Unlock Financial Success with CalAIM: Budget Estimator Tool for CBOs

The CalAIM Budget Estimator Tool helps CBOs navigate the financial complexities of contracting under CalAIM. It offers an Excel-based template with built-in assumptions, cost input fields, revenue customization, and a summary tab. The tool supports informed decision-making, negotiation power, and sustainability, empowering organizations to enhance care and expand services.

Introduction

Navigating the financial complexities of contracting under the California Advancing and Innovating Medi-Cal (CalAIM) initiative can be challenging for community-based organizations (CBOs). With new Medi-Cal benefits such as Enhanced Care Management and Community Supports, understanding potential revenue and expenses is crucial. This is where the CalAIM Budget Estimator Tool comes in, offering a robust template to help CBOs project financial viability and ensure their mission’s sustainability.

Understanding the CalAIM Budget Estimator Tool

CalAIM Budget Estimator Tool: The CalAIM Budget Estimator Tool is an Excel-based template designed to help organizations estimate costs and potential revenue from providing Medi-Cal Enhanced Care Management and selected Community Support Services. These services include housing-related services and medically tailored meals.

Key Features

  • Built-in Assumptions: The tool incorporates assumptions about payment structures for these services, as outlined in the California Department of Health Care Services CALAIM Enhanced Care Management Policy Guide and Community Supports Policy Guide.
  • Cost Input: Users can enter organization-specific expenses such as staffing costs and other direct and indirect costs.
  • Revenue Customization: It includes generic rate ranges and areas for customizing expected revenue sources to calculate the program margin (ratio of revenue to expenses).
  • Summary Tab: A summary tab displays the projected margin by program year, helping users understand if their assumptions lead to a fiscally viable program.

The Importance of Financial Viability for CBOs

For CBOs, financial viability is paramount. The adage “No margin, no mission” rings true as these organizations aim to enhance services for individuals with complex health and social needs. The CalAIM Budget Estimator Tool enables organizations to model various scenarios for their programs, supporting meaningful feasibility discussions with financial officers and other decision-makers.

How the CalAIM Budget Estimator Tool Supports CBOs

The CalAIM Budget Estimator Tool is designed to facilitate informed discussions about future programming and the financial feasibility of providing new Medi-Cal services. Here’s how it supports CBOs:

  • Modeling Various Scenarios: The tool allows organizations to create multiple financial scenarios, enabling a comprehensive understanding of different potential outcomes.
  • Justifying Rate Requests: By organizing and highlighting critical financial information, the tool helps CBOs justify rate requests to MCOs during contract negotiations.
  • Enhancing Financial Confidence: With detailed projections, CBOs can confidently navigate the financial aspects of contracting with MCOs.

Step-by-Step Guide to Using the CalAIM Budget Estimator Tool

Step 1: Download the Tool

Step 2: Enter Costs

  • Input your organization-specific expenses, including staffing costs and other direct and indirect costs.

Step 3: Customize Revenue Sources

  • Use the tool to enter expected revenue sources. Customize the rates to reflect realistic projections for your organization.

Step 4: Review Summary Tab

  • Examine the summary tab to view the projected margin by program year. This will help you understand the financial viability of your program.

Benefits of Using the CalAIM Budget Estimator Tool

Informed Decision-Making: The tool provides comprehensive data to support strategic financial decisions. Enhanced Negotiation Power: With detailed financial projections, CBOs can negotiate better rates with MCOs. Sustainability: Ensuring financial viability helps CBOs sustain their mission and expand services under CalAIM.

Frequently Asked Questions

What is the CalAIM Budget Estimator Tool? The CalAIM Budget Estimator Tool is an Excel-based template designed to help organizations estimate costs and potential revenue from providing Medi-Cal Enhanced Care Management and selected Community Support Services.

How does the tool support CBOs in contracting with MCOs? The tool enables CBOs to model various financial scenarios, justify rate requests during negotiations, and make informed decisions about program viability.

What are the key features of the CalAIM Budget Estimator Tool? Key features include built-in assumptions, cost input fields, revenue customization, and a summary tab displaying projected margins.

Can the tool be customized for specific organizational needs? Yes, users can customize expense inputs and revenue projections to reflect their specific organizational needs.

How do I get started with the CalAIM Budget Estimator Tool? Download the tool, enter your organization-specific costs, customize revenue sources, and review the summary tab to understand financial projections.

