Senate Bill No. 688

(By Senators Schoonover and Love)

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[Introduced February 23, 1998; referred to the Committee on Health and Human Resources.]
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A BILL to amend and reenact section two, article one, chapter nine of the code of West Virginia, one thousand nine hundred thirty-one, as amended; and to amend article five of said chapter by adding thereto a new section, designated section five-a, all relating to the division of human services; defining the state medicaid agency; and providing authority to revoke eligibility for medicaid benefits for abuse or misuse of benefits.

Be it enacted by the Legislature of West Virginia:
That section two, article one, chapter nine of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted; and that article five of said chapter be amended by adding thereto a new section, designated section five-a, all to read as follows:
ARTICLE 1. LEGISLATIVE PURPOSE AND DEFINITIONS.

§9-1-2. Definitions.
The following words and terms when used in this chapter shall have the meaning hereafter ascribed to them meanings indicated unless the context clearly indicates a different meaning, and any amendment of this section shall apply applies to any verdict, settlement, compromise or judgment entered after the effective date of the amendments to this section enacted during the regular session of the Legislature, one thousand nine hundred ninety-five.
(a) The term "department" means the state division of human services.
(b) The term "commissioner" means the commissioner of human services.
(c) The term "federal-state assistance" means and includes (1) all forms of aid, care, assistance and services to or on behalf of persons, which are authorized by, and who are authorized to receive the same under and by virtue of, subchapters one, four, five, ten, fourteen, sixteen, eighteen and nineteen, chapter seven, Title 42, United States Code, as those subchapters have heretofore been and may hereafter be amended, supplemented and revised by acts of Congress, and as those subchapters so amended, supplemented and revised have heretofore been and may hereafter be supplemented by valid rules and regulations promulgated by authorized federal agents and agencies, and as those subchapters so amended, supplemented and revised have heretofore been and may hereafter be supplemented by rules and regulations promulgated by the state division of human services, which division rules and regulations shall be consistent with federal laws, rules and regulations, but not inconsistent with state law, and (2) all forms of aid, care, assistance and services to persons, which are authorized by, and who are authorized to receive the same under and by virtue of, any act of Congress, other than the federal Social Security Act, as amended, for distribution through the state division of human services to recipients of any form of aid, care, assistance and services to persons designated or referred to in (1) of this definition and to recipients of state assistance, including by way of illustration, surplus food and food stamps, which Congress has authorized the secretary of agriculture of the United States to distribute to needy persons.
(d) The term "federal assistance" means and includes all forms of aid, care, assistance and services to or on behalf of persons, which are authorized by, and who are authorized to receive the same under and by virtue of, any act of Congress for distribution through the state division of human services, the cost of which is paid entirely out of federal appropriations.
(e) The term "state assistance" means and includes all forms of aid, care, assistance, services and general relief made possible solely out of state, county and private appropriations to or on behalf of indigent persons, which are authorized by, and who are authorized to receive the same under and by virtue of, state division of human services' rules. and regulations
(f) The term "welfare assistance" means the three classes of assistance administered by the state division of human services, namely: Federal-state assistance, federal assistance and state assistance.
(g) The term "indigent person" means any person who is domiciled in this state and who is actually in need as defined by department rules and regulations and has not sufficient income or other resources to provide for such need as determined by the state division of human services.
(h) The term "domiciled in this state" means being physically present in West Virginia accompanied by an intention to remain in West Virginia for an indefinite period of time, and to make West Virginia his or her permanent home. The state division of human services may by rules and regulations supplement the foregoing definition of the term "domiciled in this state", but not in such a manner as would be inconsistent with federal laws, rules, and regulations applicable to and governing federal-state assistance.
(i) The term "medical services" means medical, surgical, dental and nursing services, and other remedial services recognized by law, in the home, office, hospital, clinic and any other suitable place, provided or prescribed by persons permitted or authorized by law to give such services; such the services to include drugs and medical supplies, appliances, laboratory, diagnostic and therapeutic services, nursing home and convalescent care and such other medical services and supplies as may be prescribed by such the persons.
(j) The term "general relief" means cash or its equivalent in services or commodities expended for care and assistance to an indigent person other than for care in a county infirmary, child shelter or similar institution.
(k) The term "secretary" means the secretary of the department of health and human resources.
(l) The term "estate" means all real and personal property and other assets included within the individual's estate as defined in the state's probate law.
(m) The term "services" means nursing facility services, home and community-based services, and related hospital and prescription drug services for which an individual received medicaid medical assistance.
(n) The term "state medicaid agency" means the division of the department of health and human resources that is the federally designated single state agency charged with administration and supervision of the state medicaid program.
ARTICLE 5. MISCELLANEOUS PROVISIONS.

9-5-5a. Revocation of eligibility for medicaid benefits for abuse or misuse of benefits.

(a) Upon determination by the state medicaid agency that a medicaid recipient has abused or misused the benefits of the program, the recipient is, after notice and hearing, ineligible for medicaid benefits.
(b) Medicaid recipients whose eligibility is revoked due to abuse or misuse of the program are not eligible for future medicaid services for a period of not less than one year and until full restitution has been made to the state medicaid agency.
(c) When a medicaid recipient, whose eligibility has been revoked due to abuse or misuse of the program, reapplies for coverage during the period of suspension due to a pregnancy, the review committee for the state medicaid agency may change the suspended status of the recipient to restricted status where it has been determined that it would be in the best interest of the child for the mother to receive coverage for pregnancy related services. When the change in status is granted, the case shall be reconsidered by the state medicaid agency within sixty days after the birth of the child or termination of pregnancy related services for further action.

NOTE: The purpose of this bill is to define the State Medicaid Agency and provide authority to revoke eligibility for Medicaid benefits for abuse or misuse of benefits.

Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.

Section 9-5-5a is new; therefore, strike-throughs and underscoring have been omitted.