Bill Text: MI HB4144 | 2019-2020 | 100th Legislature | Engrossed


Bill Title: Juveniles: juvenile justice services; county juvenile justice services reimbursements; modify. Amends sec. 117a of 1939 PA 280 (MCL 400.117a).

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2019-12-10 - Reassigned To Committee On Judiciary And Public Safety [HB4144 Detail]

Download: Michigan-2019-HB4144-Engrossed.html

HB-4144, As Passed House, April 25, 2019

 

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 4144

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1939 PA 280, entitled

 

"The social welfare act,"

 

by amending section 117a (MCL 400.117a), as amended by 2018 PA 580.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 117a. (1) As used in this section and sections 117b to

 

117h:

 

     (a) "County juvenile agency" means that term as defined in

 

section 2 of the county juvenile agency act, 1998 PA 518, MCL

 

45.622.

 

     (b) "County juvenile agency services" means all juvenile

 

justice services for a juvenile who is within the court's

 

jurisdiction under section 2(a) or (d) of chapter XIIA of the

 

probate code of 1939, 1939 PA 288, MCL 712A.2, or within the

 

jurisdiction of the court of general jurisdiction under section 606


of the revised judicature act of 1961, 1961 PA 236, MCL 600.606, if

 

that court commits the juvenile to a county or court juvenile

 

facility under section 27a of chapter IV of the code of criminal

 

procedure, 1927 PA 175, MCL 764.27a. If a juvenile who comes within

 

the court's jurisdiction under section 2(a) or (d) of chapter XIIA

 

of the probate code of 1939, 1939 PA 288, MCL 712A.2, is at that

 

time subject to a court order in connection with a proceeding for

 

which the court acquired jurisdiction under section 2(b) or (c) of

 

chapter XIIA of the probate code of 1939, 1939 PA 288, MCL 712A.2,

 

juvenile justice services provided to the juvenile before the court

 

enters an order in the subsequent proceeding are not county

 

juvenile agency services, except for juvenile justice services

 

related to detention.

 

     (c) "Donated funds" means any gifts of money made available to

 

the county child care fund for services for child welfare or

 

delinquency matters, including juvenile justice services.

 

     (d) "Donor" means the entity, person, or persons providing the

 

donated funds.

 

     (e) "Gross expenditure" means the total adjusted expenditures

 

included in a county's monthly expenditure report and submitted to

 

the department.

 

     (f) "In-home care" means expenditure of child care fund money

 

for services and items listed in this section to be an alternative

 

to out-of-home care or to provide an early return home for a child

 

placed out of his or her home.

 

     (g) "Juvenile detention facility" means a county-operated or

 

court-operated juvenile facility that houses and provides group


care, shelter care, or detention administered and staffed by county

 

or court employees.

 

     (h) "Juvenile justice service" means a service, exclusive of

 

judicial functions, provided by a county for juveniles who are

 

within or likely to come within the court's jurisdiction under

 

section 2 of chapter XIIA of the probate code of 1939, 1939 PA 288,

 

MCL 712A.2, or within the jurisdiction of the court of general

 

criminal jurisdiction under section 606 of the revised judicature

 

act of 1961, 1961 PA 236, MCL 600.606, if that court commits the

 

juvenile to a county or court juvenile facility under section 27a

 

of chapter IV of the code of criminal procedure, 1927 PA 175, MCL

 

764.27a. A service includes intake, detention, detention

 

alternatives, probation, foster care, diagnostic evaluation and

 

treatment, shelter care, or any other service approved by the

 

office or county juvenile agency, as applicable, including

 

preventive, diversionary, or protective care services. A juvenile

 

justice service approved by the office or county juvenile agency

 

must meet all applicable state and local government licensing

 

standards.

 

     (i) "Out-of-home care" means placement outside of the

 

residence of the child's parent, legal guardian, or, except as

 

provided in this subdivision, relative where the child is found,

 

from which the child was removed by the authority of the court, or

 

in which the child will be placed on a permanent basis.

