Submitted By
Cara Pavlicek, Village Manager
Reviewed By
LKS
Agenda Item Title
Title
A Resolution Approving an Intergovernmental Agreement between the Village of Oak Park and the Illinois Department of Healthcare and Family Services and Authorizing its Execution
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Overview
Overview
An Intergovernmental Agreement (IGA) has been prepared between the Village of Oak Park and the Illinois Department of Healthcare and Family Services to establish a partnership that will allow the State to “draw down” the federal share of costs for healthcare services for any emergency medical services provided by the Fire Department to Medicaid patients which will effectively reimburse a greater portion of the Village’s actual cost of services.
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Recommendation
.Recommendation
Approve the Resolution.
Fiscal Impact
Per the terms of the IGA, the Village will be eligible for funding up to $120,000 for eligible EMS services provided since July 1, 2019. Future year revenue is also anticipated and will be reflected in the FY20 recommended budget.
Background
The Village provided Emergency Medical Service through the Fire Department. If the individual receiving services is Medicaid eligible, the Village has historically received payment covering less than 25% of the actual cost to provide the service.
The IGA establishes a partnership with the Illinois Department of Healthcare and Family Services and participating municipalities that provide Emergency Medical Services (EMS) in order to allow for the State to “draw down” the federal share of costs for healthcare services and a portion of the State’s drawdown will be provided back to the Village under the IGA for Medicaid patients who received EMS.
The Illinois Department of Healthcare and Family Services (HFS) released a public notice on June 28, 2019 indicating a plan to change the reimbursement methodology for public ambulance providers, effective July 1, 2019. Since Medicaid is a joint Federal and State program, HFS has been working to develop a State Plan Amendment (SPA) that details the new payment methodology for submission to the Centers for Medicare and Medicaid Services (CMS).
The Fire Department has done all of the advance work required by the State in order to the IGA to be considered.
Alternatives
The Board can delay action to gain additional information; however, this would eliminate the ability to recover any funds in FY19.
Previous Board Action
N/A.
Citizen Advisory Commission Action
N/A.
Anticipated Future Actions/Commitments
N/A.
Intergovernmental Cooperation Opportunities
This is an excellent example of the Village and State of Illinois partnering to reduce Oak Park’s property tax subsidy of local EMS services.