BILL ANALYSIS Ó AB 2117 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 2117 (Achadjian) As Amended August 4, 2014 Majority vote ----------------------------------------------------------------- |ASSEMBLY: | |(April 10, |SENATE: |34-0 |(August 7, | | | |2014) | | |2014) | ----------------------------------------------------------------- (vote not relevant) ------------------------------------------------------------------------ |COMMITTEE VOTE: |8-0 |(August 13, 2014) |RECOMMENDATION: |concur | |(L. Gov.) | | | | | ------------------------------------------------------------------------ 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 Page 2 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 Page 3 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 FN: 0004649