Bill Text: MI SB0530 | 2017-2018 | 99th Legislature | Engrossed
Bill Title: Human services; county services; child care fund act; designate state as first payer and clarify reimbursable expenses. Amends sec. 117a of 1939 PA 280 (MCL 400.117a). TIE BAR WITH: SB 0529'17
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2018-02-15 - Assigned Pa 0022'18 With Immediate Effect [SB0530 Detail]
Download: Michigan-2017-SB0530-Engrossed.html
SB-0530, As Passed House, January 30, 2018
HOUSE SUBSTITUTE FOR
SENATE BILL NO. 530
A bill to amend 1939 PA 280, entitled
"The social welfare act,"
by amending section 117a (MCL 400.117a), as amended by 2017 PA 104.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 117a. (1) As used in this section and sections 117b to
117g:
(a) "County juvenile agency" means that term as defined in
section 2 of the county juvenile agency act, 1998 PA 518, MCL
45.622.
(b) "County juvenile agency services" means all juvenile
justice services for a juvenile who is within the court's
jurisdiction under section 2(a) or (d) of chapter XIIA of the
probate code of 1939, 1939 PA 288, MCL 712A.2, or within the
jurisdiction of the court of general jurisdiction under section 606
of the revised judicature act of 1961, 1961 PA 236, MCL 600.606, if
that court commits the juvenile to a county or court juvenile
facility under section 27a of chapter IV of the code of criminal
procedure, 1927 PA 175, MCL 764.27a. If a juvenile who comes within
the court's jurisdiction under section 2(a) or (d) of chapter XIIA
of the probate code of 1939, 1939 PA 288, MCL 712A.2, is at that
time subject to a court order in connection with a proceeding for
which the court acquired jurisdiction under section 2(b) or (c) of
chapter XIIA of the probate code of 1939, 1939 PA 288, MCL 712A.2,
juvenile justice services provided to the juvenile before the court
enters an order in the subsequent proceeding are not county
juvenile agency services, except for juvenile justice services
related to detention.
(c) "Donated funds" means any gifts of money made available to
the county child care fund for services for child welfare or
delinquency matters, including juvenile justice services.
(d) "Donor" means the entity, person, or persons providing the
donated funds.
(e) "Gross expenditure" means the total adjusted expenditures
included in a county's monthly expenditure report and submitted to
the department.
(f) "In-home care" means expenditure of child care fund money
for services and items listed in this section to be an alternative
to out-of-home care or to provide an early return home for a child
placed out of his or her home.
(g) "Juvenile detention facility" means a county-operated or
court-operated juvenile facility licensed or approved as a child
caring institution that houses and provides group care, shelter
care, or detention administered and staffed by county or court
employees.
(h) (c)
"Juvenile justice
service" means a service, exclusive
of judicial functions, provided by a county for juveniles who are
within or likely to come within the court's jurisdiction under
section 2 of chapter XIIA of the probate code of 1939, 1939 PA 288,
MCL 712A.2, or within the jurisdiction of the court of general
criminal jurisdiction under section 606 of the revised judicature
act of 1961, 1961 PA 236, MCL 600.606, if that court commits the
juvenile to a county or court juvenile facility under section 27a
of chapter IV of the code of criminal procedure, 1927 PA 175, MCL
764.27a. A service includes intake, detention, detention
alternatives, probation, foster care, diagnostic evaluation and
treatment, shelter care, or any other service approved by the
office or county juvenile agency, as applicable, including
preventive, diversionary, or protective care services. A juvenile
justice service approved by the office or county juvenile agency
must meet all applicable state and local government licensing
standards.
(i) "Out-of-home care" means placement outside of the
residence of the child's parent, legal guardian, or, except as
provided in this subdivision, relative where the child is found,
from which the child was removed by the authority of the court, or
in which the child will be placed on a permanent basis.
