Item Coversheet
Brunswick County Board of Commissioners
ACTION AGENDA ITEM
December 4, 2017

Action Item # VIII. - 4.

From:
David Stanley

Health and Human Servies - Health Services - Medicaid Cost Settlement

Issue/Action Requested:
Request that the Board of Commissioners review and approve the final Medicaid Cost Settlement and authorize staff to issue payment to the Office of the Controller (DHHS) in the amount of $184,402.00.
Background/Purpose of Request:

On 8/20/2014, the North Carolina Department of Health and Human Services, Division of Medical Assistance (DMA) issued a cost settlement letter to Brunswick County for Fiscal Year 2012-2013.  The amount to be received from this settlement was $635,070.00.  Shortly thereafter, the state informed local health departments that the methods of calculating cost settlements had changed and that the amount owed by each health department through settlement payback would increase dramatically.  To help mitigate the impacts of such a substantial decrease to local health departments, the state issued a one-time settlement offset payment.  As such, on 10/26/2016, the state awarded Brunswick County $212,569.33.  Combined with the original settlement amount of $635,070.00, Brunswick County's new settlement amount is now $847,639.33.  This amount was received in payment by Brunswick County on 10/26/2016.

 

On 8/17/2017, Brunswick County was informed that DMA had finished its "desk audit" for the FY12/13 settlement, and Brunswick County owed $263,133.00 in payback moneys.  Health Services staff immediately began the process of appealing this payback amount with DMA.  As of the attached letter and supporting documents, dated 11/6/2017, Brunswick County now owes $184,402.00.  Staff recommends that the Board authorize payment of the full $184,402.00.

Fiscal Impact:
Budget Amendment Required, Reviewed By Director of Fiscal Operations
Budget amendment is to appropriate $184,402 for a portion of  Fund Balance - Health Escrow funds received in FY 12/13.
Approved By County Attorney:
Yes
County Attorney's Recommendation:
Advisory Board Recommendation:
Not applicable
County Manager's Recommendation:
Recommend that the Board of Commissioners review and approve the final Medicaid Cost Settlement and authorize staff to issue payment to the Office of the Controller (DHHS) in the amount of $184,402.00.
ATTACHMENTS:
Description
DMA Cost Settlement Letter and Supporting Docs
20171204 Budget Amendment Medicaid Cost Settlement.pdf