BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 411
                                                                  Page  1

          Date of Hearing:   May 1, 2013

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                     AB 411 (Pan) - As Amended:  April 18, 2013 

          Policy Committee:                              HealthVote:14-0

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

           SUMMARY  

          This bill directs the Department of Health Care Services (DHCS)  
          to require all Medi-Cal managed care plans (MCPs) to analyze  
          Healthcare Effectiveness Data and Information Set (HEDIS)  
          measures, or their External Accountability Set (EAS) performance  
          measure equivalent, and to implement strategies to reduce  
          disparities.  Specifically, this bill:  

          1)Requires HEDIS or EAS measures to be analyzed by geographic  
            region, primary language, race, ethnicity, and to the extent  
            data is available, by sexual orientation and gender identity.

          2)Requires analysis results to be reported to DHCS annually and  
            made available to the public on the DHCS website.

           FISCAL EFFECT  

          Minor costs to DHCS, which currently designates performance  
          measures on an annual basis and requires MCPs to report on them.

           COMMENTS  

           1)Rationale  .   The author intends to ensure the qualitative  
            aspects of MCP data measurement and reporting by the Managed  
            Risk Medical Insurance Board (MRMIB) are not lost in the  
            transition to Medi-Cal.  MCPs currently analyze and report  
            HEDIS measures on important dimensions of care and service.   
            By analyzing utilization, quality, and outcome data by race,  
            ethnicity, and primary language,  MCPs and DHCS will achieve  
            multiple benefits: a)  a better understanding of the specific  
            needs of these enrollees; b) ability to develop culturally and  
            linguistically appropriate interventions; and c) ability to  








                                                                  AB 411
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            allocate resources more effectively while reducing historic  
            health disparities faced by communities of color.

           2)HEDIS and EAS .  The federal Centers for Medicare and Medicaid  
            Services (CMS) requires states to measure and report on  
            quality.  DHCS implemented EAS, a system intended to provide  
            an objective, comparative review of health plan  
            quality-of-care outcomes and performance measures.  DHCS uses  
            HEDIS measures as the primary tool for EAS. HEDIS was  
            developed by the National Committee for Quality Assurance and  
            includes numerous indicators, such as rates for childhood  
            immunization and breast cancer screening, to facilitate an  
            apples-to-apples comparison of health plans.

           3)Background: Medi-Cal Transition and MRMIB Analyses  .  Because  
            of numerous changes in state and federal law over the last  
            several years, the Medi-Cal population is undergoing a  
            significant expansion.  For example, DHCS is in the process of  
            transitioning over 850,000 children from the Healthy Families  
            Program (HFP) to Medi-Cal and most of them will be enrolled in  
            MCPs.  Of these children, 47% are Latino and 9% are Asian  
            American or Pacific Islander.  MRMIB's administration of HFP  
            included, in addition to a report on HEDIS results,  
            demographic statistical analysis of HEDIS data where all  
            eligible members were counted.  MRMIB then considered  
            groupings of this data by health plan, region, income level,  
            language spoken in the home, ethnicity, and age.  MRMIB's  
            approach facilitated quality monitoring to identify  
            disparities and to develop strategies for improvement or to  
            reduce disparities.  

           Analysis Prepared by  :    Debra Roth / APPR. / (916) 319-2081