410-141-3720 Service Area Change for Existing CCOs (1) For purposes of this rule, the following definitions apply: (a) “Applicant” means a coordinated care organization (CCO) as defined in ORS 414.572 with a CCO contract with the Authority that submits an application seeking a contract amendment for a new service area. The CCO is described for purposes of this rule as the applicant upon its submission of the CCO Letter of Intent to Apply; (b) “Document Review” means the review conducted by the Authority, occurring at the point after the receipt of the completed SAC packet and before the effective date of the contract amendment, to determine applicant’s ability to serve Medicaid beneficiaries in the requested service areas; (c) “Letter of intent to apply (LOIA)” means a letter from a CCO to the Authority stating the CCO’s intent to submit a SAC packet in response to a service area need. A LOIA may be binding or non-binding, as specified in the Authority’s announcement of the service area need; (d) “SAC packet” means the packet of application documents that the Authority provides to CCOs applying for a SAC; (e) “Service Area Change” or “SAC” means a change in a CCO’s service area as specified in the Authority’s contract with the CCO; (f) “Service Area Need” means when the Authority identifies a need, as defined in section (3) of this rule, for existing CCOs to apply to the Authority for a SAC to serve a service area. (2) A CCO that desires to withdraw from all or a portion of its service area shall make every effort to provide the Authority with a form Letter of Intent to Exit the service area at least 150 calendar days prior to the intended date of withdrawal. The template for this form can be found on the CCO Contract Forms page. The Authority shall work with the CCO and any other impacted CCO for a workable exit transition. (3) The Authority may determine a service area need exists, or is anticipated to exist, when a CCO would no longer be serving all or a portion of its service area. (4) The Authority shall follow the process set forth in this rule when announcing a need for a SAC: (a) Within 30 days of the Authority’s identification of a need for a SAC, the Authority shall notify all existing CCOs that the Authority will begin accepting LOIAs for the SAC. The announcement shall specify when the LOIA is due; (b) Not later than 15 calendar days from the date of the Authority’s notification in section (4)(a) of this rule, the Authority shall issue a second announcement of the Authority’s identification of a need for a SAC and when LOIAs are due; (c) CCOs that want to be considered for a SAC shall submit their LOIAs by the deadline indicated in the Authority’s notice of a need for a SAC. CCOs shall designate a sole point of contact in their LOIA for this process. The Authority will not accept a LOIA or any subsequent SAC application materials from a CCO that has not submitted a LOIA by the deadline indicated in the Authority’s notice; (d) The Authority shall send a letter of acknowledgement to the CCO within 10 calendar days of receipt of the LOIA. (5) Within 30 calendar days of the date specified by the Authority as the due date for submission of a LOIA, the CCO shall complete a SAC packet in its entirety and submit it to the contract administration unit at the address indicated in the SAC application packet. CCOs can locate a SAC packet on the CCO Contract Forms page. (6) CCOs applying for the service area change process outlined in this rule must meet the requirements set forth in ORS 414.572 and submit documentation as it applies to the new service areas indicated in the application. Documentation requirements, based on criteria set forth in OAR 410-141-3700 and 410-141-3705, shall be included in the acknowledgement letter sent by the Authority as described in section 4(d) of this rule, which shall include, but is not limited to, information related to the following: (a) Delivery system network and provider capacity reports highlighting any providers operating in the new service area or existing contracted providers expanding their services into the new service area. This report would include providers of physical health, dental services , behavioral health, and non-emergent medical transportation. New relationships with Non-Emergent Medical Transportation brokerages are to be included; (b) Updated financial reports; (c) Updated CCO governance organizational charts reflecting any changes due to new service area including CCO leadership and managerial staffing, changes to Community Advisory Committee members, Clinical Advisory Panels membership, and any other committee or governance structure change as a result of operating in the new service area; (d) Letters of community support from the community or communities in the new service area in which the CCO is applying to operate; (e) List of specific new zip codes the CCO intends to serve and the estimated enrollment for each zip code area; (f) Memorandums of understanding or letters of intent to enter into memorandums of understanding with local APD/AAA agencies, local mental health authority, local public health authority, and any other key stakeholders represented in the new service area; (g) Updated Community Health Improvement Plan (CHP) reflecting new service area goals, if applicable; (h) Updated Transformation Plan benchmarks or focus areas reflecting new service area goals, if applicable; (i) Information related to how services in the new service area will impact existing operations including updated policies and procedures as applicable; (j) Information related to identifying regional, cultural, socioeconomic, and racial disparities in health care that exist among the enrollees in the new service area and establishing community support for those areas of need; and (k) Information related to coordination of care and transfer of new members, specifically high-risk members or members with special health care needs. (7) The Authority shall review SAC packets from all CCOs that have timely submitted a LOIA and SAC packet as required by this rule and that are considered responsive and completed as set forth in this rule. (8) During its review of the SAC packets, the Authority may request additional information from a CCO. If additional information is requested, the CCO shall submit the additional information to the Authority within 30 days of the request. (9) Within 60 calendar days from the date the initial SAC packets were due, the Authority shall complete its document review. This includes the final submission date for the SAC packet and receipt by the Authority of all additional requested information. To be eligible for recertification in the new service area, the applicant must meet standards established by the Authority, this rule, and be in compliance with the contract between the CCO and the Authority. (10) The Authority shall determine which CCO(s) will be selected to serve the new service area under the procedures and criteria set forth in OAR 410-141-3700(4) and 3705. (11) The Authority shall prepare a contract amendment for document review and signature to each CCO that receives approval to expand into the new service area. The CCO shall have 60 calendar days to return an executed contract amendment for the service area change. (12) Applicants shall have the right to dispute any Authority actions or decisions pertaining to service area changes as set forth in OAR 410-141-3550. Statutory/Other Authority: ORS 413.042, 414.625 & 414.645 Statutes/Other Implemented: ORS 413.042 History: DMAP 89-2022, amend filed 12/16/2022, effective 01/01/2023 DMAP 56-2019, adopt filed 12/17/2019, effective 01/01/2020