Bill Text: IA SF504 | 2017-2018 | 87th General Assembly | Enrolled
Bill Title: A bill for an act relating to mental health and disabilities, including the funding of mental health and disability services by modifying the mental health and disability services property tax levy, providing for the expenditure and deposit of certain county hospital property tax revenues, requiring the use of specified excess cash flow funds, including certain law enforcement notification provisions, and including effective date and applicability provisions. (Formerly SSB 1187.) Effective 5-5-17.
Spectrum: Committee Bill
Status: (Passed) 2017-05-05 - Signed by Governor. S.J. 1137. [SF504 Detail]
Download: Iowa-2017-SF504-Enrolled.html
Senate File 504 - Enrolled
SENATE FILE
BY COMMITTEE ON WAYS AND
MEANS
(SUCCESSOR TO SSB
1187)
\5
A BILL FOR
\1
Senate File 504
AN ACT
RELATING TO MENTAL HEALTH AND DISABILITIES, INCLUDING
THE FUNDING OF MENTAL HEALTH AND DISABILITY SERVICES BY
MODIFYING THE MENTAL HEALTH AND DISABILITY SERVICES PROPERTY
TAX LEVY, PROVIDING FOR THE EXPENDITURE AND DEPOSIT OF
CERTAIN COUNTY HOSPITAL PROPERTY TAX REVENUES, REQUIRING THE
USE OF SPECIFIED EXCESS CASH FLOW FUNDS, INCLUDING CERTAIN
LAW ENFORCEMENT NOTIFICATION PROVISIONS, AND INCLUDING
EFFECTIVE DATE AND APPLICABILITY PROVISIONS.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
Section 1. Section 222.73, subsection 2, paragraph b, Code
2017, is amended to read as follows:
b. The per diem costs billed to each mental health and
disability services region shall not exceed the per diem costs
billed to the county region in the fiscal year beginning July
1, 1996 2016. However, the per diem costs billed to a county
may be adjusted for a fiscal year to reflect increased costs
to the extent of the percentage increase in the statewide per
capita expenditure target amount, if any per capita growth
amount is authorized by the general assembly for that fiscal
year in accordance with section 331.424A.
Sec. 2. Section 229.11, Code 2017, is amended by adding the
following new subsection:
NEW SUBSECTION. 1A. If a respondent is detained pursuant to
subsection 1, paragraph "b" or "c", the sheriff or the sheriff's
deputy that took the respondent into immediate custody may
inform the hospital or facility that an arrest warrant has been
issued for or charges are pending against the respondent and
may request the hospital or facility to notify the sheriff or
the sheriff's deputy about the discharge of the respondent
prior to discharge.
Sec. 3. Section 230.20, subsection 2, paragraph b, Code
2017, is amended to read as follows:
b. The per diem costs billed to each mental health and
disability services region shall not exceed the per diem costs
billed to the county region in the fiscal year beginning July
1, 1996 2016. However, the per diem costs billed to a mental
health and disability services region may be adjusted annually
to reflect increased costs, to the extent of the percentage
increase in the statewide per capita expenditure target amount,
if any per capita growth amount is authorized by the general
assembly for the fiscal year in accordance with section 426B.3.
Sec. 4. Section 331.391, subsection 4, Code 2017, is amended
by striking the subsection and inserting in lieu thereof the
following:
4. a. If a region is meeting the financial obligations
for implementation of its regional service system management
plan for a fiscal year and residual funding is anticipated,
the regional administrator shall reserve an adequate amount of
unobligated and unencumbered funds for cash flow of expenditure
obligations in the next fiscal year.
b. For fiscal years beginning July 1, 2017, July 1, 2018,
and July 1, 2019, that portion of each region's cash flow
amount either reserved in the combined account or reserved
among all separate county accounts under the control of the
governing board that exceeds twenty=five percent of the gross
expenditures from the combined account or from all separate
county accounts under control of the governing board in the
fiscal year preceding the fiscal year in progress shall be used
in whole or in part to fund the payment of services provided
under the regional service system management plan under section
331.393.
