2001 Legislation
Print Friendly

SENATE BILL NO. 1214 – Approp, H&W, Medical Assistance

SENATE BILL NO. 1214

View Daily Data Tracking History

View Bill Text

View Statement of Purpose / Fiscal Impact



Text to be added within a bill has been marked with Bold and
Underline. Text to be removed has been marked with
Strikethrough and Italic. How these codes are actually displayed will
vary based on the browser software you are using.

This sentence is marked with bold and underline to show added text.

This sentence is marked with strikethrough and italic, indicating
text to be removed.

Daily Data Tracking History



S1214............................................................by FINANCE
APPROPRIATIONS - DEPARTMENT OF HEALTH AND WELFARE - MEDICAL ASSISTANCE
SERVICES - Appropriates $809,515,700 to the Department of Health and
Welfare for Medical Assistance Services for fiscal year 2002; authorizes
the State Controller to make transfers to the Cooperative Welfare Fund;
reappropriates unexpended and unencumbered fund balances of the Cooperative
Welfare Fund for nonrecurring expenditures; authorizes expenditure of all
receipts collected as noncognizable funds; provides intent regarding the
Children's Health Insurance Program and encourages the Department of Health
and Welfare to implement the recommendations of the Children's Health
Insurance Program Task Force; provides intent regarding state veterans
homes; provides intent regarding transportation services to clients of the
state's Medicaid Program; provides intent regarding private intermediate
care facilities for the mentally retarded; provides intent regarding use of
generic drugs; provides intent regarding rates paid for durable medical
equipment; provides intent with regard to a Request For Proposal for the
Utilization Management Project; provides intent regarding cost-sharing by
Medicaid clients; provides intent regarding day treatment services to
clients with mental illness; and appropriates an additional $112,358,900 to
the Department of Health and Welfare for Medical Services for fiscal year
2001.
                                                                        
03/07    Senate intro - 1st rdg - to printing
03/08    Rpt prt - to Fin
    Rpt out - rec d/p - to 2nd rdg
03/09    2nd rdg - to 3rd rdg
03/22    Ret'd to Fin

Bill Text


                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-sixth Legislature                   First Regular Session - 2001
                                                                        
                                                                        
                                       IN THE SENATE
                                                                        
                                    SENATE BILL NO. 1214
                                                                        
                                    BY FINANCE COMMITTEE
                                                                        
  1                                        AN ACT
  2    APPROPRIATING MONEYS TO THE DEPARTMENT  OF  HEALTH  AND  WELFARE  FOR  MEDICAL
  3        ASSISTANCE  SERVICES  FOR  FISCAL YEAR 2002; PROVIDING THAT THE STATE CON-
  4        TROLLER SHALL MAKE TRANSFERS FROM THE GENERAL FUND;  REAPPROPRIATING  CER-
  5        TAIN  UNEXPENDED  AND  UNENCUMBERED  BALANCES  OF  MONEYS; AUTHORIZING THE
  6        EXPENDITURE OF ALL RECEIPTS COLLECTED; EXPRESSING LEGISLATIVE INTENT  WITH
  7        REGARD  TO THE CHILDREN'S HEALTH INSURANCE PROGRAM; EXPRESSING LEGISLATIVE
  8        INTENT WITH REGARD TO THE CHILDREN'S HEALTH INSURANCE PROGRAM  TASK  FORCE
  9        RECOMMENDATIONS; EXEMPTING STATE VETERANS HOMES FROM COST LIMITS; EXPRESS-
 10        ING LEGISLATIVE INTENT WITH REGARD TO CAPPING TRANSPORTATION RATES AT FIS-
 11        CAL YEAR 2000 LEVELS; EXPRESSING LEGISLATIVE INTENT WITH REGARD TO CAPPING
 12        THE NUMBER OF BEDS IN MEDICAID FUNDED PRIVATE INTERMEDIATE CARE FACILITIES
 13        FOR  THE  MENTALLY  RETARDED; EXPRESSING LEGISLATIVE INTENT WITH REGARD TO
 14        CAPPING RATES FOR INTERMEDIATE CARE FACILITIES FOR THE  MENTALLY  RETARDED
 15        AT  FISCAL  YEAR 2000 LEVELS; EXPRESSING LEGISLATIVE INTENT WITH REGARD TO
 16        GENERIC DRUGS AND DIRECTING THE DEPARTMENT TO PREPARE AND  REPORT  ON  THE
 17        FEASIBILITY  OF  IMPLEMENTING  A  MEDICAID PREFERRED DRUG LIST; EXPRESSING
 18        LEGISLATIVE INTENT WITH REGARD TO CAPPING RATES FOR DURABLE MEDICAL EQUIP-
 19        MENT AT FISCAL YEAR 2000 LEVELS; EXPRESSING LEGISLATIVE INTENT WITH REGARD
 20        TO UTILIZATION MANAGEMENT; EXPRESSING LEGISLATIVE INTENT  WITH  REGARD  TO
 21        COPAYMENTS  AND  OTHER COST-SHARING METHODS; EXPRESSING LEGISLATIVE INTENT
 22        WITH REGARD TO DAY TREATMENT SERVICES PROVIDED TO CLIENTS WITH MENTAL ILL-
 23        NESS; APPROPRIATING ADDITIONAL MONEYS TO THE DEPARTMENT OF HEALTH AND WEL-
 24        FARE FOR MEDICAL ASSISTANCE SERVICES FOR FISCAL YEAR 2001;  AND  DECLARING
 25        AN EMERGENCY FOR SECTION 16 OF THIS ACT.
                                                                        
