HP1010, LD 1471, item 1, An Act To Amend the Laws Governing the Deduction for MaineCare Payments from a School Administrative Unit's State Subsidy

An Act To Amend the Laws Governing the Deduction for MaineCare Payments from a School Administrative Unit's State Subsidy

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 20-A MRSA §15689-A, sub-§22, as amended by PL 2015, c. 63, §1, is further amended to read:

22. MaineCare seed for school administrative units. The commissioner may deduct from a school administrative unit's state subsidy and pay on behalf of the a school administrative unit allowable school-based costs that represent the school administrative unit's portion of MaineCare payments. Prior to establishing state subsidies for the school administrative units, the commissioner shall make payments under this subsection from an account capitalized in an amount estimated by the commissioner, based on prior years' experience, to represent the total amount of allowable school-based costs representing the MaineCare payments of all of the school administrative units; funds not distributed from the account do not lapse and must be carried forward to be used for the same purpose in subsequent years. A transfer of payment by the department to the Department of Health and Human Services must be made pursuant to a schedule agreed upon by the Department of Health and Human Services and the department and in a manner that remains in compliance with federal intergovernmental transfer requirements. No later than 90 days after the incurrence of allowable school-based payments to schools, the Department of Health and Human Services shall provide the detailed payment information to the department. The department shall make this information available and apply the adjustment to the appropriate school administrative units within 30 days of receipt of the detailed payment information from the Department of Health and Human Services.

SUMMARY

Under current law, the Commissioner of Education is authorized to pay on behalf of a school administrative unit allowable school-based costs that represent the school administrative unit's portion of MaineCare payments. Current law also provides that the commissioner may then deduct that amount from the school administrative unit's state subsidy. This bill changes the law to require the commissioner to make payments from a nonlapsing account capitalized in an amount estimated by the commissioner to represent the total amount of allowable school-based costs representing the MaineCare payments of all of the school administrative units.

HP1010 LD 1471	Session - 128th Maine Legislature		LR 1529 Item 1
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