BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                AB 2117
                                                                Page  1

        CONCURRENCE IN SENATE AMENDMENTS
        AB 2117 (Achadjian)
        As Amended  August 4, 2014
        Majority vote
         
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        |ASSEMBLY:  |     |(April 10,      |SENATE: |34-0 |(August 7,     |
        |           |     |2014)           |        |     |2014)          |
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             (vote not relevant)


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        |COMMITTEE VOTE:  |8-0  |(August 13, 2014)   |RECOMMENDATION: |concur    |
        |(L. Gov.)        |     |                    |                |          |
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        Original Committee Reference:   L. GOV.  

         SUMMARY  :  Adds the San Luis Obispo County Board of Supervisors to  
        the existing statutory dissolution process of the Santa Barbara San  
        Luis Obispo Regional Health Authority, now known as CenCal Health.

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

        1)Add the San Luis Obispo County Board of Supervisors to the  
          existing dissolution process for CenCal Health.

        2)Require both Santa Barbara County and San Luis Obispo County  
          Boards of Supervisors to order the dissolution of CenCal Health,  
          by ordinance or resolution, in order for the dissolution to  
          become effective. 

        3)Specify the dissolution to become effective 180 days after the  
          date of the later adopted resolution or ordinance ordering the  
          dissolution.  

         EXISTING LAW  :  

        1)Establishes the Santa Barbara San Luis Obispo Regional Health  
          Authority Act.  

        2)Authorizes the Santa Barbara Board of Supervisors to order the  
          formation of the Santa Barbara Regional Health Authority.  Allows  








                                                                AB 2117
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          the San Luis Obispo Board of Supervisors to authorize the  
          provision of medical services by the Santa Barbara Regional  
          Health Authority and to participate on the board of directors of  
          the Santa Barbara Regional Health Authority.  

        3)Establishes the membership of the board of directors to include  
          appointments by both Santa Barbara and San Luis Obispo Counties.   


        4)Authorizes the Santa Barbara County Board of Supervisors to order  
          the dissolution of the health authority, known as CenCal Health.   
          Requires the dissolution to be effective 180 days after the date  
          of adoption of the resolution or ordinance ordering the  
          dissolution.  

        5)Requires Santa Barbara County to be the successor for the purpose  
          of winding down the affairs of the dissolved authority.  

         AS PASSED BY THE ASSEMBLY , this bill deleted the authority for the  
        defunct Office of Noise Control to establish guidelines for the  
        noise element, and instead, gave this authority to the Governor's  
        Office of Planning and Research.
         
        FISCAL EFFECT  :  None

         COMMENTS  :

        1)Background and previous legislation.  AB 1223 (Hart), Chapter  
          134, Statutes of 1982, established the Santa Barbara Regional  
          Health Authority to administer the Medi-Cal program for residents  
          of Santa Barbara County.  AB 417 (Blakeslee), Chapter 266,  
          Statutes of 2007, authorized San Luis Obispo County to join the  
          existing Santa Barbara Regional Health Authority and revised the  
          membership of the board of directors to include directors  
          appointed by the San Luis Obispo County Board of Supervisors.  AB  
          417 renamed the Santa Barbara Regional Health Authority the Santa  
          Barbara San Luis Obispo Regional Health Authority, now known as  
          CenCal Health.  AB 417, however, did not include San Luis Obispo  
          County in the dissolution process outlined in existing law.  

        2)Purpose of this bill.  This bill makes changes to the dissolution  
          process in existing law to include San Luis Obispo County  
          ensuring that Santa Barbara County cannot unilaterally act to  
          dissolve CenCal Health which serves both counties.  Under this  
          bill both the Santa Barbara County and the San Luis Obispo County  








                                                                AB 2117
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          Boards of Supervisors would need to adopt an ordinance or  
          resolution calling for the dissolution of CenCal Health in order  
          for the dissolution to become effective.  This bill also  
          clarifies that the dissolution would occur 180 days after the  
          last adopted ordinance or resolution.  

        3)Author's statement.  According to the author, "Despite being  
          added to the service area, and also having the authority to  
          appoint individuals to the 13 member Board of Directors, 
        San Luis Obispo County does not have the authority to dissolve  
          CenCal Health, should 
        it be determined that the services provided by the organization are  
          no longer necessary.  Thus, the power lies solely with Santa  
          Barbara County Board of Supervisors to dissolve an organization  
          that serves both counties."  

        4)Arguments in support.  Supporters argue that this bill grants  
          equal authority to the San Luis Obispo Board of Supervisors and  
          Santa Barbara County Board of Supervisors should, in the unlikely  
          event, both counties determine that CenCal Health should be  
          dissolved.  

        5)Arguments in opposition.  None


         Analysis Prepared by  :    Misa Yokoi-Shelton / L. GOV. / (916)  
        319-3958 


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