REDIRECTION OF STATE HEALTH REALIGNMENT

With California electing to implement a state-run Medicaid Expansionafforded by the Affordable Care Act, the State anticipates thatcounties’ costs and responsibilities for the health care servicesfor the indigent population will decrease as much of this populationbecomes eligible for coverage through Medi-Cal or the Exchange. OnJune 27, 2013, Governor Brown signed into law AB 85 that provides a


mechanism for the State to redirect State health realignment fundingto fund social service programs.The redirected amount will be determined according to respectiveformula options for California’s twelve public hospital systemcounties, thirty-four County Medical Services Program (CMSP) counties,and the remaining twelve counties (Article 13 counties). The formulaoptions were developed in consultation with the counties and DHCS to


ensure continued viability of the county safety net. For CMSPcounties, AB85 outlines that 60% of health realignment that would haveotherwise been received will be redirected, while the remaining two



county groups will have an option to either have 60% of health


county groups will have an option to either have 60% of healthrealignment redirected, or, to use a formula-based approach that takesinto account a county’s cost and revenue experience, and redirect80% (70% in FY 13-14) of the savings realized by the countyAB 85 set forth a specific formula-based approach for the followinggroups of counties:THE ARTICLE 13 COUNTIES:_ _Fresno, Merced, Orange, Placer, Sacramento,


San Diego, San Luis Obispo, Santa Barbara, Santa Cruz, Stanislaus,Tulare and Yolo.THE PUBLIC HOSPITAL COUNTIES:_ _Alameda, Contra Costa, Kern, Monterey,Riverside, San Bernardino, San Francisco, San Joaquin, San Mateo,Santa Clara, and Ventura.Los Angeles County_, _although a public hospital county, has adistinct formula-based approach.






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REDIRECTION OF STATE HEALTH REALIGNMENT



With California electing to implement a state-run Medicaid Expansionafforded by the Affordable Care Act, the State anticipates that



counties’ costs and responsibilities for the health care services


counties’ costs and responsibilities for the health care servicesfor the indigent population will decrease as much of this populationbecomes eligible for coverage through Medi-Cal or the Exchange. OnJune 27, 2013, Governor Brown signed into law AB 85 that provides amechanism for the State to redirect State health realignment fundingto fund social service programs.The redirected amount will be determined according to respective


formula options for California’s twelve public hospital systemcounties, thirty-four County Medical Services Program (CMSP) counties,and the remaining twelve counties (Article 13 counties). The formulaoptions were developed in consultation with the counties and DHCS toensure continued viability of the county safety net. For CMSPcounties, AB85 outlines that 60% of health realignment that would haveotherwise been received will be redirected, while the remaining two


county groups will have an option to either have 60% of healthrealignment redirected, or, to use a formula-based approach that takesinto account a county’s cost and revenue experience, and redirect80% (70% in FY 13-14) of the savings realized by the countyAB 85 set forth a specific formula-based approach for the followinggroups of counties:THE ARTICLE 13 COUNTIES:_ _Fresno, Merced, Orange, Placer, Sacramento,


San Diego, San Luis Obispo, Santa Barbara, Santa Cruz, Stanislaus,Tulare and Yolo.THE PUBLIC HOSPITAL COUNTIES:_ _Alameda, Contra Costa, Kern, Monterey,Riverside, San Bernardino, San Francisco, San Joaquin, San Mateo,Santa Clara, and Ventura.Los Angeles County_, _although a public hospital county, has adistinct formula-based approach.








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