BILL NUMBER: AB 963	CHAPTERED  10/05/01

	CHAPTER  526
	FILED WITH SECRETARY OF STATE  OCTOBER 5, 2001
	APPROVED BY GOVERNOR  OCTOBER 4, 2001
	PASSED THE ASSEMBLY  SEPTEMBER 12, 2001
	PASSED THE SENATE  SEPTEMBER 10, 2001
	AMENDED IN SENATE  AUGUST 27, 2001
	AMENDED IN SENATE  JULY 9, 2001
	AMENDED IN ASSEMBLY  MAY 31, 2001
	AMENDED IN ASSEMBLY  MAY 2, 2001

INTRODUCED BY   Assembly Member Cardoza

                        FEBRUARY 23, 2001

   An act to add Section 14087.23 to the Welfare and Institutions
Code, relating to Medi-Cal reimbursement.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 963, Cardoza.  Medi-Cal reimbursement.
   Existing law provides for the Medi-Cal program, which is
administered by the State Department of Health Services, pursuant to
which medical benefits are provided to public assistance recipients
and certain other low-income persons.
   Existing law authorizes the department to contract with various
types of health care providers and entities in order to obtain
Medi-Cal services through managed care arrangements as well as other
health care providers under specified circumstances.
   This bill would require that any county-operated community clinic,
as defined, must be reimbursed, subject to reductions in a certain
situation, for Medi-Cal services using the same methodology used for
reimbursement for a licensed surgical center, to the extent federal
financial participation is available.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 14087.23 is added to the Welfare and
Institutions Code, to read:
   14087.23.  (a) Notwithstanding any other provision of law, and
except as provided in subdivision (b), a county-operated community
clinic, exempt from licensure under Section 1206 of the Health and
Safety Code, which is operated by a county which, on or before
November 30, 1997, ceased to operate a county-operated hospital with
an outpatient department, shall be reimbursed for Medi-Cal services
using the same methodology used for reimbursement of a licensed
surgical center, to the extent federal financial participation is
available.
   (b) Providers that are independently billing for physician
services provided in clinics described in subdivision (a) shall be
subject to the reduction in reimbursement consistent with physician
services provided in an outpatient hospital department.