HomeMy WebLinkAboutResolutions - 1960.08.04 - 19293Resol: 3677
REPORT August 4, 1960
BY: Mr. Levinson
IN RE: STATE PARTICIPATION IN HOSPITALIZATION COSTS
TO THE OAKLAND COUNTY BOARD OF SUPERVISORS
Mr. Chairman, Ladies and Gentlemen:
As of June 24, 1960, Mr. W. J. Maxey, Director of the State Department of
Social Welfare, notified our County Social Welfare Department of a reduction in reimburse-
ment by the State for expenditures by the County for hospitalization costs for Old Age
Assistance and Aid to the Blind cases. The State, acting under Act 286 of 1957, which
authorizes the State to reimburse the County up to 90% of the cost of hospitalization of
Bureau of Social Aid cases, changed State participation from 75% to 60% for Old Age
Recipients and from 90% to 70% for Aid to Blind Recipients, and advised that the change
would be effective for invoices which reach the State office after June 15, 1960 -- or
nine days prior to receipt of the notice.
Based on 1959 collections, this will reduce our estimated collections on Bureau
of Social Aid hospitalization cases 536,945.85, and will reduce our estimated collections
for the 1961 Hospitalization Fund from $250,000.00 to $215,000.00.
Although the State is authorized to reimburse the County up to 90% in these cases,
since July of 1957 when the Act became effective the percentage of participation has
fluctuated as follows:
Class OAA AB Effective Date
90% 90% July 1, 1957
55% 90% January 1958
40% 90% April 1958
36% 90% MCI y 1958
75% 90% June 1958
75% 90% September 1958
75% 90% January 1960
60% 70% June 1960
The action of the State in this instance is another example of the many uncertain
factors which your Ways and Means Committee is confronted with in preparing a County
Copies to a11 Supervisors by Comm, Clerk's Office
budget each year -- and an instance again of the State shifting additional costs to the
County in the middle of a year.
MR. CHAIRMAN, I move that the foregoing report be received and placed on
file.
WAYS AND MEANS COMMITTEE
David Levinson, Chairrnat
R. C. Cummings
C.:rph C. Holmes