire, own, lease as tenant, or hold real, personal or mixed property or any

interest therein for its own use; and to improve, rehabilitate, sell, assign, exchange, lease as

landlord, mortgage, or otherwise dispose of or encumber the same;

      (17) To do all things necessary, convenient, or desirable for carrying out the purposes of

this chapter or the powers expressly granted or necessarily implied by this chapter;

      (18) To conduct a training course for newly appointed and qualified members and new

designees of ex-officio members within six (6) months of their qualification or designation. The

course shall be developed by the executive director, approved by the board of directors, and

conducted by the executive director. The board of directors may approve the use of any board of

directors or staff members or other individuals to assist with training. The training course shall

include instruction in the following areas: the provisions of chapters 46-12.2, 42-46, 36-14, and

38-2; and the agency's rules and regulations. The director of the department of administration

shall, within ninety (90) days of the effective date of this act [July 15, 2005] prepare and

disseminate, training materials relating to the provisions of chapters 42-46, 36-14 and 38-2; and

     (19) Upon the dissolution of the water resources board (corporate) pursuant to section 46-

15.1-22, to have all the powers and duties previously vested with the water resources board

(corporate), as provided pursuant to chapter 46-15.1.

     (19)(20) To meet at the call of the chair at least eight (8) times per year. All meetings

shall be held consistent with chapters 42-46.

      (b) Notwithstanding any other provision of this chapter, the agency shall not be

authorized or empowered:

      (1) To be or to constitute a bank or trust company within the jurisdiction or under the

control of the department of banking and insurance of the state, or the commissioner thereof, the

comptroller of the currency of the United States of America, or the Treasury Department thereof;

or

      (2) To be or constitute a bank, banker or dealer in securities within the meaning of, or

subject to the provisions of, any securities, securities exchange, or securities dealers' law of the

United States or the state.

 

     SECTION 6. Chapter 46-15.1 of the General Laws entitled "Water Supply Facilities" is

hereby amended by adding thereto the following section:

 

     46-15.1-22. Discontinuation of borrowing authority and abolishment of water

resources board (corporate). -- (a) Notwithstanding any law to the contrary, including, but not

limited to, section 46-15.1-10, upon the effective date of this section, the water resources board

(corporate), established as a body politic and corporate and public instrumentality pursuant to this

chapter, shall be prohibited from borrowing money or issuing bonds for any purpose.

     (b) The water resources board (corporate) shall continue to repay existing debt until all

such debt is fully repaid. Upon the repayment by the water resources board (corporate) of all such

existing obligations, the water resources board (corporate) shall be dissolved and all existing

functions and duties of the water resources board (corporate) shall be transferred to the Rhode

Island clean water finance agency, a body politic and corporate and public instrumentality of the

state established pursuant to chapter 46-12.2.

 

     SECTION 7. Chapter 46-15.3 of the General Laws entitled "Public Drinking Water

Supply System Protection" is hereby amended by adding thereto the following section:

 

     46-15.3-25. Transfer of charges to Rhode Island clean water finance agency. --

Notwithstanding any law, rule or regulation to the contrary, upon the dissolution of the water

resources board (corporate) pursuant to section 46-15.1-22, any charges remitted to the water

resources board (corporate) pursuant to this chapter shall be remitted to the Rhode Island clean

water finance agency, a body politic and corporate and public instrumentality of the state

established pursuant to chapter 46-12-2.

 

     SECTION 8. Section 40-8.9-4 of the General Laws in Chapter 40-8.9 entitled "Medical

Assistance - Long-Term Care Service and Finance Reform" is hereby amended to read as

follows:

 

     40-8.9-4. Unified long-term care budget. -- Beginning on July 1, 2007, a unified long-

term care budget shall combine in a single line-item appropriation within the department of

human services budget, annual department of human services Medicaid appropriations for

nursing facility and community-based long-term care services for elderly sixty-five (65) years and

older and younger persons at risk of nursing home admissions (including adult day care, home

health, and personal care in assisted living settings). Beginning on July 1, 2007, the total system

savings attributable to the value of the reduction in nursing home days including hospice nursing

home days paid for by Medicaid shall be allocated in the budget enacted by the general assembly

for the ensuing fiscal year for the express purpose of promoting and strengthening community-

based alternatives.; provided, further, beginning July 1, 2009, said savings shall be allocated

within the budgets of the department of human services and the department of elderly affairs.

