MISSISSIPPI LEGISLATURE

2014 Regular Session

To: Public Health and Welfare; Appropriations

By: Senator(s) Kirby

Senate Bill 2117

AN ACT TO ESTABLISH A MISSISSIPPI QUALIFIED HEALTH CENTER INCUBATOR GRANT PROGRAM IN THE STATE DEPARTMENT OF HEALTH FOR THE PURPOSE OF MAKING COMPETITIVE GRANTS TO SUCH CENTERS TO INCREASE ACCESS TO CARE TO UNINSURED OR MEDICALLY INDIGENT PATIENTS IN MISSISSIPPI; TO PRESCRIBE REQUIREMENTS FOR PARTICIPATION IN THE PROGRAM AND RESTRICTIONS ON THE USE OF SUCH GRANTS; TO CREATE THE MISSISSIPPI QUALIFIED HEALTH CENTER INCUBATOR GRANT PROGRAM FUND IN THE STATE TREASURY; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Definitions.  For purposes of this act:

          (a)  "Mississippi qualified health center" means a public or nonprofit entity that provides comprehensive primary care services that:

               (i)  Has a community board of directors, the majority of whom are users of such centers;

               (ii)  Accepts all patients that present themselves despite their ability to pay and uses a sliding-fee-schedule for payments; and

               (iii)  Serves a designated medically underserved area or population or health professional shortage area, as provided in Section 330 of the Public Health Service Act.

          (b)  "Uninsured or medically indigent patient" means a patient receiving services from a Mississippi qualified health center who is not eligible for Medicaid or Medicare for health care costs or receiving third-party payments via an employer.

          (c)  "Department" means the State Department of Health.

          (d)  "Primary care" means the basic entry level of health care provided by health care practitioners or nonphysician health care practitioners, which is generally provided in an outpatient setting.

          (e)  "Medically underserved area/population" are areas or populations designated by the United States Department of Health and Human Services as an area with a shortage of primary care providers, high infant mortality, high poverty and/or high elderly population.

          (f)  "Health Professional Shortage Areas (HPSAs)" are designated by the United States Department of Health and Human Services as having shortages of primary medical care, dental or mental health providers and may be geographic, demographic or institutional.

          (g)  "Competitive grant" means a grant awarded after scoring against other grant applications by the department in accordance with this act.

          (h)  "Program" means the Mississippi Qualified Health Center Incubator Grant Program established in this act.

     SECTION 2.  Establishment of the Mississippi Qualified Health Center Incubator Grant Program; purpose; administration by Department of Health.  The Mississippi Qualified Health Center Incubator Grant Program is established, under the direction and administration of the State Department of Health, for the purpose of making grants to establish new or expand existing facilities that qualify as federally qualified health centers, as defined by 42 USC Section 1396d(1)(2)(b), in this state.  The Mississippi Qualified Health Center Incubator Grant Program shall be established with such state funds as may be appropriated by the Legislature and will be prorated based on the level of appropriated funds.

     SECTION 3.  Requirements for participation in program; restrictions on use of grants; advisory council.  (1)  The department shall receive grant proposals and all proposals shall be submitted in accordance with the provisions of grant procedures, criteria and standards developed and made public by the department.  Organizations that submit a grant application:

          (a)  Must have an IRS designation of 501c3 or be a public entity in the place at the time of the application.

          (b)  Are expected to demonstrate that have received or they are working towards FQHC status.  If they do not have the FQHC status, when the next funding opportunity is available through the Health Resources and Services Administration (HRSA), they must apply.

          (c)  Must provide documentation to the department that they will be able to comply with Public Health Services Act Section 330 and with all of the rules and regulation as required.

     (2)  Grants that are awarded shall only be used for:

          (a)  Planning, training and technical assistance grants for education of board members and staff regarding development and operations of an FQHC.

          (b)  Development grants for various activities related to assisting organizations in meeting FQHC requirements, including health needs assessments and feasibility studies.

          (c)  Improvement grants for renovation and remodeling and equipment acquisition but may not be used for new construction.

          (d)  Transitional operating support grants may be awarded for the hiring of key administrative staff, such as CEO, CFO, and CMO, and the hiring of clinical providers who will increase services and expand access to new patients.

     (3)  If the applicant receives federal grants, these funds shall not be used to supplant federal funds traditionally received by those entities, but shall be used to supplement them.

     (4)  The department shall:

          (a)  Develop regulations, procedures and application forms to govern how the competitive grants will be awarded.

          (b)  Structure an objective review committee to ensure that grants are competitively awarded and distributed based on need and feasibility.  The objective review committee shall include individuals who have knowledge and experience of FQHC operations and management, grant writing and administration and of major policy and access issues involving primary care services.  No member of the review committee shall participate if he or she could have any monetary effect on any business with which that member is associated, as defined in Section 25-4-103.

          (c)  Develop an audit process to assure that grant monies are used to provide and expand access to primary care services.

          (d)  Use criteria based on HRSA new access points criteria and health professional shortage area designations for guidance in developing and promulgating rules and regulations.

          (e)  Review and consider in developing program parameters and criteria the growth priorities as contained and identified in the FQHC statewide strategic growth plan.

     (5)  The department may establish an advisory council to make recommendations regarding the development and promulgation of regulations, procedures, application forms, object review committee structuring and timeline for the program.

     (6)  The department shall establish a fund for the purpose of providing incubator grants in accordance with this act.  The total amount of grants issued under this act shall be Three Million Two Hundred Thousand Dollars ($3,200,000.00) per state fiscal year, and no individual grant shall exceed twenty-five percent (25%) of the annual award unless there are not enough qualified applicants.  All approved grants shall be awarded within thirty (30) days of approval by the department.  Each Mississippi entity receiving an incubator grant shall provide a yearly report to the department that details the use of the funds, as required by the department.

     (7)  The department may use a portion of any grant monies received under this act to administer the program and to pay reasonable expenses incurred by the objective review committee and any established advisory council; however, in no case shall more than one and one-half percent (1-1/2%) or Forty-eight Thousand Dollars ($48,000.00) annually, whichever is greater, be used for program expenses.

     (8)  No assistance shall be provided under this act unless the entity certifies to the department that it will not discriminate against any employee or against any applicant for employment because of race, religion, color, national origin, sex or age.

     SECTION 4.  Creation of fund for disbursements of grants.  There is created a special fund in the State Treasury to be known as the Mississippi Qualified Health Center Incubator Grant Program Fund, from which grants and expenditures authorized in connection with the program shall be disbursed.  All monies received by legislative appropriation to carry out the purposes of this act shall be deposited into the Mississippi Qualified Health Center Incubator Grant Program Fund.

     SECTION 5.  This act shall take effect and be in force from and after July 1, 2014, and shall stand repealed on June 30, 2020.