RD658 - Annual Report Civil Money Penalty Reinvestment Program (CMPRP) Funds – October 2025


Executive Summary:

In State Fiscal Year (FY) 2025, 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. In addition to the CMPRP, DMAS sought and gained approval from CMS to use CMP reinvestment funds to carry out training opportunities for nursing facility staff under the Nursing Facility Quality Improvement Program (NFQIP).

Activities at the federal level have directly impacted CMPRP projects and the NFQIP in Virginia over the last three FYs. Most recently, CMS did not approve and project proposals or continuations between January and June 2025. Projects approved prior to January 2025 were not impacted directly, but the annual solicitation for new projects was delayed. The federal pause and restructuring of the program in FY23 and FY24 did directly impact projects that began activities in FY25. These projects were held to different funding parameters than those previously awarded funds.

Specifics about these parameters can be found in last year’s report(*i). This is reflected in the smaller budget and scope of projects funded after the new guidance in the list of projects below. The revisions to the program also impacted the timeline and framework of Nursing Facility Quality Improvement Program (NFQIP) to be designed and implemented by DMAS in alignment with P. 4 of Item 292. The larger program now comprises a series ofsmaller training projects with staggered starts due to changes in allowable uses and the CMS approvals process.

On July 1, 2024, the CMP Fund was $13,090,029.26. During the year, NF penalty payments received totaled $1,870,203.79. Fund expenditures totaled $1,041,357.87.

Net accounts payable accruals to clear in SFY26 totaled ($78,404.02). Thisresulted in a year-end balance of $13,840,471.16 in the CMP Fund.