RD522 - Annual Report: Civil Money Penalties Reinvestment Program (CMPRP) Funds- FY2023 – October 20, 2023


Executive Summary:

In State Fiscal Year (SFY) 2023, the Department of Medical Assistance Services (DMAS), with approval from the Centers for Medicare & Medicaid Services (CMS), requested applications for the use of Civil Monetary Penalties (CMP). Ongoing projects funded in previous cycles continued project activities. In addition, CMS continued to allow states the ability to use CMP funds in response to the COVID-19 pandemic for special projects including In-Person Visitation Aids, Personal Fans, and Air Cleaners. This initiative helps ease the adverse effects of COVID-19 on the highly impacted individuals in nursing facilities (NFs).

From January through February 2022, the SFY 2023 application cycle began with soliciting projects from qualified applicants. DMAS received seventeen complete applications by the February 28, 2022 deadline. The applications were reviewed and forwarded to CMS for final funding determination for the SFY 2023 cycle.

On July 1, 2022, the CMP Fund was at $14,578,107 with an appropriation to spend $2,310,000 on special projects. During the year, NF penalty payments received totaled $828,662. Fund expenditures totaled $1,874,949. This resulted in the CMP Fund having an end-of-year balance of $13,531,821.

Expenditures during the SFY include funds for newly approved projects, ongoing projects approved in previous cycles, the CMS-approved COVID-19 initiative, and costs associated with administering CMP Reinvestment funds. No funds were used for the quality improvement program as that program was still under development in SFY 2023.