BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 753
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          Date of Hearing:  April 16, 2013

                            ASSEMBLY COMMITTEE ON HEALTH
                                 Richard Pan, Chair
                AB 753 (Lowenthal) - As Introduced:  February 21, 2013
           
          SUBJECT  :  Cognitively impaired adults: caregiver resource  
          centers.

           SUMMARY  :  Repeals and recasts existing law governing caregiver  
          resource centers (CRCs) to reflect the transfer of their  
          oversight from the former Department of Mental Health (DMH) to  
          the Department of Health Care Services (DHCS) pursuant to the  
          health budget trailer bill, AB 1467 (Budget Committee), Chapter  
          23, Statutes of 2012.  Specifically,  this bill  : 

          1)Repeals existing statutes governing CRCs when they were under  
            the jurisdiction of DMH and creates the Comprehensive Act for  
            Families and Caregivers of Cognitively Impaired Adults.

          2)Makes a number of legislative findings and declarations  
            regarding the value and role of CRCs and expresses intent to  
            support family caregivers taking care of adults living with  
            cognitive impairment by funding and implementing the  
            California CRCs.

          3)Establishes various definitions for purposes of this bill,  
            including that "caregiver" means any unpaid family member or  
            individual who assumes responsibility for the care of a person  
            whose cognitive impairment has occurred after 18 years of age.

          4)Requires the Director of DHCS to take the following actions  
            with respect to CRCs:

             a)   Maintain or enter into contracts directly with 11 CRCs  
               to provide direct services to caregivers throughout the  
               state in the existing geographic service areas; 
             b)   Maintain a CRC Operations Manual that defines CRC  
               services and procedures and identifies CRC duties and  
               responsibilities; and,
             c)   Seek funding for CRC from federal and private sources.

          5)Specifies that agencies designated as CRCs by the Director of  
            DHCS must include in their governing or advisory boards, or  








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            both, persons who represent the ethnic and socioeconomic  
            character of the area served and the client groups served in  
            the geographic area.  Specifies the criteria that must be used  
            in selecting CRCs.

          6)Requires CRCs to deliver services to, and advocate for,  
            caregivers of cognitively impaired adults in accordance with  
            the CRC Operations Manual and specifies the range of services  
            CRCs must provide.

          7)Provides that persons receiving services pursuant to this bill  
            may be required to contribute to the cost of services  
            depending upon their ability to pay, but not to exceed the  
            actual cost.

          8)Requires each CRC to submit progress reports with specified  
            information on its activities to the Director of DHCS.

          9)Authorizes the Director of DHCS to enter into exclusive or  
            nonexclusive contracts on a bid or negotiated basis and to  
            amend existing contracts to provide or arrange for services  
            provided under this bill.

          10)Includes an urgency clause to make the provisions of this  
            bill take effect immediately.

           EXISTING LAW  establishes the Comprehensive Act for Families and  
          Caregivers of Brain-Impaired Adults, previously administered by  
          DMH, to contract with a Statewide Resources Consultant to  
          coordinate a statewide system of CRCs to serve caregivers of  
          adults with Alzheimer's disease, stroke, Parkinson's, traumatic  
          brain injury, and other adult-onset cognitive disorders.  

           FISCAL EFFECT  :  This bill has not yet been analyzed by a fiscal  
          committee.

           COMMENTS  :

           1)PURPOSE OF THIS BILL  . The sponsor, the Association of  
            California CRCs, states that for nearly three decades, 11 CRCs  
            throughout the state have supplied information, education,  
            respite, and emotional support to California families and  
            friends who provide long-term care at home for loved ones  
            suffering from chronic and debilitating health conditions.   








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            According to the sponsor, this bill is intended to update the  
            statutes governing CRCs to be more reflective of current  
            terminology and practices in response to the transfer of  
            administration and oversight of this vital community-based  
            program from DMH to DHCS last year as a result of DMH's  
            elimination. 

           2)CRCs  .  CRCs provide supportive services to caregivers of  
            people with acquired cognitive impairments.  CRC services  
            include mental health support, respite care, legal counseling,  
            support groups, and education.  The 11 CRCs in California  
            serve about 14,000 caregivers.

