BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   AB 215|
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                                 THIRD READING


          Bill No:  AB 215
          Author:   Beall (D)
          Amended:  6/27/11 in Senate
          Vote:     21

           
           SENATE HEALTH COMMITTEE  :  9-0, 7/6/11
          AYES:  Hernandez, Strickland, Alquist, Anderson, Blakeslee, 
            De León, DeSaulnier, Rubio, Wolk

           ASSEMBLY FLOOR  :  51-25, 5/19/11 - See last page for vote


           SUBJECT  :    Emergency services:  Emergency Medical Air 
          Transportation Act

           SOURCE  :     California Association of Air Medical Services 


           DIGEST  :    This bill requires a county or court that has 
          imposed a vehicle code fine, as specified, to transfer 
          earmarked penalty assessment moneys to the State Treasurer 
          for deposit into the Emergency Medical Air Transportation 
          Act Fund on a monthly basis.   

           ANALYSIS  :    

          Existing law:

          1. Establishes the Medi-Cal program, the state's Medicaid 
             program, administered by the Department of Health Care 
             Services (DHCS), which provides comprehensive health 
             benefits to low-income children; their parents or 
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             caretaker relatives; pregnant women; elderly, blind or 
             disabled persons; nursing home residents and refugees.  

          2. Establishes the Emergency Medical Air Transportation Act 
             (EMATA), which imposes a $4 penalty on each conviction 
             of a violation of the Vehicle Code or of a local 
             ordinance adopted pursuant to the Vehicle Code, except 
             parking offenses.  

          3. Requires this penalty to be in addition to the 
             established penalty, and exclude from the base fine any 
             other surcharges used to calculate any other penalties.

          4. Establishes the EMATA Fund, to be administered by DHCS.  


          5. Requires each county to deposit the proceeds of the 
             revenues from the above penalty in a county EMATA Fund 
             and to transfer the funds on a quarterly basis to the 
             EMATA Fund.  

          6. Requires the EMATA Fund to be available, upon 
             appropriation by the Legislature, to DHCS for payment of 
             the administrative costs of DHCS, and for the actual, 
             reasonable and necessary costs of the courts, and the 
             counties in administering this program.  Twenty percent 
             of the remaining funds are to offset the state portion 
             of the Medi-Cal reimbursement rate for emergency medical 
             air transportation services, and eighty percent are to 
             augment emergency medical air transportation 
             reimbursement payments made through the Medi-Cal 
             program.

          7. Requires DHCS to seek federal matching funds, as 
             specified, by using the moneys in the EMATA Fund for the 
             purpose of augmenting Medi-Cal reimbursement paid to 
             providers after June 30, 2011.

          8. Sunsets the assessment of penalties on January 1, 2016; 
             however, penalties assessed prior to the fee sunset are 
             required to be collected, administered and distributed 
             until June 30, 2017, or the funds are extinguished.  

          9. Requires any unused monies in the EMATA Fund on March 3, 

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             2017, to be transferred to the General Fund and made 
             available, upon appropriation by the Legislature, for 
             purposes of offsetting the state portion of the Medi-Cal 
             reimbursement rate for emergency medical air 
             transportation services and augmenting emergency medical 
             air transportation reimbursement payments made through 
             the Medi-Cal program, as specified.

          10.Establishes various other penalty assessments on 
             specified fines, penalties and offenses for distribution 
             to funds established by local governments, including, 
             but not limited to the Courthouse Construction Fund, 
             Criminal Justice Facilities Construction Fund, and the 
             Maddy Emergency Medical Services Funds.  State portions 
             of these penalty assessments include, but are not 
             limited to, the Fish and Game Preservation Fund, Peace 
             Officers Training Fund, Corrections Training Fund, 
             Traumatic Brain Injury Fund, and the General Fund.   

          This bill: 

          1. Requires a county or court that imposes a fine on the 
             violation of the Vehicle Code or of a local ordinance 
             adopted pursuant to the Vehicle Code, except parking 
             offenses to transfer earmarked penalty assessment 
             moneys, collected for deposit into the Emergency EMATA 
             Fund, directly to the State Treasurer, on a monthly 
             basis.   

          2. Deletes the requirement that a county establish an EMATA 
             Fund to receive the proceeds of the penalty and transfer 
             the funds on a quarterly basis to the EMATA Fund.  

           Background  

           Air ambulance services  .  Air ambulance services provide 
          emergency transportation for the most critical patients 
          from accident scenes directly to trauma centers and other 
          advanced care centers.  According to a Foundation for 
          Air-Medical Research and Education (FARE) 2006 report,  the 
          most serious car accidents are located in rural areas, 
          where 60 percent of fatal car accidents occur, a rate 
          double that of similar accidents in suburban or urban 
          areas.  The FARE report also states that the closure of 

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          rural hospitals in recent years has created large 
          geographical gaps in the availability of specialized 
          surgical resources.  

