DATE: March 7, 2017
TO: Board of Supervisors
SUBMITTED BY: Lisa A. Smittcamp, District Attorney-Public Administrator
Robert W. Bash, Internal Services Department
SUBJECT: Budget Transfer for Vehicle Purchase for the
Disability and Health Care Fraud Program
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Clerk to the Board to execute Budget Transfer No.13 ($36,000) transferring FY 2016-17 appropriations within the District Attorney- Grants Org 2862 from Account 6100 (Regular Salaries) and Account 6400 (Retirement Contribution), to Account 7910 (Operating Transfer Out) for the purchase of a vehicle and up-fitting; and
2. Adopt Budget Resolution increasing the FY 2016-17 appropriations and estimated revenues for the Internal Services Department, Fleet Services-Equipment Org 8911 in the amount of $36,000 (4/5 vote).
REPORT
There is no increase in Net County Cost associated with these actions, which will utilize $36,000 in salary and benefits savings from the District Attorney-Public Administrator’s current year grants budget to purchase one vehicle to include up-fitting of a law enforcement radio and equipment necessary to meet the Disability and Healthcare Fraud (DHC) program’s requirements. The District Attorney-Public Administrator (DA-PA) received approval from the State of California, Department of Insurance (DOI) to purchase an investigative vehicle to further DHC program goals.
ALTERNATIVE ACTION(S):
If the recommended actions are not approved, the DHC program will lose the opportunity to purchase a vehicle for Disability and Healthcare fraud related investigations.
FISCAL IMPACT:
There is no increase in Net County Cost associated with these actions. Approval of the first recommended action will transfer existing FY 2016-17 appropriations in the amount of $36,000 within the District Attorney-Grants Org 2862 from Account 6100 (Regular Salaries) and Account 6400 (Retirement Contribution), to Account 7910 (Operating Transfers Out). Approval of the second recommended action will increase the FY 2016-17 appropriations and estimated revenues in the Internal Services Department, Fleet Services-Equipment Org 8911 through an Operating Transfer In from the District Attorney-Grants Org 2862 to facilitate the purchase of one DA-PA vehicle to include law enforcement radio and equipment.
DISCUSSION:
According to Section 1871(h) of the California Insurance Code, health care fraud is a particular problem for health insurance policyholders. Health care fraud causes losses in premium dollars and increases health insurance costs unnecessarily.
As mandated by California Insurance Code Section 1872.85(a), funding for the Disability and Healthcare Insurance Fraud program is derived from an annual special purpose assessment for each insured under an individual or group insurance policy issued in the state. This funding supports criminal investigations statewide and prosecution by the District Attorney of suspected fraud involving disability and healthcare. The DOI approved Fresno County to receive funds pursuant to the program implemented by that legislation in FY 2013-14.
The purchase of a vehicle for the DHC Fraud program will facilitate travel needs to conduct investigations and has been approved by the DOI.
REFERENCE MATERIAL:
BAI# 17, November 1, 2016
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Budget Transfer
On file with Clerk - Budget Resolution
CAO ANALYST:
Jeannie Z. Figueroa