53-6-1201. Special revenue fund -- health and medicaid initiatives. (1) There is a health and medicaid initiatives account in the state special revenue fund established by 17-2-102. This account is to be administered by the department of public health and human services.
     (2) There must be deposited in the account:
     (a) money from cigarette taxes deposited under 16-11-119(1)(d);
     (b) money from taxes on tobacco products other than cigarettes deposited under 16-11-119(3)(b); and
     (c) any interest and income earned on the account.
     (3) This account may be used only to provide funding for:
     (a) the state funds necessary to take full advantage of available federal matching funds in order to administer the plan and maximize enrollment of eligible children under the healthy Montana kids plan, provided for under Title 53, chapter 4, part 11, and to provide outreach to the eligible children;
     (b) a new need-based prescription drug program established by the legislature for children, seniors, chronically ill, and disabled persons that does not supplant similar services provided under any existing program;
     (c) increased medicaid services and medicaid provider rates. The increased revenue is intended to increase medicaid services and medicaid provider rates and not to supplant the general fund in the trended traditional level of appropriation for medicaid services and medicaid provider rates.
     (d) an offset to loss of revenue to the general fund as a result of new tax credits;
     (e) funding new programs to assist eligible small employers with the costs of providing health insurance benefits to eligible employees;
     (f) the cost of administering the tax credit, the purchasing pool, and the premium incentive payments and premium assistance payments as provided in Title 33, chapter 22, part 20; and
     (g) providing a state match for the medicaid program for premium incentive payments or premium assistance payments to the extent that a waiver is granted by federal law as provided in 53-2-216.
     (4) (a) On or before July 1, the budget director shall calculate a balance required to sustain each program in subsection (3) for each fiscal year of the biennium. If the budget director certifies that the reserve balance will be sufficient, then the agencies may expend the revenue for the programs as appropriated. If the budget director determines that the reserve balance of the revenue will not support the level of appropriation, the budget director shall notify each agency. Upon receipt of the notification, the agency shall adjust the operating budget for the program to reflect the available revenue as determined by the budget director.
     (b) Until the programs or credits described in subsections (3)(b) and (3)(d) through (3)(g) are established, the funding must be used exclusively for the purposes described in subsections (3)(a) and (3)(c).
     (5) The phrase "trended traditional level of appropriation", as used in subsection (3)(c), means the appropriation amounts, including supplemental appropriations, as those amounts were set based on eligibility standards, services authorized, and payment amount during the past five biennial budgets.
     (6) The department of public health and human services may adopt rules to implement this section.

     History: En. Sec. 7, I.M. No. 149, approved Nov. 2, 2004; amd. Secs. 9, 13, Ch. 287, L. 2005; amd. Sec. 33, Ch. 511, L. 2005; amd. Sec. 18, Ch. 595, L. 2005; amd. Sec. 4, Ch. 482, L. 2007; amd. Sec. 87, Ch. 2, L. 2009; amd. Sec. 9, Ch. 461, L. 2009; amd. Sec. 21, Ch. 486, L. 2009; amd. Sec. 35, Ch. 489, L. 2009.