Why is financial viability important for CBOs? Financial viability ensures that CBOs can sustain their mission and expand services, ultimately enhancing care for individuals with complex health and social needs.

Conclusion

The CalAIM Budget Estimator Tool is an invaluable resource for CBOs looking to contract with managed care organizations under CalAIM. By providing detailed financial projections, the tool empowers organizations to make informed decisions, justify rate requests, and ensure the sustainability of their mission. Download the tool today and take the first step towards financial success and enhanced service offerings.

Utilizing California State Data to Enhance Care for Foster Youth

The Continuum of Care for children in out-of-home settings can be enhanced by leveraging existing data sources. California’s CDSS, DDS, DHCS, and CDE provide crucial data on community care facilities, placement, mental health services, education, and more. These insights will guide targeted strategies for improving support and care for all children.

In the journey to enhance the Continuum of Care for children in out-of-home settings, it’s crucial to leverage existing data sources to understand the current capacity. This approach will inform the identification of potential needs or gaps in systems, services, or placements. The State Technical Assistance (TA) Team has pinpointed a variety of state data sources that will be instrumental in this process. Here’s an overview of these sources:

California Department of Social Services (CDSS)

CDSS provides a wealth of administrative data crucial for assessing the landscape of community care facilities and foster care placements:

  • Licensed Community Care Facilities: This data includes the number and capacity of licensed facilities.
  • Current Placement Data: Information on children currently placed in these facilities.
  • Supportive Services Data: Data from the Child Welfare Services/Case Management System.
  • Child Adolescent Needs and Services (CANS) Data: Assessment data reflecting the needs and services for children.
  • Mental Health Services Referral Data: Data on child welfare screening and subsequent referral for mental health services.
  • Probation Youth Data: Information on probation youth previously served in child welfare.
  • California Child and Family Services Review (CFSR) Data: Case review data.
  • Structured Decision Making (SDM) Data: Tools and data used for decision-making processes.
  • CalWORKs Data: Information on services and supports provided through CalWORKs.

Department of Developmental Services (DDS)

DDS offers data on facilities and services for individuals with developmental disabilities:

  • DDS Operated Facilities Data: Data on facilities directly operated by DDS.
  • Regional Center Vendored Residential Care Data: Information on residential care settings operated by regional centers.
  • Supportive Services Claims Data: Claims data for services provided or contracted by regional centers.

Department of Health Care Services (DHCS)

DHCS data is essential for understanding the utilization of health and mental health services:

  • Penetration and Engagement Rates for Specialty Mental Health Services (SMHS): Data on the utilization of mental health services.
  • Penetration and Engagement Rates for DMC/DMC-ODS Services: Data on the utilization of substance use disorder services.
  • SMHS Claims Data: Claims data related to specialty mental health services.
  • Child Adolescent Needs and Services (CANS) Data: Needs assessment data for children and adolescents.
  • Pediatric Symptoms Checklist (PSC-35) Data: Data on pediatric symptoms.
  • California Children’s Services Program Data: Information on services provided under this program.
  • Psychiatric Health Facilities Claims Data: Claims data for psychiatric health facilities and acute psychiatric inpatient services.
  • Crisis Services Claims Data: Information on the utilization of crisis services.
  • Planned Services Claims Data: Data on follow-up services after a crisis.
  • SUD Services Claims Data: Claims and/or CalOMS data for substance use disorder services.
  • Medi-Cal Services Data: Data on Medi-Cal services provided through managed care plans or fee-for-service providers.
  • Pharmacy Data: Information on prescription medications.
  • Unapproved Claims Data: Data on claims that were not approved.
  • MCP Referral Rates to County MHPs: Data on referral rates by managed care plans to county mental health plans.
  • MCP Referral Rates to DMC/DMC-ODS Programs: Data on referrals to substance use disorder programs.
  • MHSA Programs and Services Data: Information on programs and services funded by MHSA.
  • LEA Medi-Cal Billing Option Program (BOP) Data: Data on services billed through this program.
  • School-Based Medi-Cal Administrative Activities (SMAA) Data: Information on administrative activities billed through Medi-Cal.

