BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 1066
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 1066 (John A. Pérez)
          As Amended June 15, 2011
          2/3 vote.  Urgency
           
           ----------------------------------------------------------------- 
          |ASSEMBLY:  |70-0 |(May 12, 2011)  |SENATE: |39-0 |(July 5, 2011) |
           ----------------------------------------------------------------- 
            
           Original Committee Reference:    HEALTH  

           SUMMARY  :  Enacts technical and conforming statutory changes 
          necessary to implement the Special Terms and Conditions required 
          by the federal Centers for Medicaid and Medicare Services in the 
          approval of California's Section 1115(a) Medi-Cal Demonstration 
          Project entitled "California's Bridge to Reform," approved on 
          November 2, 2010.

           The Senate amendments  are technical and clarifying. 

           EXISTING LAW  :  

          1)Establishes the Medi-Cal Program, administered by the 
            Department of Health Care Services (DHCS), to provide 
            comprehensive health care services and long-term care to 
            pregnant women, children, and people who are aged, blind, and 
            disabled. 

          2)Provides for the payment of hospital services including 
            fee-for-service, negotiated by contract with California 
            Medical Assistance Commission or with Medi-Cal managed care 
            health plans.

          3)Authorizes, under federal law, the waiving of specified 
            Medicaid (Medi-Cal in California) requirements for 
            demonstration or pilot projects.

          4)Requires DHCS to seek federal approval of a comprehensive 
            Section 1115 Medicaid waiver to replace the 2005 Medi-Cal 
            Hospital/Uninsured Care Waiver.

           AS PASSED BY THE ASSEMBLY  , this bill was substantially similar 
          to the version as passed by the Senate. 

           FISCAL EFFECT  :  According to the Senate Appropriations 








                                                                  AB 1066
                                                                  Page  2

          Committee:

          1)Up to $2.2 billion in federal and local funds annually until 
            2013-2014, to restructure disproportionate share hospital 
            funds to designated public hospitals (DPHs) and to maximize 
            federal financial participation.

          2)Up to $1.3 to $1.6 billion in federal and local funds to 
            restructure the safety net care pool payments to DPHs annually 
            November 1, 2011, through October 31, 2015. 

          3)Delivery system reform incentive pool payments up to $1.1 to 
            $1.4 billion federal and local funds available annually 
            November 1, 2011, through October 31, 2015. 


          Analysis Prepared by:    Marjorie Swartz / HEALTH / (916) 
          319-2097                                          FN: 0001482