HomeMy WebLinkAboutReso 223-2022 (22-989)City of South San Francisco P.O. Box 711 (City Hall,
400 Grand Avenue)
South San Francisco, CA
City Council
Resolution: RES 223-2022
File Number: 22-989 Enactment Number: RES 223-2022
RESOLUTION APPROVING BUDGET AMENDMENT
BA23.038 TO THE FIRE DEPARTMENT FY 2022-23
OPERATING BUDGET IN THE AMOUNT OF
$436,964.65 AND ALLOW THE CITY TO
PARTICIPATE IN THE CALIFORNIA ASSEMBLY
BILL 1705 (2019) PUBLIC PROVIDER GROUND
EMERGENCY MEDICAL TRANSPORT
INTERGOVERNMENTAL TRANSFER
(PP-GEMT-IGT) PROGRAM
WHEREAS, the South San Francisco Fire Department intends to participate in the California
Assembly Bill 1705 (2019) and the Public Provider Ground Emergency Medical Transport
Intergovernmental Transfer (PP-GEMT-IGT) Program; and
WHEREAS, for most of the 21 st Century, special interest groups in California have been
promoting legislation that would create payment reform as it relates to ambulance transportation and the
2011 passage of Assembly Bill 678 (AB678) led to the Ground Emergency Medical Transport (GEMT)
program, a source of revenue that has provided the City over $2,326,000 in additional revenue to cover
specific transportation costs since its inception; and
WHEREAS, the GEMT program is limited to public entities and the purpose is to evaluate
costs associated with providing care and transportation to a specific type of Medicaid patient and provide
a federal subsidy to reduce the impact of the service to local government's general funds; and
WHEREAS, a participating agency must be a public entity and complete and file a
comprehensive annual cost report the California Department of Healthcare Services (DHCS); DHCS
evaluates the cost report from each participating agency and creates an average transport cost for
California Medicaid patients; and
WHEREAS, through AB 678, the State developed a Supplemental Reimbursement Program
pursuant to the California Welfare and Institutions Code Section 14105.94 and State Plan Amendments
09-024 qualifying DHCS to receive matching funds from Centers for Medicare and Medicaid Services
(CMS) creating an Intergovernmental Transfer (IGT) for an averaged emergency transport cost; and
DHCS receives these federally matched funds and distributes funds based on average transport cost and
number of qualifying transports to participating agencies; and
WHEREAS, with the approval of SB 523 in 2017-18, a mandatory Quality Assurance Fee
(QAF) is assessed on each completed ambulance transport by both public and private providers; These
funds are then transferred to CMS through an IGT like the AB678 plan, and then redistributed back to
ambulance providers based upon the number of qualifying Medicaid ambulance transports completed;
and
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File Number: 22-989 Enactment Number: RES 223-2022
WHEREAS, SB 523 created a gap in the funds being distributed between public and private
providers and public ambulance and fire service leaders desired a program that was specific to public
agencies as private ambulance providers make up a large percentage of transports and sharing pooled
public and private funds reduced reimbursements to public agencies; and
WHEREAS, Assembly Bill 1705 (AB1705), Public Provider Intergovernmental Transfer
Program (PP-GEMT-IGT), excludes private providers was approved and chaptered in 2019 under the
Welfare and Institutions Code; and
WHEREAS, AB 1705 supersedes SB 523 only while it is in existence; Should AB 1705 fail or
become otherwise repealed, all public providers will be rolled back in to the SB 523 program; and
WHEREAS, AB 1705 replaces and eliminates AB 678, so the original GEMT program that the
City appreciated for greater than a decade will sunset with the 2022 Calendar Year; and
WHEREAS, participation in AB 1705 is voluntary while it is operable, but as stated, should
the program be eliminated all providers would again be required to participate in SB 523; The cost of
participation in AB 1705 was released as a State Medicaid Plan Amendment (SPA22-0015); and
WHEREAS, on November 16, 2022, DHCS provided calculations, Managed Care Estimated
CY 2023 Net Benefit Calculation (Exhibit A), to the South San Francisco Fire Department with the
City's shared cost of $744,598 the program for managed care transports including a 10 percent
administrative fee; a second e-mail was received (exhibit B) stating that an additional $49,883.18, plus
the 10% administrative fee would also be due for transports under the fee for service category for a total
participation amount of $873,929; and
WHEREAS, staff believes this program will net $470,000 additional funds annually for
transport services and recommends participation in the PP-GEMT IGT program; DHCS calculates cost
on a calendar year basis and collects this fee quarterly, starting on January 15, 2023; and
WHEREAS, approval of budget amendment 23.038 in the amount of $436,964.50, equal to
half the DHCS proposed participation payment for the 2023 calendar year; The remainder plus the first
two quarters of calendar year 2024 will be request in the next budget cycle.
NOW, THEREFORE, BE IT HEREBY RESOLVED by the City Council of the City of South
San Francisco that the City of South San Francisco hereby:
1. Approves budget amendment BA23.038 to the Fire Department FY2022-23 Operating Budget in the
amount of $436,964.50.
2. Authorizes the City to participate in the California Assembly Bill 1705 (2019) Public Provider
Ground Emergency Medical Transport Intergovernmental Transfer (PP-GEMT-IGT) Program.
3. Authorizes the City Manager or his designee to take any action consistent with the intent of this
City of South San Francisco Page 2
File Number. 22-989
Enactment Number. RES 223-2022
resolution, including but not limited to the execution of any agreements necessary to participate in the
PP-GEMT-IGT Program, subject to approval as to form by the City Attorney.
At a meeting of the City Council on 12/14/2022, a motion was made by Councilmember Addiego,
seconded by Councilmember Coleman, that this Resolution be approved. The motion passed.
Yes: 5 Mayor Nicolas, Vice Mayor Nagales, Councilmember Coleman, Councilmember
Flores,,4nd Councilmember Addiego
Attest by
Govea Acosta, City Clerk
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