Beginning on January 1, 2008, the allocation shall include, but not be limited to, the

establishment of presumptive eligibility criteria for the purposes of accessing home and

community care. The home and community care service presumptive eligibility criteria shall be

developed through rule or regulation on or before September 30, 2007.

      The caseload estimating conference pursuant to section 35-17-1 shall determine the

amount of general revenues to be added to the current service estimate of community based long-

term care services for elderly sixty-five (65) and older and younger persons at risk of nursing

home admissions for the ensuing budget year by multiplying the combined cost per day of

nursing home and hospice nursing home days estimated at the caseload conference for that year

by the reduction in nursing home and hospice nursing home days from those in the second fiscal

year prior to the current fiscal year to those in the first fiscal year prior to the current fiscal year.

 

     SECTION 9. Section 31-36-20 of the General Laws in Chapter 31-36 entitled "Motor

Fuel Tax" is hereby amended to read as follows:

 

     31-36-20.  Disposition of proceeds. -- (a) Notwithstanding any other provision of law to

the contrary, all moneys paid into the general treasury under the provisions of this chapter or

chapter 37 of this title, and title 46 shall be applied to and held in a separate fund and be

deposited in any depositories that may be selected by the general treasurer to the credit of the

fund, which fund shall be known as the Intermodal Surface Transportation Fund; provided, that in

fiscal year 2004 for the months of July through April six and eighty-five hundredth cents

($0.0685) per gallon of the tax imposed and accruing for the liability under the provisions of §

31-36-7, less refunds and credits, shall be transferred to the Rhode Island public transit authority

as provided under § 39-18-21. For the months of May and June in fiscal year 2004, the allocation

shall be five and five hundredth cents ($0.0505). Thereafter, until fiscal year 2006, the allocation

shall be six and twenty-five hundredth cents ($0.0625). For fiscal year 2006 through FY 2008, the

allocation shall be seven and twenty-five hundredth cents ($0.0725); provided, that expenditures

shall include the costs of a market survey of non-transit users and a management study of the

agency to include the feasibility of moving the Authority into the Department of Transportation,

both to be conducted under the auspices of the state budget officer. The state budget officer shall

hire necessary consultants to perform the studies, and shall direct payment by the Authority. Both

studies shall be transmitted by the Budget Officer to the 2006 session of the General Assembly,

with comments from the Authority. For fiscal year 2009 and thereafter, the allocation shall be

seven and seventy-five hundredth cents ($0.775), of which one-half cent ($0.005) shall be derived

from the one cent ($0.01) per gallon environmental protection fee pursuant to § 46-12.9-11. One

cent ($0.01) per gallon shall be transferred to the Elderly/Disabled Transportation Program of the

department of elderly affairs human services, and the remaining cents per gallon shall be

available for general revenue as determined by the following schedule:

        (i) For the fiscal year 2000, three and one fourth cents ($0.0325) shall be available for

general revenue.

        (ii) For the fiscal year 2001, one and three-fourth cents ($0.0175) shall be available for

general revenue.

        (iii) For the fiscal year 2002, one-fourth cent ($0.0025) shall be available for general

revenue.

        (iv) For the fiscal year 2003, two and one-fourth cent ($0.0225) shall be available for

general revenue.

        (v) For the months of July through April in fiscal year 2004, one and four-tenths cents

($0.014) shall be available for general revenue. For the months of May through June in fiscal year

2004, three and two-tenths cents ($0.032) shall be available for general revenue, and thereafter,

until fiscal year 2006, two cents ($0.02) shall be available for general revenue. For fiscal year

2006 and thereafter one cent ($0.01) shall be available for general revenue.

        (2) All deposits and transfers of funds made by the tax administrator under this section,

including those to the Rhode Island public transit authority, the department of elderly affairs

human services and the general fund, shall be made within twenty-four (24) hours of receipt or

previous deposit of the funds in question.

        (3) Commencing in fiscal year 2004, the Director of the Rhode Island Department of

Transportation is authorized to remit, on a monthly or less frequent basis as shall be determined

by the Director of the Rhode Island Department of Transportation, or his or her designee, or at the

election of the Director of the Rhode Island Department of Transportation, with the approval of

the Director of the Department of Administration, to an indenture trustee, administrator, or other

third party fiduciary, in an amount not to exceed two cents ($0.02) per gallon of the gas tax

imposed, in order to satisfy debt service payments on aggregate bonds issued pursuant to a Joint

Resolution and Enactment Approving the Financing of Various Department of Transportation

Projects adopted during the 2003 session of the General Assembly, and approved by the

Governor.

