2001 - Saginaw County

Board of Commissioners March 27, 2001
WHEREAS, The Michigan Department of Community Health (MDCH) has
reduced funding to Community Mental Health Service Programs
(CMHSPs) state wide by $31 million annually and has stated that
the reason for the reduction was a calculation error; and,
WHEREAS, The Saginaw County Community Mental Health Authority
Board has been impacted by a reduction of Medicaid funding this
fiscal year of $329,958 and on a full year basis this amount will
increase to $439,944; and,
WHEREAS, The reductions have been implemented by MDCH effective
with the January 2001 Medicaid capitation payment; and,
WHEREAS, The current year line item appropriation of state funding
from the legislature that supports Medicaid funding at the level
prior to the reduction, including the anticipated funding growth
to the CMHSPs, is adequate to avoid the "Spend Down" funding
reduction; and,
WHEREAS, The Upper Payment Limit on Medicaid funds approved in the
State Medicaid Waiver Plan by the Health Care Financing
Administration has not been reached; and,
WHEREAS, MDCH, in a class response to all of the CMHSPs across the
State of Michigan on 1/29/01, including SCCMHA, indicated that
they did not see the funding reduction as a contract violation;
and,
WHEREAS, The SCCMHA Board of Directors does not consider this MDCH
response accurate nor appropriate; and,
WHEREAS, The SCCMHA Board of Directors further believes that the
funding reduction will greatly impair the organization's ability
to respond appropriately to the needs of citizens in Saginaw
County with serious and persistent mental illness, children with
severe emotional impairments and persons with developmental
disabilities and their families; and,
WHEREAS, The SCCMHA is currently being funded at 62% of the state
funding average compared to other CMHSPs, further challenging the
Authority's ability to meet the needs of the community; and,
WHEREAS, The number of Medicaid eligible persons in our County
ranks Saginaw CMHA as one of the largest Managers of Medicaid
services in the mid Michigan region with an average of 34,000
Medicaid eligible citizens but with the lowest level of funding
for its size; and,
WHEREAS, Although the Saginaw County Community Mental Health
Authority is a free standing governmental entity separate from the
Saginaw County Board of Commissioners, who created the Authority
in 1997; and,
WHEREAS, The Saginaw County Board of Commissioners has no direct
responsibility for the Authority's governance nor operations but
does continue to represent the interests of all Saginaw County
citizens including those with disabilities.
NOW, THEREFORE, BE IT RESOLVED, The Saginaw County Board of
Commissioners supports the protest of the Saginaw County Community
Mental Health Authority to the Michigan Department of Community
Health regarding the recent funding reductions tied to Medicaid
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