 

     (j) "Technology and software" means risk and needs assessment

 

software or software directly related to treatment or services

 

provided within a reimbursable in-home care program. Technology and


software does not include the purchase of new equipment or

 

hardware, or maintenance of equipment or hardware for the

 

reimbursable in-home care program. Technology and software also

 

does not include new equipment cost, maintenance of equipment,

 

technology, or software used exclusively for general support for

 

the court.

 

     (2) A juvenile justice funding system for counties that are

 

not county juvenile agencies, including a child care fund, is

 

established and shall be administered under the department's

 

superintending control.

 

     (3) The department shall promulgate rules under the

 

administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to

 

24.328, to monitor juvenile justice services money and to prescribe

 

child care fund accounting, reporting, and authorization controls

 

and procedures and child care fund expenditure classifications. For

 

counties required to have a child care fund, the department shall

 

fund services that conform to the child care rules promulgated

 

under this act.

 

     (4) The department shall distribute money appropriated by the

 

legislature to counties for the cost of juvenile justice services

 

as follows:

 

     (a) Payment for expenditures for children placed with the

 

department for care, supervision, or placement, including children

 

who are within the court's jurisdiction under section 2(a) and (b)

 

of chapter XIIA of the probate code of 1939, 1939 PA 288, MCL

 

712A.2, shall be paid by the department and reimbursed by the

 

county for all undisputed charges. Implementation of this


subdivision takes effect on October 1 of the fiscal year following

 

the appropriation to support new payment processes and the

 

implementation of technological changes to the statewide automated

 

child welfare information system.

 

     (b) Payment for expenditures for children not placed with the

 

department for care, supervision, or placement, including children

 

who are within the court's jurisdiction under section 2(a) and (b)

 

of chapter XIIA of the probate code of 1939, 1939 PA 288, MCL

 

712A.2, shall be paid by a county and be reimbursed by the

 

department for all undisputed charges. Expenditures described in

 

this subdivision include the following:

 

     (i) Direct expenditures for out-of-home care, including all of

 

the following:

 

     (A) Salaries of county- or court-operated detention center,

 

shelter care, or group care facility specific employees, including,

 

but not limited to, all of the following:

 

     (I) Management staff of a facility.

 

     (II) Direct service staff of a facility.

 

     (III) Mental health staff of a facility.

 

     (IV) Support staff including clerical staff of a facility.

 

     (V) Janitorial, maintenance, or ground staff of a facility, or

 

any combination of these.

 

     (VI) Kitchen staff of a facility.

 

     (VII) Security staff of a facility.

 

     (VIII) Circuit court employees who support the child care fund

 

county- or court-operated detention center, shelter care, or group

 

care facility.


     (B) Fringe benefits, including payroll taxes, medical, vision

 

and dental insurance, group life insurance, disability insurance,

 

accident insurance, health savings accounts, retirement

 

contributions, worker's compensation, and accrued severance

 

benefits of county- or court-operated detention center, shelter

 

care, or group care facility specific employees and circuit court

 

administration who administrate and support the child care fund

 

county- or court-operated detention center, shelter care, or group

 

care facility.

 

     (C) Clothing for children.

 

     (D) Food for children.

 

     (E) Meals furnished to staff who are on duty at a county- or

 

court-operated detention center, shelter care, or group care

 

facility and assigned responsibilities for the supervision and care

 

of the youth during facility mealtime.

 

     (F) Hygiene supplies for children, including shampoo, soap, or

 

toothpaste.

 

     (G) Education costs for children who are temporary residents

 

in a county- or court-operated detention center, shelter care, or

 

group care facility and for whom attendance in a public school

 

system or local education agency is not an option.

 

     (H) Utilities of a county- or court-operated detention center,

 

shelter care, or group care facility, including water, gas,

 

electric, trash, and sewer.