        (b) Notwithstanding any other provision of law to the contrary, all other funds in the

fund shall be dedicated to the department of transportation, subject to annual appropriation by the

general assembly. The director of transportation shall submit to the general assembly, budget

office and office of the governor annually an accounting of all amounts deposited in and credited

to the fund together with a budget for proposed expenditures for the succeeding fiscal year in

compliance with §§ 35-3-1 and 35-3-4. On order of the director of transportation, the state

controller is authorized and directed to draw his or her orders upon the general treasurer for the

payments of any sum or portion of the sum that may be required from time to time upon receipt

of properly authenticated vouchers.

        (c) At any time the amount of the fund is insufficient to fund the expenditures of the

department of transportation, not to exceed the amount authorized by the general assembly, the

general treasurer is authorized, with the approval of the governor and the director of

administration, in anticipation of the receipts of monies enumerated in § 31-36-20 to advance

sums to the fund, for the purposes specified in § 31-36-20, any funds of the state not specifically

held for any particular purpose. However, all the advances made to the fund shall be returned to

the general fund immediately upon the receipt by the fund of proceeds resulting from the receipt

of monies to the extent of the advances.

 

     SECTION 10. Chapter 42-12 of the General Laws entitled "Department of Human

Services" is hereby amended by adding thereto the following section:

 

     42-12-1.3. Transfer of functions from the department of elderly affairs. -- There is

hereby transferred from the department of elderly affairs to the department of human services the

following function: to provide and coordinate the "elderly/disabled transportation" program

including a passenger cost sharing program as defined and provided for under rules and

regulations promulgated by the department.

 

     SECTION 11. Section 42-66-4 of the General Laws in Chapter 42-66 entitled "Elderly

Affairs Department" is hereby amended to read as follows:

 

     42-66-4. Duties of the department. -- (a) The department shall be the principal agency

of the state to mobilize the human, physical, and financial resources available to plan, develop,

and implement innovative programs to insure the dignity and independence of elderly persons,

including the planning, development, and implementation of a home and long-term care program

for the elderly in the communities of the state.

      (b) (1) The department shall serve as an advocate for the needs of the adult with a

disability as these needs and services overlap the needs and services of elderly persons.

      (2) The department shall serve as the state's central agency for the administration and

coordination of a long term care entry system, using community-based access points, that will

provide the following services related to long term care: information and referral, initial screening

for service and benefits eligibility, and a uniform assessment program for state supported long

term care.

      (3) The department shall investigate reports of elder abuse, neglect, exploitation, or self-

neglect and shall provide and/or coordinate protective services.

      (c) To accomplish these objectives, the director is authorized:

      (1) To provide assistance to communities in solving local problems with regard to

elderly persons including, but not limited to, problems in identifying and coordinating local

resources to serve the needs of elderly persons;

      (2) To facilitate communications and the free flow of information between communities

and the offices, agencies and employees of the state;

      (3) To encourage and assist communities, agencies, and state departments to plan,

develop, and implement home and long-term care programs;

      (4) To provide and act as a clearinghouse for information, data, and other materials

relative to elderly persons;

      (5) To initiate and carry out studies and analyses which will aid in solving local,

regional, and statewide problems concerning elderly persons;

      (6) To coordinate those programs of other state agencies designed to assist in the

solution of local, regional, and statewide problems concerning elderly persons;

      (7) To advise and inform the governor on the affairs and problems of elderly persons in

the state;

      (8) To exercise the powers and discharge the duties assigned to the director in the fields

of health care, nutrition, homemaker services, geriatric day care, economic opportunity, local and

regional planning, transportation, and education and pre-retirement programs;

      (9) To further the cooperation of local, state, federal and private agencies and institutions

providing for services or having responsibility for elderly persons;

      (10) To represent and act on behalf of the state in connection with federal grant programs

applicable to programs for elderly persons in the functional areas described in this chapter;

      (11) To seek, accept, and otherwise take advantage of all federal aid available to the

department, and to assist other agencies of the state, local agencies, and community groups in

taking advantage of all federal grants and subventions available for elderly persons and to accept

other sources of funds with the approval of the director of administration which shall be deposited

as general revenues;

      (12) To render advice and assistance to communities and other groups in the preparation

and submission of grant applications to state and federal agencies relative to programs for elderly

persons;

      (13) To review and coordinate those activities of agencies of the state and of any

political subdivision of the state at the request of the subdivision, which affect the full and fair

utilization of community resources for programs for elderly persons, and initiate programs that

will help assure such utilization;

      (14) To encourage the formation of councils on aging and to assist local communities in

the development of the councils;

