LRB-4681/1
DAK:skg:jlb
1995 - 1996 LEGISLATURE
December 6, 1995 - Introduced by Representatives Black, Murat, Carpenter,
Bock, R. Young, Wirch, Meyer, Ryba, Dueholm, Springer, Vander Loop, Riley,
Baldus, Huber, Krug, Bell, Plache, Wilder, Plombon, Robson, Baldwin,
Krusick, Grobschmidt, Turner, Boyle, La Fave, Hasenohrl
and Notestein,
cosponsored by Senators Decker, Breske, Clausing, Chvala, Wineke and
Risser. Referred to Committee on Welfare Reform.
AB717,1,5 1An Act to amend 20.435 (1) (b) and 20.435 (7) (bd); to repeal and recreate
220.435 (1) (b); and to create 49.45 (6vm) of the statutes; relating to: transfer
3of funds from the medical assistance program to the long-term support
4community options program under certain conditions and making
5appropriations.
Analysis by the Legislative Reference Bureau
Under current law before enactment of 1995 Wisconsin Act 27 (the budget act),
the department of health and social services (DHSS) was required annually to
submit to the joint committee on finance (JCF) a report on nursing home bed
utilization by medical assistance recipients for the immediate prior 2 consecutive
fiscal years. If the report indicated a decrease in bed utilization in the most recent
fiscal year from the previous fiscal year, DHSS was required to calculate, under a
formula, the difference in costs between the 2 fiscal years for the provision of the care.
The DHSS report to JCF was required to include a proposal to transfer the amount
of that difference from the general purpose revenue appropriation for medical
assistance to the general purpose revenue appropriation for the community options
program. If within 14 working days after submission of the report JCF did not
schedule a meeting to review the action, the secretary of health and social services
was required to so transfer the funds. These requirements were eliminated under
1995 Wisconsin Act 27.
This bill restores the requirements for DHSS to annually submit a report to JCF
concerning medical assistance-funded bed utilization in nursing homes; that, if the
bed utilization has decreased, DHSS calculate a figure that is the difference in costs
for the provision of this care; and that, if JCF fails to schedule a meeting to review
the issue, funds be transferred from the medical assistance program to the
community options program.

For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB717, s. 1 1Section 1. 20.435 (1) (b) of the statutes, as affected by 1995 Wisconsin Act 27,
2section 807, is amended to read:
AB717,2,153 20.435 (1) (b) Medical assistance program benefits. Biennially, the amounts in
4the schedule to provide the state share of medical assistance program benefits
5administered under s. 49.45, to provide medical assistance program benefits
6administered under s. 49.45 that are not also provided under par. (o) and to fund the
7pilot project under s. 46.27 (9) and (10). Notwithstanding s. 20.002 (1), the
8department may transfer from this appropriation to the appropriation under sub. (7)
9(kb) funds in the amount of and for the purposes specified in s. 46.485.
10Notwithstanding ss. 20.001 (3) (b) and 20.002 (1), the department may credit or
11deposit into this appropriation and may transfer between fiscal years funds that it
12transfers from the appropriation under sub. (7) (kb) for the purposes specified in s.
1346.485 (3r). Notwithstanding s. 20.002 (1), the department may transfer from this
14appropriation to the appropriation under sub. (7) (bd) funds in the amount of and for
15the purposes specified in s. 49.45 (6vm).
AB717, s. 2 16Section 2. 20.435 (1) (b) of the statutes, as affected by 1995 Wisconsin Acts 27,
17section 808, and .... (this act), is repealed and recreated to read:
AB717,3,918 20.435 (1) (b) Medical assistance program benefits. Biennially, the amounts in
19the schedule to provide the state share of medical assistance program benefits
20administered under s. 49.45, to provide medical assistance program benefits
21administered under s. 49.45 that are not also provided under par. (o) and to fund the

1pilot project under s. 46.27 (9) and (10). Notwithstanding s. 20.002 (1), the
2department may transfer from this appropriation to the appropriation under sub. (3)
3(kb) funds in the amount of and for the purposes specified in s. 46.485.
4Notwithstanding ss. 20.001 (3) (b) and 20.002 (1), the department may credit or
5deposit into this appropriation and may transfer between fiscal years funds that it
6transfers from the appropriation under sub. (3) (kb) for the purposes specified in s.
746.485 (3r). Notwithstanding s. 20.002 (1), the department may transfer from this
8appropriation to the appropriation under sub. (7) (bd) funds in the amount of and for
9the purposes specified in s. 49.45 (6vm).
AB717, s. 3 10Section 3. 20.435 (7) (bd) of the statutes, as affected by 1995 Wisconsin Act 27,
11is amended to read:
AB717,3,2412 20.435 (7) (bd) Community options program and long-term support pilot
13projects.
The amounts in the schedule for assessments, case planning, services and
14administration under s. 46.27 and for pilot projects for home and community-based
15long-term support services under s. 46.271. Notwithstanding ss. 20.001 (3) (a) and
1620.002 (1), the department may under this paragraph transfer moneys between
17fiscal years. Except for moneys authorized for transfer under this appropriation or
18under s. 46.27 (7) (fm) or (g), all moneys under this appropriation that are allocated
19under s. 46.27 and are not spent or encumbered by counties by December 31 of each
20year shall lapse to the general fund on the succeeding January 1 unless transferred
21to the next calendar year by the joint committee on finance. Notwithstanding ss.
2220.001 (3) (a) and 20.002 (1), the department may credit or deposit into this
23appropriation funds that it transfers from the appropriation under sub. (1) (b) for the
24purposes specified in s. 49.45 (6vm).
AB717, s. 4 25Section 4. 49.45 (6vm) of the statutes is created to read:
AB717,4,2
149.45 (6vm) Transfer of funds to community options program. (a) "Facility"
2has the meaning given in sub. (6m) (a) 3.
AB717,4,63 (b) The department shall, by September 1 of each year, submit to the joint
4committee on finance a report that provides information on the utilization of beds by
5recipients of medical assistance in facilities for the immediate prior 2 consecutive
6fiscal years.
AB717,4,157 (c) If the report specified in par. (b) indicates that utilization of beds by
8recipients of medical assistance in facilities decreased during the most recently
9completed fiscal year from the utilization of beds by recipients of medical assistance
10in facilities in the next most recently completed fiscal year, the department shall
11multiply the difference between the number of days of care provided in each of the
12immediate prior 2 consecutive fiscal years by the average daily costs of care in such
13facilities. The average daily costs of care shall be calculated by dividing the total
14medical assistance expenditures for care in facilities by the total number of days of
15care provided in facilities in that fiscal year.
AB717,4,2216 (d) If par. (c) applies, the department's report under par. (b) shall include a
17proposal to transfer the amount calculated under par. (c) from the appropriation
18under s. 20.435 (1) (b) to the appropriation under s. 20.435 (7) (bd) for the purpose
19of increasing funding for the community options program under s. 46.27. The
20secretary shall transfer the amount identified under the proposal if within 14
21working days after the submission of the proposal the joint committee on finance
22does not schedule a meeting for the purpose of reviewing the proposed action.
AB717,4,2423 (e) The joint committee on finance may approve or modify any proposal
24submitted by the department under this subsection.
AB717, s. 5
1Section 5. Effective dates. This act takes effect on the day after
2publication, except as follows:
AB717,5,4 3(1) The repeal and recreation of section 20.435 (1) (b) of the statutes takes effect
4on July 1, 1996, or on the day after publication, whichever is later.
AB717,5,55 (End)
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