BILL ANALYSIS                                                                                                                                                                                                    



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          Date of Hearing:   June 28, 2005

                            ASSEMBLY COMMITTEE ON HEALTH
                                  Wilma Chan, Chair
                     SB 57 (Alarcon) - As Amended:  May 27, 2005

           SENATE VOTE  :   24-13
           
          SUBJECT  :   Fines and forfeitures.

           SUMMARY  :   Permits an additional penalty assessment of $2 for  
          every $10 or fraction thereof to be collected upon Alcohol  
          Beverage Control (ABC) Act and Vehicle Code offenses.  Requires  
          revenue generated from the assessment to be deposited into the  
          Maddy Emergency Medical Services (EMS) Fund, with 15% designated  
          for pediatric trauma centers.   Specifically,  this bill  :   

          1)Permits, for purposes of supporting EMS, as specified, a  
            county board of supervisors to elect to levy an additional  
            penalty of $2 for every $10 or fraction thereof, which is to  
            be collected together with and in the same manner as existing  
            assessments, as specified, upon every fine, penalty, or  
            forfeiture imposed and collected by the courts for criminal  
            offenses, including violations relating to the ABC Act, and  
            Vehicle Code violations, and local ordinances adopted pursuant  
            to the Vehicle Code except parking offenses, as specified.

          2)Requires moneys collected pursuant to #1) above to be taken  
            from fines and forfeitures deposited with the county treasurer  
            prior to other specified assessments.

          3)Requires funds collected pursuant to #1) to be deposited into  
            the Maddy EMS Fund, as specified.

          4)Requires 15% of the money deposited in the Maddy EMS Fund  
            pursuant to #1) above to be utilized to provide funding for  
            pediatric trauma centers.  Limits expenditure of this money to  
            reimbursement to physicians and surgeons, hospitals for  
            patients who do not make payment for services, or for  
            expanding the services provided at pediatric trauma centers,  
            including the purchase of equipment.  Refers to this provision  
            as the "Pediatric Care Allocation."

          5)Requires counties that do not maintain pediatric trauma  
            centers to utilize the money deposited into the Maddy EMS Fund  








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            to reimburse physicians and surgeons and hospitals for  
            patients who do not make payment for EMS and for other EMS  
            purposes as determined by the county according to a specified  
            schedule.  Permits funding to be used for administrative  
            costs, as specified.

          6)Requires costs of administering money deposited into the Maddy  
            EMS Fund pursuant to #1) above to be reimbursed from the money  
            collected, not to exceed 10%.

           EXISTING LAW  :

          1)Establishes the ABC Act, which is an exercise of the police  
            powers of the State for the protection of the safety, welfare,  
            health, peace, and morals of the people of the state, to  
            eliminate the harmful consequences of unlicensed and unlawful  
            manufacture, selling, and disposing of alcoholic beverages,  
            and to promote temperance in the use and consumption of  
            alcoholic beverages.

          2)Establishes the Maddy EMS Fund, which permits each county to  
            establish an EMS fund, upon adoption of a resolution by the  
            board of supervisors.  Requires the fund to be administered by  
            each county, except that a county electing to have the state  
            administer its medically indigent services program may elect  
            to have its Maddy EMS Fund administered by the state.

          3)Permits up to 10% of the amount of the Maddy EMS Fund to be  
            used to reimburse costs of administering the fund.  Permits  
            each administering agency to maintain a reserve of up to 15%  
            of the amount in the portions of the fund reimbursable to  
            physicians and surgeons, and hospitals, as specified, and any  
            amount that is distributed for other EMS purposes, as  
            specified.

          4)Requires the amount in the fund, reduced by the amount for  
            administration, and the reserve to be utilized to reimburse  
            physicians and surgeons and hospitals for patients who do not  
            make payment for EMS and for other EMS purposes as determined  
            by each county according to the following schedule:

             a)   58% of the balance to be distributed to physicians and  
               surgeons for emergency services provided by all physicians  
               and surgeons, except those employed by county hospitals, in  
               general acute care hospitals that provide basic or  








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               comprehensive emergency services up to the time the patient  
               is stabilized;

             b)   25% of the fund to be distributed only to hospitals  
               providing disproportionate trauma and emergency medical  
               care services; and,

             c)   17% of the fund to be distributed for other EMS purposes  
               as determined by each county, including, but not limited  
               to, the funding of regional poison control centers.   
               Permits funding to be used for purchasing equipment and for  
               capital projects only to the extent that these expenditures  
               support the provision of emergency services.

