                                 CODE OF VIRGINIA

COUNTIES AND CITIES REQUIRED TO PARTICIPATE; ALLOCATION AND PAYMENT OF FUNDS TO
AND PAYMENTS BY COUNTIES AND CITIES (§ 32.1-345)

A. The governing body of each city and county in the Commonwealth shall
participate in the State/Local Hospitalization Program for indigent persons
established in this chapter.

B. The Director shall allocate annually to the counties and cities of the
Commonwealth such funds as may be appropriated by the General Assembly for this
program. The allocation of state funds shall be based on the estimated total
cost of required services in each county and city less the funds which shall be
provided by the counties and cities.

C. Each county and city shall provide funds for a share of the estimated total
costs as determined by the Director. The share for each county and city shall be
calculated by dividing its per capita revenue capacity by the statewide total
per capita revenue capacity, as determined by the Commission on Local
Government, and by multiplying the resulting ratio by an aggregate local share
of twenty-five percent. Each local share shall be adjusted according to local
income, as determined by dividing the median adjusted gross income for all state
income tax returns in each county and city by the median adjusted gross income
for all income tax returns statewide. However, no county or city shall
contribute more than twenty-five percent to the total cost for providing
required hospitalization and treatment for indigent persons. The Director of
Medical Assistance Services shall report each year by December 1 to the Senate
Committees on Education and Health and on Finance and Appropriations and the
House Committees on Health and Human Services and Appropriations on the
estimates of the costs of the program, based on trend analyses of the estimated
costs of the actual local per capita demand.

D. Upon allocation of funds appropriated pursuant to subsection B of this
section, each city and county shall remit within thirty days to the Department
the amount determined to be the local share pursuant to subsection C of this
section.

HISTORY: 1989, cc. 657, 746; 1996, cc. 782, 792.