BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 94| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 94 Author: Committee on Budget Amended: 6/16/15 in Senate Vote: 21 SENATE BUDGET & FISCAL REVIEW COMMITTEE: 11-5, 6/18/15 AYES: Leno, Allen, Beall, Block, Hancock, Mitchell, Monning, Pan, Pavley, Roth, Wolk NOES: Nielsen, Anderson, Moorlach, Nguyen, Stone ASSEMBLY FLOOR: Not relevant SUBJECT: Health SOURCE: Author DIGEST: This bill is the omnibus health trailer bill, and contains changes to implement the 2015-16 Budget. ANALYSIS: This bill makes the following statutory changes to implement the 2015-16 Budget. 1) Medi-Cal: Coverage for Undocumented Children. This bill provides Medi-Cal coverage to children who are otherwise eligible for Medi-Cal except for their immigration status, effective no sooner than May 1, 2016. 2) Medi-Cal: Elimination of Dental Provider Payment Reductions. This bill eliminates the 10% Medi-Cal payment reductions pursuant to AB 97 (Committee on Budget, Chapter 3, Statutes AB 94 Page 2 of 2011) for dental providers effective July 1, 2015. 3) Hepatitis C Linkage to and Retention in Care Projects. This bill establishes hepatitis C linkage to care demonstration pilot projects for three years to allow for innovative, evidence-based approaches to provide outreach, hepatitis C screenings, and linkage to, and retention in, quality health care for the most vulnerable and underserved individuals living with or at risk for hepatitis C viral infection. 4) Syringe Exchange Program. This bill authorizes the Department of Public Health (DPH) to purchase sterile hypodermic needles and syringes, and other materials, for distribution to syringe exchange programs. 5) Pre-Exposure Prophylaxis (PrEP) Access and Outreach. This bill establishes a PrEP navigator program to develop protocols to conduct outreach to targeted populations, to provide PrEP education to clients and to assess and refer to appropriate clinical care and prevention services. 6) Robert F. Kennedy Health Plan. This bill requires the Department of Health Care Services (DHCS) to allocate $2.5 million Major Risk Medical Insurance Fund on a one-time basis to the Robert F. Kennedy Health Plan for purposes of purchasing stop loss insurance. 7) LifeLong Community Clinic. This bill requires DHCS to allocate $2 million Major Risk Medical Insurance Fund on a one-time basis to the LifeLong Medical Care clinic in Contra Costa County. 8) Licensing and Certification Long-Term Care Facility Complaint Investigation Timelines. This bill specifies that DPH is required to: a) For complaints that involve a threat of imminent danger or death or serious bodily harm that are received on or after July 1, 2016, the department shall complete the investigation within 90 days of receipt. This time period may be extend up to an additional 60 days if the investigation cannot be completed due to extenuating circumstances. If there is an extension, the department shall notify the facility and the complainant in writing AB 94 Page 3 of this extension and the extenuating circumstances and document the extenuating circumstances in its final determination. Any citation issued as a result of the complaint investigation shall be issued and served within 30 days of the completion of the complaint investigation. b) For all other categories of complaints received on or after July 1, 2017, the department shall complete the investigation within 90 days of receipt. This time period may be extend up to an additional 90 days if the investigation cannot be completed due to extenuating circumstances. If there is an extension, the department shall notify the facility and the complainant in writing of this extension and the extenuating circumstances and document the extenuating circumstances in its final determination. Any citation issued as a result of the complaint investigation shall be issued and served within 30 days of the completion of the complaint investigation. c) For all complaints received on or after July 1, 2018, the department shall complete the investigation within 60 days of receipt. This time period may be extend up to an additional 60 days if the investigation cannot be completed due to extenuating circumstances. If there is an extension, the department shall notify the facility and the complainant in writing of this extension and the extenuating circumstances and document the extenuating circumstances in its final determination. Any citation issued as a result of the complaint investigation shall be issued and served within 30 days of the completion of the complaint investigation. d) Report on an annual basis (in the Licensing and Certification Fee report) data on the department's compliance these new timelines. e) Beginning with the 2018-19 Licensing and Certification November Program budget estimate, the department shall evaluate the feasibility of reducing investigation timelines based on experience implementing the timeframes described above. f) States the intent of the Legislature that the department continues to seek to reduce long-term care AB 94 Page 4 complaint investigation timelines to less than 60 days with a goal of meeting a 45-day timeline. 9) Hospital Complaint Investigation Notification. This bill requires DPH to notify the hospital and complainant if any, if an investigation regarding hospital complaints is not completed in the required timeframe. This notification shall document the extenuating circumstances as to why the investigation has not been completed and the anticipated completion date. 10)Coordinated Care Initiative (CCI): Multipurpose Senior Services Program (MSSP) Transition Timeline. This bill extends the date in which MSSP transitions from a federal waiver to a managed care benefit in the CCI counties. This bill extends the date to December 31, 2017, but will allow an earlier transition in a county or region when the MSSP site and managed care plan mutually agree they are ready to transition, want to transition early, and have demonstrated that they have met readiness criteria. Existing law states that MSSP would transition after 19 months of MSSP beneficiary enrollment into managed care. This bill also specifies that if CCI is terminated, MSSP would revert to a waiver benefit. 