HomeMy WebLinkAboutAgenda - 09-17-2024; 8-h - Fee Schedule Changes for Health Department 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: September 17, 2024
Action Agenda
Item No. 8-h
SUBJECT: Fee Schedule Changes for Health Department
DEPARTMENT: Health
ATTACHMENT(S): INFORMATION CONTACT:
August 28, 2024 Board of Health
Proposed Fee Changes Agenda Item Frederick Perschau, Finance and
August 28, 2024 Board of Health Administrative Services Director,
Proposed Fee Changes Agenda Item 919-245-2414
Addendum
FY 2024-25 New Fees Requested
Spreadsheet
Environmental Health Fee Change
Information
PURPOSE: To establish and update fees as recommended by the Board of Health for certain
personal health, dental health and environmental health services to assist in cost recovery.
BACKGROUND: According to North Carolina General Statute (NCGS) 130A, the Board of Health
is responsible for reviewing and recommending fees to the Board of County Commissioners in
order to recover costs for those services for which fees may be charged. Establishment of fees
also allows the Health Department to recover costs from third parties such as Medicaid, Medicare,
and private insurance. A standard fee must be established that is charged to a patient or client
regardless of their insurance status. The Health Department also has established a sliding fee
scale to charge patients/clients based on income. At its August 28, 2024, meeting, the Board of
Health reviewed and approved the proposed fees, recommending that the changes move forward
to the Board of Commissioners for action.
While the charge for the service is always the same, the amount collected by the Health
Department varies according to the payor source. Twice a year, Medicaid reviews and makes
rate adjustments based on the experience with various providers throughout the state. The
department reviews and adjusts its fees based on this review to ensure that the maximum income
allowed by Medicaid for a certain procedure can be recovered to defray the costs for providing a
particular service. The Department reviews fees annually as part of budget process, however,
sometimes changes in policy at the state level lead to a change in the fee structure, or a change
in best practice for medical care dictates changes that fall outside of the budget cycle.
The Medicaid Cost Settlement methodology requires that the Health Department examine its
existing fees. In doing so, staff used the following methodology:
1. Increased fees to the regional cost average rather than the actual cost if it was
significantly higher
2. Decreased fees if the actual cost was less than the current fee
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3. Confirmed that all fees are equal to or exceed the Medicaid reimbursement rate
This resulted in one (1) new proposed fee for the dental clinic (Dental Health), one (1) new
proposed fee for the medical clinic (Personal Health), and one (1) new proposed fee for
Environmental Health.
Other additional proposed fee adjustments relate to Environmental Health fee increases for all re-
inspection types as cost recovery for staff time.
FINANCIAL IMPACT: Since most of these fees will only recover the direct costs of providing the
services, the Department does not anticipate substantially increased revenues or expenditures.
The Department continues to experience an increase in service to residents that qualify for
reduced payment on the sliding fee scale.
ALIGNMENT WITH STRATEGIC PLAN: This item supports:
• GOAL 2: HEALTHY COMMUNITY
OBJECTIVE 2. Expand access to quality, affordable healthcare services.
• GOAL 1: ENVIRONMENTAL PROTECTION AND CLIMATE ACTION
OBJECTIVE 6. Protect water supply/watersheds.
RECOMMENDATION(S): The Manager recommends that the Board approve the proposed fee
schedule changes, to become effective based on the dates on the attached FY 2024-25 New
Fees Requested Spreadsheet, for Personal Health, Dental Health and Environmental Health
Services as recommended by the Board of Health.
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Agenda Item Number: VIII.A.
