COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health System

 

DATE:

September 29, 2010

BOARD MEETING DATE:

October 19, 2010

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

Jean Fraser, Chief of the Health System

Srija Srinivasan, Director, Strategic Operations

SUBJECT:

Seventh Amendment to the Agreement with the State of California’s Managed Risk Medical Insurance Board

 

RECOMMENDATION:

Adopt a Resolution authorizing the President of the Board to execute a Seventh Amendment to the Agreement with the State of California Managed Risk Medical Insurance Board to: maintain the current rate payments for the period of July 1, 2010 through September 30, 2010; extend the term of the Agreement from July 1, 2005 through June 30, 2010 to July 1, 2005 through September 30, 2010; and increase the contract amount by $95,240, for a maximum amount of $2,138,254.

 

BACKGROUND:

In December 2005 your Board executed an Agreement with the State of California’s Managed Risk Medical Insurance Board (MRMIB) establishing San Mateo County as the administrator of the County Children’s Health Initiative Program (C-CHIP), thereby giving the County access to federal funding through the County Health Initiative Matching Fund created through AB 495 (Diaz 2001). These matching federal funds allow local governments to provide comprehensive health insurance to children in families with incomes ranging from 250% to 300% of the Federal Poverty Level which do not qualify for Medi-Cal or Healthy Families. The San Mateo County Healthy Kids program was established in 2003 as the local C-CHIP.

 

In the past five years, your Board approved several Amendments to this Agreement and also authorized the Chief of the Health System to execute contract amendments which modify the contract services. In April 2010 the Chief approved the Sixth Amendment to this Agreement to adjust the established per-member per-month (PMPM) rates for the program.

 

DISCUSSION:

The C-CHIP rates are adjusted by the MRMIB on an annual basis. The MRMIB will maintain the current coverage rates for San Mateo County pursuant to the Government Code section 6254(y), the C-CHIP rates are kept confidential from the public records. Children’s Health Initiative (CHI) has approximately 350 children enrolled in the Healthy Kids program meeting eligibility criteria for the C-CHIP funds.

 

The Children’s Health Initiative received this Amendment in August 4, 2010, therefore, it will not be executed as of its start date of July 1, 2010. We are currently reviewing the proposed state budget for the current fiscal year and do not anticipate it to have any impact on the rates stated in this Amendment.

 

County Counsel has reviewed and approved the Amendment and Resolution as to form.

 

Approval of this Resolution and Agreement contributes to the Shared Vision 2025 outcome of a Healthy Community by providing funds to pay for health coverage for children. Eligible children must reside in San Mateo County and family income must fall within 250% and 300% of the Federal Poverty Level. It is anticipated that enrollment will change in FY 2010-11 because of an increase in lower income households qualifying for Medi-Cal.

 

Performance Measure(s):

Measure

FY 2009-10
Actual

FY 2010-11
Projected

Medi Cal *

17,444

17,618

Healthy Families

10,409

10,400

Healthy Kids

5,402

5,200

*Children enrolled in Full Scope No Share-of-Cost Medi-Cal only

 

FISCAL IMPACT:

This Amendment to the Agreement changes the maximum obligation from $2,043,014 to $2,138,254 in funding from the State for the County’s C-CHIP and extends the term of this Agreement from July 1, 2005 through June 30, 2010 to July 1, 2005 through September 30, 2010. This funding is included in the CHI FY 2010-11 Adopted Budget. Approval of this Amendment has no Net County Cost impact.