      (15) To promote, and coordinate day care facilities for the frail elderly who are in need

of supportive care and supervision during the daytime;

      (16) To provide and coordinate the delivery of in-home services to the elderly, as defined

under the rules and regulations adopted by the department of elderly affairs;

      (17) To advise and inform the public of the risks of accidental hypothermia;

      (18) To establish a clearinghouse for information and education of the elderly citizens of

the state;

      (19) To establish and operate in collaboration with community and aging service

agencies a statewide family-caregiver resource network to provide and coordinate family-

caregiver training and support services to include counseling and respite services;

      (20) To provide and coordinate the "elderly/disabled transportation" program including a

passenger cost sharing program as defined and provided for under rules and regulations

promulgated by the department; and

      (21)(20) To supervise the citizens' commission for the safety and care of the elderly

created pursuant to the provisions of chapter 1.4 of title 12.

      (d) In order to assist in the discharge of the duties of the department, the director may

request from any agency of the state information pertinent to the affairs and problems of elderly

persons.

 

     SECTION 12. Section 42-14.5-3 of the General Laws in Chapter 42-14.5 entitled "The

Rhode Island Health Care Reform Act of 2004 - Health Insurance Oversight" is hereby amended

to read as follows:

 

     42-14.5-3. Powers and duties. [Contingent effective date; see notes under section 42-

14.5-1.] -- The health insurance commissioner shall have the following powers and duties:

      (a) To conduct an annual quarterly public meeting or meetings throughout the state,

separate and distinct from rate hearings pursuant to section 42-62-13, regarding the rates, services

and operations of insurers licensed to provide health insurance in the state the effects of such

rates, services and operations on consumers, medical care providers, and patients, and the market

environment in which such insurers operate and efforts to bring new health insurers into the

Rhode Island market. Notice of not less than ten (10) days of said hearing(s) shall go to the

general assembly, the governor, the Rhode Island Medical Society, the Hospital Association of

Rhode Island, the director of health, and the attorney general and the chambers of commerce.

Public notice shall be posted on the department's web site and given in the newspaper of general

circulation, and to any entity in writing requesting notice.

      (b) To make recommendations to the governor and the joint legislative committee on

health care oversight house of representatives and senate finance committees regarding health

care insurance and the regulations, rates, services, administrative expenses, reserve requirements,

and operations of insurers providing health insurance in the state, and to prepare or comment on,

upon the request of the co-chairs of the joint committee on health care oversight or upon the

request of the governor, or chairpersons of the house or senate finance committees, draft

legislation to improve the regulation of health insurance. In making such recommendations, the

commissioner shall recognize that it is the intent of the legislature that the maximum disclosure

be provided regarding the reasonableness of individual administrative expenditures as well as

total administrative costs. The commissioner shall also make recommendations on the levels of

reserves including consideration of: targeted reserve levels; trends in the increase or decrease of

reserve levels; and insurer plans for distributing excess reserves.

      (c) To establish a consumer/business/labor/medical advisory council to obtain

information and present concerns of consumers, business and medical providers affected by

health insurance decisions. The council shall develop proposals to allow the market for small

business health insurance to be affordable and fairer. The council shall be involved in the

planning and conduct of the quarterly public meeting meetings in accordance with subsection (a)

above. The advisory council shall assist in the design develop measures to inform small

businesses of an insurance complaint process to ensure that small businesses that experience

extraordinary rate increases in a given year could may request and receive a formal review by the

department. The advisory council shall assess views of the health provider community relative to

insurance rates of reimbursement, billing and reimbursement procedures, and the insurers' role in

promoting efficient and high quality health care. The advisory council shall issue an annual report

of findings and recommendations to the governor and the joint legislative committee on health

care oversight general assembly and present their findings at hearings before the house and senate

finance committees. The advisory council is to be diverse in interests and shall include

representatives of community consumer organizations; small businesses, other than those

involved in the sale of insurance products; and hospital, medical, and other health provider

organizations. Such representatives shall be nominated by their respective organizations. The

advisory council shall be co-chaired by the health insurance commissioner and a community

consumer organization or small business member to be elected by the full advisory council.

      (d) To establish and provide guidance and assistance to a subcommittee ("The

Professional Provider-Health Plan Work Group") of the advisory council created pursuant to

subsection (c) above, composed of health care providers and Rhode Island licensed health plans.

