Amended
IN
Senate
June 25, 2012 |
Introduced by Committee on Budget
(Blumenfield (Chair), Alejo, Bonilla, Brownley, Buchanan, Butler, Cedillo, Chesbro, Dickinson, Gordon, Huffman, Mitchell, Monning, and Swanson)
|
January 10, 2012 |
This bill would express the intent of the Legislature to enact statutory changes relating to the Budget Act of 2012.
The department shall provide semiannual updates to the Legislature on its progress in implementing the systems of care redesign project, including, but not limited to, an updated timeline for the project.
(a)(1)Within 60 days after notification of the final allocation of each fiscal year pursuant to Section 11814, the board of supervisors of each county that receives funds under this division shall adopt and submit to the department, in accordance with the planning process approved by the county board of supervisors and Section 11798, a county plan.
(2)
(c)The department, after consultation with county alcohol and drug program administrators, shall develop standardized forms to be used by the counties in the submission of the county plan and negotiated net amount contract. The forms shall include terms and conditions relative to county compliance with applicable laws, regulations, guidelines, and Budget Act requirements.
(a)A negotiated net amount, for the purposes of this chapter, shall be determined by calculating the total budget for services less the amount of projected revenue. These net amounts for alcohol or other drug services, or both, shall be negotiated for each year of the contract between the participating county and the department and shall be disbursed to participating counties monthly in arrears, upon enactment of the Budget Act. Monthly disbursements to the participating county at the beginning of each fiscal year shall be based on the preliminary allocation of funds issued by the department. The payments shall be based on appropriations made by the Legislature and monthly payments shall be adjusted to reflect reductions and deletions made by the Legislature. The department shall have the option to either terminate this agreement or amend the contract to reflect the reduced funding. The payments shall continue at the adjusted level until the negotiated contract is amended to reflect the final State Budget for the fiscal year and the final allocation to the counties.
(b)Where the State Department of Health Services adopts regulations for determining reimbursement of county alcohol and other drug program plan services allowable under the Medi-Cal program, those regulations shall be controlling only as to the rates for reimbursement of these services allowable under the Medi-Cal program and rendered to Medi-Cal beneficiaries.
(c)Participating counties shall report to the department any information required by the department in accordance with, but shall not exceed, any statutory restrictions, limitations, or conditions enacted by the Legislature, including the applicable Budget Act, or federal law and regulations.
(d)Absent a finding of fraud, abuse, or failure to achieve contract objectives, no restrictions, other than any contained in an executed negotiated net amount contract, a Drug Medi-Cal contract, and an approved county plan, whichever is applicable, shall be placed upon a county’s expenditure or retention of state General Fund funds received pursuant to this chapter, with the exception of state General Fund funds used as a match for Drug Medi-Cal federal financial participation.
(e)Unspent state General Fund moneys identified after a date specified in the contract shall be retained by the county and spent on identifiable drug and alcohol service priorities in accordance with the contract.
The terms of a negotiated net amount contract shall contain a provision defining and expanding upon dedicated capacity. At a minimum “dedicated capacity” shall be defined as a historically calculated service modality and service capacity that is adjusted for the projected expansion or reduction in services that the counties agree to make available to provide alcohol and other drug services to persons otherwise eligible for county services. The department shall base its contract negotiations on the availability of a mutually agreeable dedicated capacity.
(a)The department and counties shall calculate the negotiated net amount, for the purposes of Section 11758.20, by calculating the total budget for services less the amount of projected revenue. These net amounts for alcohol and other drug services shall be negotiated each fiscal year between the participating counties and the department and shall be disbursed to participating counties on a monthly basis.
(b)No contract shall become final until executed by both the participating county and the department. A contract shall be executed by September 30, and shall cover the fiscal year period from July 1 to June 30, inclusive. In the event the participating county or the department does not execute the contract by September 30, or in the event a contract is timely executed, but the county does not meet the performance requirements of the contract, the county shall be compensated for work performed upon submission by the county of a county plan in accordance with Section 11798.
(c)When a negotiated net amount contract is executed by the department, all participating government funding sources, except for the Medi-Cal program (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code) and federal funds, shall be bound to that amount as the cost of providing alcohol or other drug services, subject to meeting the performance requirements in the contract.
(a)Performance requirements shall be included within the terms of the negotiated net amount contract and shall include, at a minimum, all of the following:
(1)Provision for an adequate quality and quantity of service.
(2)Provision for access to services by persons residing within the contracting county.
(3)A provision requiring that all funds paid by the state for alcohol and other drug programs shall be used exclusively for the purpose for which the payment was made.
(4)A provision requiring that performance be in compliance with applicable state and federal laws, regulations, and standards.
