BILL ANALYSIS                                                                                                                                                                                                    

                                                                AB 82
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        ( Without Reference to File  )

        AB 82 (Budget Committee)
        As Amended  June 14, 2013
        Majority vote.  Budget Bill Appropriation Takes Effect Immediately
        |ASSEMBLY:  |     |(May 13, 2013)  |SENATE: |36-0 |(June 15,      |
        |           |     |                |        |     |2013)          |
                  (vote not relevant)                
         Original Committee Reference:    BUDGET  

         SUMMARY  :  This is the Omnibus Health Trailer Bill for 2013-14.  It  
        contains necessary changes related to the Budget Act of 2013.  This  
        bill makes various statutory changes to implement the 2013-14  

         The Senate amendments  delete the Assembly version of this bill, and  

        1)Provide for the continuation of Medi-Cal coverage for Foster Care  
          Youth who turn 21 between July 1, 2013, and December 31, 2013, for  
          $900,000 General Fund.  Effective January 1, 2014, per the federal  
          Affordable Care Act (ACA), these young adults will remain eligible  
          for Medi-Cal until age 26. 

        2)Exempt preventative services and adult vaccines from cost-sharing  
          in order for the state to be eligible for enhanced federal funding  
          under the ACA. This provides for $7.5 million General Fund (GF)  

        3)Require the Department of Health Care Services (DHCS) to accept a  
          grant from the California Endowment for Medi-Cal Enrollment  
          Assistance ($14 million) and Medi-Cal Outreach and Enrollment  
          Grants to Community-Based Organizations ($12.5 million) and obtain  
          $26.5 million in matching federal funds for these purposes. 

        4)Restore, in part, Medi-Cal Adult Dental Benefits effective May 1,  
          2014, for $55.3 million ($16.9 million General Fund).  This  
          partial restoration includes preventive/diagnostic services,  
          restoration services (amalgams, composite and stainless steel  
          crowns), and full mouth dentures.   


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         5)Restore Medi-Cal enteral nutrition benefits starting May 1, 2014,  
          for $3.4 million ($1.7 million GF).   

         6)Eliminate the seven visit cap on physician and clinic visits in  
          Medi-Cal, which has yet to receive federal approval or to be  

         7)Extend the time period for which laboratory service providers have  
          to submit data reports specifying their lowest amounts other  
          payers are paying.  This is necessary as the process to develop  
          the new rate methodology has taken longer than anticipated.  

         8)Eliminate the sunset date for specialty provider contracting.  The  
          elimination of this sunset date achieves ongoing $6.9 million GF  

         9)Require DHCS to post on its Web site proposed State Plan  
          Amendments (SPAs), waiver amendments, and waiver renewals that it  
          has submitted to the federal government.  This would provide  
          legislative staff and stakeholders with the opportunity to review  
          and comment on the state's implementation of policy.  

         10)Transfer mental health facility licensing and quality improvement  
          functions from the Department of Social Services to DHCS.  

         11)Incorporate the measuring and evaluating of Medi-Cal managed care  
          plans' screenings for mental health needs and their referrals for  
          these services (to both Medi-Cal fee-for-service providers and  
          county mental health plans) into the Early and Periodic Screening,  
          Diagnosis, and Treatment (EPSDT) performance outcome system.   
          Require stakeholder involvement in this effort, and require the  
          department to develop a plan for the incorporation of these  
          factors into the outcome system, due to the Legislature by October  
          1, 2014.  

         12)Require DHCS to consult with stakeholders prior to the submittal  
          of the Behavioral Health Services Plan to the federal government.  

         13)Adopt technical amendments to ensure the cost neutrality of SB  
          1462 (Leno), Chapter 837, Statutes of 2012, which provides  
          Medi-Cal coverage to eligible county inmates on medical parole and  
          inmates granted compassionate release.  

         14)Transition Access for Infants (AIM)-linked infants, born to women  
          whose income is between 250 and 300% of the federal poverty level,  
          from the Healthy Families Program to DHCS.  


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         15)End the Managed Risk Medical Insurance Board's (MRMIB's)  
          responsibility regarding the Pre-Existing Condition Insurance Plan  
          (PCIP) effective July 1, 2013, as the federal government will take  
          over administration of this program.  

         16)Extend the date in which MRMIB can subsidize the premium  
          contributions paid to individuals receiving coverage in Managed  
          Risk Medical Insurance Program (MRMIP).  This change is necessary  
          as MRMIP will remain a program beyond December 31, 2013.  

         17)Define and clarify the purpose and structure of the Safe  
          Cosmetics Program Web site and require that the Web site be  
          operational by December 31, 2013.

        18)Require the Department of Public Health (DPH) to report to the  
          Legislature if the assumptions it used to determine the transition  
          of AIDS Drug Assistance Program (ADAP) clients to Low Income  
          Health Programs may result in an inability to provide ADAP  
          services to eligible ADAP clients. 

        19)Require DPH to submit a plan to the Legislature on how it will  
          address the findings and recommendations from its review of the  
          BabyBIG program to ensure that an adequate supply of the vaccine  
          is available to meet demand. 

        20)Reappropriate approximately $1 million in federal funds to the  
          Department of Managed Health Care for purposes of continuing  
          operation of consumer assistance programs to help uninsured  
          individuals obtain health coverage.

        21)Require DHCS to ensure coordination of covered services across  
          all delivery systems of care in order to minimize disruption in  
          services for children transitioning from the Healthy Families  
          Program to Medi-Cal pursuant to AB 1494 (budget Committee),  
          Chapter 28, Statutes of 2012. 

        22)Contain an appropriation allowing this bill to take effect  
          immediately upon enactment.

         COMMENT  :  This bill is a budget trailer bill within the overall  
        2013-14 budget package to implement actions taken affecting the  
        Departments of Health Care Services, Managed Health Care, Public  
        Health, and Social Services, the Managed Risk Medical Insurance  
        Board, and the Mental Health Services Oversight and Accountability  


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         Analysis prepared by  :    Andrea Margolis / BUDGET / (916) 319-2099

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