11)California Healthcare Eligibility, Enrollment, and Retention System Electronic Modified Adjusted Gross Income (MAGI) Determination. This bill removes the sunset provision to allow for continued electronic verification of Medi-Cal eligibility information. 12)Medi-Cal: Ground Emergency Medical Transportation (GEMT) Supplemental Reimbursement Program. This bill modifies the existing GEMT Supplemental Reimbursement Program in order to maximize federal financial participation for public GEMT provider's services, subject to federal approval. 13)Health Home Program (HHP). This bill provides DHCS with the authority to establish a HHP Account in the Special Deposit Fund within the State Treasury in order to collect and allocate non-General Fund public or private grant funds, to be expended upon appropriation by the Legislature, for the purposes of implementing the HHP pursuant to AB 361 (Mitchell, Chapter 642, Statutes of 2013). AB 94 Page 5 14)Medi-Cal: Eliminate Nonemergency Emergency Room Copay. This bill eliminates the statutory references implementing a nonemergency emergency room copay in Medi-Cal, as this policy has been removed from the Medi-Cal budget. The budget removes the assumption that the state would implement a copayment for nonemergency emergency room usage pursuant to AB 97 (Committee on Budget, Chapter 3, Statutes of 2011) and AB 1467 (Committee on Budget, Chapter 23, Statutes of 2012) which was expected to result in about $34 million ($17 million General Fund) savings. This copay has never been implemented as it had not received approval from the federal Centers for Medicare and Medicaid. 15)Medi-Cal: County Eligibility Administration Cost-of-Living Adjustment (COLA). This bill suspends the COLA for county eligibility administration for 2015-16. 16)Limited Benefit and Special Populations Programs Enroller Education. This bill requires enrolling providers who participate in Every Woman Counts, Family Planning Access Care and Treatment, and IMProving Access, Counseling, and Treatment for Californians with Prostate Cancer, to provide to the enrolling individuals, information on how to apply for insurance affordability programs, in a manner determined by DHCS. 17)Child Health and Disability Prevention (CHDP) Program Dental Referral. This bill requires CHDP programs and providers to refer all Medi-Cal-eligible children participating in CHDP who are one year of age and older to a dentist participating in the Medi-Cal program, rather than at age three. 18)Food Safety Stipulated Judgment. This bill authorizes the deposit into the Food Safety Fund of awards to DPH pursuant to court orders or settlements for food safety-related activities. 19)Genetic Disease Screening Program (GDSP) Prenatal Screening Program. This bill clarifies that private health insurance plans cannot consider the GDSP Prenatal Screening Program to be an out-of-network provider. 20)California Gambling Education and Treatment Services AB 94 Page 6 (CalGETS). This bill deletes outdated verbiage related to the CalGETS program. 21)Investment in Mental Health Wellness Grants. This bill allows the California Health Facilities Financing Authority to use up to $3 million in unencumbered Mental Health Wellness Grant funds, authorized by SB 82 (Committee on Budget and Fiscal Review, Chapter 34, Statutes of 2013) for peer respite programs. 22)Clinical Laboratories Test Procedures. This bill authorizes clinical laboratories to use the federally-approved equivalent quality control testing approach until December 31, 2015, and individualized quality control plan commencing January 1, 2016, pursuant to the federal state operations manual adopted by the federal Centers for Medicare and Medicaid Services. 23)Office of Systems Integration. This bill requires the Office of Systems Integration to report to the Legislature by April 1, 2017 on the feasibility, benefits, costs, and risks of installing the MAGI Eligibility Decision Engine in all, two, or just one of the SAW Consortia systems. 24)Covered California Regulatory Authority. This bill extends Covered California's current emergency regulations rulemaking authority for an additional year until January 1, 2017; extends Covered California's ability to readopt emergency regulations until January 1, 2020, for emergency regulations adopted prior to the effective date of the Budget Act of 2015; and provides limited statutory exemptions from the Administrative Procedure Act's rulemaking requirements for (a) standard plan designs, and (b) separate regulations for each procurement. 25)AIDS Drug Assistance Program (ADAP) Modernization. This bill updates financial eligibility for ADAP and the Office of AIDS Health Insurance Premium Payment program to consider family size and to increase the income limit of $50,000 for these programs, which is estimated to be 447% federal poverty level (FPL) to 500% FPL or $58,350 for a single individual and $98,950 for a three-person household. 26)Medi-Cal: Enrollment Application Assistance Payments. This AB 94 Page 7 bill reallocates any remaining funds for Medi-Cal application assistance payments, for eligible applications submitted through June 30, 2015, to county outreach and enrollment grants and to extend the date by which county outreach and enrollment grant funds can be spent from June 30, 2016 to June 30, 2018. 27)Major Risk Medical Insurance Program (MRMIP). This bill expedites the MRMIP and Guaranteed Issue Pilot reconciliation process. 28)Appropriation. This bill appropriates $50 million from the HHP Account to DHCS to implement the HHP. FISCAL EFFECT: Appropriation: Yes Fiscal Com.:YesLocal: Yes SUPPORT: (Verified6/17/15) None received OPPOSITION: (Verified6/17/15) None received Prepared by:Michelle Baass / B. & F.R. / (916) 651-4103 6/18/15 18:50:14 **** END ****