BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 100| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 100 Author: Assembly Budget Committee Amended: 3/14/11 in Senate Vote: 27 - Urgency PRIOR VOTES NOT RELEVANT SENATE BUDGET & FISCAL REVIEW COMMITTEE : 11-5, 03/16/11 AYES: Leno, Alquist, DeSaulnier, Evans, Liu, Lowenthal, Rubio, Simitian, Wright, Hancock, Wolk NOES: Huff, Emmerson, Fuller, Anderson, La Malfa ASSEMBLY FLOOR : 57-16, 03/16/11 - See last page for vote SUBJECT : Budget Act of 2011: Mental Health Services Act SOURCE : Author DIGEST : This bill makes necessary changes to enact the Budget Bill for 2011-12 related to the Mental Health Services Act (MHSA). Senate Floor Amendments of 3/14/11 delete the prior version of the bill and insert the current language regarding the MHSA. ANALYSIS : This bill makes the following key changes: State Administrative Cap and Conforming Administrative Changes. This bill changes the percentage amount available CONTINUED AB 100 Page 2 from revenues deposited into the Mental Health Services Act Fund for State Administration from the existing 5 percent to 3.5 percent. The Budget Bill appropriates about $22 million (Mental Health Services Act Funds) across several state entities, including the Department of Mental Health, the State Department of Education, Community College Chancellor's office, and the MHSA Oversight and Accountability Commission (OAC) for state administrative purposes. This appropriation level is below the revised 3.5 percent cap. This bill also (1) eliminates the State Department of Mental Health from reviewing County Plans; and (2) eliminates OAC from reviewing County Plans. Legislative Intent and Transitional Use of $861 million for General Fund. This bill contains declarations and findings of the Legislature, including the following: The Legislature declares that the statutory changes in this act are consistent with, and further the intent of, the Mental Health Services Act. These specified changes are necessary to adequately fund essential mental health services that would otherwise be significantly and substantially reduced or eliminated absent this temporary funding support. It is the intent of the Legislature to ensure continued state oversight and accountability of the Mental Health Services Act. In eliminating state approval of county mental health programs, the Legislature expects the state, in consultation with the Mental Health Services Oversight and Accountability Commission to establish a more effective means of ensuring that county performance complies with the Mental Health Services Act. This bill modifies as specified for the 2011-12 fiscal year only, due to the State's fiscal crisis and the inability of General Fund revenues to sufficiently fund many existing mental health programs, and the viability of using revenues generated from the Local Revenue Fund 2011 in the State Treasury, the use of Mental Health Services Act funds to support the Early Periodic Screening, Diagnosis and CONTINUED AB 100 Page 3 Treatment (EPSDT) Program, Medi-Cal Specialty Mental Health Managed Care, and mental health services provided to special education students. This bill provides that for 2011-12, MHSA Funds shall be allocated by the state in the following manner: Commencing July 1, 2011, $183.6 million (MHSA Funds) shall be distributed to counties based on a formula as specified to fund the 2011-12 General Fund obligation for Medi-Cal Specialty Mental Health Managed Care. Commencing July 1, 2011, $98.568 million (MHSA Funds) shall be distributed to counties based on a formula as specified to fund the 2011-12 General Fund obligation for mental health services provided to special education students. Fifty percent of the 2011-12 MHSA component allocations consistent with Sections 5847 and 5891, not to exceed $488 million, shall be distributed to counties beginning August 1, 2011. Revenues of $579 million (MHSA Funds) shall be distributed to counties as specified on a quarterly basis for the EPSDT Program. Remaining 2011-12 MHSA component allocations consistent with Sections 5847 and 5891, shall begin no later than April 30, 2012. This bill specifies that the $861 million in MHSA Funds provided for these programs in 2011-12 is not subject to repayment. This distribution becomes inoperative on July 1, 2012. This bill also specifies that beginning July 1, 2012, on or before the 15th of each month, the Controller shall distribute to each Local Mental Health Services Fund established by counties pursuant to the MHSA Act, all unexpended and unreserved funds on deposit as of the last day of the prior month in the MHSA Fund. CONTINUED AB 100 Page 4 FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes Local: No ASSEMBLY FLOOR : AYES: Alejo, Allen, Ammiano, Atkins, Beall, Block, Blumenfield, Bonilla, Bradford, Brownley, Buchanan, Butler, Charles Calderon, Campos, Carter, Cedillo, Chesbro, Davis, Dickinson, Eng, Feuer, Fong, Fuentes, Furutani, Galgiani, Gatto, Gordon, Hall, Hayashi, Roger Hernández, Hill, Huber, Hueso, Huffman, Lara, Bonnie Lowenthal, Ma, Mendoza, Mitchell, Monning, Nestande, Nielsen, Norby, Olsen, Pan, Perea, V. Manuel Pérez, Portantino, Skinner, Smyth, Solorio, Swanson, Torres, Wieckowski, Williams, Yamada, John A. Pérez NOES: Achadjian, Bill Berryhill, Conway, Cook, Garrick, Hagman, Halderman, Harkey, Jeffries, Knight, Logue, Mansoor, Miller, Morrell, Valadao, Wagner NO VOTE RECORDED: Donnelly, Fletcher, Gorell, Grove, Jones, Silva, Vacancy CTW:nl 3/17/11 Senate Floor Analyses SUPPORT/OPPOSITION: NONE RECEIVED **** END **** CONTINUED