          5)Permits any physician and surgeon to be reimbursed for up to  
            50% of the amount claimed, as specified, for the initial cycle  
            of reimbursements made by the administering agency in a given  
            year, as specified.  Requires funds remaining at the end of  
            the fiscal year in excess of the reserve to roll over to the  
            next year, and be distributed proportionately, based on the  
            dollar amount of claims submitted and paid to all physicians  
            and surgeons who submitted qualifying claims during the year.   


          6)Requires a state penalty to be levied, in the amount of $10  
            for every $10 or fraction thereof, on fines, penalties, or  
            forfeitures imposed and collected by the courts for criminal  
            offenses, including all offenses, except parking offenses as  
            defined, involving violations of the Vehicle Code or local  
            ordinances adopted pursuant to the Vehicle Code.  Requires the  
            money collected from the penalty to be distributed in  
            specified percentages among: the Fish and Game Preservation  
            Fund; the Restitution Fund; the Peace Officers Training Fund;  
            the Driver Training Penalty Assessment Fund; the Corrections  
            Training Fund; the Local Public Prosecutors and Public  
            Defenders Fund; the Victim-Witness Assistance Fund; and the  
            Traumatic Brain Injury Fund.  

          7)Requires, in each county, an additional penalty to be levied,  
            in the amount of $7 for every $10 or fraction thereof which is  
            to be collected together with and in the same manner as the  
            amounts established in #4) above, upon every fine, penalty, or  
            forfeiture imposed and collected by the courts for criminal  
            offenses, including all offenses involving a violation of the  
            Vehicle Code or any local ordinances adopted pursuant to the  








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            Vehicle Code, except parking offenses, as specified.   
            Requires, if established by a county board of supervisors, the  
            money to be placed in one or more funds, including the  
            Courthouse Construction Fund, the Criminal Justice Facilities  
            Construction Fund, the Automated Fingerprint Identification  
            Fund, the Forensic Laboratory Fund, the Maddy EMS Fund, or the  
            DNA Identification Fund.  

           FISCAL EFFECT  :   According to the Senate Appropriations  
          Committee analysis, 
                            Fiscal Impact (in thousands)

           Major Provisions      2005-06    2006-07     2007-08   Fund  
          Assessments Potentially significant revenues;   Special *

          Court programming costs      $184 **            Special *
              (first assessment)

          Manual processing   $180     $180      $180    Special *
              (statewide)
          ________________
          * Maddy Emergency Medical Services Fund; 15% of total slated for  
            counties' pediatric trauma units
          **Based on number of counties that participate; cost of $25,000  
            per county

           COMMENTS  :   

           1)PURPOSE OF THIS BILL  .  According to the author, this bill  
            seeks to generate funding to help alleviate a $365 million  
            shortfall facing trauma centers.  The author states that this  
            bill would create a specific mechanism for the Maddy EMS Fund  
            to allow counties to collect an additional $2 penalty on every  
            $10 penalty for specified criminal offenses, which would be a  
            $20 to $40 increase on an average $340 ticket payment.  The  
            author asserts that this bill will result in funding for  
            emergency and trauma care estimated at $60 million per year.   
            In addition, this bill establishes a Pediatric Care Allocation  
            for equipment and facilities, which will be instrumental in  
            maintaining the financial stability of the emergency and  
            trauma centers, decreasing the diversion time and patient wait  
            time, and improving overall services.

           2)TRAUMA CENTERS  .  A 2002 California HealthCare Foundation study  
            indicates that California's trauma centers provide the highest  








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            levels of emergency care to the most critically ill and  
            injured patients, maintaining the highest level of service in  
            terms of specialized equipment, and a wider array of  
            specialized medical personnel, including panels of on-call  
            specialist physicians.  Under state law, hospitals with trauma  
            centers also must maintain emergency departments.   The  
            California Emergency Medical Services Authority (EMSA)  
            establishes the standards for trauma systems.  EMSA reviews  
            and approves trauma care plans developed by local emergency  
            services agencies, and local agencies are responsible for the  
            designation of trauma centers based on an approved plan.   
            Focus groups of experts report growing concerns with the  
            state's lack of a coordinated trauma care system and with  
            inadequate funding for existing trauma centers, which care for  
            large numbers of uninsured and underinsured patients.

           3)PEDIATRIC TRAUMA CENTERS .  The chart below outlines the  
            pediatric trauma centers in California, as of January 2005.


