Budget Amendment ID: FY2018-S3-406
EHS 406
Community Health Center Transformation Fund
Ms. L'Italien, Messrs. Timilty and McGee and Ms. Lovely moved that the proposed new text be amended by adding to section 3 at the end thereof the following new section:
Section XXXX. (a) There shall be established and set upon the books of the commonwealth a separate fund to be known as the Community Health Center Transformation Fund to be expended, without further appropriation. The fund shall consist of public and private sources such as gifts, grants and donations, interest earned on such revenues and any funds provided from other sources. The Executive Office of Health and Human Services shall be responsible for administering the fund and shall make expenditures from the fund consistent with this section:
(b) Revenues deposited in the fund that are unexpended at the end of the fiscal year shall not revert to the General Fund and shall be available for expenditure in the following fiscal year.
(c) All expenditures from the Community Health Center Transformation Fund shall support the state’s efforts to implement delivery system and payment reforms. All expenditures shall have 1 or more of the following purposes: (1) to improve and enhance the ability of community health centers to serve populations efficiently and effectively; (2) to advance the adoption of health information technology, including interoperable electronic health records systems; (3) to accelerate the ability to electronically exchange information with other providers to ensure continuity of care; (4) to support infrastructure investments necessary for the transition to Accountable Care Organizations and alternative payment methodologies; (5) to continue and adopt innovative approaches to positively influence patient outcomes and behavior by proactively engaging patients who are drivers of cost to the system through hospitalizations or emergency room visits.
(d) The Executive Office of Health and Human Services shall annually award a grant by a competitive grant process to qualified community health centers.
(e) A grant proposal submitted under subsection (d) shall include, but not be limited to: (1) a plan that defines specific goals for improving the efficiency and affordability of health center care over a multi-year period; (2) the evidence-based programs the applicant shall use to meet the goals; (3) a budget necessary to implement the plan, including a detailed description of any funding or in-kind contributions the applicant or applicants will be providing in support of the proposal; (4) a plan for sustaining any investments after the expiration of grant funds; and (5) any other private funding or private sector participation the applicant anticipates in support of the proposal.
In reviewing the grant applications, Health and Human Services shall consider, among other factors: (1) the financial health of the qualified community health center and the demonstrated need for investment, taking into account all resources available to the particular provider including the relationship or affiliation of the particular provider to a health care delivery system and the capacity of the system to provide financial support for the health center; (2) the anticipated return on investment, as measured by improved health care coordination and a reduction in health care costs; (3) whether the investment will support innovative health care delivery and payment models; and (4) geographic need and population need.
(f) The Executive Office of Health and Human Services shall annually on or before January 31, report on expenditures from the Community Health Center Transformation Fund. The report shall include, but not be limited to: (1) the revenue credited to the fund; (2) the amount of fund expenditures attributable to the administrative costs; (3) an itemized list of the funds expended through the competitive grant process and a description of the grantee activities; and (4) the results of the evaluation of the effectiveness of the activities funded through grants. The report shall be provided to the chairpersons of the house and senate committees on ways and means and the joint committee on health care financing and shall be posted on the commission’s website.