BILL NUMBER: AB 303	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Beall

                        FEBRUARY 17, 2009

   An act to add Section 14085.57 to the Welfare and Institutions
Code, relating to Medi-Cal.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 303, as introduced, Beall. Medi-Cal: designated public
hospitals: seismic safety requirements.
   Existing law provides for the Medi-Cal program, which is
administered by the State Department of Health Care Services and
under which qualified low-income persons receive health care
benefits, including hospital services. The Medi-Cal program is, in
part, governed and funded by federal Medicaid provisions. Existing
law authorizes the California Medical Assistance Commission to
negotiate selective provider contracts with eligible hospitals to
provide inpatient hospital services to Medi-Cal beneficiaries.
   Existing law generally defines a disproportionate share hospital
as a hospital that has disproportionately higher costs, volume, or
services related to the provision of services to Medi-Cal or other
low-income patients than the statewide average. Under existing law,
an eligible disproportionate share hospital may receive supplemental
Medi-Cal reimbursement for debt service on revenue bonds used for
financing eligible capital projects. Under existing law, eligible
projects include new capital projects funded by new debt for which
final plans have been submitted to the Office of the State Architect
(OSA) and the Office of Statewide Health Planning and Development
(OSHPD) after September 1, 1988, and prior to June 30, 1994, except
as specified.
   This bill would, to the extent federal financial participation is
available, extend similar supplemental reimbursement provisions to
capital projects of designated public hospitals, as defined, meeting
prescribed requirements for which final plans have been submitted to
OSHPD after January 1, 2007, and prior to December 31, 2011, provided
those projects are related to meeting seismic safety deadlines.
   The bill would prohibit the expenditure from the General Fund for
the nonfederal share of the supplemental reimbursement without an
express appropriation for that purpose. The bill would, to the extent
that insufficient state funds are appropriated for the nonfederal
share of the supplemental reimbursement, require the department to
claim federal expenditures through other funding mechanisms,
including the use of certified public expenditures or
intergovernmental transfers, as necessary and appropriate.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 14085.57 is added to the Welfare and
Institutions Code, to read:
   14085.57.  (a) A designated public hospital, as defined in
subdivision (d) of Section 14166.1, that is located in seismic zone
4, as determined by the Office of Statewide Health Planning and
Development and the Seismic Safety Commission, that is contracting to
provide services under this article, and that has or would have
satisfied the criteria set forth in Section 14105.98 for the three
most recent years prior to submitting final plans for an eligible
project in accordance with paragraph (3) of subdivision (b), may
receive supplemental reimbursement to the extent provided for in
Section 14085.5, subject to subdivision (c), in addition to the rate
of payment provided for in the contract entered into under this
article.
   (b) (1) A hospital qualifying pursuant to subdivision (a) that
elects to receive reimbursement under this section shall submit
documentation to the department regarding debt service on revenue
bonds used for financing the construction, renovation, or replacement
of trauma center facilities, including buildings and fixed
equipment.
   (2) A hospital qualifying pursuant to subdivision (a) shall remain
open for the life of the supplemental reimbursements provided for
pursuant to this section.
   (3) (A) Eligible projects shall include those new capital projects
funded by new debt for which final plans have been submitted to the
Office of Statewide Health Planning and Development after January 1,
2007, and prior to December 31, 2011.
   (B) Eligible projects that may receive supplemental reimbursement
pursuant to subdivision (a) are limited to projects related to
meeting seismic safety deadlines.
   (c) No expenditure from the General Fund shall be made for the
nonfederal share of the supplemental reimbursement provided for in
this section without an express appropriation for that purpose. To
the extent that insufficient state funds are appropriated for the
nonfederal share of the supplemental reimbursement provided for in
this section, the department shall claim federal expenditures through
other funding mechanisms, including the use of certified public
expenditures or intergovernmental transfers, as necessary and
appropriate.
   (d) The department shall promptly seek any necessary, and all
available, federal approvals for the implementation of this section.
This section shall be implemented only to the extent that federal
approval and federal financial participation is available.