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SUMMARY - FY 2011 Local Funds Spending Pressures

As of March 22, 2011

($ millions)

Appn Title/Agency Low High Description

A. Governmental Direction and Support

Settlements and Judgments (ZH0) $11.0 $11.0

$11.0 $11.0

B. Public Safety and Justice

Department of Corrections (FL0) $1.8 $1.8 Increased pharmaceuticals spending.

$0.0 $5.0

Subtotal, Public Safety and Justice $1.8 $6.8

C. Public Education System

$3.5 $3.5

DCPS (GA0) TBD TBD

Subtotal, Public Education System $3.5 $3.5

D. Human Support Services

$17.3 $17.3

Settlements and Claims - Unbudgeted settlements and claims for two massdemonstration settlements, and attorney and court-related fees.

Subtotal, Governmental Directionand Support

Reduction in the Corrections Trustee Reimbursement - The revenueestimate will decrease due to inmates staying a shorter time in theCorrectional Treatment Facility.

University of the District of Columbia(GF0)

Community College - The combined operating costs for PR Harris andBackus Schools are estimated to be approximately $3.5 million.

Arbitration Ruling - Arbitration ruling against the District for dismissal of75 teachers. Ruling is currently under appeal. Exact pressure amount still tobe determined.

Department of Healthcare Finance(HT0)

1. $6.5 million: fewer people transitioned from Alliance to Medicaid; delayin converting the 133% 200% FPL group to Medicaid; and total Childless

Adult population (Medicaid and Alliance) exceeds the budgeted count.2. $5.1 million: four savings initiatives have been delayed.3. $3.7 million: Stevie Sellows assessment will not be received due toICF/MR appeals.4 $2 0 illi d f f i di h

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4 $2 0 illi t d f f i di th

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FY 2011 Local Funds Spending Pressures

($ millions)

As of March 22, 2011

Committee/Agency Description Low High

Committee of the Whole$3.5 $3.5

DCPS (GA0) TBD TBD

Total Committee of the Whole $3.5 $3.5

Committee on Government Operations and the Environment

$11.0 $11.0

Total Committee on Government Operations and the Environment $11.0 $11.0

University of the Districtof Columbia (GF0)

Community College - The combined operating costs for PR Harris and Backus Schoolsare estimated to be approximately $3.5 million.

Arbitration ruling against the District for dismissal of 75 teachers. Ruling is currentlyunder appeal. Exact pressure amount still to be determined.

Settlements andJudgments (ZH0)(managed by the Office ofRisk Management (RK0))

Anticipated unbudgeted settlements and claims processing fees include: $8.0 million fortwo mass demonstration settlements and $3.0 million in attorney and court-related fees.

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FY 2011 Local Funds Spending Pressures

($ millions)

As of March 22, 2011

Committee/Agency Description Low High

Committee on the Judiciary$1.8 $1.8

$0.0 $5.0

Total Committee on the Judiciary $1.8 $6.8

Committee on Health

$17.3 $17.3

Total Committee on Health $17.3 $17.3

Department of Corrections(FL0)

Pharmaceuticals spending is forecasted at $3.8 million, which is $1.8 million overcurrent budget of $2.0 million.

Correctional Treatment Facility (CTF) is funded by the Corrections TrusteeReimbursement SPR Fund. The revenue estimate has decreased from $25 million to $19million due to inmates staying a shorter time in the CTF. This shortfall is partly offsetby savings due to fewer inmates being housed at the CTF.

Department of HealthcareFinance (HT0)

$6.5 million: Childless Adults under 200% of the Federal Poverty Level. As a result ofrecent program expansions made possible by the passage of the Affordable Care Act atthe federal level, DHCF now covers Childless Adults with incomes at or below 200% ofthe federal poverty level (FPL) through Medicaid. Shortfall is due to: 1. Fewer peopletransitioned from Alliance to Medicaid. 2. Delay in converting the 133% 200% FPLgroup to Medicaid. 3. Total Childless Adult population (Medicaid and Alliance) exceedsthe budgeted count of 59,360 childless adults under 200% of FPL for the affectedprograms. The actual enrollment was 63,018 in total across the affected programs,which is an increase of 3,658 or 6%. $5.1million: Most of the savings initiatives in the FY 2011 budget are on track; however,four initiatives that were supposed to take effect October 1, 2010 have been delayed,

thereby reducing the achievable savings.$3.7 million: The FY 2011 budget assumed that DHCF would receive $3.7

million in dedicted tax revenue from a tax assessment of ICF/MRs. The ICF/MRs haveappealed the assessment and the $3.7 million of revenue to support the budget will notbe collected.

$2.0 million: unexpected fee-for-service spending growth.

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