 26    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
 27        SECTION  1.  There  is hereby appropriated to the Department of Health and
 28    Welfare for Medical Assistance Services the following amounts to  be  expended
 29    according  to the designated expense classes from the various funds listed for
 30    the period July 1, 2001, through June 30, 2002:
 31                                                         FOR
 32                             FOR          FOR        TRUSTEE AND
 33                          PERSONNEL    OPERATING       BENEFIT
 34                            COSTS     EXPENDITURES     PAYMENTS      TOTAL
 35    MEDICAL ASSISTANCE SERVICES:
 36    FROM:
 37    General
 38    Fund                 $ 4,775,000   $ 3,147,800   $221,388,600  $229,311,400
 39    Medical Assistance
 40     Fund                                                   2,500         2,500
 41    Liquor Control
 42     Fund                                                 639,200       639,200
                                                                        
                                           2
                                                                        
  1                                                         FOR
  2                             FOR          FOR        TRUSTEE AND
  3                          PERSONNEL    OPERATING       BENEFIT
  4                            COSTS     EXPENDITURES     PAYMENTS      TOTAL
  5    Cooperative Welfare
  6     Fund
  7     (Federal)             6,875,300    10,819,200    538,109,300   555,803,800
  8    Cooperative Welfare
  9     Fund
 10     (Dedicated)                                       23,758,800    23,758,800
 11      TOTAL              $11,650,300   $13,967,000   $783,898,400  $809,515,700
                                                                        
 12        SECTION 2.  As appropriated, the State Controller shall make transfers  of
 13    the  General  Fund to the Cooperative Welfare Fund, periodically, as requested
 14    by the director of the Department of Health and Welfare and  approved  by  the
 15    Board of Examiners.
                                                                        
 16        SECTION 3.  There is hereby reappropriated to the Department of Health and
 17    Welfare  for  Medical Assistance Services any unexpended and unencumbered bal-
 18    ances of the Cooperative Welfare Fund as appropriated for  Medical  Assistance
 19    Services  for  fiscal year 2001, to be used for nonrecurring expenditures only
 20    for the period July 1, 2001, through June 30, 2002. The reappropriation  shall
 21    be computed by the Department of Health and Welfare from available moneys.
                                                                        
 22        SECTION  4.  Notwithstanding  the  provisions of Section 67-3516(2), Idaho
 23    Code, the Department of Health and Welfare for Medical Assistance Services  is
 24    hereby  authorized to expend all receipts collected in Medical Assistance Ser-
 25    vices as noncognizable funds for the period July 1,  2001,  through  June  30,
 26    2002.
                                                                        
 27        SECTION  5.  It  is  the  intent of the Idaho Legislature that the federal
 28    Title XXI Children's Health Insurance Program, as appropriated in Section 1 of
 29    this act, not exceed $4,600,000 in General Fund expenditures  for  the  period
 30    July  1, 2001, through June 30, 2002. In addition, the director of the Depart-
 31    ment of Health and Welfare is hereby authorized to control  program  costs  by
 32    lowering  or  raising income eligibility criteria in order to stay within bud-
 33    get; however, under no circumstance shall the department  exceed  one  hundred
 34    fifty  percent (150%) of the federal poverty level that is used in determining
 35    eligibility without prior legislative approval.
                                                                        