(j) "Technology and software" means risk and needs assessment
software or software directly related to treatment or services
provided within a reimbursable in-home care program. Technology and
software does not include the purchase of new equipment or
hardware, or maintenance of equipment or hardware for the
reimbursable in-home care program. Technology and software also
does not include new equipment cost, maintenance of equipment,
technology, or software used exclusively for general support for
the court.
(2) A juvenile justice funding system for counties that are
not county juvenile agencies, including a child care fund, is
established and shall be administered under the department's
superintending control.
(3) The department shall promulgate rules under the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328, to monitor juvenile justice services money and to prescribe
child care fund accounting, reporting, and authorization controls
and procedures and child care fund expenditure classifications. For
counties required to have a child care fund, the department shall
fund services that conform to the child care rules promulgated
under this act.
(4)
The department shall provide for the distribution of
distribute money appropriated by the legislature to counties for
the cost of juvenile justice services as follows:
(a) Payment for expenditures for children placed with the
department for care, supervision, or placement, including children
who are within the court's jurisdiction under section 2(a) and (b)
of chapter XIIA of the probate code of 1939, 1939 PA 288, MCL
712A.2, shall be paid by the department and reimbursed by the
county for all undisputed charges. Implementation of this
subdivision takes effect on October 1 of the fiscal year following
the appropriation to support new payment processes and the
implementation of technological changes to the statewide automated
child welfare information system.
(b) Payment for expenditures for children not placed with the
department for care, supervision, or placement, including children
who are within the court's jurisdiction under section 2(a) and (b)
of chapter XIIA of the probate code of 1939, 1939 PA 288, MCL
712A.2, shall be paid by a county and be reimbursed by the
department for all undisputed charges. Expenditures described in
this subdivision include the following:
(i) Direct expenditures for out-of-home care, including all of
the following:
(A) Salaries of county- or court-operated detention center,
shelter care, or group care facility specific employees, including,
but not limited to, all of the following:
(I) Management staff of a facility.
(II) Direct service staff of a facility.
(III) Mental health staff of a facility.
(IV) Support staff including clerical staff of a facility.
(V) Janitorial, maintenance, or ground staff of a facility, or
any combination of these.
(VI) Kitchen staff of a facility.
(VII) Security staff of a facility.
(VIII) Circuit court employees who support the child care fund
county- or court-operated detention center, shelter care, or group
care facility.
(B) Fringe benefits, including payroll taxes, medical, vision
and dental insurance, group life insurance, disability insurance,
accident insurance, health savings accounts, retirement
contributions, worker's compensation, and accrued severance
benefits of county- or court-operated detention center, shelter
care, or group care facility specific employees and circuit court
administration who administrate and support the child care fund
county- or court-operated detention center, shelter care, or group
care facility.
(C) Clothing for children.
(D) Food for children.
(E) Meals furnished to staff who are on duty at a county- or
court-operated detention center, shelter care, or group care
facility and assigned responsibilities for the supervision and care
of the youth during facility mealtime.
(F) Hygiene supplies for children, including shampoo, soap, or
toothpaste.
(G) Education costs for children who are temporary residents
in a county- or court-operated detention center, shelter care, or
group care facility and for whom attendance in a public school
system or local education agency is not an option.
(H) Utilities of a county- or court-operated detention center,
shelter care, or group care facility, including water, gas,
electric, trash, and sewer.
(I) Janitorial supplies of a county- or court-operated
detention center, shelter care, or group care facility.
(J) Kitchen supplies of a county- or court-operated detention
center, shelter care, or group care facility.
(K) Laundry supplies or service of a county- or court-operated
detention center, shelter care, or group care facility.
(L) Linen supplies or service of a county- or court-operated
detention center, shelter care, or group care facility, including
towels and bedding.
(M) Office supplies that are dedicated solely to the county-
or court-operated detention center, shelter care, or group care
facility.
(N) Cellular telephones, landline telephones, and 2-way radios
used for communication that are dedicated solely to the county- or
court-operated detention center, shelter care, or group care
facility.
(O) Copy machine charges that are dedicated to the county- or
court-operated detention center, shelter care, or group care
facility.
