TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Sean deMetropolis, Fire Chief
1. SUBJECT
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Agreements with the California Department of Health Care Services, CalOptima, and Kaiser Foundation Health Plan Inc. for a one-time Intergovernmental Transfer for Fiscal Year 2025-2026.
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2. SUMMARY
Request for City Council approval to participate in a one-time Intergovernmental Transfer for the twelve-month period ending December 31, 2024, to access additional Federal Medicaid dollars to support unreimbursed care.
3. RECOMMENDED ACTION
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1. Approve the agreements with California Department of Health Care Services, CalOptima, and Kaiser Foundation Health Plan, Inc. in an amount not to exceed $850,000 representing approximately $627,111 in unreimbursed Medicare revenue plus a 20% administration fee, for a one-time Intergovernmental Transfer; and authorize the Mayor and City Clerk to execute on behalf of the City.
2. Authorize an advancement in an amount not to exceed $850,000 from the General Fund (100) to the California Department of Health Care Services.
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4. FISCAL IMPACT
The General Fund (100) will advance the Department of Health Care Services an approximate amount not to exceed $850,000; however, the City will receive a total approximate return of $1,379,644 which includes the initial advance and the City's share of unreimbursed Medicaid funds from the Intergovernmental Transfer revenue.
5. STRATEGIC PLAN GOALS
Goal 2: Enhance Economic Development and Achieve Fiscal Sustainability.
6. DISCUSSION AND BACKGROUND
An Intergovernmental Transfer (IGT) allows California's Medi-Cal managed care plans to partner with local government units to access additional federal Medicaid dollars to support unreimbursed care and provide health care services. Since the City provides ambulance transport services and has unreimbursed Medicaid expenses, it became eligible to participate in the IGT program in Fis...
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