BILL ANALYSIS                                                                                                                                                                                                    Ó






                  SENATE COMMITTEE ON BUDGET AND FISCAL REVIEW
                                Mark Leno, Chair
                                        
          Bill No:       AB 1470
          Author:        Committee on Budget
          As Amended:    June 13, 2012
          Consultant:    Joe Stephenshaw
          Fiscal:        Yes
          Hearing Date:  June 14, 2012
          
          Subject:  Budget Act of 2012:  State Hospitals

          Summary:  Provides for statutory changes necessary to enact 
          the State Hospital provisions of the Budget Act of 2012.

          Background:  This is the State Hospitals Budget Trailer 
          Bill.  It contains the necessary changes to enact the 
          Budget Act for 2012-13, as follows:

              1.   Establishes the Department of State Hospitals (DSH)  
               Consistent with the transfer of community mental 
               health functions to other state departments, primarily 
               the Department of Health Care Services, makes various 
               technical statutory changes necessary to eliminate the 
               Department of Mental Health (DMH) and establish the 
               DSH, which will have the singular focus of providing 
               oversight, safety, and accountability at the state's 
               five mental health hospitals and other psychiatric 
               facilities.  The majority of the amendments contained 
               in this bill consist of changing statutory references 
               to DMH to DSH.  In addition, various obsolete 
               reporting requirements are eliminated.

              2.   Increases County Bed Rate  
               Establishes that, if a county has not contracted with 
               the DSH by July 1 of any given fiscal year, that each 
               monthly reimbursement shall be an amount equal to 
               one-twelfth the number of beds provided to the county 
               the previous fiscal year multiplied by the current 
               state rate.  This allows DSH to recover, from 
               counties, a greater share of the cost of housing civil 
               commitments and results in GF savings of $20 million 
               in 2012-13.  

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              3.   Expands the Incompetent to Stand Trial (IST) 
               Program (IST)  
               Provides for expanded authority to treat IST patients 
               in county jails rather than in state hospitals.  In 
               2007, a pilot program to test a more efficient and 
               less costly process to restore competency for IST 
               defendants by providing services in county jails, in 
               lieu of providing them within state hospitals, was 
               established in San Bernardino County.  The LAO 
               estimates that the state achieved approximately $1.2 
               million in savings from the San Bernardino County 
               pilot project.  Expanding this program will result in 
               $3 million in GF savings in 2012-13.
           
             4.   Deletes the Time Cap on Exception to Treatment for 
               Probable Cause Sexually Violent Predators  
               For the purpose of Department of Public Health 
               Licensure, removes a six-year limit for suspending 
               treatment for probable cause sexually violent 
               predators at Coalinga State Hospital, allowing for an 
               indefinite suspension.  

              5.   Legislative Intent for Staffing  
               States the Legislature's intent that any changes in 
               staffing ratios at the state's mental hospitals 
               address adequate staff and patient safety standards, 
               and that staffing ratios may vary based on patient 
               acuity.















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