This subcommittee shall develop a plan to implement the following activities include in its annual

report and presentation before the house and senate finance committees the following

information:

      (i) By January 1, 2006, a A method whereby health plans shall disclose to contracted

providers the fee schedules used to provide payment to those providers for services rendered to

covered patients;

      (ii) By April 1, 2006, a A standardized provider application and credentials verification

process, for the purpose of verifying professional qualifications of participating health care

providers;

      (iii) By September 1, 2006, a The uniform health plan claim form to be utilized by

participating providers;

      (iv) By March 15, 2007, a report to the legislature on proposed methods Methods for

health maintenance organizations as defined by section 27-41-1, and nonprofit hospital or

medical service corporations as defined by chapters 27-19 and 27-20, to make facility-specific

data and other medical service-specific data available in reasonably consistent formats to patients

regarding quality and costs. This information would help consumers make informed choices

regarding the facilities and/or clinicians or physician practices at which to seek care. Among the

items considered would be the unique health services and other public goods provided by

facilities and/or clinicians or physician practices in establishing the most appropriate cost

comparisons.

      (v) By December 1, 2006, All activities related to contractual disclosure to participating

providers of the mechanisms for resolving health plan/provider disputes; and

      (vi) By February 1, 2007, a The uniform process being utilized for confirming in real

time patient insurance enrollment status, benefits coverage, including co-pays and deductibles.

      (vii) By December 1, 2007, a report to the legislature on the temporary Information

related to temporary credentialing of providers seeking to participate in the plan's network and the

impact of said activity on health plan accreditation;

      (viii) By February 1, 2008, a report to the legislature on the The feasibility of occasional

regular contract renegotiations between plans and the providers in their networks.

      (ix) By May 1, 2008, a report to the legislature Efforts conducted related to reviewing

impact of silent PPOs on physician practices.

      A report on the work of the subcommittee shall be submitted by the health insurance

commissioner to the joint legislative committee on health care oversight on March 1, 2006,

March 1, 2007, and March 1, 2008.

      (e) To enforce the provisions of Title 27 and Title 42 as set forth in section 42-14-5(d).

      (f) There is hereby established To provide analysis of the Rhode Island Affordable

Health Plan Reinsurance Fund. The fund shall be used to effectuate the provisions of sections 27-

18.5-8 and 27-50-17.

      (g) To examine and study analyze the impact of changing the rating guidelines and/or

merging the individual health insurance market as defined in chapter 27-18.5 and the small

employer health insurance market as defined in chapter 27-50 in accordance with the following:

      (i) The study analysis shall forecast the likely rate increases required to effect the

changes recommended pursuant to the preceding subsection (g) in the direct pay market and small

employer health insurance market over the next five (5) years, based on the current rating

structure, and current products.

      (ii) The study analysis shall include examining the impact of merging the individual and

small employer markets on premiums charged to individuals and small employer groups.

      (iii) The study analysis shall include examining the impact on rates in each of the

individual and small employer health insurance markets and the number of insureds in the context

of possible changes to the rating guidelines used for small employer groups, including:

community rating principles; expanding small employer rate bonds beyond the current range;

increasing the employer group size in the small group market; and/or adding rating factors for

broker and/or tobacco use.

      (iv) The study analysis shall include examining the adequacy of current statutory and

regulatory oversight of the rating process and factors employed by the participants in the

proposed new merged market.

      (v) The study analysis shall include assessment of possible reinsurance mechanisms

and/or federal high-risk pool structures and funding to support the health insurance market in

Rhode Island by reducing the risk of adverse selection and the incremental insurance premiums

charged for this risk, and/or by making health insurance affordable for a selected at-risk

population.

      (vi) The health insurance commissioner shall establish work with an insurance market

merger task force to assist with the study analysis. The task force shall be chaired by the health

insurance commissioner and shall include, but not be limited to, representatives of the general

assembly, the business community, small employer carriers as defined in section 27-50-3, carriers

offering coverage in the individual market in Rhode Island, health insurance brokers and

members of the general public.

      (vii) For the purposes of conducting this study analysis, the commissioner may contract

with an outside organization with expertise in fiscal analysis of the private insurance market. In

conducting its study, the organization shall, to the extent possible, obtain and use actual health

plan data. Said data shall be subject to state and federal laws and regulations governing

confidentiality of health care and proprietary information.

      (viii) The task force shall meet no later than October 1, 2007 and the commissioner shall

file a report with the speaker of the house of representatives and the president of the senate no

later than January 1, 2008 as necessary and include their findings in the annual report and the

commissioner shall include the information in the annual presentation before the house and senate

finance committees.

 

     SECTION 13. This article shall take effect upon passage.