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Meeting Date:
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2/23/2010 - 7:30 PM
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Category:
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Untitled
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Type:
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Action
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Subject:
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14.12 Approve increase of contract amount between Mt. Diablo Unified School District (MDUSD) and Paradigm HealthCare Services, Inc. for the 2009/10 school year.
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LCAP (Local Control Accountability Plan) Goal:
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Enclosure
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File Attachment:
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Summary:
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The California Department of Health Care Services (DHCS) has recently increased reimbursements to school districts in the process of correcting an error pertaining to the service reimbursement rates for Medi-Cal. Since 2006, the wrong reimbursement rates were being used. DHCS is now retroactively applying the higher reimbursement rates to past paid claims and sending out reimbursement checks to all Local Educational Agencies (LEA). In addition to the increase in Medi-Cal reimbursement mentioned above, the Federal Medical Assistance Percentage (FMAP) was increased due to the increase in unemployment in California. This also results in an increase in federal match reimbursement. These corrections result in additional revenue for the District.
MDUSD has a contract with Paradigm HealthCare Services, Inc. (Paradigm) to prepare and submit Medi-Cal claims to DHCS for the reimbursement of health care services provided by MDUSD as a Local Education Agency (LEA). The cost of their service is calculated monthly by taking the approved Medi-Cal reimbursements and adjustments for the month and multiplying the amount by 11%. The monthly invoices are paid against the incoming revenue from Medi-Cal reimbursements; therefore, the costs of these services are cost neutral.
The 2009/10 contract was first approved by the Board on 5/26/09 for $31,000. Since MDUSD is now receiving additional Medi-Cal reimbursements, there has been an increase in cost for Paradigm services. On October 13, 2009 the Board approved a $31,000 contract increase to cover the additional cost. Since then MDUSD has received more additional reimbursements than had previously been anticipated; therefore the cost for Paradigm services is higher. Staff requests an additional increase of $38,000 to cover the cost. This will bring the total Paradigm contract to $100,000
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Funding:
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Medi-Cal (California’s Medicaid Program). Program Code: 3091.
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Fiscal Impact
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There is no impact to the General Fund.
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Recommendation:
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Approve increase in contract amount as presented.
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Approvals:
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Recommended By:
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Signed By:
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Mildred Browne - Assistant Superintendent
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Signed By:
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Steven Lawrence - Superintendent
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Vote Results:
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| Original Motion | | Member Linda Mayo Moved, Member Gary Eberhart seconded to approve the Original motion 'Approve amendment to contracts as presented.'. Upon a Roll-Call Vote being taken, the vote was: Aye: 5 Nay: 0. | | The motion Carried 5 - 0 | | | | | Gary Eberhart | Yes | | Paul Strange | Yes | | Linda Mayo | Yes | | Richard Allen | Yes | | Sherry Whitmarsh | Yes | |
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