I. RECOMMENDATION:
Chief Gabriel recommends authorizing the Fire Chief or the City Manager to sign contracts for participation in the 2019/20 Intergovernmental Transfer Programs, once reviewed by the City Attorney.
II. BACKGROUND:
Since 2006, the California Department of Health Care Services (DHCS) has offered local governments that provide health care, the opportunity to secure additional Medi-Cal revenues by participating in a voluntary Intergovernmental Transfer (IGT) program with their local Medi-Cal managed care plans. Blue Cross and CalViva are the Medi-Cal managed care plans that serve Fresno County. Our participation last year resulted in net new funds of approximately $823,000.
III. DISCUSSION:
The contracts this year will be in two parts, encompassing a total period of 18 months. The first period will be July 1, 2019 to June 30, 2020 (Total both plans $654,137.00). Once the funds for this period have been transferred and the city receives the federal funds back, there will be a second process for the remaining 6 months (Total both plans $336,739.00).
Since our participation is based on unreimbursed charges from the Managed Care Medi-Cal plans, our participation will be slightly less since estimates for this period are based on past actual stats that were lower due to our inability to staff a second ambulance.
We will be using proceeds from the previous year’s participation to fund this contribution.
IV. ALTERNATIVES:
- Do not participate in the program.
V. FISCAL IMPACT:
Our total to be transferred to DHCS for 2019-20 will be approximately $1,189,051, and will occur possibly 1st quarter 2021. The minimum we will be reimbursed will be $1,981,752, which will result in net new funds of approximately $ 792,700 to be spent on healthcare.
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