ADOPTED - AUGUST 24, 2010

                                                                                                                                                   Agenda Item No. 34

Introduced by the Human Services and Finance Committees of the:

INGHAM COUNTY BOARD OF COMMISSIONERS

RESOLUTION TO AUTHORIZE THE INTERGOVERNMENTAL TRANSFER OF INGHAM COUNTY FUNDS TO SUPPORT DSH PAYMENTS TO INGHAM REGIONAL MEDICAL CENTER AND SPARROW HEALTH SYSTEM

RESOLUTION #10-269

WHEREAS, Ingham County has an objective to assure access to appropriate levels of health care for Ingham County residents, with a goal of having all residents participating in an organized system of health care; and

WHEREAS, the Federal government has approved Michigan’s Medicaid State Plan Amendment TN No. 05-13, effective June 1, 2006, which created an “Indigent Care Agreements Pool” for hospitals qualifying for Medicaid Disproportionate Share (“DSH”) payments to receive DSH payments under the Indigent Care Agreements Pool so long as: (a) the hospital has an Indigent Care Agreement with a local health care entity, such as Ingham Health Plan Corporation; and (b) the Indigent Care Agreement stipulates that direct or indirect health care services be provided to low-income patients with special needs who are not covered under other public or private health care programs; and

WHEREAS, Ingham Health Plan Corporation purposes include promoting, organizing, managing and administering programs to create a system for providing or arranging and paying for health care services in a cost effective manner for persons unable to pay for such health care services; and

WHEREAS, Ingham Health Plan Corporation will enter into an Indigent Care Agreement with Ingham Regional Health Center and/or Sparrow Health System, requiring Ingham Health Plan Corporation to directly or indirectly operate a program of arranging and paying for health care to low-income individuals with special needs who are not covered under other public or private health care programs and who are unable to pay for such services; and

WHEREAS, both the Federal government and the State of Michigan participate in the financing of the Indigent Care Agreements Pool, with the Federal government matching the State’s portion pursuant to the Federal medical assistance percentage formula; and

WHEREAS, certain intergovernmental transfers of public funds from Ingham County may be made to the State of Michigan to be used as the State’s share in claiming the Federal match; and

WHEREAS, the Controller/Administrator and the Health Officer recommend that the Board of Commissioners authorize the intergovernmental transfer of up to $4.5 million from the appropriation to the Health Fund. 

THEREFORE BE IT RESOLVED, that the Ingham County Board of Commissioners authorizes the County Treasurer and the County Controller/Administrator to implement intergovernmental transfers of up to $4.5 million from the Health Fund to the State of Michigan for the purpose of contributing to Disproportionate Share Hospital payments made through the Indigent Care Agreements Pool to Ingham Regional Medical Center and Sparrow Health System.

                                                                                                                               ADOPTED - AUGUST 24, 2010

                                                                                                                                                   Agenda Item No. 34

RESOLUTION #10-269

BE IT FURTHER RESOLVED, that the intergovernmental transfers are authorized once the following conditions are in place:

‚ Ingham Regional Medical Center and/or Sparrow Health System have signed Indigent Care Agreement(s) with the Ingham Health Plan Corporation for the time period of October 1, 2010 through September 30, 2011.

‚  The State has indicated via the Michigan Department of Community Health website or another mechanism that Ingham Regional Medical Center and/or Sparrow Health System are eligible to receive Indigent Care Agreement-based DSH payments in the amount that would be supported by the Ingham County intergovernmental transfer.

‚ The Ingham Health Plan Corporation has executed an agreement with Ingham County to purchase administrative support services and an agreement with Ingham County to provide primary care services and outreach services.

BE IT FURTHER RESOLVED, that this Resolution shall be effective October 1, 2010 through September 30, 2011.

HUMAN SERVICES:  Yeas:  McGrain, Davis, Tennis, Nolan, Koenig, Vickers

 Nays:  None          Absent:  None      Approved 8/16/10

 FINANCE:  Yeas:  Grebner, Tennis, Bahar-Cook, Schor, Holman, Dougan

  Nays:  None                Absent:  None        Approved 8/18/10