BILL ANALYSIS
Senate Appropriations Committee Fiscal Summary
Senator Christine Kehoe, Chair
1568 (Salas)
Hearing Date: 8/17/2009 Amended: 4/23/2009
Consultant: Katie Johnson Policy Vote: Health 10-0 V.A.
6-0
_________________________________________________________________
____
BILL SUMMARY: AB 1568 would require the Department of Health
Care Services to utilize the federal Public Assistance Reporting
Information System (PARIS) to identify Medi-Cal beneficiaries
who are veterans and dependents or survivors and to assist them
in obtaining federal benefits.
_________________________________________________________________
____
Fiscal Impact (in thousands)
Major Provisions 2009-10 2010-11 2011-12 Fund
PARIS feasibility $150 - 350
$0$0General
study report
DHCS staff identify unknown, but likely in the
hundreds General/
veterans of thousands of dollars Federal
CVSO services unknown, but likely in General/
the millions of dollars Federal/
Special
_________________________________________________________________
____
STAFF COMMENTS: This bill meets the criteria for referral to the
Suspense File.
Existing law requires the Department of Health Care Services
(DHCS) to implement a two-year pilot program in three counties
by July 1, 2009, to utilize the federal Public Assistance
Reporting Information System (PARIS) to identify Medi-Cal
beneficiaries who are veterans and dependents or survivors and
to assist them in obtaining federal benefits. Existing law
requires DHCS to monitor the pilot program and to evaluate the
outcomes and savings, and provide the fiscal committees of the
Legislature with a report on the findings and recommendations.
Existing law also permits DHCS, upon finding that the pilot
program is cost effective, to implement it statewide at any time
and to continue the operation of PARIS indefinitely.
The pilot program commenced July 1, 2009, and is currently early
in its first year of implementation. As such, there is little
analysis of its cost effectiveness and outcomes.
This bill would expand that pilot program statewide by July 1,
2010.
In order for DHCS to expand PARIS statewide, the department
would need resources to modify the information technology
systems and staff to manage the program. Additionally, DHCS
would first need to conduct a Feasibility Study Report (FSR) at
a cost of about $150,000 - $350,000 to determine the extent of
the necessary modifications to PARIS. There would be significant
cost pressures on county veteran
Page 2
AB 1568 (Salas)
service offices (CVSOs) to assist veterans in obtaining federal
benefits. In a 2007 report, the Legislative Analyst's Office
(LAO) estimated that 144,000 Medi-Cal beneficiaries were
eligible for federal veterans' benefits. If 10 percent of the
veterans were to seek services from CVSOs and they each received
$1,000 in services, costs would be $14,400,000. Additionally,
the LAO projected $250 million in future savings if these people
were to access federal veterans' benefits in lieu of Medi-Cal
benefits. However, staff notes that not all veterans are
eligible for benefits. There are many factors, including income
and disability status, that influence the determination.