1. MENTAL HEALTH MEDI-CAL ADMINISTRATIVE ACTIVITIES INVOICE TRAINING

2. LEARNING OBJECTIVES Understand the purpose for each schedule in the invoice. Understand the source data for each data element in the invoice. Understand the documentation that should be maintained to support the invoice. Understand how DHCS will review and verify the data reported on the invoice. Understand the relationship between the invoice and the cost report.

3. OVERVIEW Schedule A – Time Study Results Schedule B – Salary and Benefit Costs Schedule C – Allocation Percentages for Salary and Benefit Costs Schedule D – Allocated Salary and Benefit Costs Schedule E – General and Administrative Costs Schedule F – Allocated General and Administrative Costs Schedule G – Determination of Federal Reimbursement

4. SCHEDULE A Purpose Source data – Staff classifications – Time Documentation to support Schedule A – Staff classifications – Time DHCS review and verification Sample

5. SCHEDULE A – PURPOSE The purpose for Schedule A is to report 100% of the time each staff classification worked during the claiming quarter by activity. The time spent on each activity is the basis for allocating salary and benefit costs and reallocation of general and administrative costs. The total time reported for a quarter may not exceed 31,200 minutes.

6. SCHEDULE A – SOURCE DATA The staff classifications listed on the invoice must match the staff classifications listed on the claiming unit functions grid of the claiming unit’s approved MH MAA claiming plan. All classifications must be listed whether or not the individual in the classification performed a reimbursable activity. The time reported must match each individual’s signed personnel activity reports for the months within the claiming quarter.

7. SCHEDULE A – DOCUMENTATION A claiming unit should maintain copies of signed personnel activity reports to support the time reported on Schedule A. A claiming unit should maintain copies of the claiming unit functions grid to support the staff classifications reported on Schedule A. A claiming unit should maintain documentation that demonstrates the individuals who signed the personnel activity reports are employed in the appropriate classification.

8. SCHEDULE A – DHCS REVIEW DHCS will review Schedule A against the approved MH MAA claiming plan to verify that all classifications have been listed. Claiming units must actively update their claiming plans to ensure the classifications listed are current. DHCS will not process an invoice for which the staff classifications listed on Schedule A do not exactly match the claiming unit functions grid.

9. SCHEDULE A – SAMPLE Please refer to the sample invoice contained in your training materials. Column A lists all staff classifications identified on the claiming plan’s claiming unit functions grid. In Columns B through K, please report the number of minutes the person in each staff classification spent performing activities within each cost center as recorded on his/her time study. Column M is equal to the total minutes the person in the staff classification worked in that quarter and may not exceed 31,200.

10. SCHEDULE B SALARY AND BENEFIT COSTS Purpose Source data – Salary costs – Benefit costs Sample

11. SCHEDULE B – PURPOSE The purpose of Schedule B is for the claiming unit to report total salary and benefit costs for each classification for the claiming quarter. Salary and benefit costs will be allocated among reimbursable, reallocated, and non- reimbursable activities based upon the time reported on Schedule A.

12. Schedule B – SOURCE DATA Please report gross salaries and wages paid to each classification during the claiming quarter. The gross salaries and wages should match accounting records. Benefit costs reported may be based upon a standard percentage of gross salaries.

13. SCHEDULE B - SAMPLE Please refer to the sample invoice contained in your training materials. Column A lists all staff classifications identified on the claiming plan’s claiming unit functions grid and entered in Schedule A. In Column B, please enter the salary paid to person in each staff classification identified in Column A. In Column C, please enter the benefit costs incurred for the person in each staff classification listed in Column A. Column D is equal to the sum of Columns B and C.

14. SCHEDULE C Purpose Sample

15. SCHEDULE C – PURPOSE The purpose for Schedule C is to calculate percentages for allocating salary and benefit costs to reimbursable, reallocated, and non reimbursable activities. The allocation percentage for each classification and activity is equal to the time reported for each classification and activity divided by the total time each classification worked during the claiming quarter.

16. SCHEDULE C – SAMPLE Please refer to the sample invoice contained in your training materials. Column A lists all staff classifications identified on the claiming plan’s claiming unit functions grid and entered into Schedule A. Columns B through K calculate an allocation percentage for each cost center. Column M is equal to the sum of Columns B through L and must be 100%.