 

     (I) Janitorial supplies of a county- or court-operated

 

detention center, shelter care, or group care facility.

 

     (J) Kitchen supplies of a county- or court-operated detention


center, shelter care, or group care facility.

 

     (K) Laundry supplies or service of a county- or court-operated

 

detention center, shelter care, or group care facility.

 

     (L) Linen supplies or service of a county- or court-operated

 

detention center, shelter care, or group care facility, including

 

towels and bedding.

 

     (M) Office supplies that are dedicated solely to the county-

 

or court-operated detention center, shelter care, or group care

 

facility.

 

     (N) Cellular telephones, landline telephones, and 2-way radios

 

used for communication that are dedicated solely to the county- or

 

court-operated detention center, shelter care, or group care

 

facility.

 

     (O) Copy machine charges that are dedicated to the county- or

 

court-operated detention center, shelter care, or group care

 

facility.

 

     (P) Mattress, box spring, or bed frame used in a county- or

 

court-operated detention center, shelter care, or group care

 

facility.

 

     (Q) Medical, dental, psychological, and psychiatric services,

 

including medication, for children who are not covered by another

 

source which services are not to determine competency.

 

     (R) Periodicals and books of a county- or court-operated

 

detention center, shelter care, or group care facility.

 

     (S) Recreational supplies, programs, and television in a

 

county- or court-operated detention center, shelter care, or group

 

care facility.


     (T) Training for child care fund-funded staff and in-service

 

education directly related to the out-of-home program, excluding

 

tuition grants or scholarships for college credit.

 

     (U) Mileage reimbursement rate costs for transporting children

 

of a county- or court-operated detention center, shelter care, or

 

group care facility. Mileage reimbursement rates used must adhere

 

to the county or tribe published rates. Mileage reimbursement rates

 

cover all costs of operating a vehicle, including maintenance,

 

repairs, taxes, gas, insurance, and registration fees.

 

     (V) Drug testing for children.

 

     (W) Birth certificates for children.

 

     (X) Incentives for youth.

 

     (Y) Interpreter fees for nonjudicial processes.

 

     (Z) Printing, binding, and postage for materials relating to

 

the education or correspondence relating to children in the county-

 

or court-operated detention center, shelter care, or group care

 

facility.

 

     (AA) Membership dues or fees for professional credential

 

maintenance of staff who provide or support a service to children

 

under the child care fund, or professional staff for whom

 

professional licensure is required in their respective job

 

description.

 

     (BB) Contracted personnel, programming, or services, or any

 

combination of these.

 

     (CC) Nonscheduled payments.

 

     (DD) New services that the department may agree with counties

 

and tribes to include that are not identified in this section that


support eligible children and families.

 

     (ii) Administrative or indirect expenditures for out-of-home

 

care. An administrative or indirect cost payment equal to 10% of a

 

county's total monthly gross expenditures will automatically be

 

distributed to the county on a monthly basis. A county is not

 

required to submit documentation to the department for any of the

 

expenditures that are covered under the 10% payment.

 

     (iii) Direct expenditures for in-home care, including the

 

following:

 

     (A) Salaries of circuit court employees who support the child

 

care fund in-home care program.

 

     (B) Fringe benefits, including payroll taxes, medical and

 

dental insurance, group life insurance, disability insurance,

 

accident insurance, health savings accounts, retirement

 

contributions, and accrued severance benefits of circuit court

 

employees who support the child care fund in-home care program. For

 

a county that receives the juvenile court officer grant and the

 

appointed juvenile court officer works within an approved program,

 

the proportional fringe benefits for the juvenile court officer may

 

be reimbursable.

 

     (C) Mileage reimbursement rate costs associated with the child

 

care fund in-home care program. Mileage reimbursement rates used

 

must adhere to the county or tribe published rates. Mileage

 

reimbursement rates cover all costs of operating a vehicle,

 

including maintenance, repairs, taxes, gas, insurance, and

 

registration fees.

