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Balancing Incentive Program IT Capital Fund Request

Department of Social Services

December 10, 2014

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Balancing Incentive Program IT Capital Fund Request

Background on the federal Balancing Incentive Program

Expected System Components & Outcomes

IT Infrastructure Phased Approach Funding

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Balancing Incentive Program Background

Programmatic objectives

Rebalance Medicaid long term support services towards community care

Key change requirements Universal Assessment No Wrong Door

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BIP Grant Funding

Federal grant/enhanced reimbursement 2% additional federal match on Medicaid

community-based services $72.8 million in additional revenue Reinvestment requirements

Community First Choice Initiative Enhanced reimbursement of 6% Significant reinvestment component

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BIP System Components

Online pre-screen of an applicant’s functional status

Automation of functional and financial eligibility processes for Medicaid;

Automation of a Universal Assessment (UA) that will be used across State agencies and contractors

Online mechanism through which services can be requested from providers

Consumer portal

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BIP System Outcomes

Reduction of redundancy in assessing need across programs

Streamlined LTSS eligibility processing Individualized budget allocations based on

functional need that through standardization will enable more equitable distribution of dollars across the entire LTSS system

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BIP System Outcomes (continued)

Enhanced ease and timeliness of access to LTSS services

An increased incidence of hospital discharge to community-based services, as opposed to nursing home care

Consumer empowerment through sharing of their health care data

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BIP System Infrastructure

BIP system will initially leverage DSS existing ConneCT infrastructure

Upon completion of the new ImpaCT integrated eligibility system, support for the BIP system will migrate to the ImpaCT environment

Additional ongoing costs will be minimized by leveraging these systems

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BIP Phased Approach

Current request is for Phase 1 only Includes:

Universal Assessment (Release 1) Initial Release 2 design development

Future Phase 2 No Wrong Door Client access/consumer portal

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BIP System Funding

For the majority of components federal match available at the 90% level (89%)

11% State contribution is requested through IT Capital Fund

Federal approval of an Advance Planning Document required for federal contribution

Initial APD submitted and approved for approximately $15 million

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BIP System Funding Phase 1 Budget

$10.4 m in total excluding salary and fringe $1.1 million request from IT Capital Fund for the

11% State share of the project

Future request anticipated for Phase 2 Current estimated Phase 2 costs are

approximately $15 million IT Capital Fund contribution of close to $1.5

million

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BIP System FundingPhase I Phase I

Description Budget Capital Fund Items

Salary & Fringe 155,518 0 First Data - Quality Assurance Vendor 1,058,148 1,058,148 KPMG - Project Management Office 375,833 375,833 OSD - Change Management 187,477 187,477 BEST - IT Staff Augmentation 247,913 247,913 Other Consultant Services 300,000 300,000 Hardware & Software 265,000 265,000 OSD - Training 187,477 187,477 System Integrator - Inception / Business Requirements 747,272 747,272 System Integrator - Release I Implementation 5,552,299 5,552,299 System Integrator - Release II Design 1,475,928 1,475,928 Indirect Costs 30,334 0

Grand Total All Development Costs 10,583,199 10,397,347

Federal Share - Medicaid Revenue 9,437,755 9,282,621 State Share 1,145,444 1,114,726

Total 10,583,199 10,397,347