TITLE
Recommendation to authorize City Manager, or designee, to execute all necessary documents and amendments between the City of Long Beach and the State of California Department of Health Care Services to claim reimbursement for allowable Medi-Cal Administrative Activities (MAA) in an amount up to $1,400,000 for the period July 1, 2012 through June 30, 2014. (Citywide)
DISCUSSION
Since 1994, the City of Long Beach Department of Health and Human Services (Health Department) has received funding through a contract with the State of California Department of Health Care Services (State) for the performance of administrative activities related to the Medi-Cal Program. On August 11, 2009, City Council approved the most recent Medi-Cal Administrative Activities (MAA) agreement which covered a three year period that ends on June 30, 2012. The State has amended the agreement to have the Health Department continue to be reimbursed for a portion of staff time and expense to outreach and engage eligible clients in the Medi-Cal system for an additional two years. The term of the agreement is extended through June 30, 2014.
This matter was reviewed by Deputy City Attorney Linda Trang and Budget Management Officer Victoria Bell on March 12, 2012.
TIMING CONSIDERATIONS
City Council action on this matter is requested on April 17, 2012 to comply with State requirements.
FISCAL IMPACT
The maximum reimbursement amount of the amendment is $1,400,000 for the period July 1, 2012 through June 30, 2014. The Health Department will utilize existing staff throughout the Department to perform Medi-Cal administrative activities during the course of their daily duties.
The City will receive reimbursement revenues up to $700,000 for fiscal year (FY) 2012 to partially reimburse for the cost for federally eligible Medi-Cal administrative activities. This is a reimbursement based program whereby the Department will receive revenues for services provided as a part of the normal course of public health business practice.
Sufficient appropriations exist in the Health Fund (SR 130) in the Health and Human Services Department (HE) to support this activity through FY 2012. Appropriations for future grant years will be included as part of subsequent annual budget process. There is no impact on the General Fund and no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
RONALD R. ARIAS
DIRECTOR
HEALTH AND HUMAN SERVICES
APPROVED:
PATRICK H. WEST
CITY MANAGER