BILL ANALYSIS Ó SB 1352 Page 1 Date of Hearing: June 4, 2014 ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT K.H. "Katcho" Achadjian, Chair SB 1352 (Hancock) - As Amended: April 21, 2014 SENATE VOTE : 35-0 SUBJECT : Alameda Health System. SUMMARY : Replaces the term "Alameda County Medical Center" with "Alameda Health System" in statute. Specifically, this bill : 1)Replaces the term "Alameda County Medical Center" with "Alameda Health System" in statute. 2)Makes other technical and conforming changes. 3)Finds and declares that in order to better reflect the regional availability of services to the residents of Alameda County, the Alameda County Medical Center is doing business as the Alameda Health System (AHS) and it is appropriate that the name change be reflected statutorily to ensure that there is no confusion in the administration of state programs. 4)Finds and declares that AHS is a regional provider of health care services, and includes the following facilities: a) Highland Hospital (Oakland), a major regional trauma center and teaching hospital, delivers primary, specialty, and multispecialty care; b) John George Psychiatric Hospital (San Leandro) provides psychiatric emergency and acute care services to adults experiencing severe and disabling mental illnesses; c) San Leandro Hospital (San Leandro), a 93-bed facility acquired in late 2013, provides a wide range of medical services, including 24-hour emergency services, critical care, a full complement of skilled surgeons, rehabilitation services, and ancillary services; d) Fairmont Hospital (San Leandro), an acute rehabilitation center, is one of the foremost providers of acute rehabilitation services in northern California, treating SB 1352 Page 2 severe injuries such as stroke, brain, and multiple-trauma injuries; and, e) Wellness Centers (Oakland, Hayward, and Newark), a network of community-based wellness centers, expand access to primary care and AHS medical specialties. EXISTING LAW authorizes the Alameda County Board of Supervisors to establish a hospital authority separate and apart from the county to manage, administer and control the Alameda County Medical Center. FISCAL EFFECT : None COMMENTS : 1)Purpose of this bill . This bill replaces the term "Alameda County Medical Center" with "Alameda Health System" in statute. This bill is sponsored by AHS. 2)Author's statement . According to the author, "[This bill] updates current law to accurately reflect the changes and improvements made to AHS. Current statute refers to the Alameda County Medical Center, which doesn't reflect the breadth of services provided and facilities run by the system. Changing the name in statute will avoid confusion in the administration of state funded programs and correctly reference the official health network in Alameda County. Now doing business as AHS, it operates eight district programs at seven major facilities: San Leandro Hospital, Highland Hospital, Highland Wellness, Eastmond Wellness, Hayward Wellness at Winton, Newark Wellness, Fairmont Hospital, and John George Psychiatric Hospital." 3)Previous legislation . The Legislature has granted several counties the ability to create health authorities, including Alameda [AB 2374 (Bates), Chapter 816, Statues of 1996]; Monterey [AB 276 (Alejo), Chapter 686, Statutes of 2012]; San Luis Obispo [SB 538 (O'Connell), Chapter 899, Statues of 1999]; and, Santa Barbara and Sonoma (for dental). Following the passage of AB 2374 (Bates), the Alameda County Board of Supervisors appointed a board of trustees to separately manage, administer and control the Alameda County Medical Center, now known as AHS. According to AHS, their SB 1352 Page 3 integrated public health care system employs more than 3,000 people including 500 physicians throughout Alameda County. AB 1008 (Buchanan), Chapter 311, Statutes of 2013, prohibits AHS from privatizing services provided by physicians and surgeons, and establishes eligibility for retirement benefits for employees of a facility that is acquired or merged into AHS. 4)Arguments in support . According to AHS, "On November 26, 2013, the Alameda County Board of Supervisors unanimously adopted File No. 29041 which approved the name change from the former Alameda County Medical Center to Alameda Health System. [This bill] updates the various state codes to recognize the approved name change and ensure that there is consistency between the operational name and state licensing, payments and other interactions with the various regulatory and oversight agencies." 5)Arguments in opposition . None on file. 6)Chaptering conflicts . This bill conflicts with provisions in AB 104 (Committee on Budget) and SB 80 (Committee on Budget and Fiscal Review). REGISTERED SUPPORT / OPPOSITION : Support Alameda Health System [SPONSOR] Alameda County Opposition None on file Analysis Prepared by : Misa Yokoi-Shelton / L. GOV. / (916) SB 1352 Page 4 319-3958