          The CRC system was created pursuant to AB 2913 (Agnos), Chapter  
            1658, Statutes of 1984, to provide a single point of entry to  
            long-term care services available to caregiving families in 11  
            major geographic regions throughout California.  The CRC  
            system was the first of its kind in the nation and was looked  
            to as a model for the development of similar services now  
            available in all 50 states.  CRC services are unique in that  
            they are not generally available elsewhere, even for people of  
            middle or high-income who have health insurance.   
            Additionally, individuals pay fees on a sliding scale.   
            Funding for CRCs has been reduced by 74% since 2009 and went  
            from a high of $11.5 million in 2008 to $2.9 million today.   
            As a result of these budget reductions, all 11 CRCs maintain  
            waiting lists for various services; the CRC serving the Los  
            Angeles area has a waiting list of over 900 people for respite  
            services alone.

          When the CRC program was under the authority of DMH, the Family  
            Caregiver Alliance (FCA), the original CRC, was selected to  
            serve as the Statewide Resources Consultant.  In this  
            capacity, FCA assisted in statewide program development, data  
            analysis, reporting functions, and technical assistance to the  
            11 CRC sites.  However, the system development efforts, data  
            collection, reporting functions, and information dissemination  
            roles of the FCA were eliminated as a result of budget cuts to  
            DMH in 2008.  This bill does not include the Statewide  
            Resources Consultant in the framework under DHCS and instead  
            requires each CRC to submit a progress report describing its  
            activities to DHCS.  

          The Governor's 2012-13 Budget proposed to eliminate all funding  








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            for CRCs.  In rejecting this proposal, the Legislature noted  
            that CRCs are a valuable component of the state's overall  
            safety net that allows caregivers to continue providing  
            long-term care in homes, thereby enabling many disabled  
            Californians to continue living in the community rather than  
            in nursing facilities, hospitals, or institutionalized  
            settings.  According to the Budget Committees, keeping people  
            at home leads to substantial savings for the state in reduced  
            institutional care costs.  The Legislative Analyst's Office  
            (LAO) also commented that eliminating funding for CRCs seemed  
            at odds with the Administration's Coordinated Care Initiative  
            (CCI) to provide better coordinated care for seniors and  
            persons with disabilities in order to reduce fragmentation in  
            the state's long-term care services continuum.  

           3)CCI  .  According to a March 2013 fact sheet from DHCS, passage  
            of the CCI in 2012 marked an important step toward  
            transforming California's Medi-Cal care delivery system to  
            better serve the state's low-income seniors and persons with  
            disabilities.  Building upon many years of stakeholder  
            discussions, the CCI begins the process of integrating  
            delivery of medical, behavioral, and long-term care services  
            and also provides a road map to integrate Medicare and  
            Medi-Cal for people in both programs, called "dual eligible"  
            beneficiaries.

          The CCI is expected to produce greater value for the Medicare  
            and Medi-Cal programs by improving health outcomes and  
            containing costs; primarily through shifting service delivery  
            into the home and community and away from expensive  
            institutional settings.  The LAO adds that, to the extent that  
            the state would be relying more on home and community-based  
            services under the CCI, the role of CRCs would support those  
            objectives. 

          DHCS states that significant stakeholder feedback informed the  
            beneficiary protections needed to drive success and quality in  
            the CCI's design and implementation.  The CCI includes  
            comprehensive protections to ensure beneficiary health,  
            safety, and high quality care delivery, including medical  
            care, long-term services and supports, and behavioral health.   

              
           4)SUPPORT  .  Several individual CRCs note in support that  








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            dedicated families, not institutions, provide most of the  
            long-term care for loved ones with cognitive impairments,  
            often at great physical, emotional, and financial sacrifice.   
            They state that this bill ensures that the state continues to  
            support and fund these programs that give caregivers a place  
            to turn for services.  The Peninsula Stroke Association writes  
            in support that the small investment the state makes in CRCs  
            results in large monetary savings over the long-term by  
            preventing or delaying the placement of adults with cognitive  
            impairments in nursing homes or hospitals.  

           5)DOUBLE REFERRAL  .  This bill is double-referred.  Should it  
            pass out of this Committee, it will be referred to the  
            Assembly Committee on Aging and Long-Term Care.

           6)TECHNICAL AMENDMENT  .  On page 3, line 24, delete "11".

           



          REGISTERED SUPPORT / OPPOSITION  :  

           Support 
           
          Association of California Caregiver Resource Centers (sponsor)
          Alzheimer's Association
          Coast Caregiver Resource Center
          Del Mar Caregiver Resource Center
          Del Oro Caregiver Resource Centers
          Family Caregiver Alliance
          Inland Caregiver Resource Center
          Orange County Caregiver Resource Center
          Peninsula Stroke Association
          Redwood Caregiver Resource Centers
          Southern Caregiver Resource Center
          Valley Caregiver Resource Center

           Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Cassie Royce / HEALTH / (916) 319-2097 









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