c. Each region shall certify to the department of management
on or before December 1, 2020, and each December 1 thereafter,
the amount of the region's cash flow amount in the combined
account that is attributable to each county within the region
based upon each county's proportionate amount of funding and
contributions to the region or other methodology specified in
the regional governance agreement or certify the cash flow
amount for each separate county account that is under the
control of the governing board at the conclusion of the most
recently completed fiscal year.
d. (1) For fiscal years beginning on or after July 1, 2021,
for each region having a population of one hundred thousand or
over, the region's cash flow amount shall not exceed twenty
percent of the gross expenditures from the combined account
or from all separate county accounts under control of the
governing board for the fiscal year preceding the fiscal year
in progress.
(2) For fiscal years beginning on or after July 1, 2021,
for each region having a population of less than one hundred
thousand, the region's cash flow amount shall not exceed
twenty=five percent of the gross expenditures from the combined
account or from all separate county accounts under control of
the governing board for the fiscal year preceding the fiscal
year in progress.
Sec. 5. Section 331.424A, subsection 1, Code 2017, is
amended by striking the subsection and inserting in lieu
thereof the following:
1. For the purposes of part 6 of division III of this
chapter, this section, and chapter 426B, unless the context
otherwise requires:
a. "Base expenditure amount" is an amount determined for
each county that is the lesser of the following amounts:
(1) The county's base year expenditures for mental health
and disabilities services, as defined in section 331.424A,
subsection 1, paragraph "a", Code 2017.
(2) The product of the statewide per capita expenditure
target amount multiplied by the county's population for the
fiscal year beginning July 1, 2017.
b. "Cash flow reduction amount" means the amount calculated
under subsection 4 and used to reduce a county budgeted amount
under subsection 9 for fiscal years beginning on or after July
1, 2021.
c. "County budgeted amount" means the amount calculated
under subsection 9 and certified for levy under subsection 6.
d. "County services fund" means a county mental health and
disabilities services fund created pursuant to this section.
e. "Population" means the population shown by the latest
preceding certified federal census or the latest applicable
population estimate issued by the federal government, whichever
is most recent and available as of July 1 of the fiscal year
preceding the fiscal year to which the funding calculations
apply.
f. "Region" means a mental health and disability services
region formed in accordance with section 331.389.
g. "Regional per capita expenditure target amount" means the
amount determined in subsection 8 for each region.
h. "Statewide per capita expenditure target amount" means
forty=seven dollars and twenty=eight cents.
Sec. 6. Section 331.424A, subsection 4, Code 2017, is
amended by striking the subsection and inserting in lieu
thereof the following:
4. a. An amount of unobligated and unencumbered funds,
as specified in the regional governance agreement entered
into by the county under section 331.392, shall be reserved
in the county services fund to address cash flow obligations
in the next fiscal year, subject to the limitations of this
subsection.
b. For fiscal years beginning July 1, 2017, July 1, 2018,
and July 1, 2019, that portion of each county's cash flow
amount reserved in the county services fund that exceeds an
amount equal to twenty=five percent of the gross expenditures
from the county services fund in the fiscal year preceding
the fiscal year in progress shall be used in whole or in part
to fund the county's financial obligations for the payment of
services provided under the regional service system management
plan under section 331.393.
c. Each county shall, as part of the financial report
required under section 331.403, certify the county's cash flow
amount in the county services fund at the conclusion of the
most recently completed fiscal year.
d. For each fiscal year beginning on or after July 1,
2021, of a county's cash flow amount maintained in the county
services fund or of the region's cash flow amount attributable
to the county under section 331.391, subsection 4, paragraph
"c", an amount equal to the county's cash flow reduction amount
shall be used to fund the county's financial obligations for
the payment of services provided under the regional service
system management plan under section 331.393.
