SB431 Summary

• Amends Alabama Medicaid law to establish statewide integrated care networks (ICNs) to deliver managed long-term care services to certain elderly and disabled Medicaid beneficiaries through capitated risk contracts.

• Creates governance requirements for ICNs including a 20-member board (12 risk-bearing participants, 8 non-risk-bearing members) and a citizens' advisory committee with at least 20% Medicaid beneficiaries or their sponsors.

• Requires ICNs to maintain minimum solvency and financial reserves, either directly or through irrevocable letters of credit from banks with assets exceeding $4 billion, and mandates financial audits at least every three years.

• Establishes implementation timeline with competitive procurement by April 1, 2018, and service delivery beginning by October 1, 2018; current Medicaid long-term care programs continue until ICNs become operational.

• Provides state action immunity from antitrust laws to collaborators, ICNs, and regional care organizations, and exempts ICNs from state, county, and municipal license fees and taxes.