(P) Mattress, box spring, or bed frame used in a county- or
court-operated detention center, shelter care, or group care
facility.
(Q) Medical, dental, psychological, and psychiatric services,
including medication, for children who are not covered by another
source which services are not to determine competency.
(R) Periodicals and books of a county- or court-operated
detention center, shelter care, or group care facility.
(S) Recreational supplies, programs, and television in a
county- or court-operated detention center, shelter care, or group
care facility.
(T) Training for child care fund-funded staff and in-service
education directly related to the out-of-home program, excluding
tuition grants or scholarships for college credit.
(U) Mileage reimbursement rate costs for transporting children
of a county- or court-operated detention center, shelter care, or
group care facility. Mileage reimbursement rates used must adhere
to the county or tribe published rates. Mileage reimbursement rates
cover all costs of operating a vehicle, including maintenance,
repairs, taxes, gas, insurance, and registration fees.
(V) Drug testing for children.
(W) Birth certificates for children.
(X) Incentives for youth.
(Y) Interpreter fees for nonjudicial processes.
(Z) Printing, binding, and postage for materials relating to
the education or correspondence relating to children in the county-
or court-operated detention center, shelter care, or group care
facility.
(AA) Membership dues or fees for professional credential
maintenance of staff who provide or support a service to children
under the child care fund, or professional staff for whom
professional licensure is required in their respective job
description.
(BB) Contracted personnel, programming, or services, or any
combination of these.
(CC) Nonscheduled payments.
(DD) New services that the department may agree with counties
and tribes to include that are not identified in this section that
support eligible children and families.
(ii) Administrative or indirect expenditures for out-of-home
care. An administrative or indirect cost payment equal to 10% of a
county's total monthly gross expenditures will automatically be
distributed to the county on a monthly basis. A county is not
required to submit documentation to the department for any of the
expenditures that are covered under the 10% payment.
(iii) Direct expenditures for in-home care, including the
following:
(A) Salaries of circuit court employees who support the child
care fund in-home care program.
(B) Fringe benefits, including payroll taxes, medical and
dental insurance, group life insurance, disability insurance,
accident insurance, health savings accounts, retirement
contributions, and accrued severance benefits of circuit court
employees who support the child care fund in-home care program. For
a county that receives the juvenile court officer grant and the
appointed juvenile court officer works within an approved program,
the proportional fringe benefits for the juvenile court officer may
be reimbursable.
(C) Mileage reimbursement rate costs associated with the child
care fund in-home care program. Mileage reimbursement rates used
must adhere to the county or tribe published rates. Mileage
reimbursement rates cover all costs of operating a vehicle,
including maintenance, repairs, taxes, gas, insurance, and
registration fees.
(D) Program supplies and materials, including, but not limited
to, all of the following:
(I) Program-specific supplies, including risk or needs
assessments, recognition plaques, and educational or program
licenses.
(II) Office supplies related to program activities and pro-
social activities.
(III) Food related to program activities and pro-social
activities.
(IV) Drug test kits.
(V) Tethers and other forms of electronic monitoring.
(E) Other costs, including all of the following:
(I) Cellular telephones and other safety tracking technology
for child care fund-funded staff.
(II) Training for child care fund-funded staff and in-service
education related to the in-home care component, excluding tuition
grants or scholarships for college credit.
(III) Education costs for children who are prohibited from
school attendance in a public school system or the local education
agency or have severe educational issues and have been court
ordered into a child care fund-funded educational program.
(IV) Printing, binding, or postage for materials relating to
the education or correspondence on behalf of children in the in-
home care program.
(V) Membership dues or fees – professional credential
maintenance of staff who provide or support a service to children
under the child care fund or professional staff for whom
professional licensure is required in their respective job
descriptions.
(VI) Business cards.
(F) Other program-specific activities costs, including
entrance fees for programs.
(G) Conference travel costs for other non-child-care-fund-
related training, including evidence-based and promising practices
training.
(H) Contracted personnel, programming, or services, or any
combination of these.