17. SCHEDULE D Purpose Sample

18. SCHEDULE D – PURPOSE The purpose for Schedule D is to calculate the proportion of salary and benefit costs that are allocated to each reimbursable, reallocated, and non-reimbursable activity. The proportion of salary and benefit costs allocated to each activity is equal to the total salary and benefit costs reported on Schedule B for each classification multiplied by the allocation percentage determined on Schedule C for each activity performed by that classification.

19. SCHEDULE D – SAMPLE Please refer to the sample invoice contained in your training materials. Column A lists all staff classifications identified on the claiming plan’s claiming unit functions grid and entered into Schedule A. Columns B through L multiply the salary and benefit costs reported on Column C by the allocation percentages calculated in Column C. Column M is equal to the sum of Columns B through L and must be equal to the total salary and benefit costs determined in Schedule B.

20. SCHEDULE E Purpose Source data Documentation Sample

21. SCHEDULE E – PURPOSE The purpose for Schedule E is to determine the total general and administrative costs to be reallocated among reimbursable and non- reimbursable activities. Claiming units should report internal indirect costs and external indirect costs (county only) allocated to the claiming unit. Claiming units also need to report total minutes worked by employees in the claiming unit.

22. SCHEDULE E – SOURCE DATA The source for the internal indirect costs is a cost allocation plan maintained by the Department that prescribes how internal indirect costs are allocated among revenue producing organizational units. The source for the external indirect costs is the cost allocation plan filed by the county with the SCO, which determines the proportion that is allocated to the mental health department. The department’s internal cost allocation plan should describe how external indirect costs are then allocated among revenue producing organizational units. Operating expenses should match accounting records.

23. SCHEDULE E – DOCUMENTATION The claiming unit should be able to support the external indirect costs allocated to the mental health department with the county’s cost allocation plan on file with the SCO. The claiming unit should be able to support the amount of external and internal indirect costs allocated to the claiming unit with its internal cost allocation plan. The claiming unit should be able to support the amount of other operating expenses with reports from the accounting system.

24. SCHEDULE E – SAMPLE Please refer to the sample invoice contained in your training materials. Column A lists the categories of indirect costs to be reallocated. Line 1, Column B, is equal to the total salary and benefit costs and is automatically populated from Schedule D, Column K. Lines 2, 3, and 4, please enter the claiming unit’s operating expenses, internal indirect costs, and OMB A-87. On Line 6, the total minutes worked by employees in the claiming unit is automatically populated from the Totals line on Schedule A, Columns B through J.

25. SCHEDULE F Purpose Allocation procedure Sample

26. SCHEDULE F – PURPOSE Schedule F allocates the general and administrative salary and benefit costs, other operating expenses, internal indirect costs, and external indirect costs among activities reimbursed at 50%. General and administrative costs are not allocated to activities that receive enhanced reimbursement.

27. SCHEDULE F ALLOCATION PROCEDURE Schedule F calculates an allocation percentage for each activity that is reimbursed at 50% or is not reimbursed. The allocation percentage is equal to the total time spent performing the activity divided by the total time spent working in the claiming unit. The allocation percentage for each activity is multiplied by the total general and administrative costs to determine the percentage of total and administrative costs allocated to each activity.

28. SCHEDULE F – SAMPLE Please refer to the sample invoice contained in your training materials. Line 1 is populated with salary and benefit costs determined in Schedule D for each cost center. Line 2 calculates the allocation percentage for General and Administrative costs for each cost center. Line 3 is equal to the allocation percentage calculated in line 2 multiplied by the total general and administrative costs as determined in Schedule E.

29. SCHEDULE G CLAIM FOR REIMBURSEMENT Purpose Sample

30. SCHEDULE G – PURPOSE The purpose for Schedule G is to determine the claiming unit’s total federal reimbursement for Mental Health Medi-Cal Administrative Activities.

31. SCHEDULE G – SAMPLE Please refer to the sample invoice contained in your training materials. Line 1 is populated with salary and benefit costs allocated to activities on Schedule D within each cost center. Line 2 is populated with general and administrative costs allocated to activities on Schedule E within each cost center. Please enter the Medi-Cal discount percentage on Line 5 for the discounted cost centers.