Agenda

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C.30

To:	Board of Supervisors
From:	William Walker, M.D., Health Services Director
Date:	February 8, 2011

Contra

Costa

County

Subject:

Authorization for Application to Obtain Funding under the Low Income Health Program (LIHP)

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 02/08/2011

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Gayle B. Uilkema, District II Supervisor
Mary N. Piepho, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:	Patrick Godley, 957-5405
cc:	Tasha Scott Barbara Borbon Michelle Garbers

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: February 8, 2011
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

Authorize the Health Services Director or designee (Patrick Godley) to submit an application and related documents to the State of California for the purpose of obtaining funding under the Low Income Health Program (LIHP).

FISCAL IMPACT:

Approval of the program will result in continuation of $15 million in funding for the existing LIHP (now known as the Coverage Initative). Additional funding in the range of $5 to $10 milllion dollars may be achievable (dependent on State regulations). This action will have no negative impact on the County general fund.

BACKGROUND:

The LIHP consists of the Medicaid Coverage Expansion (MCE) and the Health Care Coverage Initiative (HCCI) programs. These programs provide health care benefits to eligible persons in accordance with the Welfare and Institutions Code Section 15909 – 15915 (Chapter 723, Statutes of 2010, Assembly Bill 342), and the Special Terms and Conditions (STCs) of the federal section 1115(a) California Bridge to Reform Demonstration (Demonstration). Federal funding is available under the Demonstration for the health care benefits and allowable administrative activities costs associated with the program. The cost-claiming and reimbursement methodologies used to claim the federal funding for the health care benefits and administrative activities provided under the LIHP must be in compliance with the Centers for Medicare & Medicaid Services (CMS) rules and policies governing such claims.

The non-federal share of the federal reimbursement under the LIHP must be provided by the governmental entity authorized to implement the program. Implementation of the LIHP is subject to the availability of local non-federal funds. There will be no State General Fund monies allocated to the governmental entities for the program.

The MCE is not limited to a maximum level or subject to a cap on federal funding or a specified funding allocation. The authorized applicant’s MCE federal reimbursement will only be limited by the amount of local non-federal funds the applicant voluntarily agrees to provide for MCE expenditures annually.

In contrast, under HCCI, there is a cap on federal funding and the approved applicants will receive allocations within the restricted amounts available for the program.

CONSEQUENCE OF NEGATIVE ACTION:

Faliure to approve this recommendation will result in a minimum loss of fifteen million dollars.

CHILDREN'S IMPACT STATEMENT:

Not applicable.