KANSAS DEPARTMENT OF SOCIAL AND REHABILITATION SERVICES
FY 2008 and FY 2009 Business Plan
Executive Summary

Chairperson Bethell and members of the committee, I am Don Jordan, Secretary of the Kansas Department of Social and Rehabilitation Services (SRS).  Thank you for the opportunity to provide an overview of SRS and highlights of the key issues the agency will be focusing on this year.

Joining me today are Ray Dalton, Deputy Secretary of Disability and Behavioral Health Services (DBHS) and Candy Shively, Deputy Secretary of Integrated Service Delivery (ISD) for SRS.  These two divisions are the primary service delivery components within SRS.  DBHS was recently renamed from Health Care Policy to more accurately reflect the functions of the division.

SRS is the state’s social service agency with a mission to protect children and promote adult self-sufficiency.  To that end, SRS provides a wide range of services and supports to Kansans, continuously striving to promote best practices in social policy, while doing so in the most efficient and effective manner possible.

I would like to provide you with a brief overview of the agency’s current issues which impact the services we provide, individuals we serve, and workforce efficiency.

Child Protective Services.   We will continue to focus on prevention and protecting children by providing additional training to intake and assessment staff, increasing accountability, and implementing the recommendations of the Governor’s Child Protective Services (CPS) Task Force.  The Governor’s budget includes $9.0 million in state funds in FY 2008 and FY 2009 to allow us to continue our efforts to maintain the current level of the receipt of intake reports and initial assessment decisions to ensure thorough investigations of reported cases of abuse and neglect.   In response to the CPS Task Force recommendations we will be implementing a single statewide phone number to report child abuse and neglect and increasing the level of training provided to all staff who work in child protective services.

Home and Community Based Services (HCBS).   SRS administers six federal home and community based services waivers to provide services and supports to individuals with disabilities, allowing them to be served in their homes and communities.  This year we are very pleased to be able to continue the practice of no waiting lists for the physical disability (PD), traumatic brain injury (TBI), serious emotional disturbance (SED), and technology-assisted (TA) children waivers.  In addition, we will be reducing the waiting list for persons with a developmental disability needing HCBS services.  We have also just finished the selection process for the 25 children who will begin to receive services under the new Autism waiver.

Human Services Management System (HSM).    In FY 2009 we will begin the first phase of our Human Services Management project.  HSM is a business technology project focused on increasing outcome-based, client-centered, integrated delivery of services by replacing the current legacy systems.  The current systems were developed with technology that is now outdated and are not easily updated when new programs or modifications to existing programs are needed in a timely manner.  These antiquated systems require staff to complete error prone off-system determinations, paper intensive manual work arounds, and are cumbersome to use.  System changes are expensive and cannot keep pace with state and federal eligibility policy changes. 

Phase one is a collaborative effort between SRS and the Kansas Health Policy Authority (KHPA) to develop and implement a new integrated benefits and eligibility system called Avenues that is flexible and more easily modified in order to keep up with the addition of new programs, federal mandates, and changes to existing programs.  The new system will allow staff to focus more on prevention and improving customer service.

Federal Deferrals.    SRS has worked closely with the KHPA and the Centers for Medicare and Medicaid Services (CMS) to resolve some longstanding federal Medicaid issues. We appreciate the support of the Governor and the Legislature in providing needed state funds during last year’s Session related to these payment reforms. With the recent changes to the Medicaid State Plan, CMS has stopped deferring federal Medicaid funding related to mental health and child welfare, and is working with the state to resolve prior year deferrals. Beginning with the first quarter of this fiscal year, CMS did not defer child welfare Medicaid claims that they have deferred since July 1, 2003.  SRS and KHPA are currently working with CMS to try and recover a portion of the previously deferred funds. Also on July 1, 2007, Community Mental Health Centers (CMHC) Medicaid Administrative Claiming was ended and an agreement is being reached with CMS to resolve four years of prior claims and complete payments to the CMHCs.

As a part of these reforms, SRS made the successful transition to a managed care system for mental health and substance abuse services.  Kansas Health Solutions, a newly-formed corporation sponsored by the Kansas Community Mental Health Centers, was selected to serve as the statewide managed care organization for mental health services.  A key focus has been the expansion of the provider network to include all individuals in the state who are Licensed Mental Health Professionals.    Value Options was selected to manage outpatient and inpatient substance abuse treatment services under the direction of SRS, creating a seamless system of care by including both Medicaid and federal Substance Abuse Prevention and Treatment block grant funds in this new management system. The change to managed care systems has enhanced consumer access, choice and care.

At the same time, SRS implemented a new residential care system for youth in need of intensive mental health treatment.  These youth are now provided active treatment in the structured therapeutic environment of Psychiatric Residential Treatment Facilities (PRTFs).  Youth Residential Centers provide services to youth who do not need the intensity of PRTF services.

Funded Caseloads.   The Consensus Caseload estimating group consisting of staff from SRS, Kansas Department on Aging, Kansas Health Policy Authority, Division of the Budget, and Legislative Research met on November 2, 2007 to revise the FY 2008 estimates and make the first FY 2009 estimates for the Consensus Caseloads.  These items are funded in the Governor’s budget and comprise 39% SGF (32% AF) of the total SRS budget.  The current year estimate is a reduction of $2.5 million in state funds from the approved budget while FY 2009 reflects a modest SGF increase of $9.2 million.

Disaster Response.   SRS was actively involved in recovery efforts following the Greensburg tornado and the flooding in southeast Kansas.  SRS staff maintained a presence at the disaster recovery centers to support affected individuals by listening, providing comfort and support, and making referrals to the Federal Emergency Management Agency (FEMA), the Small Business Administration (SBA), and other state agencies.  SRS staff also  issued replacement food stamp benefits, took applications for disaster food assistance, and replaced Electronic Benefit Transfer (EBT) Vision cards and Medicaid ID cards that were lost in the disasters.  SRS continues to work in the disaster areas to provide crisis counseling and mental health referrals.   The office SRS leased in Greensburg was destroyed, and we are currently in a temporary trailer on the grounds of the Iroquois Mental Health Center until a permanent new location in Greensburg is identified as the rebuilding process progresses.