BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 1733
                                                                  Page  1

          Date of Hearing:   May 9, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                    AB 1733 (Logue) - As Amended:  April 26, 2012 

          Policy Committee:                              HealthVote:19-0

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:              No

           SUMMARY  

          Expands current-law requirements relating to the use of 
          telehealth in Medi-Cal Managed Care plans to all major health 
          plans that contract with the Department of Health Care Services. 
           

           FISCAL EFFECT  

          Negligible state fiscal effect.

           COMMENTS  

           1)Rationale  . According to the author, this bill is a minor 
            expansion of requirements enacted in AB 415 (Logue), Chapter 
            547, Statutes of 2011. AB 415 removed administrative barriers 
            to the use of telehealth in part by ensuring Medi-Cal managed 
            care plans did not discriminate against services provided via 
            telehealth, if the services are appropriately provided through 
            telehealth. This would apply the requirements to all plans 
            that contract with DHCS for health care services.

           2)Background  . According to the Center for Connected Health, a 
            non-profit focusing on telehealth issues, telehealth is the 
            use of technology and processes to electronically connect 
            patients with health care providers and educators. 
            Applications range in complexity from a phone call with a 
            specialist to virtual appointments with a distant provider via 
            video conferencing.  

            AB 415 sought to ensure telehealth was treated at parity with 
            in-person visits, as long as the visit was appropriately 
            provided through telehealth.  However, this bill only applied 








                                                                  AB 1733
                                                                  Page  2

            to full-service health care plans, and did not apply to 
            several other types of plans that contract with DHCS, 
            including PACE, SCAN Health Plan, and AIDS Healthcare 
            Foundation.  This bill applies the requirements uniformly.  
            According to the author, DHCS suggested a technical amendment 
            last year to address this oversight, but it was too late to 
            amend the bill at that time.

           Analysis Prepared by  :    Lisa Murawski / APPR. / (916) 319-2081