BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  SB 1368|
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                              UNFINISHED BUSINESS


          Bill No:  SB 1368
          Author:   Senate Health Committee
          Amended:  8/2/10
          Vote:     27

           
           SENATE HEALTH COMMITTEE  :  5-0, 4/21/10
          AYES:  Alquist, Leno, Negrete McLeod, Pavley, Romero
          NO VOTE RECORDED:  Strickland, Aanestad, Cedillo, Cox

           SENATE FLOOR  :  33-0, 5/17/10
          AYES:  Aanestad, Alquist, Calderon, Cedillo, Cogdill,  
            Corbett, Correa, Cox, Denham, DeSaulnier, Ducheny,  
            Dutton, Florez, Hancock, Harman, Hollingsworth, Huff,  
            Kehoe, Leno, Liu, Lowenthal, Negrete McLeod, Padilla,  
            Pavley, Romero, Runner, Simitian, Steinberg, Strickland,  
            Walters, Wolk, Wyland, Yee
          NO VOTE RECORDED:  Ashburn, Oropeza, Price, Wiggins,  
            Wright, Vacancy, Vacancy

          SENATE APPROPRIATIONS COMMITTEE:  Senate Rule 28.8

           ASSEMBLY FLOOR  :  78-0, 8/12/10 (Consent) - See last page  
            for vote


           SUBJECT  :    Health care

           SOURCE  :     Senate Health Committee


           DIGEST  :    This bill authorizes the Office of Statewide  
          Health Planning and Development (OSHPD) to charge a portion  
                                                           CONTINUED





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          of loan insurance premium in advance, not to exceed $6 per  
          year for each $1,000 of loan principal.  Authorizes OSHPD  
          to insure the refinancing of a loan if the amount to be  
          insured is not more than 90 percent of the original  
          construction costs, and makes technical changes in the  
          Health and Safety and Insurance Codes. 

           Assembly Amendments  delete a portion of the bill that  
          require a specified report to be sent to the Emergency  
          Medical Services Authority, and require the authority to  
          compile and forward a summary of each count's report to the  
          Legislature.

           ANALYSIS  :    Existing law, the Emergency Medical Services  
          System and Prehospital Emergency Medical Care Personnel Act  
          establishes the Emergency Medical Services Authority within  
          the California Health and Human Services Agency to provide  
          statewide coordination of local county emergency medical  
          services programs.

          Existing law authorizes each county to establish an  
          emergency medical services fund, and makes money in the  
          fund available for the reimbursement of physicians,  
          surgeons, and hospitals for losses incurred in the  
          provision of emergency medical services when payment is not  
          otherwise made for those services.  Existing law requires  
          each county establishing an emergency medical services fund  
          to report the implementation and status of the fund to the  
          Legislature on April 15 of each year.

          Existing law establishes the Office of Statewide Health  
          Planning and Development and sets forth its powers and  
          duties, including, but not limited to, administration of  
          the California Health Facility Construction Loan Insurance  
          Law for the purposes of insuring health facility  
          construction loans. Existing law establishes the Health  
          Facility Construction Loan Insurance Fund and continuously  
          appropriates the fund to the office for these purposes.  
          Existing law authorizes the office to charge a premium  
          charge for the insurance of these loans, with the premiums  
          to be deposited in the fund.

          This bill authorizes the office to annually charge a  
          portion of the premium in advance not to exceed six dollars  







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          per year for each $1,000 of principal of the proposed loan.  
           The bill makes the total dollar amount of the premium  
          advanced nonrefundable and requires that it be credited  
          against the amount of the premium charged or, if the  
          commitment expires and the loan is not insured, the bill  
          requires that the advance be retained by the office to  
          offset costs and expenses of the office, as prescribed.  By  
          increasing the amounts to be deposited into a continuously  
          appropriated fund, this bill makes an appropriation.

          Existing law sets forth the conditions for loans to be  
          eligible for loan insurance under these provisions,  
          including, but not limited to, the requirement that the  
          proceeds of the loan be guaranteed to be used exclusively  
          for the construction, improvement, or expansion of the  
          health facility, as approved by the office. 

          Existing law authorizes insurance of loans to refinance  
          another prior loan if the prior loan would have been  
          eligible at the time it was made.

          This bill permits the refinancing of up to 90 percent of a  
          prior loan if the loan would otherwise be eligible, without  
          regard to whether the prior loan would have been eligible  
          at the time it was made.  

          Existing law creates the Access for Infants and Mothers  
          Program, which is administered by the Managed Risk Medical  
          Insurance Board, to provide coverage for perinatal and  
          infant care to residents of this state meeting certain  
          income and other eligibility requirements and paying  
          certain subscriber contributions.

          Existing law creates the California Major Risk Medical  
          Insurance Program, which is also administered by the  
          Managed Risk Medical Insurance Board, to provide major risk  
          health coverage to residents of this state who are unable  
          to secure adequate private health coverage because of  
          preexisting medical conditions and who meet other  
          eligibility requirements and pay certain subscriber  
          contributions.

          This bill deletes obsolete references within these  
          provisions.







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           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes    
          Local:  No

           SUPPORT  :   (Verified  8/16/10)

          American College of Emergency Physicians State Chapter of  
          California


           ARGUMENTS IN SUPPORT :    American College of Emergency  
          Physicians State Chapter of California (CAL/ACEP) states  
          that, while the Maddy EMS Funds only reimburse a small  
          portion of the cost of care, they are nevertheless a  
          critical source of funding helping to preserve the  
          emergency care safety net. CAL/ACEP adds that a time when  
          cuts to coverage and services are happening at both the  
          state and local level while the demand for emergency  
          services is on the rise, it is essential to ensure that  
          every Maddy EMS dollar is spent to preserve the emergency  
          care safety net as it was intended to do.  CAL/ACEP  
          contends that the administrative reports completed by  
          counties are the public's primary way to ensure Maddy EMS  
          Funds are being administered properly.


           ASSEMBLY FLOOR  : 
          AYES: Adams, Ammiano, Anderson, Arambula, Bass, Beall, Bill  
            Berryhill, Tom Berryhill, Blakeslee, Block, Blumenfield,  
            Bradford, Brownley, Buchanan, Caballero, Charles  
            Calderon, Carter, Chesbro, Conway, Cook, Coto, Davis, De  
            La Torre, De Leon, DeVore, Eng, Evans, Feuer, Fletcher,  
            Fong, Fuentes, Fuller, Furutani, Gaines, Galgiani,  
            Garrick, Gatto, Gilmore, Hagman, Hall, Harkey, Hayashi,  
            Hernandez, Hill, Huber, Huffman, Jeffries, Jones, Knight,  
            Lieu, Logue, Bonnie Lowenthal, Ma, Mendoza, Miller,  
            Monning, Nava, Nestande, Niello, Nielsen, V. Manuel  
            Perez, Portantino, Ruskin, Salas, Saldana, Silva,  
            Skinner, Smyth, Solorio, Audra Strickland, Swanson,  
            Torlakson, Torres, Torrico, Tran, Villines, Yamada, John  
            A. Perez
          NO VOTE RECORDED: Norby, Vacancy









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          CTW:do  8/16/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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