 

     (D) Program supplies and materials, including, but not limited


to, all of the following:

 

     (I) Program-specific supplies, including risk or needs

 

assessments, recognition plaques, and educational or program

 

licenses.

 

     (II) Office supplies related to program activities and pro-

 

social activities.

 

     (III) Food related to program activities and pro-social

 

activities.

 

     (IV) Drug test kits.

 

     (V) Tethers and other forms of electronic monitoring.

 

     (E) Other costs, including all of the following:

 

     (I) Cellular telephones and other safety tracking technology

 

for child care fund-funded staff.

 

     (II) Training for child care fund-funded staff and in-service

 

education related to the in-home care component, excluding tuition

 

grants or scholarships for college credit.

 

     (III) Education costs for children who are prohibited from

 

school attendance in a public school system or the local education

 

agency or have severe educational issues and have been court

 

ordered into a child care fund-funded educational program.

 

     (IV) Printing, binding, or postage for materials relating to

 

the education or correspondence on behalf of children in the in-

 

home care program.

 

     (V) Membership dues or fees – professional credential

 

maintenance of staff who provide or support a service to children

 

under the child care fund or professional staff for whom

 

professional licensure is required in their respective job


descriptions.

 

     (VI) Business cards.

 

     (F) Other program-specific activities costs, including

 

entrance fees for programs.

 

     (G) Conference travel costs for other non-child-care-fund-

 

related training, including evidence-based and promising practices

 

training.

 

     (H) Contracted personnel, programming, or services, or any

 

combination of these.

 

     (I) Unit cost contracts, including all of the following:

 

     (I) Contracted - drug testing – lab (per "drug test" basis).

 

     (II) Contracted - counselor fees – (per "hour" basis).

 

     (III) Contracted - group session dollar per session (per

 

"session" basis). Group roster documentation required.

 

     (IV) Contracted - psychological evaluations, excluding

 

competency examinations – (per "evaluation" basis).

 

     (V) Contracted - service providers (per "service" basis).

 

     (J) Closed-end contracts. Closed-end contracts include, but

 

are not limited to, all of the following:

 

     (I) University contracts, including "program evaluation".

 

     (II) Private agency services contracts.

 

     (III) Educational services contracts.

 

     (IV) Court appointed special advocate (CASA) and wraparound

 

contracts.

 

     (V) Other contracts identifiable to the program.

 

     (K) Nonscheduled payments or case services payments. A

 

nonscheduled payment is a payment to an individual or organization


for items specified and defined in the child care fund handbook

 

that are not included in the state-established per diem rate. A

 

nonscheduled payment may include the following list:

 

     (I) Emergency costs, including immediate food, clothing,

 

medical, or dental needs that are not covered by another source.

 

     (II) Gymnasium or other pro-social activity requiring a

 

membership per child related to program activities.

 

     (III) Rewards or incentive pay for youth related to program

 

activities.

 

     (IV) Bus tokens or gas cards related to program activities.

 

     (V) Mentor costs - meals, mileage, movies, or social costs

 

related to program activities.

 

     (VI) Noncontracted service provider related to program

 

activities.

 

     (VII) Noncontracted group session related to program

 

activities.

 

     (VIII) Noncontracted psychological evaluations, excluding

 

competency examinations.

 

     (IX) Family assessment or evaluations.

 

     (X) Noncontracted counselor fees.

 

     (XI) Noncontracted drug testing – labs.

 

     (XII) Camps or field trips.

 

     (XIII) Birth certificates for children.

 

     (L) New services that the department may agree with counties

 

and tribes to include that are not identified in this section that

 

support eligible children and families.

 

     (M) Technology and software.


     (iv) Administrative or indirect expenditures for in-home care.

