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HomeMy WebLinkAboutMINUTES - 12011987 - 1.96 To: BOARD OF SUPERVISORS FRIM: Mark Finucane , Health Services Director Contra By : Elizabeth A. Spooner , Contracts Administrator Costa DATE: November 16, 1987 County SUBJECT: Approval of Contra Costa Health Plan Medicare Contract Amendment 429-608-3 with the U. S. Department of Health and Human Services SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION I. RECOMMENDED ACTION : Approve and authorize the Chair to execute on behalf of the County, Contra Costa Health Plan Contract Amendment Agreement #29-608-3 with the U. S. Department of Health and Human Services [ Health Care Financing Administration (HCFA) ] to be effective on January 1 , 1988 which modifies Contract X129-608-2 (effective July 1 , 1987 ) for prepaid health services by the County for Medicare-eligible persons . II . FINANCIAL IMPACT: This amendment includes provisions to provide as much protection as possible under law to Health Maintenance Organizations (HMOs ) whose payments are reduced during the term of the contract as a result of possible cuts mandated by Gramm-Rudman-Hollings legislation . Specifically, risk-sharing organizations that waive allowable premiums (i .e . , charge lower premiums than allowed for services provided) , or that provide complimentary services (i .e . , provide services for which no premium is charged ) , may reduce these extra benefits to compensate for Congressionally mandated payment reductions . As with any changes in services or premiums , prior HCFA approval and prior notice to Medicare beneficiaries will be required . III . REASONS FOR RECOMMENDATIONS/BACKGROUND : On May 19 , 1987 , the Board approved Contract #29-608-2 with the U. S. Department of Health and Human Services for prepaid health services by the County for Medicare-eligible persons . The Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) , Public Law 99-272 , and the Omnibus Budget Reconciliation Act of 1986 (OBRA) , Public Law 99-509 , changed the law governing contracts between the Health Care Financing Administration and organizations providing services to Medicare beneficiaries under Section 1876 of the Social Security Act . CONTINUED ON ATTACHMENT: _Y� YES SIGNATURE: ei� RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOA D COMMITTEE APPROVE OTHER SIGNATURE S : vv ACTION OF BOARD ON nrc APPROVED AS RECOMMENDED ^ OTHER VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE Z- UNANIMOUS (ABSENT ) AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES'. AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE1SpHOWN. ORIG: Health Services (Contracts) DEC 1 19p1 cc-. County Administrator ATTESTED Auditor-Controller PHIL BATCHELOR, CLERK OF THE BOARD OF U.S. Dept. of Health & Human Services SUPERVISORS AND /COUNTY ADMINISTRATOR 13Y IY �— ,DEPUTY M382/7-83 -- ` U. S. Department of Health and Human Services Contract Amendment #29-608-3 Board Order Page 2 The attached amendment to the standard contract includes provi- sions required by Section 1876 , as amended by COBRA and OBRA. In addition , several issues related to operational matters have been included in this amendment . This document has been approved by County Counsel . The Board Chair should sign five copies of the amendment . Four original signature copies should then be returned to the Contracts and Grants Unit for submission to the U. S. Department of Health and Human Services . DG :gm