(b)When a minimum required utilization level is measured to dedicated capacity, “dedicated capacity” shall be the available capacity based on historical data and department-approved projected expansion of a service modality identified in the contract.
(c)The terms of the contract shall include a provision that allows the department access to county and subcontractor financial and service records for the purpose of auditing the requirements in the contract and establishing the data necessary for prospective contract negotiations.
(d)The terms of the contract shall include a provision for resolution of disputed audit findings.
(a)A county with an executed negotiated net amount contract shall bear the financial risk in providing any alcohol or other drug services to the population described and enumerated in the executed contract within the net amount.
(b)The participating county shall not be precluded from subcontracting to purchase all or part of the delivery of alcohol and other drug services from noncounty providers.
(c)The participating county shall comply with Sections 11840 and 11840.1 to provide matching funds for programs and services.
(d)The participating county shall submit to the department statistical data, as required in the contract, and end-of-year cost data no later than 60 days after the close of the fiscal year.
The Legislature recognizes that state government’s role should be limited for several reasons including, but not restricted to:
(a)State government should intervene in the activities of individuals only where those individuals’ inappropriate use of alcoholic beverages and other drug use is likely to cause significant harm to other persons, families, or the community.
(b)The resources available to alleviate problems related to inappropriate alcohol use and other drug use are limited.
(c)Significant private resources, economic incentives, and voluntary actions of individuals and groups in the community are available and should be utilized and encouraged to preclude the necessity for governmental involvement.
(a)The Legislature finds that, in order to utilize effectively the limited state funds available for programs whose purpose is to alleviate the problems related to inappropriate alcohol use and other drug use and to overcome the barriers to their solution as described in Section 11760.1, the responsibility and authority for the encouragement of the planning for, and the establishment of, county-based programs and statewide alcohol and other drug projects be concentrated primarily in one state department.
(b)The Legislature further recognizes the department’s limited role in state government in trying to alleviate the problems related to inappropriate alcohol use and other drug use because of both of the following:
(1)The department’s limited budget and staff.
(2)The important role played by other state agencies in trying to alleviate the problems related to inappropriate alcohol use and other drug use.
(1)To provide referral and monitoring services for recipients of Supplemental Security Income in those counties that choose not to provide these services.
(2)
(3)
(c)The Legislature strongly encourages all counties to apply for funds under this part because of the seriousness of alcohol and other drug problems in California and the necessity for affirmative governmental involvement to help alleviate alcohol and other drug problems. However, the Legislature has chosen not to mandate that counties provide those services and programs. In the absence of local community control of the services and programs, the state shall not intervene to operate, directly or through contract, services and programs that the elected county board of supervisors has chosen not to provide to its constituents.
(b)Of the funds allocated to each county in accordance with Sections 11817.1, 11817.3, 11818, and 11840, the department shall allocate to each county the amount required by that county to carry out its local alcohol and other drug abuse program in accordance with the executed negotiated net amount contract or Drug Medi-Cal contract, as described in Section 11758.20, and the approved county plan, whichever is applicable.
Counties that receive funds shall prepare and submit a county plan, negotiated net amount contract, and Drug Medi-Cal contract, whichever is applicable, that shall include a budget of all funds allocated to the county by the department pursuant to this part, and shall report utilization of those funds in an annual cost report pursuant to subdivision (q) of Section 11755.
(1)Submit a county plan, including, but not limited to, a budget of all funds allocated to the county by the department.
(2)
(3)
(4)
(5)
(b)(1)Recommend to the board of supervisors the provision of services, establishment of facilities, contracting for services or facilities, and other matters necessary or desirable in accomplishing the purposes of this part.
(2)Exercise general supervision over the alcohol and other drug program services provided under the county plan, negotiated net amount contract, and Drug Medi-Cal contract, whichever is applicable.
(c)Assure
(d)(1)Provide reports and information periodically to the advisory board regarding the status of alcohol and other drug programs in the county and
keep the advisory board informed regarding changes in relevant state, federal, and local laws or regulations or improvements in program design and services that may affect the county alcohol and other drug program.
(2)
(e)
(f)Encourage the appropriate utilization of all other public and private alcohol and other drug programs and services in the county in coordination with the programs funded pursuant to this part.
(g)Coordinate the activities of the county alcohol and other drug program with appropriate health planning agencies pursuant to Chapter 5 (commencing with Section 11820).
(h)Assure
(i)Participate in the process to assure
(j)Participate in the regulations process pursuant to Chapter 8 (commencing with Section 11835).
(k)
(l)Provide for the orientation of the members of the advisory board, including, but not limited to, the provision of information and materials on alcohol and other drug problems and programs, planning, procedures, and site visits to local programs.
(m)
(b)Actual and necessary expenses for attendance at special meetings of the committees of the alcohol and drug program administrators called by the director shall be legally charged against any funds available for the administration of this section.