 

An administrative or indirect cost payment equal to 10% of a

 

county's total monthly gross expenditures will automatically be

 

distributed to the county on a monthly basis. A county is not

 

required to submit documentation to the department for any of the

 

expenditures that are covered under the 10% payment.

 

     (c) The Until October 1, 2023, and except as provided in

 

subdivision (j), the county amount distributed shall equal 50% of

 

the annual expenditures from the child care fund of the county

 

established under section 117c, except that expenditures under

 

section 117c(3) and expenditures that exceed the amount of a budget

 

approved under section 117c shall not be included. A distribution

 

under this subdivision shall not be made to a county that does not

 

comply with the requirements of this act. Subject to a county's

 

approval, the department may reduce the amount distributed to a

 

county by the amount owed to the state for care received in a state

 

operated facility or for care received under 1935 PA 220, MCL

 

400.201 to 400.214, or under the youth rehabilitation services act,

 

1974 PA 150, MCL 803.301 to 803.309.

 

     (d) For a county that is a county juvenile agency, a county's

 

block grant amount as determined under section 117g in equal

 

distributions on October 1, January 1, April 1, and July 1 of each

 

state fiscal year.

 

     (e) Notwithstanding the provisions in subdivision (a), subject

 

to appropriations, the department shall pay 100% of the costs of

 

the $9.20 increase to the administrative rate for providers of

 

foster care services provided in the annual appropriation for the


department budget. For the purposes of this subdivision only,

 

"foster care" means 24-hour substitute care for children placed

 

away from their parents or guardians, as a result of a court order

 

under section 2(b) of chapter XIIA of the probate code of 1939,

 

1939 PA 288, MCL 712A.2, in placements supervised by the department

 

or a private child placing agency under contract with the

 

department for foster care services. Foster care services include

 

supervision of placements in foster family homes, foster family

 

group homes, and preadoptive placements.

 

     (f) Notwithstanding the provisions of subdivision (c), the

 

department shall pay 100% of the administrative rate that is in

 

effect on September 26, 2018 for providers of treatment foster care

 

services and foster care services provided in the annual

 

appropriation for the department budget. For the purposes of this

 

subdivision only, "foster care" means 24-hour substitute care for

 

children placed away from their parents or guardians, as a result

 

of a court order under section 2(b) of chapter XIIA of the probate

 

code of 1939, 1939 PA 288, MCL 712A.2, in placements supervised by

 

the department or a private child placing agency under contract

 

with the department for foster care services. Foster care services

 

include supervision of placements in foster family homes, foster

 

family group homes, treatment foster care, preadoptive placements,

 

and supervision of children reunified with the parent with whom the

 

child lived at the time of removal.

 

     (g) Notwithstanding the provisions in subdivision (c), the

 

department shall pay 100% of the costs of any rate increase that is

 

in effect on September 26, 2018 to the providers of residential


foster care services under contract with the department, as

 

provided in the annual appropriation for the department budget.

 

     (h) Notwithstanding the provisions in subdivision (c) and

 

subject to appropriations, the department shall implement a

 

prospective payment system as part of a state-administered

 

performance-based child welfare system in a county with a

 

population of not less than 575,000 or more than 750,000, for

 

foster care case management in accordance with section 503 of

 

article X of 2014 PA 252. The county is only required to contribute

 

to foster care services payments in an amount that does not exceed

 

the average of the annual net contribution made by the county for

 

cases received under section 2(b) of chapter XIIA of the probate

 

code of 1939, 1939 PA 288, MCL 712A.2, in the 5 previous fiscal

 

years before October 1, 2015. The prospective payment system as

 

part of the state-administered performance-based child welfare

 

system shall be implemented as described in this subdivision but

 

shall not include in-home care service funding.

 

     (i) Subdivision (h) only impacts child abuse and child neglect

 

services and not juvenile justice program funding.