California Department of Education (CDE)

CDE provides crucial data on the educational outcomes and attendance of foster youth:

  • High School Completion and College Data: Graduation and dropout rates, other high school completion types, and college-going rates.
  • Attendance and Enrollment Data: Chronic absence rates, foster match rates by county, and enrollment data for foster youth.
  • Academic Achievement Data: CAASPP scores in English Language Arts and Mathematics.
  • School Climate Data: Suspension and expulsion rates and counts, and suspension by most serious offense.
  • Foster Youth Data Liaison: Data matching efforts and collaboration with CDSS.
  • AB 114-Educationally Related Mental Health Services (ERMHS) Data: Information on mental health services provided under AB 114.

Conclusion

By utilizing these comprehensive data sources, we can better understand the current capacity and identify areas that need improvement or additional support within the Continuum of Care for children in out-of-home settings. These insights will guide the development of targeted strategies to ensure that all children receive the care and support they need to thrive.

Stay tuned for more updates and detailed analyses as we progress through the phases of this critical initiative.


SourceData CategoryDetails
CDSSLicensed Community Care FacilitiesAdministrative data on the number and capacity of licensed facilities.
CDSSCurrent Placement DataData on children in foster care placed in licensed community care facilities.
CDSSSupportive Services DataData from the Child Welfare Services/Case Management System.
CDSSChild Adolescent Needs and Services (CANS) DataAssessment data reflecting the needs and services for children.
CDSSMental Health Services Referral DataData on child welfare screening and subsequent referral for mental health services.
CDSSProbation Youth DataInformation on probation youth previously served in child welfare.
CDSSCalifornia Child and Family Services Review (CFSR) DataCase review data.
CDSSStructured Decision Making (SDM) DataTools and data used for decision-making processes.
CDSSCalWORKs DataInformation on services and supports provided through CalWORKs.
DDSDDS Operated Facilities DataData on facilities directly operated by DDS.
DDSRegional Center Vendored Residential Care DataInformation on residential care settings operated by regional centers.
DDSSupportive Services Claims DataClaims data for services provided or contracted by regional centers.
DHCSSMHS Penetration and Engagement RatesData on the utilization of specialty mental health services.
DHCSDMC/DMC-ODS Penetration and Engagement RatesData on the utilization of substance use disorder services.
DHCSSMHS Claims DataClaims data related to specialty mental health services.
DHCSChild Adolescent Needs and Services (CANS) DataNeeds assessment data for children and adolescents.
DHCSPediatric Symptoms Checklist (PSC-35) DataData on pediatric symptoms.
DHCSCalifornia Children’s Services Program DataInformation on services provided under this program.
DHCSPsychiatric Health Facilities Claims DataClaims data for psychiatric health facilities and acute psychiatric inpatient services.
DHCSCrisis Services Claims DataInformation on the utilization of crisis services.
DHCSPlanned Services Claims DataData on follow-up services after a crisis.
DHCSSUD Services Claims DataClaims and/or CalOMS data for substance use disorder services.
DHCSMedi-Cal Services DataData on Medi-Cal services provided through managed care plans or fee-for-service providers.
DHCSPharmacy DataInformation on prescription medications.
DHCSUnapproved Claims DataData on claims that were not approved.
DHCSMCP Referral Rates to County MHPsData on referral rates by managed care plans to county mental health plans.
DHCSMCP Referral Rates to DMC/DMC-ODS ProgramsData on referrals to substance use disorder programs.
DHCSMHSA Programs and Services DataInformation on programs and services funded by MHSA.
DHCSLEA Medi-Cal Billing Option Program (BOP) DataData on services billed through this program.
DHCSSchool-Based Medi-Cal Administrative Activities (SMAA) DataInformation on administrative activities billed through Medi-Cal.
CDEHigh School Completion and College DataGraduation and dropout rates, other high school completion types, and college-going rates.
CDEAttendance and Enrollment DataChronic absence rates, foster match rates by county, and enrollment data for foster youth.
CDEAcademic Achievement DataCAASPP scores in English Language Arts and Mathematics.
CDESchool Climate DataSuspension and expulsion rates and counts, and suspension by most serious offense.
CDEFoster Youth Data LiaisonData matching efforts and collaboration with CDSS.
CDEAB 114-Educationally Related Mental Health Services (ERMHS) DataInformation on mental health services provided under AB 114.

Medicaid Coverage for Incarcerated Youth: California’s Initiative

What is the Justice-Involved Initiative?