             ------------------------------------------------------------- 
            |Pediatric|Pediatric   |Adult/Pediat|Adult/Pediat|Adult       |
            | Level I |Level II    |ric Level I |ric Level   |I/Pediatric |
            |         |            |            |II          |II          |
            |         |            |            |            |            |
            |---------+------------+------------+------------+------------|
            |Children'|Children's  |University  |Long Beach  |Cedars-Sinai|
            |s        |Hospital    |of          |Memorial/Mil| Medical    |
            |Hospital |Medical     |California-D|ler         |Center -    |
            |of Los   |Center -    |avis        |Children's  |Los Angeles |
            |Angeles  |Oakland     |Medical     |Center -    |            |
            |         |            |Center -    |Long Beach  |            |
            |         |            |Sacramento  |            |            |
            |         |            |            |            |            |
            |---------+------------+------------+------------+------------|
            |         |Children's  |Loma Linda  |            |Harbor UCLA |
            |         |Hospital    |University  |            |Medical     |
            |         |Central     |Medical     |            |Center -    |
            |         |California  |Center -    |            |Los Angeles |
            |         |- Madera    |Loma Linda  |            |            |
            |         |            |            |            |            |
            |---------+------------+------------+------------+------------|
            |         |Children's  |UCLA        |            |LAC/USC     |
            |         |Hospital &  |Medical     |            |Medical     |
            |         |Health      |Center -    |            |Center -    |








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            |         |Center -    |Los Angeles |            |Los Angeles |
            |         |San Diego   |            |            |            |
            |         |            |            |            |            |
             ------------------------------------------------------------- 

          4)SUGGESTED AMENDMENTS  .  The Emergency Medical Services  
            Administrators Association of California (EMSAAC) indicates  
            that there are very few pediatric trauma centers in the state  
            and many of these centers serve children from other counties.   
            EMSAAC asserts that since these trauma centers get patients  
            from other counties, this bill should be amended to allow  
            counties that do not have pediatric trauma centers to use the  
            funding to pay for pediatric trauma services for that county's  
            children delivered in other county's trauma centers.  

           5)SUPPORT  .  University of California (UC) writes in support that  
            current emergency medical services funds are insufficient to  
            cover the costs of providing emergency medical services and  
            trauma services to medically indigent, uninsured, and  
            underinsured Californians, and this bill will be instrumental  
            in maintaining the financial stability of hospitals that are  
            critical to California's health care system.

           6)OPPOSTION  .  The Judicial Council writes in opposition that the  
            additional penalty assessment in this bill will impose  
            significant burdens on court administration, in counties that  
            adopt the assessments, courts will need to reprogram their  
            case management systems to perform the new calculations, and  
            some older systems are not even capable of reprogramming.   
            Calculations will have to be done by hand or systems will have  
            to be replaced resulting in substantial court costs.  The  
            Teamsters and other labor organizations oppose this bill  
            indicating that assessments can total between 300 to 350% of  
            base violation fine, which goes against truth in government  
            principles, and unfairly impacts working men and women who  
            must transport themselves too and from work, or who use their  
            vehicles for work.

           7)RELATED LEGISLATION  .  SB 941 (Alquist), also scheduled to be  
            heard in the Assembly Health Committee, coordinates the  
            administration of the Maddy EMS Fund and Proposition 99  
            funding.  

           8)CHAPTERING OUT CONCERNS  .  Both SB 941 and this bill amend  
            Section 1797.98 (a) of the Health and Safety Code.  Amendments  








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            must be adopted to avoid chaptering out conflicts should both  
            bills become law.

           9)DOUBLE REFERRAL  :  This bill is double referred and should it  
            pass this committee it will be referred to the Assembly  
            Committee on Public Safety.

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          American College of Emergency Physicians State Chapter of  
          California, Inc. (sponsor)
          American Federation of State, County and Municipal Employees
          California Advocates for Nursing Home Reform
          California Ambulance Association
          California Hospital Association
          California Nurses Association
          California Professional Firefighters
          El Proyecto del Barrio
          Emergency Medical Services Administrators Association of  
          California
          Lieutenant Governor Cruz Bustamante
          Los Angeles County Board of Supervisors
          New Horizons
          Pacifica Hospital of the Valley
          St. Mary Medical Center
          The Los Angeles Free Clinic
          Trauma Managers Association of California
          University of California
           
            Opposition 
           
          Automobile Club of Southern California
          California Attorneys for Criminal Justice
          California Conference Board of the Amalgamated Transit Union
          California Conference of Machinists
          California Public Defenders Association
          California State Automobile Association 
          Coalition of Trial Court Clerk Associations
          Commission on Peace Officer Standards and Training
          Judicial Council of California
          Teamsters

           Analysis Prepared by  :    Teri Boughton / HEALTH / (916) 319-2097  








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