Fiscal impact
reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for
standing finance committees of the NM Legislature. The LFC does not assume
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purposes.
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in
SPONSOR |
Garcia |
DATE TYPED |
|
HB |
|
||
SHORT
TITLE |
Primary Health Clinic Technology & Funding |
SB |
437 |
||||
|
ANALYST |
Kehoe |
|||||
APPROPRIATION
Appropriation
Contained |
Estimated
Additional Impact |
Recurring or
Non-Rec |
Fund Affected |
||
FY04 |
FY05 |
FY04 |
FY05 |
||
|
$1,200.0 |
|
|
Recurring |
General
Fund |
|
$1,200.0 |
|
|
Non-Recurring |
General
Fund |
|
|
|
|
|
|
(Parenthesis
( ) Indicate Expenditure Decreases)
REVENUE
Estimated Revenue |
Subsequent Years Impact |
Recurring or
Non-Rec |
Fund Affected |
|
FY04 |
FY05 |
|||
|
$1,200.0 |
|
Recurring |
Primary
Care Capital Fund |
|
|
|
|
|
(Parenthesis ( ) Indicate Revenue Decreases)
LFC Files
Department of Health
SUMMARY
Synopsis of Bill
Senate Bill 437 appropriates $1.2 million from
the general fund to the primary care capital fund for loans to be made by the
New Mexico Mortgage Finance Authority, and appropriates $1.2 million from the
general fund to the Department of Health for the acquisition of improved hardware
and software technology for primary health care clinics statewide.
Significant Issues
The 1994 Legislature enacted the Primary Care
Capital Funding Act and created a $5 million revolving fund known as the
primary care capital fund (PCCF) for the purpose of providing loans and other
financial assistance to rural primary care health clinics infrastructure and construction
projects. The Department of Health (DOH)
and the New Mexico Finance Authority (NMFA) jointly carry out the purposes of
the Act and jointly adopted the rules governing the financing of the primary
health care projects in under-services areas of
Senate Bill 437 appropriates $1.2 million from
the general fund to PCCF for loans to be made by the New Mexico Mortgage
Finance Authority pursuant to the Primary Care Capital Funding Act. The Primary Care Capital Funding Act provides
loans and other financial assistance to rural primary care health clinics
infrastructure and construction projects.
The bill appropriates an additional $1.2 million from the general fund
to the Department of Health for the acquisition of improved hardware and
software technology for electronic billing, tracking and health records systems
by primary health care clinics statewide pursuant to the Rural Primary Health
Care Act. Provisions of the Rural
Primary Health Care Act allow for technical assistance to eligible programs for
administrative and financial management purposes, clinical services, outreach
and planning. The Act further provides
for financial assistance for eligible programs that have applied for and
demonstrated a need for assistance to sustain a minimum level of delivery of primary
health care services.
FISCAL IMPLICATIONS
The first appropriation of $1.2 million for
fiscal year 2005 and subsequent fiscal years contained in this bill is a
recurring expense to the general fund. Any unexpended or unencumbered balance remaining
at the end of fiscal year 2005 shall not revert to the general fund. The second appropriation of $1.2 million for
fiscal year 2005 from the general fund is a non-recurring expense to the
general fund. Any unexpended or
unencumbered balance remaining at the end of fiscal year 2005 shall revert to
the general fund.
ADMINISTRATIVE IMPLICATIONS
According
to DOH, the department is a “covered entity under the Health Insurance
Portability and Accountability Act (HIPAA).
HIPAA requires covered entities to comply with national standards if
they submit claims electronically. Those
clinics operated by DOH are part of the Integrated Network for Public Health
Official Records Management (INPHORM) system and are already able to bill
electronically. Those clinics not operated by DOH may or may not have the capability to
bill electronically and these loans and appropriations may be used to assist
them in doing so in a manner that is in compliance with HIPAA.”
TECHNICAL ISSUES
According to statutory provisions of the Primary
Care Capital Funding Act, the New Mexico Finance Authority is the financial
administering entity for loans from the Primary Care Capital Fund. The following is a proposed amendment to
Senate Bill 437: On page 1, lines 18 and
19, delete the words “
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