BILL NUMBER: SB 676	CHAPTERED  09/28/06

	CHAPTER  525
	FILED WITH SECRETARY OF STATE  SEPTEMBER 28, 2006
	APPROVED BY GOVERNOR  SEPTEMBER 28, 2006
	PASSED THE SENATE  AUGUST 29, 2006
	PASSED THE ASSEMBLY  AUGUST 24, 2006
	AMENDED IN ASSEMBLY  AUGUST 21, 2006
	AMENDED IN ASSEMBLY  JUNE 5, 2006

INTRODUCED BY   Senator Ashburn
   (Principal coauthor: Assembly Member Karnette)

                        FEBRUARY 22, 2005

   An act to add Section 14105.16 to the Welfare and Institutions
Code, relating to Medi-Cal.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 676, Ashburn  Medi-Cal: pharmacy reimbursement.
    Existing law provides for the Medi-Cal program, which is
administered by the State Department of Health Services, pursuant to
which medical benefits, including prescription drugs, are provided to
public assistance recipients and certain other low-income persons.
   This bill would authorize the department to establish per diem or
bundled reimbursement rates for pharmacies that provide home infusion
supplies and services for eligible pharmacies.


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


  SECTION 1.  Section 14105.16 is added to the Welfare and
Institutions Code, to read:
   14105.16.  (a) The department may establish per diem or bundled
reimbursement rates for pharmacies that provide home infusion
supplies and services. The per diem or bundled reimbursement rate
shall be budget neutral. Only pharmacies that comply with Sections
4127 and 4127.1 of the Business and Professions Code may be
determined to be eligible for reimbursement rates established under
this subdivision.
   (b) In implementing this section the department shall consult with
pharmacies providing home infusion supplies and services with
respect to all of the following:
   (1) Notifying the provider representatives of the proposed change.

   (2) Scheduling at least one meeting to discuss the change.
   (3) Obtaining actual costs from providers regarding supplies,
services, and administrative costs.
   (4) Allowing for written input regarding the change.
   (5) Providing 30-day advance notice to providers on the
implementation and effective date of the change.
   (c) Changes made in the Medi-Cal program pursuant to this section
are exempt from the requirements of the Administrative Procedure Act
(Chapter 3.5 (commencing with Section 11340), Chapter 4 (commencing
with Section 11370), and Chapter 5 (commencing with Section 11500),
of Part 1 of Division 3 of Title 2 of the Government Code), and shall
not be subject to the review and approval of the Office of
Administrative Law.