          Helicopter ambulances provide medical care at an advanced 
          life support level, and conduct specialty care transports.  
          Helicopters are used for the transport of patients to 
          trauma centers, heart/stroke centers, burn units, and 
          children's specialty hospitals.  Medical care is provided 
          in fixed wing ambulances (airplanes) on longer 
          inter-hospital flights when the closest appropriate medical 
          facility is either inaccessible, difficult to reach, or 
          distantly located.  The FARE report estimates that a 
          half-million air ambulance transports are conducted each 
          year.  

          Patient transports are overseen by referring physicians and 
          receiving specialist physicians using guidelines developed 
          by the National Association of EMS Physicians, the Air 
          Medical Physician Association, and the Association of Air 
          Medical Services.  

          Air ambulance services are also used for disaster response. 
           In times of either man-made or natural disasters, air 
          ambulance services provide highly experienced resources 
          that can be rapidly deployed.  Air ambulance service 
          providers are comprised of a mix of public and private 
          entities.  For example, the city of Los Angeles provides 
          its own services, whereas the California Shock Trauma Air 
          Rescue (CALSTAR) is a non-profit, community-based provider 
          that provides services throughout central and northern 
          California.  

           Reimbursement for air ambulance services  .  Private air 
          ambulance services are reimbursed by third-party payers in 
          the same fashion as other health care services.  According 
          to information provided by CALSTAR based on May 31, 2007, 
          audited financial statements, the average private insurance 
          payment for air ambulance services between June 1, 2006, 
          and May 31, 2007, was $20,795; the average Medicare payment 
          was $5,400, and the average Medi-Cal payment was $2,838. 

          Medi-Cal rates for air ambulance transportation were set in 
          1993, and have not been increased since.  

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           Penalty assessments  .  The Legislature has increasingly 
          turned to penalty assessments on criminal and traffic 
          offenses as a method of raising revenue for various 
          projects.  Currently, the amount of assessments on 
          individuals who commit traffic violations is almost 
          quadruple the base fine.  For example:

          1. The fine for speeding up to 15 MPH over the 65 MPH limit 
             has a base penalty of $35, but amounts to $111 after 
             additional penalties and assessments are applied.

          2. The fine for driving without insurance has a base 
             penalty of $200, but amounts to $825 after additional 
             penalties and assessments are applied.

          3. The fine for driving under the influence has a base 
             penalty of $390, but amounts to $1,547 after additional 
             penalties and assessments are applied.

          4. The fine for improper transport of hazardous materials 
             has a base penalty of $300, but amounts to $1,205 after 
             additional penalties and assessments are applied.

          According to a February 2006 California Research Bureau 
          study, in counties in which the data was available, the 
          majority of penalties and assessments collected were from 
          Vehicle Code violations.  The study noted that, many 
          criminal defendants who commit serious offenses under the 
          Penal Code are unlikely to have the ability to pay any 
          fines assessed in addition to other punishments, such as 
          county jail or state prison sentences.

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

           SUPPORT  :   (Verified  7/7/11)

          California Association of Air Medical Services (source) 
          Regional Council of Rural Counties

           ARGUMENTS IN SUPPORT  :    The California Association of Air 
          Medical Services (CAAMS), the bill's sponsor, argues that 
          this bill will make the submission of penalty assessment 

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          funds on a monthly basis more efficient for counties and 
          will remove an unnecessary requirement that the counties 
          provide detailed information on these funds.  CAAMS adds 
          that the current TC30 process Ýa form and submittal process 
          used to transfer and identify various funds provided to the 
          state] within the State Controller's Office includes a 
          detailed account of funds transmitted by each county, 
          providing sufficient data to allow DHCS and stakeholders to 
          determine any fund trends and dynamics for their current 
          process of establishing a rate methodology.


           ASSEMBLY FLOOR  :  51-25, 5/19/11
          AYES:  Allen, Ammiano, Atkins, Beall, Block, Blumenfield, 
            Bonilla, Bradford, Brownley, Buchanan, Butler, Charles 
            Calderon, Campos, Carter, Cedillo, Chesbro, Davis, 
            Dickinson, Eng, Feuer, Fletcher, Fong, Fuentes, Furutani, 
            Galgiani, Gatto, Gordon, Hall, Hayashi, Roger Hernández, 
            Hill, Huber, Hueso, Huffman, Lara, Bonnie Lowenthal, 
            Mendoza, Mitchell, Monning, Pan, Perea, V. Manuel Pérez, 
            Portantino, Skinner, Solorio, Swanson, Torres, 
            Wieckowski, Williams, Yamada, John A. Pérez
          NOES:  Achadjian, Bill Berryhill, Conway, Cook, Donnelly, 
            Beth Gaines, Garrick, Grove, Hagman, Harkey, Jeffries, 
            Jones, Knight, Logue, Mansoor, Miller, Morrell, Nestande, 
            Nielsen, Norby, Olsen, Silva, Smyth, Valadao, Wagner
          NO VOTE RECORDED:  Alejo, Gorell, Halderman, Ma


          CTW:mw  7/7/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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