RD296 - Annual Report: Civil Monetary Penalty (CMP) Funds FY2020 – October 1, 2020
In 2020, the Department of Medical Assistance Services (DMAS) used Civil Monetary Penalty (CMP) funds to provide residents of 195 nursing facilities in the Commonwealth with communicative technology in response to the COVID-19 pandemic. The technology allows residents of nursing facilities to communicate with their families and to attend telehealth visits with outside providers. This initiative followed guidance from the Center for Medicare & Medicaid Services (CMS) for infection control and prevention in nursing facilities in response to COVID-19.
DMAS, with permission from CMS, postponed the regular 2020 CMP cycle because of COVID-19. Prior to the postponement, the agency received 16 cover letters and six full applications to use CMP funds for special projects. DMAS is holding these for review until the 2021 CMP cycle.
Ongoing projects, funded in previous cycles, continued to operate on schedule until the onset of COVID-19. The majority of projects experienced interruptions to project activities during the last quarter of the state fiscal year (SFY). Of the eight projects receiving ongoing funding, four were scheduled to conclude by the end of SFY 2020. Two of these projects signed amended contracts to extend their work through December of 2020 with no additional funding. The other two projects successfully completed their activities as planned. The remaining four projects are not scheduled to conclude until the end of SFY 2021.
On July 1, 2019, the CMP Fund was at $11,059,064. During the year, nursing facility penalty payments received totaled $2,016,636. DMAS spent most of the FY20 appropriation on special projects. This resulted in the CMP Fund having an end of year balance of $12,045,279. The 2020 General Assembly increased the appropriation authority to $1,320,000 for SFY 2021, allowing DMAS to further expand the program.