House File 399 - Introduced HOUSE FILE 399 BY HESS A BILL FOR An Act relating to county mental health and disability services 1 by making a supplemental appropriation for the fiscal year 2 beginning July 1, 2012, applying credits to certain county 3 obligations, and including effective date provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2269YH (6) 85 jp/tm

H.F. 399 Section 1. MEDICAID —— APPROPRIATION AND BILLINGS FOR 1 COUNTY MENTAL HEALTH AND DISABILITY SERVICES. 2 1. There is appropriated from the general fund of the 3 state to the department of human services for the fiscal year 4 beginning July 1, 2012, and ending June 30, 2013, the following 5 amount, or so much thereof as is necessary, to be used for the 6 purposes designated: 7 To supplement the appropriation made for medical assistance 8 reimbursement and associated costs in 2011 Iowa Acts, chapter 9 129, section 122, and offset the credits applied in accordance 10 with subsection 2: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 750,000 12 2. If a county applied for assistance from the mental health 13 and disability services redesign transition fund pursuant to 14 2012 Iowa Acts, chapter 1120, section 23, but the county was 15 not recommended by the department of human services for any 16 award amount in the department’s report on the transition 17 fund submitted to the general assembly on December 4, 2012, 18 the county shall receive a credit in accordance with this 19 subsection. The department shall apply a credit to the 20 county’s obligation for outstanding Medicaid billings for 21 mental health and disability services provided prior to the 22 fiscal year beginning July 1, 2012. The amount of the credit 23 shall be equal to the amount of the county’s obligation or 24 $150,000, whichever is less. 25 Sec. 2. EFFECTIVE UPON ENACTMENT. This Act, being deemed of 26 immediate importance, takes effect upon enactment. 27 EXPLANATION 28 This bill relates to county mental health and disability 29 (MH/DS) services by making a supplemental appropriation for FY 30 2012-2013 and applying credits to certain county obligations. 31 Under the 2012 mental health and disability services 32 redesign legislation enacted in 2012 Iowa Acts, chapter 1120 33 (SF 2315), a mental health and disability services redesign 34 transition fund was created. Counties were authorized to 35 -1- LSB 2269YH (6) 85 jp/tm 1/ 2

H.F. 399 apply to the department of human services for assistance to 1 continue current core MH/DS to target populations that are 2 not funded by the medical assistance (Medicaid) program. 3 Part of the redesign legislation provided for the state to 4 assume responsibility effective July 1, 2012, for paying the 5 nonfederal share of Medicaid program costs for adult MH/DS 6 in place of the counties. Counties remain obligated for the 7 nonfederal share of the Medicaid costs incurred prior to that 8 date. 9 In accordance with SF 2315, the department received 10 applications for transition fund assistance from counties and, 11 based on various criteria in the legislation and developed 12 by the department, made recommendations for specific funding 13 amounts to be awarded to counties under three different 14 scenarios. Under all three scenarios, the department 15 recommended that six counties should not receive any funding. 16 Of the six counties, five counties have outstanding Medicaid 17 billing obligations. 18 The bill makes a $750,000 appropriation to the department 19 to supplement the FY 2012-2013 appropriation for Medicaid. 20 If a county applied for assistance from the transition fund 21 but the county was not recommended by the department for any 22 award amount, the county is eligible to receive a credit. The 23 credit is required to be applied to the county’s obligation for 24 outstanding Medicaid billings. The amount of the credit is 25 equal to the amount of the county’s obligation, or $150,000, 26 whichever is less. 27 The bill takes effect upon enactment. 28 -2- LSB 2269YH (6) 85 jp/tm 2/ 2