Dems: Government Oversight – week of March 21, 2016

March 29, 2016

SF 2304 – Standards, certification and inspection of children’s residential facilities (same as SF 2235)

SF 2305 – Medicaid program improvement and oversight (same as SF 2213)



SF 2304 provides basic certification and oversight of certain children’s centers. These are privately funded facilities designed to serve children who are not under the authority of Department of Human Services, juvenile court or another government agency, and that offer child care, family support services, medical or therapeutic programming, educational enrichment or housing. The bill provides a list of exempted facilities that already have a level of state oversight and inspection.


Minimum standards must address the basic health, safety and educational needs of children; protect children from mistreatment, abuse and neglect; and address the appropriate use of seclusion, restraint or other restrictive interventions. Background and records checks of those providing care are required.


The administrator may deny an application for a certificate of approval or revoke a certificate if the facility/applicant fails to comply with the health, safety or educational standards. The administrator must conduct at least one annual unannounced inspection to assess compliance with applicable requirements and standards. The inspections must be conducted by the Department of Inspections & Appeals in addition to initial, renewal and other inspections that result from complaints or self-reported incidents. The Department of Inspections & Appeals and the Department of Human Services may examine records and inquire into matters concerning the facility and its employees, volunteers and subcontractors relating to requirements and standards under this chapter.


Injunctive relief and civil action is permitted and may be instituted by the state, a county attorney or the parent or legal guardian of a child who is placed in the facility. Facilities must provide education and appropriate services by contracting with the school district where the facility is located or an accredited nonpublic school, or becoming accredited as a nonpublic school. The facility must describe these offerings in their publication and website. They must include fees charged for services and return policies in all promotional, advertising or marketing materials. [Floor 3/23: 50-0; Committee 3/17: 5-0]



SF 2305 is the Medicaid Privatization Oversight Bill to ensure that Medicaid managed care is implemented and administered in a way that safeguards Medicaid members, encourages the participation of providers and protects the interests of Iowa taxpayers. The bill:

  • Provides for vigorous government oversight of the privatized Medicaid system, including significant stakeholder involvement.
  • Ensures investments in system improvements, not just private company profits.
  • Requires the Department of Human Services and the managed care companies to comply with provisions to protect consumers, preserve provider networks, address the unique needs of children and assure accountability.


Key elements of the bill

  • Comprehensive review of program integrity activities.
  • Creation of a Medicaid Reinvestment Fund.
  • Additional duties and authority for the Managed Care Ombudsman Program.
  • Expansion and enhancement of the Medical Assistance Advisory Council.
  • A patient-centered Health Advisory Council to recommend appropriate alignment with holistic, population- based health approaches.
  • Department of Human Services undertaking specific tasks to improve policies related to consumer protections, children, provider participation enhancement, rates and payments and data collection.

[3/17: 3-2 (party-line)]

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