The Justice-Involved Initiative is a pioneering program under California’s Medicaid reforms, specifically designed to extend Medicaid coverage to incarcerated individuals. Historically, under the Medicaid Inmate Payment Exclusion Rule, federal Medicaid funds could not be used to cover healthcare costs for inmates of public institutions, which includes youth detained in correctional facilities. However, through the Justice-Involved Initiative, California has become the first state to receive federal approval to offer a targeted set of community-based Medicaid services to Medi-Cal-eligible, incarcerated youth and adults for up to 90 days prior to their release.

Eligibility Criteria for Pre-Release Services

For incarcerated youth to receive pre-release services under the Justice-Involved Initiative, they must meet the following criteria:

  1. Medi-Cal or CHIP Eligibility: The youth must be eligible for either Medi-Cal or the Children’s Health Insurance Program (CHIP).
  2. Custody: They must be in the custody of a youth correctional facility.

Unlike adults, there are no specific health care criteria for youth to qualify for these services. However, adults must meet one or more of the following health care needs:

  • Mental illness
  • Substance use disorder
  • Chronic condition or significant non-chronic clinical condition
  • Intellectual or developmental disability
  • Traumatic brain injury
  • HIV/AIDS
  • Pregnant or postpartum

An important distinction in this program is that “youth” is determined by the correctional facility and not strictly by the individual’s age.

Available Pre-Release Services

The services available to incarcerated youth in the 90 days prior to their release include:

  • Reentry Care Management Services: Coordination of care to ensure a smooth transition back into the community.
  • Physical and Behavioral Health Clinical Consultation Services: Medical and mental health consultations to address immediate and ongoing health needs.
  • Laboratory and Radiology Services: Diagnostic tests and imaging.
  • Medications and Medication Administration: Access to necessary medications and management of medication regimens.
  • Medication Assisted Therapy (MAT): Includes counseling and support for substance use disorders.
  • Services by Community Health Workers (CHWs): Support from individuals with lived experience who can provide guidance and assistance.

Initiation of Pre-Release Services

The timing and initiation of these services depend on the length of stay and the anticipated release date of the incarcerated individual:

  • Short or Unknown Length of Stay: Services should begin as close to intake as possible, once the individual’s Justice-Involved aid code is activated.
  • Known Release Date (longer than 30 days stay): Services should commence within the 90-day period prior to their release.

Impact and Significance

The Justice-Involved Initiative represents a significant shift in how healthcare is provided to incarcerated populations, particularly youth. By extending Medicaid coverage to include pre-release services, California aims to improve health outcomes and facilitate a smoother transition back into the community. This initiative addresses the critical healthcare needs of incarcerated individuals, ensuring they receive necessary care before reentering society, which can help reduce recidivism and support overall public health.

Conclusion

California’s Justice-Involved Initiative is a groundbreaking effort to provide essential healthcare services to incarcerated youth and adults prior to their release. By ensuring these individuals receive the necessary medical, mental health, and support services, the initiative not only addresses immediate health needs but also supports their reintegration into the community. This innovative approach sets a precedent for other states to follow, aiming to enhance the well-being of justice-involved populations and promote more equitable healthcare access.

For more information, you can refer to detailed guidelines and policy documents provided by the Department of Health Care Services (DHCS).

  1. Congressional Research Service: Medicaid and Incarcerated Individuals
  2. CalAIM Behavioral Health Initiative Frequently Asked Questions
  3. Department of Health Care Services, Medi-Cal Managed Care Plans by County (2023 and 2024)
  4. Department of Health Care Services, Changes to Managed Care for the Child Welfare Population (April 2023)
  5. Department of Health Care Services, All Plan Letter No. 22-005: No Wrong Door Policy
  6. Department of Health Care Services, All Plan Letter No. 21-011 (Revised): Grievance and Appeals Processes
  7. Medi-Cal Manual for Intensive Care Coordination (ICC), Intensive Home Based Services (IHBS), and Therapeutic Foster Care (TFC) Services for Medi-Cal Beneficiaries
  8. Department of Health Care Services, Behavioral Health Information Notice No. 23-056: MOU Requirements for MHP and MCP
  9. Sample MOU Template

These resources provide detailed information about the Justice-Involved Initiative and related healthcare policies for justice-involved youth.

