RD523 - Annual Report Civil Money Penalty Reinvestment Program (CMPRP) Funds – October 2024


Executive Summary:

In State Fiscal Year (SFY) 24, the Department of Medical Assistance Services (DMAS), with approval from the Centers for Medicare and Medicaid Services (CMS), continued administration of the Civil Money Penalty Reinvestment Program (CMPRP) overseeing the activities and funding of special projects to improve quality of care and quality of life for residents of nursing facilities (NFs) in the Commonwealth.

Projects active in SFY24 include those approved by CMS in previous SFYs as well as the CMS initiatives launched in response to COVID-19. However, due to a program pause and changes to the program at the federal level, DMAS did not initiate any new contracts in SFY23 for projects beginning in SFY24.

CMP Reinvestment projects may be awarded funds for up to three (3) years. Funding past the first year is contingent upon results and deliverables. During SFY24, eleven previously approved projects continued activities improving the quality of life for individuals residing in Virginia’s NFs. Two of the eleven projects concluded during SFY24, and two projects were approved by the agency for no-cost extensions. Approximately 155 of Virginia’s 289 NFs (about 54%) participated in at least one CMPRP project in SFY24.

Expenditures during SFY24 include funds spent on active projects, project invoices from previous fiscal years paid in the current fiscal year, and costs associated with administering the program.

On July 1, 2023, the CMP Fund was $13,666,534. During the year, NF penalty payments received totaled $1,325,275. Fund expenditures totaled $1,848,288. Net accounts payable accruals to clear in SFY25 totaled $53,492. This resulted in a year-end balance of $13,090,029 in the CMP Fund.