e. For each fiscal year beginning on or after July 1, 2021,
each county's cash flow reduction amount shall be determined as
follows and shall result in a reduction of the county budgeted
amount determined pursuant to subsection 9:
(1) For each county located in a region having a population
of one hundred thousand or over, the county's cash flow
reduction amount equals the sum of the county's cash flow
amount in the county services fund plus the most recent amount
certified by the region for the county under section 331.391,
subsection 4, paragraph "c", minus twenty percent of the gross
expenditures from the county services fund in the fiscal year
preceding the fiscal year in progress. However, the cash flow
reduction amount shall not be less than zero and shall not
exceed the county budgeted amount determined under subsection 9
prior to any reduction resulting from the cash flow reduction
amount.
(2) For each county located in a region having a population
of less than one hundred thousand, the county's cash flow
reduction amount equals the sum of the county's cash flow
amount in the county services fund plus the most recent amount
certified by the region for the county under section 331.391,
subsection 4, paragraph "c", minus twenty=five percent of the
gross expenditures budgeted from the county services fund for
the fiscal year in progress. However, the cash flow reduction
amount shall not be less than zero and shall not exceed the
county budgeted amount determined under subsection 9 prior to
any reduction resulting from the cash flow reduction amount.
Sec. 7. Section 331.424A, subsections 6 and 7, Code 2017,
are amended to read as follows:
6. For each fiscal year, the county shall certify a levy
for payment of services. For each fiscal year, county revenues
from taxes imposed by the county credited to the county
services fund shall not exceed an amount equal to the county
budgeted amount of base year expenditures for mental health
and disability services for the fiscal year. A levy certified
under this section is not subject to the appeal provisions of
section 331.426 or to any other provision in law authorizing
a county to exceed, increase, or appeal a property tax levy
limit.
7. Appropriations specifically authorized to be made from
the mental health and disabilities county services fund shall
not be made from any other fund of the county.
Sec. 8. Section 331.424A, subsection 8, Code 2017, is
amended by striking the subsection and inserting in lieu
thereof the following:
8. For the fiscal year beginning July 1, 2017, the regional
per capita expenditure target amount is the sum of the base
expenditure amount for all counties in the region divided by
the population of the region. However, a regional per capita
expenditure target amount shall not exceed the statewide
per capita expenditure target amount. For the fiscal year
beginning July 1, 2018, and each subsequent fiscal year, the
regional per capita expenditure target amount for each region
is equal to the regional per capita expenditure target amount
for the fiscal year beginning July 1, 2017.
Sec. 9. Section 331.424A, Code 2017, is amended by adding
the following new subsection:
NEW SUBSECTION. 9. For the fiscal year beginning July 1,
2017, and each subsequent fiscal year, the county budgeted
amount determined for each county shall be the amount necessary
to meet the county's financial obligations for the payment
of services provided under the regional service system
management plan approved pursuant to section 331.393, not to
exceed an amount equal to the product of the regional per
capita expenditure target amount multiplied by the county's
population, and, for fiscal years beginning on or after July 1,
2021, reduced by the amount of the county's cash flow reduction
amount for the fiscal year calculated under subsection 4, if
applicable.
Sec. 10. Section 331.432, subsection 3, Code 2017, is
amended to read as follows:
3. Except as authorized in section 331.477, transfers
of moneys between the county mental health and disabilities
services fund created pursuant to section 331.424A and any
other fund are prohibited. This subsection does not apply to
appropriations made or the value of in=kind care and treatment
provided pursuant to section 347.7, subsection 1, paragraph
"c".
