Sec. 7.
(1) The autism coverage fund is created within the state treasury.
(2) The state treasurer may receive money or other assets from any source for deposit into the fund. The state treasurer shall direct the investment of the fund. The state treasurer shall credit to the fund interest and earnings from fund investments.
(3) The department shall be the administrator of the fund for auditing purposes. The department shall expend money from the fund, upon appropriation, only for the purpose of creating, operating, and funding the program.
(4) The department shall reimburse carriers and third party administrators from the fund in the order in which the applications are approved under the program. If there is insufficient money in the fund to reimburse a carrier or third party administrator for paid claims approved under section 5, then reimbursement shall not be made. However, applications that are approved but not reimbursed may be paid if revenues of the fund become available.
(5) The department shall develop and implement a process to notify carriers, third party administrators, and the legislature that funds in this program may be insufficient to cover future claims when the department reasonably believes that within 60 days the funds in the program will be insufficient to pay claims. The process shall, at a minimum, do all of the following:
(a) Identify a specific date by which carriers and third party administrators will no longer receive reimbursement for claims submitted to the program.
(b) Outline a clear process indicating the order in which claims pending with the program will be paid.
(c) Outline a clear process indicating the order in which claims that were pending with the program when funds became insufficient will be paid if funds subsequently become available.
(6) Money in the fund at the close of the fiscal year shall remain in the fund and shall not lapse to the general fund.
History: 2012, Act 101, Imd. Eff. Apr. 18, 2012
Last modified: October 10, 2016