STATEMENT OF PURPOSE
RS27981 / S1418
This is the FY 2021 original appropriation bill for the Department of Health and Welfare for the Division of
Medicaid. It appropriates a total of $3,115,077,600 and caps the number of authorized full-time equivalent
positions at 216.00.
For benefit costs, the bill maintains the current appropriated amount for health insurance at $11,650 per eligible
FTP and temporarily removes funding for the employer's sick leave contribution rate. The bill also provides
funding for the equivalent of a 2% change in employee compensation for permanent state employees, with an
additional 2% increase for those in the 20 job classifications most in need of equity adjustments. This bill also
provides the majority of funding needed for Medicaid expansion. Because the current enrollment in expansion
is lower than forecasted the costs are expected to be lower for at least the first part of the fiscal year; if enrollment
or costs increase then a supplemental appropriation may be required. The increase in nondiscretionary funding
is primarily for costs related to hospital payments, overall service utilization, and for the state's share of the
Children's Health Insurance Program (CHIP) increasing from approximately 7% to 17%.
The bill funds five line items, provides a 2% General Fund reduction, and includes the full fiscal impact of
H351. For line items, the bill includes funding for the federally required electronic visit verification program,
which is intended to reduce fraud; partial funding for the Idaho Health Data Exchange; a net-zero rate increase
for ambulatory surgical centers to reduce utilization of more expensive hospital surgery costs; funding for
home visiting services; and a statewide net-zero impact from the General Fund with the fund transfer from
the Division of Vocational Rehabilitation. Finally, the bill provides transfer limitations that prohibit Medicaid
trustee and benefit payments from leaving Medicaid.
DISCLAIMER: This statement of purpose and fiscal note are a mere attachment to this bill and prepared by a proponent
of the bill. It is neither intended as an expression of legislative intent nor intended for any use outside of the legislative
process, including judicial review (Joint Rule 18).
Statement of Purpose / Fiscal Note Bill SOP/FN INTRODUCED: 03/13/2020, 2:38 PM
 FISCAL NOTE
FTP Gen Ded Fed Total
FY 2020 Original Appropriation 216.00 687,410,600 255,263,800 1,889,022,600 2,831,697,000
Supplemental Appropriations (S1393) 0.00 18,581,600 4,769,000 46,471,800 69,822,400
1% General Fund & Sick Leave (H557) 0.00 (6,897,100) (300) (19,700) (6,917,100)
FY 2020 Total Appropriation 216.00 699,095,100 260,032,500 1,935,474,700 2,894,602,300
Removal of Onetime Expenditures 0.00 (19,240,000) (4,792,600) (68,892,300) (92,924,900)
Restore Rescissions 0.00 6,897,100 300 19,700 6,917,100
FY 2021 Base 216.00 686,752,200 255,240,200 1,866,602,100 2,808,594,500
Benefit Costs 0.00 (31,800) (400) (47,900) (80,100)
Statewide Cost Allocation 0.00 800 0 800 1,600
Annualizations 0.00 9,198,700 2,065,000 177,873,000 189,136,700
Change in Employee Compensation 0.00 123,900 1,800 187,000 312,700
Nondiscretionary Adjustments 0.00 39,973,300 300,000 49,565,300 89,838,600
FY 2021 Program Maintenance 216.00 736,017,100 257,606,600 2,094,180,300 3,087,804,000
5. Electronic Visit Verification 0.00 545,700 0 1,828,700 2,374,400
9. IHDE Connections 0.00 0 0 3,500,000 3,500,000
16. Ambulatory Surgical Centers 0.00 0 0 0 0
20. Home Visiting Services 0.00 840,000 0 1,960,000 2,800,000
21. EES Funding - VR Transfer 0.00 600,000 0 1,400,000 2,000,000
2% General Fund Reductions &
H351 Fiscal Impact 0.00 (14,030,900) 15,203,200 15,426,900 16,599,200
FY 2021 Total 216.00 723,971,900 272,809,800 2,118,295,900 3,115,077,600
Chg from FY 2020 Orig Approp 0.00 36,561,300 17,546,000 229,273,300 283,380,600
% Chg from FY 2020 Orig Approp. 0.0% 5.3% 6.9% 12.1% 10.0%
Overall, the Legislature reduced the General Fund for the Department of Health and Welfare by 2.03%
or $17,568,000. Further, the department's overall appropriation was $92,000 less than the Governor's
recommendation. These reductions can be found in the six appropriation bills for the department.
Contact:
Jared Tatro
Budget and Policy Analysis
(208) 334-4740
DISCLAIMER: This statement of purpose and fiscal note are a mere attachment to this bill and prepared by a proponent
of the bill. It is neither intended as an expression of legislative intent nor intended for any use outside of the legislative
process, including judicial review (Joint Rule 18).
Statement of Purpose / Fiscal Note Bill SOP/FN INTRODUCED: 03/13/2020, 2:38 PM