Sec. 11. Section 347.7, subsection 1, Code 2017, is amended
by adding the following new paragraph:
NEW PARAGRAPH. c. For the fiscal years beginning July
1, 2017, July 1, 2018, and July 1, 2019, if a county public
hospital is located in a county having a population of two
hundred twenty=five thousand or over and having a county
budgeted amount for the fiscal year under section 331.424A,
subsection 9, equal to the product of the regional per
capita expenditure target amount multiplied by the county's
population, as those terms are defined in section 331.424A, the
board of trustees shall appropriate for payment on July 1 of
each such fiscal year from the county public hospital fund to
the board of supervisors for deposit in the county services
fund created pursuant to section 331.424A, two million eight
hundred thousand dollars, and the county public hospital shall,
in each such fiscal year, contract with the county in which the
county public hospital is located to provide care and treatment
to patients who are residents of the county and whose costs for
such care and treatment would otherwise qualify for payment
from the county services fund under section 331.424A, in an
amount equal to three million five hundred thousand dollars.
Sec. 12. Section 426B.1, subsection 2, Code 2017, is amended
to read as follows:
2. Moneys shall be distributed from the property tax
relief fund to counties for the mental health and disability
regional service system for providing county base property tax
equivalent equalization payments and the per capita growth
amount established pursuant to section 426B.3 mental health and
disabilities services, in accordance with the appropriations
made to the fund and other statutory requirements.
Sec. 13. Section 426B.2, Code 2017, is amended to read as
follows:
426B.2 Property tax relief fund payments.
1. The director of human services shall draw warrants on the
property tax relief fund, payable to the county treasurer in
the amount due to a county in accordance with section 426B.3
statutory requirements, and mail the warrants to the county
auditors in July and January of each year.
2. As used in this chapter and in section 331.424A, for
purposes of population=based funding calculations, "population"
means the population shown by the latest preceding certified
federal census or the latest applicable population estimate
issued by the federal government, whichever is most recent and
available as of July 1 of the fiscal year preceding the fiscal
year to which the funding calculations apply.
Sec. 14. REPEAL. Section 426B.3, Code 2017, is repealed.
Sec. 15. COUNTY BUDGET RECERTIFICATION. If this Act takes
effect on or after March 15, 2017, notwithstanding section
24.17, for the fiscal year beginning July 1, 2017, a county may
recertify the county's budget as necessary to implement the
provisions of this Act. A budget recertified pursuant to this
section must be recertified in duplicate to the county auditor
not later than thirty days after the effective date of this
Act, and protests to the budget shall be filed not later than
ten days after the county's budget is recertified.
Sec. 16. MENTAL HEALTH AND DISABILITY SERVICES FUNDING ====
FISCAL VIABILITY REVIEW DURING 2018 LEGISLATIVE INTERIM. The
legislative council is requested to authorize a study
committee to analyze the viability of the mental health and
disability services funding provisions in this Act, including
the methodology used to calculate and determine the base
expenditure amount, the county budgeted amount, the regional
per capita expenditure target amount, the statewide per
capita expenditure target amount, and the cash flow reduction
amount. The study committee shall consist of five members of
the senate, three of whom shall be appointed by the majority
leader of the senate and two of whom shall be appointed by
the minority leader of the senate, and five members of the
house of representatives, three of whom shall be appointed by
the speaker of the house of representatives and two of whom
shall be appointed by the minority leader of the house of
representatives. The study committee shall meet during the
2018 legislative interim to make appropriate recommendations
for consideration during the 2019 legislative session in a
report submitted to the general assembly by January 15, 2019.
Sec. 17. WORKGROUP ==== MENTAL HEALTH, DISABILITY, AND
SUBSTANCE USE DISORDER SERVICES. The department of human
services shall convene a stakeholder workgroup to make
recommendations relating to the delivery of, access to, and
coordination and continuity of mental health, disability, and
substance use disorder services and supports for individuals
with mental health, disability, and substance use disorder
needs, particularly for individuals with complex mental
health, disability, and substance use disorder needs. The
workgroup shall be comprised of representatives from community
mental health centers, law enforcement agencies, the national
alliance on mental illness, the Iowa hospital association,
the judicial system, mental health and disability services
regions, substance abuse treatment providers, the department
of public health, and other entities as appropriate. The
report shall incorporate selected strategies from community
service plans submitted by the mental health and disability
services regions to the department of human services pursuant
to this Act to address services and supports for individuals
with mental health, disability, and substance use disorder
needs, particularly for individuals with complex mental health,
disability, and substance use disorder needs. The workgroup
shall submit a report with recommendations to the governor and
general assembly by December 15, 2017.
