HD28 - A Report on the Progress of Increasing Medicaid Utilization for Comprehensive Services Act Services


Executive Summary:
In 1997, the Joint Legislative Audit and Review Commission (JLARC) published its "Review of the Comprehensive Services Act". This report made a number of recommendations for the improvement of the CSA. One recommendation urged the use of Medicaid funding to serve children whose placements were in facilities and programs for which Medicaid payment could be made. In this way, federal matching funds could be obtained for services currently funded from state and local funds. As a result of the JLARC report, the 1998 Appropriations Act directed the Department of Medical Assistance Services to add two services to the State Plan for Medical Assistance: Treatment Foster Care and Residential Treatment. Medicaid coverage of these two services became effective January 2000.

Since inception in January 2000, a total of $232.4 million in residential treatment and treatment foster care services have been paid. ($173.8 million in residential and $58.6 million in treatment foster care). These amounts represent Medicaid payments through August 2004.

Medicaid Payments by Fiscal Year (cash basis)
Chart 1
......................2000.......2001.....2002.....2003.....2004.....2005
Amt(mill $).......$4.6......$46.1....$51.2.....$60.3....$58.4....$11.8
% Change....Note 1.....Note 1....11.1%....17.8%...-3.2%....Note 2

Note 1: As FY2000 represents 6 months of service, the percentage change comparing FYOO to FYO1 is not applicable.
Note 2: Represents Medicaid payments through August 2005 (2 months)