(I) Unit cost contracts, including all of the following:
(I) Contracted - drug testing – lab (per "drug test" basis).
(II) Contracted - counselor fees – (per "hour" basis).
(III) Contracted - group session dollar per session (per
"session" basis). Group roster documentation required.
(IV) Contracted - psychological evaluations, excluding
competency examinations – (per "evaluation" basis).
(V) Contracted - service providers (per "service" basis).
(J) Closed-end contracts. Closed-end contracts include, but
are not limited to, all of the following:
(I) University contracts, including "program evaluation".
(II) Private agency services contracts.
(III) Educational services contracts.
(IV) Court appointed special advocate (CASA) and wraparound
contracts.
(V) Other contracts identifiable to the program.
(K) Nonscheduled payments or case services payments. A
nonscheduled payment is a payment to an individual or organization
for items specified and defined in the child care fund handbook
that are not included in the state-established per diem rate. A
nonscheduled payment may include the following list:
(I) Emergency costs, including immediate food, clothing,
medical, or dental needs that are not covered by another source.
(II) Gymnasium or other pro-social activity requiring a
membership per child related to program activities.
(III) Rewards or incentive pay for youth related to program
activities.
(IV) Bus tokens or gas cards related to program activities.
(V) Mentor costs - meals, mileage, movies, or social costs
related to program activities.
(VI) Noncontracted service provider related to program
activities.
(VII) Noncontracted group session related to program
activities.
(VIII) Noncontracted psychological evaluations, excluding
competency examinations.
(IX) Family assessment or evaluations.
(X) Noncontracted counselor fees.
(XI) Noncontracted drug testing – labs.
(XII) Camps or field trips.
(XIII) Birth certificates for children.
(L) New services that the department may agree with counties
and tribes to include that are not identified in this section that
support eligible children and families.
(M) Technology and software.
(iv) Administrative or indirect expenditures for in-home care.
An administrative or indirect cost payment equal to 10% of a
county's total monthly gross expenditures will automatically be
distributed to the county on a monthly basis. A county is not
required to submit documentation to the department for any of the
expenditures that are covered under the 10% payment.
(c) (a)
For a county that is not a county juvenile agency, the
The county amount distributed shall equal 50% of the annual
expenditures from the child care fund of the county established
under section 117c, except that expenditures under section 117c(3)
and expenditures that exceed the amount of a budget approved under
section 117c shall not be included. A distribution under this
subdivision shall not be made to a county that does not comply with
the
requirements of this act. The Subject
to a county's approval,
the department may reduce the amount distributed to a county by the
amount owed to the state for care received in a state operated
facility or for care received under 1935 PA 220, MCL 400.201 to
400.214, or under the youth rehabilitation services act, 1974 PA
150,
MCL 803.301 to 803.309. The distribution may be reduced by the
amount
of uncontested liability.
(d) (b)
For a county that is a county
juvenile agency, the a
county's block grant amount as determined under section 117g in
equal distributions on October 1, January 1, April 1, and July 1 of
each state fiscal year.
(e) (c)
Notwithstanding the provisions in
subdivision (a),
subject to appropriations, until September 30, 2018, the department
shall pay 100% of the costs of the $9.20 increase to the
administrative rate for providers of foster care services provided
in the annual appropriation for the department budget. For the
purposes of this subdivision only, "foster care" means 24-hour
substitute care for children placed away from their parents or
guardians, as a result of a court order under section 2(b) of
chapter XIIA of the probate code of 1939, 1939 PA 288, MCL 712A.2,
in placements supervised by the department or a private child
placing agency under contract with the department for foster care
services. Foster care services include supervision of placements in
foster family homes, foster family group homes, and preadoptive
placements.
