MEMORANDUM

DISCUSSION:

The purpose of this memorandum is to remind staff of the need to act on contracts from Department of Mental Health (DMH) when DMH consumers with Supported Community Living (SCL) funding are in contracted placements in Residential Care Facilities I (RCFI) and Assisted Living Facilities (ALF), and to correct Income Maintenance Manual section 0615.010.00  PERSONAL EXPENSE ALLOWANCE.

The DMH considers the participants' income  as well as the Supplemental Nursing Care (SNC) cash benefits that they receive to know how much the DMH must pay the facilities with SLC funds. Each year, the DMH sends contracts to the appropriate Family Support Division (FSD) office indicating the participant's income, the RCF/ALF contracted base rate, the calculation for the SNC grant amount (RCF/ALF contracted base rate – client income = cash grant amount not to exceed the maximum), and the amount that the DMH has determined it must pay to the facility. When a participant's income changes or when the facility base rates change, the DMH will send an updated contract to the FSD.

The FSD staff must review annual and updated DMH contracts and the corresponding SNC cases and take action on any case with changes to the facility base rate or the participant's income within 10 days of receipt of a contract. The FSD staff must ensure that appropriate action is taken in a timely manner when a DMH contract is received by fax, mail, or email. If actions are not taken timely to increase the base rate that has been reported by the DMH, the SNC grant may be underpaid and deficiency payments may have to be authorized. If action is not taken timely to act on changes in the participant income, when the participant's income increases the SNC grant may be overpaid, and a claim may be needed.

The FSD staff must communicate with the DMH when the SNC grant amount in FAMIS is different than the SNC grant amount that DMH has calculated on their contract.

Income Maintenance Manual section 0615.010.00 PERSONAL EXPENSE ALLOWANCE is corrected to indicate that SNC participants that receive DMH contracted funding and a DMH personal payment are not eligible to receive the Personal Expense Allowance. See the FAMIS User Guide FACILITY AND PLACEMENT INFORMATION DETAILS for FAMIS entry instructions.

NECESSARY ACTION:

• Review this memorandum with appropriate staff.
• Act on changes reported in DMH contracts within 10 days of the receipt of the contract. See Income Maintenance Manual Section 0630.015.00  CHANGE IN CIRCUMSTANCES
• Do not authorize a personal expense allowance for a participant in a DMH contracted placement receiving a DMH personal payment.

AC/jo