ORANGE COUNTY BOARD OF HEALTH
AGENDA ITEM SUMMARY
Meeting Date: August 28, 2024
Agenda Item Subject: Proposed Fee Changes
Attachment(s): New Fee Form
Staff or Board Member Reporting: Dr. Stephanie George, Victoria Hudson, & Carla
Julian
Purpose: X Action
Information only
Information with possible action
Summary Information:
Fee Request 1
Dental Health Services would like to add a new fee which is a current fee reimbursed by
Medicaid. The code is D1355 - Caries preventive medicament application - per
tooth. Medicaid reimburses this procedure at $11.00 per tooth. There are very little
restrictions in timing and quantity of this code. This procedure involves placing Silver
Diamine Fluoride (SDF) to teeth that are at high risk of caries, such as partial erupted
permanent teeth and teeth that are difficult to clean.
Health Equity Impact
We plan to use this medication in our current clinics, but also as we go into schools this
year to provide preventive treatment. We can easily apply this medication to children
and teeth that are at high risk for caries and help prevent future decay, even if we are
unable to follow-up with routine care for these kids. This is a quick and affordable
preventive measure we can take in our clinic and in schools.
Fee Request 2
The Environmental Health Division requests fee increases for all re-inspection types as
cost recovery for staff time.
Health Equity Impact
This fee has not increased for more than 3 years. The fees are assessed to contractors
and management entities who require more than customary inspections due to failure to
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comply with conditions of Permits or violations of Rules and North Carolina
Administrative Codes.
Fee Request 3
The Environmental Health Division requests a new fee which will be added to Building
Permits requiring administrative review by Environmental Health. This fee is only
assessed when the Building Inspections Office requests the review. It is collected by
the Building Inspections Office as part of the Building Permit. This fee will not be
assessed for any other Environmental Health/ Health Department function of the
County. A decision will need to be made regarding the account where funds will be
deposited.
Health Equity Impact
The Building Permit Review Fee is based on the total square footage of the building
project. The fee is set at only 10 per square foot with a $25 minimum. Over the course
of a fiscal year, these cents will add up. If possible in FY25-26, Environmental Health
staff will deposit funds into an enterprise project account to fund environmental health
equity assistance with the Orange County Housing Department to meet goals of the
Division Strategic Plan.
Fee Request 4
Personal Health Services requests a new fee be added for a Stand-Alone School Health
Assessment. Proof of a health assessment for a child entering NC public schools for the
first time is required according to NC General Statue 130A-440. The health assessment
must have been completed within 12 months prior to the date of entry to public school. If
the school hasn't received the health assessment form and a record of completed
immunizations by the 30th calendar day from the first day of a child's attendance, the
principal is required by law to exclude the child from school on the 31st day until such
evidence has been presented by the parent or guardian.
Many children come to the health department for their school health assessment and
immunizations during that 30-calendar day period before school exclusion. If an age-
appropriate child health preventive health visit cannot be performed during time allotted
for the School Health Assessment, the NC Division of Child and Family Well-Being,
Whole Child Health Section allows for a Stand-Alone School Health Assessment at a
fixed rate to improve access for children and adolescents to avoid exclusion from
school. The Personal Health Services Division would like to add the following fee to
their fee schedule in order to bill for the allowable stand-alone fee: 2024 ICD-10-CM
Diagnosis Code Z02.0 - Encounter for examination for admission to educational
institution - $40.00
Health Equity Impact
Preventive examinations on OCHD's fee schedule range from $205.00 to $275.00. The
average fee for Z02.0 at walk-in clinics is $60.00 to $200.00. We believe a flat fee of
$40.00 will allow our lower income community members the opportunity to pay less than
what they would pay at a private sector walk-in clinics when a complete preventive
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examination is not possible due to the number of visits we need to accommodate during
the 30-calendar day exclusion period.
Recommended Action: Approve
X Approve & forward to Board of Commissioners for action
Approve & forward to
Accept as information
Revise & schedule for future action
Other (detail):
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Agenda Item Number: VIII.A.