 

     (j) Beginning October 1, 2021, the state shall pay 100% of the

 

cost to provide juvenile justice services when a court exercises

 

jurisdiction over a juvenile who is 17 years of age, but under the

 

age of 18 at the time of the offense. The costs must include all

 

expenditures under subdivision (b) until jurisdiction is

 

terminated, for youth under section 2(a) and (d) of chapter XIIA of

 

the probate code of 1939, 1939 PA 288, MCL 712A.2. There shall be

 

no change in funding provided for juveniles who are under 17 years


of age at the time of the offense.

 

     (5) Beginning October 1, 2023, the percentage rate of

 

reimbursement for all juveniles must be equal to the sum of both of

 

the following:

 

     (a) The reimbursement established under subsection (4)(c) for

 

juveniles under 17 years of age at the time of the offense.

 

     (b) The average cost equal to 100% of the total expenditures

 

for 17-year-olds under this section for the fiscal years 2021 and

 

2022, and then established as a percentage spread over the average

 

of all eligible juveniles during the fiscal years 2021 and 2022.

 

     (6) For fiscal years 2021 and 2022, in addition to any other

 

audits or reviews required by state law or rule, the department

 

shall perform a fiscal and programmatic review of all monthly

 

reimbursements to counties to validate the expenditures for

 

providing juvenile justice services to juveniles who are placed

 

under the court's jurisdiction at 17 years of age, but under age 18

 

at the time of the offense, to ensure compliance with the child

 

care fund reimbursement program. The department shall provide

 

quarterly reports to the legislature and the state court

 

administrative office regarding reimbursement requests related to

 

juveniles who were 17 years of age at the time of the offense and

 

for reimbursement requests for juveniles who were under 17 years of

 

age at the time of the offense. The quarterly reports shall

 

include, but are not limited to, an assessment of whether the

 

county child care fund program recorded and reported direct

 

expenditures and revenues related to juveniles 17 years of age that

 

were accurate, allowable, or appropriate according to state laws,


rules, and department policy, and a comparison of expenditures and

 

revenues between juveniles 17 years of age and juveniles under 17

 

years of age.

 

     (7) (5) The purposes for which funding under this section

 

shall be distributed as provided under subsection (4) may be

 

allowed unless otherwise accessible and available by other public

 

assistance programs necessary to achieve the goals and outcomes for

 

in-home care or out-of-home care. Reimbursement shall not be made

 

for costs associated with an otherwise eligible child or family, or

 

both, if the reason for the unavailability of public assistance is

 

due to intentional program violations and disqualification of any

 

public assistance.

 

     (8) (6) All service providers shall submit a request for

 

payment within 1 calendar year of the date of service. A request

 

for payment submitted after 1 calendar year from the date of

 

service requires the provider to submit an exception request to the

 

county or the department for approval or denial.

 

     (9) (7) The county or the department is not subject to an

 

offset, chargeback, or reimbursement liability when a child care

 

fund cost is approved by the county or the department for payment

 

after 1 year from the date of service.

 

     (10) (8) The county is not subject to an offset, chargeback,

 

or reimbursement liability for prior expenditures resulting from an

 

error in foster care fund source determinations.

 

     (11) (9) The department is liable for the costs of all

 

juvenile justice services in a county that is a county juvenile

 

agency other than county juvenile agency services.


     (12) (10) The department shall establish guidelines for the

 

development of county juvenile justice service plans in counties

 

that are not county juvenile agencies.

 

     (13) (11) A county that is not a county juvenile agency and

 

receives state funds for in-home or out-of-home care of children

 

shall submit reports to the department at least quarterly or as the

 

department otherwise requires. The reports shall be submitted on

 

forms provided by the executive director and shall include the

 

number of children receiving foster care services and the number of

 

days of care provided.

 

     (14) (12) The department shall maintain a reporting system

 

providing that reimbursement under subsection (4)(c) shall be made

 

only on submission of billings based on care given to a specific,

 

individual child.

 

     Enacting section 1. This amendatory act takes effect October

 

1, 2021.

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