Amended in Senate April 1, 2013

Senate BillNo. 615


Introduced by Senator Galgiani

February 22, 2013


An act tobegin delete amendend deletebegin insert addend insert Sectionbegin delete 15459.1 ofend deletebegin insert 1720.7 toend insert thebegin delete Governmentend deletebegin insert Laborend insert Code, relating tobegin delete health facilities.end deletebegin insert public worksend insertbegin insert.end insert

LEGISLATIVE COUNSEL’S DIGEST

SB 615, as amended, Galgiani. begin deleteHealth facility financing. end deletebegin insertPublic works: prevailing wageend insertbegin inserts.end insert

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Existing law defines “public works,” for purposes of regulating public works contracts, as, among other things, construction, alteration, demolition, installation, or repair work done under contract and paid for, in whole or in part, out of public funds. Existing law further requires that, except as specified, not less than the general prevailing rate of per diem wages be paid to workers employed on public works and imposes misdemeanor penalties for a violation of this requirement. Existing law provides that for the purposes of provisions of law relating to the payment of prevailing wages, “public works” includes specified types of construction, alteration, demolition, installation, and repair work.

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This bill would expand the definition of “public works,” for the purposes of provisions relating to the prevailing rate of per diem wages, to also include any construction, alteration, demolition, installation, or repair work done under private contract on a hospital or health care facility project when the project is paid for in whole or in part with the proceeds of conduit revenue bonds, as defined.

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Because the violation of prevailing wage requirements when engaged in these public works projects would result in the imposition of misdemeanor penalties, this bill would impose a state-mandated local program.

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The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

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This bill would provide that no reimbursement is required by this act for a specified reason.

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The California Health Facilities Financing Authority Act authorizes the California Health Facilities Financing Authority to make loans from the continuously appropriated California Health Facilities Financing Authority Fund to participating health institutions for financing or refinancing the acquisition, construction, or remodeling of health facilities. Existing law also authorizes the authority to issue revenue bonds for certain purposes. Existing law requires, as a condition of the issuance of revenue bonds, whether by the authority or any local agency, as specified, each participating health institution to give reasonable assurance to the authority that the services of the health facility will be made available to all persons residing or employed in the area served by the facility. Existing law requires, as part of its assurances, that the participating health institution agree to perform specified actions, including advising each person seeking services at the participating health institution’s facility as to the person’s potential eligibility for Medi-Cal and Medicare benefits or benefits from other governmental 3rd Party payers.

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This bill would require the participating health institution to also advise each person seeking services at the participating health institution’s facility as to the person’s potential eligibility for health care coverage by qualified health plans participating in the California Health Benefit Exchange.

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Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: begin deleteno end deletebegin insertyesend insert.

The people of the State of California do enact as follows:

P2    1begin insert

begin insertSECTION 1end insertbegin insert.end insert  

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begin insertSection 1720.7 is added to the end insertbegin insertLabor Codeend insertbegin insert, to
2read:end insert

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3

begin insert1720.7.end insert  

For the limited purposes of Article 2 (commencing
4with Section 1770) of this chapter, “public work” also means any
5construction, alteration, demolition, installation, or repair work
P3    1done under private contract on a hospital or health care facility
2project when the project is paid for in whole or in part with the
3proceeds of conduit revenue bonds, as defined in Section 5870 of
4the Government Code, issued by a public agency.

end insert
5begin insert

begin insertSEC. 2.end insert  

end insert
begin insert

No reimbursement is required by this act pursuant to
6Section 6 of Article XIII B of the California Constitution because
7the only costs that may be incurred by a local agency or school
8district will be incurred because this act creates a new crime or
9infraction, eliminates a crime or infraction, or changes the penalty
10for a crime or infraction, within the meaning of Section 17556 of
11the Government Code, or changes the definition of a crime within
12the meaning of Section 6 of Article XIII B of the California
13Constitution.

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14

SECTION 1.  

Section 15459.1 of the Government Code is
15amended to read:

16

15459.1.  

As part of its assurance under Section 15459, the
17participating health institution shall agree to all of the following
18actions:

19(a) To advise each person seeking services at the participating
20health institution’s facility as to the person’s potential eligibility
21for Medi-Cal and Medicare benefits, benefits from other
22governmental third-party payers, or health care coverage by
23qualified health plans participating in the California Health Benefit
24Exchange created pursuant to Title 22 (commencing with Section
25 100500).

26(b) To make available to the authority and to any interested
27person a list of physicians with staff privileges at the participating
28health institution’s facility, which includes all of the following:

29(1) Name.

30(2) Specialty.

31(3) Language spoken.

32(4) Whether the physician takes Medi-Cal and Medicare patients.

33(5) Business address and phone number.

34(c) To inform in writing on a periodic basis all practitioners of
35the healing arts having staff privileges in the participating health
36institution’s facility as to the existence of the facility’s community
37service obligation. The required notice to practitioners shall contain
38a statement, as follows:

39“This hospital has agreed to provide a community service and
40to accept Medi-Cal and Medicare patients. The administration and
P4    1enforcement of this agreement is the responsibility of the California
2Health Facilities Financing Authority and this facility.”

3(d) To post notices in the following form, which shall be
4multilingual where the participating health institution serves a
5multilingual community, in appropriate areas within the facility,
6including, but not limited to, admissions offices, emergency rooms,
7and business offices:

8“This facility has agreed to make its services available to all
9persons residing or employed in this area. This facility is prohibited
10by law from discriminating against Medi-Cal and Medicare
11patients. Should you believe you may be eligible for Medi-Cal or
12Medicare, you should contact our business office (or designated
13person or office) for assistance in applying. You should also contact
14our business office (or designated person or office) if you are in
15need of a physician to provide you with services at this facility. If
16you believe that you have been refused services at this facility in
17violation of the community service obligation you should inform
18(designated person or office) and the California Health Facilities
19Financing Authority.”

20The participating health institution shall provide copies of this
21notice for posting to all welfare offices in the county where the
22participating health institution’s facility is located.

23(e) For all facilities in areas, and of a type, not subject to
24Medi-Cal contracting and for all participating health institution
25which have negotiated in good faith to obtain a Medi-Cal contract
26but were not awarded a contract by the California Medi-Cal
27Assistance Commission, the authority shall make modifications
28to the requirements contained in this section to reflect the absence
29of a Medi-Cal contract. Nothing in this section relieves a hospital
30of its obligations under Section 1317 of the Health and Safety
31Code.

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