Strategies for Success: Navigating California’s CalAIM Program

by Ali Modaressi, California Health Report

Photo by nathaphat/iStock

California’s ambitious journey to reshape health care through the multiyear Medi-Cal reform effort known as California Advancing and Innovating Medi-Cal (CalAIM) represents a profound leap forward. The effort will introduce a variety of new programs and benefits over five years, aimed at improving care for the millions of Californians enrolled in Medi-Cal, the state’s safety-net health insurance program.

Two years into the program, there is anecdotal evidence that providers are already starting to see improvements in the patients they serve. However, providers are experiencing many challenges in adapting to the new whole-person and coordinated care approach, including resource capacity and redundant processes. The problem is compounded by the fast pace at which the state and health plans drive the program. Achieving successful implementation requires creative thinking and coordination of available resources. 

As someone with more than 30 years of experience in health care information technology, and a member of a stakeholder advisory group for the California Health and Human Services Data Exchange Framework, here are the strategies I believe can make CalAIM a success.  

  • Seamless, purposeful data integration

CalAIM’s vision of more coordinated care across clinical, mental and social services, relies heavily on data integration and interoperability. This involves seamlessly sharing patient data among health care providers, payers and social service organizations. Achieving this level of data integration has been a formidable challenge. Health care organizations operate disparate data systems, each with their own workflow, formats, standards and protocols.

The Data Exchange Framework (DxF), which most of the state’s health care organizations are required to fully implement by January 2024, will support successful care coordination and sharing of patient information among stakeholders involved in CalAIM. 

State-funded grants are available to help facilitate this transformation. The Center for Data Insights and Innovation has allocated up to $47 million for organizations that have signed an agreement to adopt the DxF and share data. In addition, the CalAIM Incentive Payment Program from the Department of Healthcare Services provides  the funds dedicated specifically to helping CalAIM participants deploy the technology to meet key targets in their implementation and delivery of transformative programs and services. 

  • Build capacity to address skill gaps

Funds are also available for technical assistance. The state has appointed PATH TA Marketplace Vendors to allow providers, community-based organizations, counties and others to obtain assistance with implementing Enhanced Care Management (ECM) and Community Supports, two foundational initiatives of the CalAIM program. The program helps eligible organizations build data capacity, redesign workflow, strengthen services that address the social drivers of health, engage in CalAIM through Medi-Cal Managed Care plans, promote health equity, and enter cross-sector partnerships. 

  • Prepare the workforce for a data-driven future

Health care reform inevitably brings change. This requires comprehensive change management strategies that include communications, stakeholder engagement, and education and training for health care and social service professionals. The workforce will need to learn new technology and paradigms associated with CalAIM’s implementation. Future health and social service workers will require training on electronic health records, health information organization exchanges, and other health IT systems and how to use them effectively. 

  • Consider innovative solutions for care delivery challenges

The CalAIM transformation requires addressing workforce shortages, particularly in rural and underserved areas. Establishing comprehensive training programs and incentives for health care professionals in underserved regions can help address these shortages. Automating administrative tasks will reduce redundant processes and make resources available for patient care. Telehealth initiatives can also bridge gaps in access to care. In addition to IT training, cultural sensitivity training is critical to ensure the delivery of quality and compassionate care for our most vulnerable populations. 

  • Get involved to advocate, share and recognize efficiencies 

At the recent State of Reform Southern California Policy event, community-based organization representatives shared that new processes and more resources are needed to effectively deliver Enhanced Care Management for children and young people. Sharing key challenges and potential solutions creates new opportunities for dialogue and cross-training and can influence future resource allocation and policy. This reduces excessive burdens on community-based organizations and the risk of duplicating services. 

Considering that 50 percent of the state’s births are in Medi-Cal, it is critical to ensure the successful implementation of the CalAIM program for healthy and thriving communities across California. As with any transformational process, there are many factors involved in achieving successful implementation of CalAIM. These include ensuring frontline organizations responsible for delivering and coordinating care have enough resources, knowledge and preparation to move us closer to the vision of equitable health care for all Californians.

Ali Modaressi is CEO of the Los Angeles Network for Enhanced Services, a qualified health information organization in Los Angeles, and serves on the California Health and Human Services Data Exchange Framework Stakeholder Advisory Group. 

This article first appeared on California Health Report and is republished here under a Creative Commons license.