RELATING TO MEDICAID.

Prohibits a financial risk-bearing entity from administering Medicaid services. Requires the Department of Human Services to contract with one or more administrative services organizations to perform non-risk administrative functions for the operation of the State's Medicaid program. Requires the Department to establish a Medicaid Care Coordination Program to contract with community-based programs to provide care coordination services.

Requires physicians, other independent practitioners, hospitals, and other institutional providers to be paid or reimbursed directly by the State's medicaid agency. Requires the Department to establish regional health hubs in each county to serve as localized oversight bodies. Requires the Department to convene a Medicaid Stakeholder Advisory Group to support continuous improvement throughout the transition period.

Requires reports to the Legislature. Appropriate funds.