 36        SECTION 6.  The Idaho Legislature recognizes the work  of  the  Children's
 37    Health  Insurance  Program Task Force appointed by the director of the Depart-
 38    ment of Health and Welfare. The department is encouraged to implement the rec-
 39    ommendations of the task force to the extent legally possible and to apply for
 40    the necessary federal waivers where required in order to provide basic  health
 41    care coverage for Idaho's uninsured children.
                                                                        
 42        SECTION  7.  It is the intent of the Idaho Legislature that for the period
 43    July 1, 2001, through June 30, 2002, the  cost  limits  described  in  Section
 44    56-102(7) and (11), Idaho Code, shall not apply to state homes for veterans.
                                                                        
 45        SECTION  8.  It  is the intent of the Idaho Legislature that the rates for
 46    transportation services provided to clients of the  state's  Medicaid  Program
 47    for the period July 1, 2001, through June 30, 2002, shall not exceed the rates
 48    in effect in state fiscal year 2000.
                                                                        
                                           3
                                                                        
  1        SECTION  9.  It  is the intent of the Idaho Legislature that the number of
  2    beds in private intermediate care facilities for the mentally retarded  funded
  3    by  Medicaid,  be  capped at four hundred eighty-six (486) beds, including any
  4    beds planned or under construction.
                                                                        
  5        SECTION 10.  Notwithstanding the provisions of Section 56-113, Idaho Code,
  6    it is the intent of the Idaho Legislature that for the period  July  1,  2001,
  7    through June 30, 2002, rates, including special rates, of private intermediate
  8    care facilities for the mentally retarded shall not exceed the rates in effect
  9    in state fiscal year 2000.
                                                                        
 10        SECTION 11.  It is the intent of the Idaho Legislature that the Department
 11    of  Health and Welfare require the use of generic drugs to the extent feasible
 12    and allowed by law in the  state's  Medicaid  Program.  The  department  shall
 13    develop  a process of prior approval when the physician prescribes drugs other
 14    than generic. The department is further directed to  prepare  and  report,  by
 15    January 2002, the feasibility of implementing a Medicaid preferred drug list.
                                                                        
 16        SECTION 12.  It is the intent of the Idaho Legislature that for the period
 17    July 1, 2001, through June 30, 2002, the rates paid for durable medical equip-
 18    ment  provided to clients of the state's Medicaid Program shall not exceed the
 19    rates in effect in state fiscal year 2000.
                                                                        
 20        SECTION 13.  It is the intent of the Idaho Legislature that the Department
 21    of Health and Welfare actively and thoroughly confer with providers  and  con-
 22    currently  conduct  negotiated  rulemaking  prior  to  December  31, 2001. The
 23    Department of Health and Welfare shall prepare a Request  For  Proposal  (RFP)
 24    for  the contract assessment of services needed for the Utilization Management
 25    Project (UMP). Of those twenty-two and five-tenths (22.5) full-time equivalent
 26    positions authorized for this effort, five (5) positions have  been  added  to
 27    accommodate  rulemaking  and RFP preparation. Any moneys appropriated for this
 28    program from prior budget years shall  be  restricted  from  expenditure.  The
 29    Department  of  Health  and Welfare shall come back to the Legislature for the
 30    final approval and authorization of the UMP program at the next  regular  ses-
 31    sion  of the Idaho Legislature. Any personnel terminated from regional offices
 32    should be reinstated to continue historic levels of service until the UMP pro-
 33    gram is approved by the Legislature.
                                                                        
 34        SECTION 14.  It is the intent of the Idaho Legislature that  clients  par-
 35    ticipating in the state's Medicaid Program share a portion of the cost of pro-
 36    viding services to the extent allowed by law. The Idaho Legislature authorizes
 37    the  Department  of  Health and Welfare to implement reasonable copayments and
 38    other cost-sharing methods as  allowed  by  law.  Providers  will  retain  all
 39    copayments collected, and the Department of Health and Welfare will not reduce
 40    provider  reimbursement  rates by the amount of the copayments. The Department
 41    of Health and Welfare is further directed to prepare and  report,  by  January
 42    2002, its progress in implementing a cost-sharing program.
                                                                        