Sec. 18. REGIONAL WORKGROUP ==== MENTAL HEALTH AND DISABILITY
REGIONAL SERVICES.
1. The regional administrator of each mental health
and disability services region shall convene a stakeholder
workgroup to meet on a regular basis, beginning July 1, 2017,
to create collaborative policies and processes relating to
the delivery of, access to, and continuity of services and
supports for individuals with mental health, disability, and
substance use disorder needs, particularly for individuals with
complex mental health, disability, and substance use disorder
needs. Each region shall review resources currently available
including the reduction of mental health and disability
services fund balances and options for combining funding from
different sources, particularly funding available pursuant
to Tit. XIX of the federal Social Security Act, and shall
consider providing additional services and supports in their
own region or partnering with one or more regions to provide
additional services and supports to serve such individuals.
The workgroup shall be comprised of representatives from
hospitals, the judicial system, law enforcement agencies,
managed care organizations, mental health providers, crisis
service providers, substance abuse providers, the national
alliance on mental illness, and other entities as appropriate.
2. Each mental health and disability services region
shall submit a community service plan to the department of
human services by October 16, 2017. The plan shall include
planning and implementation time frames and assessment tools
for determining the effectiveness of the plan in achieving the
department's identified outcomes for success in the delivery
of, access to, and coordination and continuity of services and
supports for individuals with mental health, disability, and
substance use disorder needs, particularly for individuals with
complex mental health, disability, and substance use disorder
needs, and financial strategies to support the plan including
combined funding from different sources, particularly funding
available pursuant to Tit. XIX of the federal Social Security
Act. The plan shall address how mental health and disability
services regions will spend down mental health and disabilities
services fund balances remaining from the fiscal year ending
June 30, 2016.
3. The regional administrator of each mental health and
disability services region shall enter into a memorandum of
understanding with each of Iowa's managed care organizations
that delineates the roles and responsibilities of the region
and the managed care organizations in relation to the plan
developed by the region to address the services and supports
necessary to meet the needs of individuals with mental health,
disability, and substance use disorder needs, particularly
individuals with complex mental health, disability, and
substance use disorder needs.
4. In addition to the requirements specified in subsections
2 and 3, the eastern Iowa mental health and disability
services region shall consult with the department to complete
an analysis of the region's mental health, disability, and
substance use disorder service and support concerns and
identify funding opportunities to address such areas of concern
in the region, and shall include information in the region's
plan that includes the concerns, strategies to address the
concerns, and the budget.
5. The department shall submit a report to the governor
and general assembly by December 3, 2018, providing a summary
of services implemented by each mental health and disability
services region and an assessment of each region in achieving
the department's identified outcomes for success.
Sec. 19. SAVINGS PROVISION. This Act, pursuant to section
4.13, does not affect the operation of, or prohibit the
application of, prior provisions of law amended or repealed
by this Act, or rules adopted under chapter 17A to administer
prior provisions of law amended or repealed by this Act, for
fiscal years beginning before July 1, 2017.
Sec. 20. EFFECTIVE UPON ENACTMENT. This Act, being deemed
of immediate importance, takes effect upon enactment.
Sec. 21. APPLICABILITY. This Act applies to fiscal years
beginning on or after July 1, 2017.
JACK WHITVER
LINDA UPMEYER
W. CHARLES SMITH
TERRY E. BRANSTA
-1-