(d)Notwithstanding any other provision in this section, the director may reduce funding below the base year amounts of counties that underspend their allocation for two consecutive years by more than 5 percent. Any reduction shall be limited to the difference between 5 percent of the allocation and the total amount unspent. The amounts underspent shall be determined based on the most recent cost reports.
(c)As used in this section, “approved amended county plan” means a county plan amended by a county to describe the county’s proposed use of the additional or reduced funds available pursuant to this section, which plan is approved by the department.
(d)As used in this section, “executed negotiated net amount contract” or “amended Drug Medi-Cal contract” refers to a contract that is amended by a county to describe the county’s proposed use of the additional or reduced funds available pursuant to this section, which contract is approved by the department.
Alcohol and other drug service expenditures made by counties pursuant to this part shall be paid by the state pursuant to this part.
(3)Notwithstanding any other provision of law, during yearend settlements, the department may pay, from both state and federal funds, prior fiscal year allowable Medi-Cal costs incurred by June 30 of the prior fiscal year that exceed the amount timely encumbered in the prior fiscal year contract.
(a)(1)Alcohol and other drug abuse services allowable under the Medi-Cal program (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code) as approved by the department and the State Department of Health Services as qualified for financial participation under Title XIX of the federal Social Security Act (42 U.S.C. Sec. 1396 et seq.) shall be funded, notwithstanding Sections 11817.3, 11840, and 11840.1, at 100 percent of the state and federal cost by using the county’s existing state General Fund allocation, as appropriated in the department’s annual budget, to first fund the state’s portion of the allowable costs.
(2)For each fiscal year there shall be a separate state General Fund appropriation in Item 4200-101-0001 of the department’s annual budget for non-Drug Medi-Cal nonperinatal services. There shall also be an appropriation in Item 4200-102-0001 of the department’s annual budget for Drug Medi-Cal nonperinatal services.
(3)For each fiscal year there shall be a separate state General Fund appropriation in Item 4200-103-0001 of the department’s annual budget for Drug Medi-Cal perinatal services. Non-Drug Medi-Cal perinatal services shall be appropriated in Item 4200-104-0001 of the department’s annual budget.
(4)The department shall maintain a contingency reserve of unexpended state General Funds appropriated for Drug Medi-Cal allowable services pursuant to subdivision (e) of Section 14132.90 of the Welfare and Institutions Code.
(5)Unexpended moneys appropriated from the state General Fund for Drug Medi-Cal expenditures may be transferred for use by counties for non-Drug Medi-Cal expenditures. Unexpended moneys appropriated for Drug Medi-Cal expenditures may not be used to provide matching funds for federal financial participation.
(b)The intent of the Legislature in enacting this section is to provide a funding source for counties to establish alcohol and other drug abuse services without any increased costs to the state General Fund and at the same time not to require the county to provide additional matching funds in order for the county to use a portion of its state share of local drug programs Medi-Cal funds now available to counties without a required 10-percent match.
Whenever a county receives funds under a grant program for alcohol and other drug abuse services, as well as under the county plan, negotiated net amount contract, and Drug Medi-Cal contract, whichever is applicable, from either the federal or state government, or from any other grantor, public or private, and fails to include that grant program in the county plan, negotiated net amount contract, and Drug Medi-Cal contract, whichever is applicable, and alcohol and other drug program budget, the director shall not thereafter approve any, or provide, advance payment claims submitted by the county for state reimbursement under this part unless and until the county plan, negotiated net amount contract, and Drug Medi-Cal contract, whichever is applicable, and alcohol and other drug program budget has been reviewed to include that grant program and the revised county plan, negotiated net amount contract, and Drug Medi-Cal contract, whichever is applicable, and budget is approved by the director.
The department shall review each county’s executed negotiated net amount contract, Drug Medi-Cal contract, and approved county plan, whichever is applicable, to determine that it complies with the requirements of this part and with the standards adopted under this part.
The state department, with the approval of the Secretary of California Health and Human Services Agency, may contract with any public or private agency for the performance of any of the functions vested in the department by this chapter. Any state department is authorized to enter into a contract described in this section.
The following controlled substances are authorized for use in replacement narcotic therapy by licensed narcotic treatment programs:
(a)Methadone.
(b)Levoalphacetylmethadol (LAAM) as specified in paragraph (10) of subdivision (c) of Section 11055.
(c)Buprenorphine products or combination products approved by the federal Food and Drug Administration for maintenance or detoxification of opoid dependence.
(d)Any other federally approved controlled substances used for the purpose of narcotic replacement treatment.
(c)
It is the intent of the Legislature to enact statutory changes relating to the Budget Act of 2012.