FY21 Department of Health – Budget Hearing

The South Dakota Department of Health (DOH) presented its budget hearing to the Joint Committee on Appropriations. Secretary Kim Malsam-Rysdon started with the departments strategic plan and goals.

The DOH total request is $104,845,750 composed of 45.2% of other funds,45.6% of federal dollars and 9.11% of general fund dollars. The department is requesting 1 FTE which is a staff attorney who will represent all of the Boards under the DOH. Previously each board had their own attorney. It is believed that one attorney with the costs allocated to each of the boards is more efficient and more consistent for the board’s operations.

Additional highlights related to appropriation bills:

Special Appropriation

SB16 – An act to make an appropriation to reimburse certain health care professionals who have complied with the requirements for certain healthcare recruitment assistance programs and to declare an emergency. Appropriates $635,235 to reimburse two physicians, two dentists, one nurse practitioner and one physician assistant who will be fulfilling the requirements of their agreements with the State during FY 2021 and $233,958 to reimburse 50 eligible healthcare professionals who have complied with the requirements of the Rural Healthcare Facility Recruitment Assistance Program in FY 2021.

General Bill Amendment

SB38:

• Suicide Prevention: $75,000 general funds

• Helmsley AED Project: $3,670,341 other fund authority

• Correctional Healthcare 340B Savings: ($1,152,445) other fund authority​

The DOH provides correctional health for the prisons, and the Human Services Center (HSC) there is a reduction of 2.1M in pharmaceutical costs due to the 340B program. This program requires drug manufacturers to provide drugs at significantly reduced prices to safety net providers. Since HSC provides the prescriptions for the prison system the department is able to utilize this program for the prison and save dollars. Some of the savings will be used for new equipment in the Jameson addition.