ORANGE COUNTY BOARD OF HEALTH
AGENDA ITEM SUMMARY
Meeting Date: August 28, 2024
Agenda Item Subject: Proposed Fee Changes, Personal Health Services Addendum
Attachment(s): New Fee Form
Staff or Board Member Reporting: Carla Julian
Purpose: X Action
Information only
Information with possible action
Summary Information:
Personal Health Services Fee Request
Proof of a health assessment for a child entering NC public schools for the first time is
required according to NC General Statue 130A-440. The health assessment must have
been completed within 12 months prior to the date of entry to public school. If the school
hasn't received the health assessment form and a record of completed immunizations
by the 30th calendar day from the first day of a child's attendance, the principal is
required by law to exclude the child from school on the 31 st day until such evidence has
been presented by the parent or guardian.
Many children come to the health department for their school health assessment and
immunizations during that 30-calendar day period before school exclusion. If an age-
appropriate child health preventive health visit cannot be performed during time allotted
for the School Health Assessment, the NC Division of Child and Family Well-Being,
Whole Child Health Section allows for a Stand-Alone School Health Assessment at a
fixed rate to improve access for children and adolescents to avoid exclusion from
school. The Personal Health Services Division would like to add the following fee to
their fee schedule in order to bill for the allowable stand-alone fee.
2024 ICD-10-CM Diagnosis Code Z02.0 - Encounter for examination for admission
to educational institution - $40.00
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Health Equity Impact
Preventive examinations on OCHD's fee schedule range from $205.00 to $275.00. The
average fee for Z02.0 at walk-in clinics is $60.00 to $200.00. We believe a flat fee of
$40.00 will allow our lower income community members the opportunity to pay less than
what they would pay at a private sector walk-in clinics when a complete preventive
examination is not possible due to the number of visits we need to accommodate during
the 30-calendar day exclusion period.
Recommended Action: Approve
X Approve & forward to Board of Commissioners for action
Approve & forward to
Accept as information
Revise & schedule for future action
Other (detail):
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FY 2024-25 Annual Operating Budget
Proposed Fee Change
Department Health
1.Review FY24-25 Commissioner Approved Fee Schedule linked here
2.List any proposed new fees or fee changes below
Anticipated
Reason for Increase 2024-25 Revenue
(Describe,in detail,why the increase is needed and what 2023-24 Proposed from Fee
Division Name of Fee impact the increase will have.) Rate Rate Change Effective Date
To cover the cost of shipping printed materials to residents
Example- who request information.Recent postage increase has
Finance Example-Shipping Fees caused a funding gap of$1,000 since November 2021. $ 1.00 $ 1.10 $ 4,000.00 July 1,2024
Dental Health D1355-Caries preventive New Fee $ - $59.00 $4,000.00 October 1,2024
Environmental Denial of a Operation
Health Permit/Reinspection fee Cost recovery of staffing $ 50.00 $ 100.00 $1,000 November 1,2024
Environmental New fee:To cover the cost of staffing unfunded CB project-
Health Review of Building Permit requirement of Planning and Inspections Department $ - $25 min $26,475 November 1,2024
Denial of a Well
Environmental Construction/Reinspection
Health fee Cost recovery of staffing $ 50.00 $ 100.00 $500 November 1,2024
Environmental Total Suspended/Dissolved
Health Solids Analyses Cost increase of lab kit $ 75.00 $ 100.00 $ 100.00 November 1,2024
Environmental Swimming Pool Permit
Health Denial/Reinspecition fee Cost recovery of staffing $ 150.00 $ 200.00 $ 750.00 November 1,2024
Z02.0-Encounter for
Personal Health examination for admission
Services to educational institution New Fee $ - $ 40.00 October 1,2024
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Proposed Fee Change
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New Fee : Building Permit EH Review
• The business rules of the Orange County
Building Permits require Environmental Health
( EH ) to review each Permit where there is
onsite wastewater and/or water supply.
Multiple reviews are included when changes
are made during construction .
• FY 23/24 there were N1, 059 reviews without
compensation . These reviews require 3-5
workhours each week.