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HomeMy WebLinkAboutMINUTES - 11271984 - 1.53 TO:, • BOARD OF SUPERVISORS Contra FROM: Phil Batchelor, County Administrator Costa DATE: November 14, 1984 County SUBJECT: Legislation: AB 2381 (Mojonnier) SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATION: Acknowledge receipt of report from Health Services Director in response to Board referral of October 2, 1984 regarding Assembly Bill 2381 . BACKGROUND: On October 2, 1984, the Board asked the Health Services Director to review and report to the Board on the impact of two bills recently signed by the Governor holding the counties harmless from some State audits of County mental health programs and transferring State mental health social workers to county staffs. On October 30, 1984, we reported to the Board on the latter of these two bills, AB 3921 , noting that because we have already assumed responsibility for the State mental health social services several years ago, the bill would have no impact on this County. The Health Services Director has now filed the attached report regarding the second of the two bills, AB 2381 , now Chapter 1327, Statutes of 1984. AB 2381 , which started out to be a Mental Health Block Grant bill , was amended during the legislative process and its scope and impact were considerably reduced. Mr. Finucane's memorandum outlines the major provisions of AB 2381 . The one the Board expressed particular concern about was the "forgiveness" of prior audit exceptions. AB 2381 "forgives" counties for the State share of all outstanding audit exceptions prior to July 1 , 1984. We have, for instance, a 1980-1981 audit exception of $896,000 still pending. AB 2381 forgives the State share of this audit exception, which equals about $546,000. We remain liable for the federal share of this exception, which equals $350,000. We also remain liable for the federal share of all audit exceptions for prior years. The actual amount the County will save from this provision depends, of course, on what the final outcome of the audit would have been. Because the County has not reserved any funds against the possible loss of these audit exceptions, there is no immediate cash benefit to the County, although having the threat of such audit exceptions removed is certainly beneficial . CONTINUED ON ATTACHMENT: X YES SIGNATURE: &��D zI4G(/i7 RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S) ACTION OF BOARD ON November 27, 984 APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS tr UNANIMOUS (ABSENT -1 ) I HEREBY CERTIFY THAT THIS IS A TRUE AYES: NOES: AND CORRECT COPY OF AN ACTION TAKEN ABSENT: ABSTAIN: AND ENTERED ON THE MINUTES OF THE BOARD OF SUPERVISOR ON THE DATE SHOWN. County Administrator CC: Auditor-Controller ATTESTED County Counsel J.R. OLSSON, COUNTY CLERK Health Services Director AND EX OFFICIO CLERK 010TH.'�ARD M382/7-63 BY ©O nKp"I1ry V• Contra Costa Coun ,, i i CONTRA COSTA COUNTY HEALTH SERVICES DEPARTMENT NOV ` 51984 " Officc of Count. Administrator To. C. L . Van Marter October 29, 1984 Assistant County Administrat -- Date Human Services From: Mark Finucane Subject: AB 2381 Health Services Director By: Stuart McCullough Assistant Health Services Director A/DA/MH Division This is to respond to your request for a brief summary on the impact of AB 2381 on county mental health services. (1) The bill was originally designed to eliminate the Short-Doyle Act. Following amendments, this was not done. Therefore, to understand the law one must now read the bill and then check the corresponding section of the Welfare and Institutions Code to determine which document takes precedence. The State Department of Mental Health is working on a document which will reconcile both the language of the bill and the W & I Code. We can expect this document will be delivered to us sometime in December or January and I will send you a copy at that time. (2) The SMA's for Short-Doyle funded outpatient services have now been eliminated. This will not change our ability to collect all of our Short-Doyle allocations because we have been able to do so anyway over the past years. However, SMA's for Short-Doyle Medi -Cal remain in effect as these are a federal requirement. Thus our cost reports for this year will have different cost reporting systems depending on whether the services provided were billed to Short-Doyle Medi-Cal or to regular Short-Doyle. The only regular Short-Doyle SMA that will remain in effect for Contra Costa County is the cap for inpatient acute care. (3) The bill allows all counties to apply for SB 900 status (net negotiated rates). Attached is a short summation of the budgeting procedures that counties will follow under SB 900 and a review of the differences between counties operating under SB 900 and those operating under AB 2381. Contra Costa County will probably apply for SB 900 status once we have eliminated our County "over- match". Our Chief Financial Officer and personnel from your office are now developing strategies designed to accomplish this goal . (4) The County is now responsible to do its own Short-Doyle audits. The State, for the time being, will continue to do Short-Doyle Medi-Cal audits although this function may also shift to the counties in the future. Guidelines for the implementation of these audits will be forthcoming from the State Department of Mental Health, probably in the next 60 days. The State will now automatically forward to the County one-twelfth of our Short-Doyle allocation. They have been doing this anyway, but now will be doing it legally. A-41 3/81 00 A(3 -�z C. L. Van Marter Page 2 October 29, 1984 The State will also forgive all audits conducted on or before fiscal year 1983-84, except for that portion which requires a pay back to the federal government as a result of Medi -Cal or Medicare audit exceptions. For instance, the current audit exception we have regarding county accounting methods for fiscal year 1980-81 indicates a. total audit exception of $896,000. This bill will eliminate all but the $350,000 federal portion of that audit exception. (5) The priorities for services as mandated under AB 2381 are contained in the attached summary of AB 2381 prepared by the Administrative Services Committee of the California Conference of Local Mental Health Directors. (6) The bill requires that counties provide the State wit-h "a minimum data set" which we are in the process of programming into our Nu-Med management infor- mation system. (7) For this year, the Egeland language was stricken from the bill , which required that 50 percent of all new monies go to children 's services until each county expends at least 25 percent of its Short-Doyle allocation on children's services. However, this language will be reinstituted in fiscal year 1985-86. In addition, from now on counties may not decrease any portion of current funding for children 's services below their 1983-84 levels without going to a public hearing to document there has been a decrease in the need for those services. (8) The 1229 Mentally Disordered Outpatient Treatment Program will revert to the State on July 1, 1986, with the State then opting to contract back to those counties who are already operating 1229 programs or finding suitable private contractors. Regarding the opt out for OMS social workers, this has no bearing for Contra Costa County. We opted not to assume this responsibility (and the State social workers) many years ago. In addition, I have included for your review a summary of AB 3632. This bill may dramatically change the Health Services Department ' s A/DA/MH Division relations with the various school districts of the County. If you have any questions regarding the implementation of these new laws, please give me a call . MF :SMc:vn Attachment 0 0 13 3 cc: William Walker, M.D. Operations Group