NCACDSS FISCAL MANAGEMENT COMMITTEE

NCACDSS FISCAL MANAGEMENT COMMITTEE

Notes from the Committee’s Meeting of 1-8-03

 

 

1.  On Child Day Care, Nancy Guy and Ron Penney reported:

a)      A small rate increase (e.g., 5%) may soon be implemented in counties where providers are now charging more than the established market rates.

b)      A DCD survey reflected that counties currently overspending estimate that a rate increase would require them an additional $9.6 million to cover all expenses through the end of this year.  DCD estimates that net under-spending by all counties  will be about $15 million (not including a rate increase.)  With reallocation, there should be sufficient funds to cover projected expenses, with a rate increase included.

c)      However, from the county survey, voluntary reversions at this point would not cover all current requests for additional funding.

d)      The Fiscal Committee concurred with the recommendation of the Day Care Committee, that the state wait a month (to look at December spending) before making decisions about how to reallocate funds (e.g., if involuntary reversion by under-spending counties will be employed.)

2.  Fiscal Conferences:

            Denelle Manley reported there will be two identical one-day fiscal conferences this year.  One will be held 2-20-03 at Atlantic Beach, for eastern counties.  The other will be held 2-27-03 at Asheville.

3.  Maximizing revenues:

            The Committee had asked DHHR to use a consultant to assess the potential the DSS system has for enhancing federal revenues.  An assessment was done by a current contractor, PCG.  PCG made several recommendations (e.g., re-computing the IV-E penetration rate) which will be followed up by the state.   PCG also recommended an effort to make greater utilization of At-Risk Case Management.  LBL’s will be working on this with counties.

4.  SSBG and TANF allocations to counties for FY03:

a)      County allocations of SSBG this year are an aggregate $300,000 less than last year as DHHR allocated this funding to the Mental Health System.

b)      County allocations of TANF federal funds to counties were an aggregate %1.6 million less due to a reduction in the federal block grant.

5)   CIP Funds:

            Perhaps half of counties have expended all CIP funds allocated for this year.  The state has requested federal release of $14 million (NC’s share of a federal reserve fund) in connection with December’s ice storms.  It is not clear now whether these funds will be released, and if so, whether they will be allocated only to counties affected by the ice storm.