 43        SECTION  15.  It is the intent of the Idaho Legislature that day treatment
 44    services provided to clients with mental illness through the state's  Medicaid
 45    Program shall be limited to aiding in the transition from acute care to lesser
 46    levels  of care and to stabilization as a means of preventing hospitalization.
 47    Such transition and stabilization services shall include a planned program  of
 48    three  (3)  hours per day of group therapy, one (1) hour per day of individual
 49    therapy, at least two (2) psychiatric visits every six (6) days, and  meaning-
                                                                        
                                           4
                                                                        
  1    ful  group  recreational  activities,  and  may also include socialization and
  2    skills training. The modification of day treatment services shall be phased in
  3    by January 1, 2002.
                                                                        
  4        SECTION 16.  In addition to the appropriation made in Section  1,  Chapter
  5    409,  Laws  of  2000, there is hereby appropriated to the Department of Health
  6    and Welfare for Medical  Assistance  Services  the  following  amounts  to  be
  7    expended  according  to the designated expense class from the listed funds for
  8    the period July 1, 2000, through June 30, 2001.
  9    FOR:
 10    Trustee and Benefit Payments                                      $112,358,900
 11    FROM:
 12    General Fund                                                      $ 33,057,800
 13    Cooperative Welfare Fund (Dedicated)                                 1,960,400
 14    Cooperative Welfare Fund (Federal)                                  77,340,700
 15      TOTAL                                                           $112,358,900
                                                                        
 16        SECTION 17.  An emergency existing therefor,  which  emergency  is  hereby
 17    declared to exist, Section 16 of this act shall be in full force and effect on
 18    and after passage and approval.

Statement of Purpose / Fiscal Impact


Statement of Purpose
RS10399C1

This bill appropriates $809,515,700 to the Department of Health and Welfare for Medical Assistance Services for fiscal year 2002. Of this amount, $229,311,400 is from the General Fund, $24,400,500 is from dedicated funds, and $555,803,800 is from matching federal funds. In addition, the bill includes a supplemental appropriation of $112,358,900 for fiscal year 2001. Of this amount, $33,057,800 is from the General Fund, $1,960,400 is from dedicated funds, and $77,340,700 is from matching federal funds.

&nbsp

Fiscal Note
FTP  Gen  Ded  Fed  Total 


FY 2001 Original Appropriation 174.92  171,888,300  22,853,100  412,268,600  607,010,000 


Reappropriations 0.00  42,300  42,300 
Division of Medical Assistance          
 1. Benefit Payments – Supplemental 0.00  33,057,800  1,960,400  77,340,700  112,358,900 
Recover Gain Sharing (Neg Supp) 0.00  (109,000)  (156,800)  (265,800) 


FY 2001 Total Appropriation 174.92  204,837,100  24,855,800  489,452,500  719,145,400 
Expenditure Adjustments 10.48  12,500  61,300  73,800 


FY 2001 Estimated Expenditures 185.40  204,849,600  24,855,800  489,513,800  719,219,200 
Base Adjustments 0.00  (102,000)  (42,300)  (374,800)  (519,100) 
Other Base Adjustments 5.00  109,000  156,800  265,800 


FY 2002 Base 190.40  204,856,600  24,813,500  489,295,800  718,965,900 
Personnel Cost Rollups 0.00  9,800  14,100  23,900 
Inflationary Adjustments 0.00  3,343,900  430,600  8,351,600  12,126,100 
Replacement Items 0.00 
Nonstandard Adjustments 0.00  21,472,300  2,868,600  50,728,200  75,069,100 
Change in Employee Compensation 0.00  191,800  275,500  467,300 
Fund Shifts 0.00  (1,397,100)  (3,712,200)  5,109,300 


FY 2002 Program Maintenance 190.40  228,477,300  24,400,500  553,774,500  806,652,300 



Enhancements          
Division of Medical Assistance          
 1. Surveyor Positions 0.00 
 2. Personal Needs Allowance Increase 0.00  107,400  253,900  361,300 
 3. Capital Request – Additional Items 0.00 
 4. Seriously Emotionally Disturbed Children 0.00  726,700  1,775,400  2,502,100 


FY 2002 Total 190.40  229,311,400  24,400,500  555,803,800  809,515,700 
Chg from FY 2001 Orig Approp 15.48  57,423,100  1,547,400  143,535,200  202,505,700 
% Chg from FY 2001 Orig Approp. 8.8%  33.4%  6.8%  34.8%  33.4% 

Contact: Dick Burns 334-4742

Legislative Services Office, Budget & Policy Analysis

Statement of Purpose/Fiscal Note Bill No. S1214