HomeMy WebLinkAboutMINUTES - 03061984 - F.2 FL
TO: BOARD OF SUPERVISORS +
FROM: Finance Committee Contra
Co�s�ta
DATE: March 5, 1984 County
SUBJECT: Status Report on Financial Condition of Health Services
Enterprise Fund
SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION
The Finance Committee met with representatives of the Offices of the County
Administrator, County Auditor-Controller, Health Services, and Nu-Med
Medical, Inc. to discuss their review of .revenues and expenses of the
Health Services Department through January 31, 1984 and the current projected
deficit through June 30, 1984. It was indicated that utilizing the assumptions
of the Arthur Young & Company report the earlier projected deficit of
$9. 8 million continues to remain valid.
Actions taken to resolve eligibility and billing problems were discussed.
The management of both the Health Services Department and the Social Service
Department are developing procedures to improve the eligibility process used
for by Health Services to enhance revenue generation. The need for
Financial Counsellors is being addressed with the understanding that no
additional positions will be authorized.
It was indicated that the response by Mr . K. Cory, State Controller, to the
County charge with respect to delays in State payments for medical services
provided by the County did not deal with this subject properly as it did
not address the problem on a comprehensive basis. The reported small amount
of unpaid bills only dealt with those accounts which have survived the State
billing process. What is not dealt with in the State response are the many
delays resulting from burdensome, complex regulations pertaining to. treatment
authorizations and other billing procedures which must be strictly adhered
to in order to generate a bill; such practices result in unbilled services
amounting to millions of dollars which must be held by the County pending
receipt of all necessary approvals and documentation. As a result of
efforts of Board members, we have secured the assistance of CSAC and
Assemblyman T. Bates to secure the assistance and cooperation of the
Oakland Field Office to expedite authorizations for services to clients.
Health Services staff were requested to monitor the Treatment Authorization
Requests and to report whether there has been any improvement in the process .
Nu-Med Medical representatives were directed to review the County's billing
procedures and computer system in order to expedite billings and to better
track accounts receivable. They are to report on these matters to the
Finance Committee on March 26 , 1984 .
The need for development of a financial plan to bring the Health Services
Department revenues and expenditures back in balance remains of vital
concern. It is essentially that Nu-Med present its preliminary plan to
the Finance Committee' on March 26, 1984 for consideration by the Board of
Supervisors on March 27, 1984 . The actions necessary to accomplish this
goal must be put in place to maintain the County's credit rating for the
CONTINUED ON ATTACHMENT: XX YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR XXRECOMMENDATION OF BOARD COMMITTEE
XX APPROVE OTHER ,-�
'J�66A,�2�(� ��.0-�
SIGNATURE(S) Supervisor S. W. McPeak SubsJypuegisof r.SubvSTorla�s n
ACTION OF BOARD ON arC APPROVED AS or .
OTHER
ACCEPTED the aforesaid status report .
VOTE OF SUPERVISORS
X UNANIMOUS (ABSENT --- ) 1 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 SUPERVISORS ON THE DATE SHOWN'000IL99
CC: Acting Health Svcs . Director ATTESTED March 6, 1984 J
Nu-Med Medical, Inc. J.R. OLSSON, COUNTY CLERK
Welfare Director AND EX OFFICIO CLERK OF THE BOARD
Auditor-Controller
County Administrator n-
M382/7-e3 BY �-- " i0• !2Z DEPUTY
2 .
contemplated Certificates of Participation to be issued for the refinancing
of County buildings by the non-profit corporation as well as for the County' s
short-term borrowing program for fiscal year 1984-1985.
The Board has directed that certain actions be expedited to deal with our
current fiscal problems. Specific actions which are in various stages of
completion include the continuation of the freeze on personnel and equip-
ment, the reduction of the gap between revenues and expenditures of the
Health Services Department and possible reduction of employer and employee
contributions for the Cost of Living feature in the Retirement System
through use of its surplus funds. The Finance Committee wishes to express
its appreciation to the Retirement Board, employee organizations and staff
for their cooperation and assistance in implementation of our financial
plan.
The Finance Committee will report its findings and recommendations on the
above matters to the Board of Supervisors on March 27, 1984 .
000200
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CONTRA COSTA COUNTY
HEALTH SERVICES DEPARTMENT
To: Robert Schroder, Chairman Date: March 5, 1984
Finance Committee
From: Subject:
The County Administrator's Office, the County Auditor's Office, the
Health Services Department and Nu-Med Medical , Inc. , have reviewed the
revenues and expenses of the Health Services Department through
January 31 , 1984 utilizing the assumptions of the Arthur Young and
Company report and are in concurrence that the projected Health Services
Department deficit remains essentially unchanged as of January 31 , 1984.
County Auditor's Office o
By: % _... Date: j D
T{3onald Bouchet
Health Services Department
By:
GJ -, /"I Date:
William Walker, M.D.
Nu-Med Medical Inc.
BY' Date: qc
Stanley Ching
County Administra or
'' ���� ���� 'may
By: �. �.�ctxx' Date
C.L. Van Marter
A-41 3181
000201