(f) (d)
Notwithstanding the provisions of
subdivision (a),
(c), until September 30, 2018, the department shall pay 100% of the
administrative rate for providers of treatment foster care services
and foster care services provided in the annual appropriation for
the department budget. For the purposes of this subdivision only,
"foster care" means 24-hour substitute care for children placed
away from their parents or guardians, as a result of a court order
under section 2(b) of chapter XIIA of the probate code of 1939,
1939 PA 288, MCL 712A.2, in placements supervised by the department
or a private child placing agency under contract with the
department for foster care services. Foster care services include
supervision of placements in foster family homes, foster family
group homes, treatment foster care, preadoptive placements, and
supervision of children reunified with the parent with whom the
child lived at the time of removal.
(g) (e)
Notwithstanding the provisions in
subdivision (a),
(c), until September 30, 2018, the department shall pay 100% of the
costs of any rate increase to the providers of residential foster
care services under contract with the department, as provided in
the annual appropriation for the department budget.
(h) (f)
Notwithstanding the provisions in
subdivision (a) (c)
and subject to appropriations, in a county with a population of not
less than 575,000 or more than 650,000, for the purpose of this
subdivision only for cases transferred by the department to a child
placing agency, the department shall pay 100% of the administrative
rate to providers responsible for foster care case management
services to families of children who are court-ordered into foster
care due to child abuse or child neglect and placed in the care and
supervision of the department, regardless of placement setting
until
the prospective payment system described in subdivision (g)
(i) is implemented. This subdivision does not apply after May 1,
2018.2019.
(i) (g)
Notwithstanding the provisions in
subdivision (a) (c)
and subject to appropriations, the department shall implement a
prospective payment system as part of a state-administered
performance-based child welfare system in a county with a
population of not less than 575,000 or more than 650,000, for
foster care case management in accordance with section 503 of
article X of 2014 PA 252. The county is only required to contribute
to foster care services payments in an amount that does not exceed
the average of the annual net contribution made by the county for
cases received under section 2(b) of chapter XIIA of the probate
code of 1939, 1939 PA 288, MCL 712A.2, in the 5 previous fiscal
years before October 1, 2015. The prospective payment system as
part of the state-administered performance-based child welfare
system shall be implemented as described in this subdivision but
shall not include in-home care service funding. This subdivision
does
not apply after May 1, 2018.2019.
(j) (h)
Subdivisions (f) (h) and
(g) (i) only impact child
abuse and child neglect services and not juvenile justice program
funding.
This subdivision does not apply after May 1, 2018.2019.
(5) The purposes for which funding under this section shall be
distributed as provided under subsection (4) may be allowed unless
otherwise accessible and available by other public assistance
programs necessary to achieve the goals and outcomes for in-home
care or out-of-home care. Reimbursement shall not be made for costs
associated with an otherwise eligible child or family, or both, if
the reason for the unavailability of public assistance is due to
intentional program violations and disqualification of any public
assistance.
(6) All service providers shall submit a request for payment
within 1 calendar year of the date of service. A request for
payment submitted after 1 calendar year from the date of service
requires the provider to submit an exception request to the county
or the department for approval or denial.
(7) The county or the department is not subject to an offset,
chargeback, or reimbursement liability when a child care fund cost
is approved by the county or the department for payment after 1
year from the date of service.
(8) The county is not subject to an offset, chargeback, or
reimbursement liability for prior expenditures resulting from an
error in foster care fund source determinations.
(9) (5)
The department is liable for the
costs of all juvenile
justice services in a county that is a county juvenile agency other
than county juvenile agency services.
(10) (6)
The department shall establish
guidelines for the
development of county juvenile justice service plans in counties
that are not county juvenile agencies.
(11) (7)
A county that is not a county
juvenile agency and
receives state funds for in-home or out-of-home care of children
shall submit reports to the department at least quarterly or as the
department otherwise requires. The reports shall be submitted on
forms provided by the executive director and shall include the
number of children receiving foster care services and the number of
days of care provided.
(12) (8)
The department shall maintain a
reporting system
providing
that reimbursement under subsection (4)(a) (4)(c) shall
be made only on submission of billings based on care given to a
specific, individual child.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.
Enacting section 2. This amendatory act does not take effect
unless Senate Bill No. 529 of the 99th Legislature is enacted into
law.
