BILL ANALYSIS Ó AB 211 Page 1 Date of Hearing: March 24, 2015 ASSEMBLY COMMITTEE ON HUMAN SERVICES Chu, Chair AB 211 (Gomez) - As Introduced February 2, 2015 SUBJECT: In-Home Supportive Services SUMMARY: Disconnects implementation of the Statewide Authority for collective bargaining within the In-Home Support Services (IHSS) program from the state's Coordinated Care Initiative (CCI) and implements it separately, beginning January 1, 2016. Specifically, this bill: 1)Requires the In-Home Supportive Services Statewide Authority to assume collective bargaining responsibility for IHSS providers in all 58 counties, beginning January 1, 2016. 2)Deletes the requirement that the statewide collective bargaining activities of the Statewide Authority are conditioned upon implementation of the CCI and therefore subject to the timeline and other restrictions within the CCI demonstration project. 3)Deletes the authority of the Director of Finance to terminate the Statewide Authority or the collective bargaining responsibilities of the Statewide Authority if the CCI AB 211 Page 2 demonstration project is terminated due to not generating anticipated General Fund savings. 4)Makes permanent the IHSS maintenance of effort (MOE) requirement for all counties in lieu of their share of non-federal costs, as well as the inclusion of a county's IHSS MOE when calculating that county's share of cost for negotiated wage and benefit increases. EXISTING LAW: 1)Establishes the IHSS program as a benefit available to Medi-Cal beneficiaries that provides in-home care and supportive services to low-income aged, blind, or disabled persons who are unable to provide or care for themselves and who cannot live safely in their homes without assistance. Defines supportive services within the program to include domestic services, personal care services, protective supervision, paramedical services, and other services, as specified. (WIC 12300 et seq.) 2)Establishes the Coordinated Care Initiative demonstration project in up to eight counties, subject to federal approval, to better serve the state's low-income seniors and persons with disabilities by integrating the delivery of medical, behavioral, and long-term care services. (SB 1008 (Chapter 33, Statutes of 2012) and SB 1036 (Chapter 45, Statutes of 2012)) 3)Requires, as an additional component of the CCI, that all Medi-Cal long-term services and supports, which include IHSS, be services that are covered under managed care health plan contracts and be available only through managed care health plans to beneficiaries residing in counties participating in the CCI demonstration project, with specified exceptions. (WIC 14186 et seq.) 4)Establishes the IHSS Statewide Authority as a joint powers AB 211 Page 3 authority, as specified, that is required to be the entity authorized to meet and confer regarding wages and benefits with recognized employee organizations for IHSS providers commencing after the "county implementation date" within the CCI, which occurs when a county that is one of the CCI demonstration counties is notified by the Director of the Department of Health Care Services (DHCS) that the enrollment of eligible Medi-Cal beneficiaries, as specified, has been completed in that county. (GOV 6531.5, WIC 12300.5) 5)Requires, beginning July 1, 2012, all counties to have a County IHSS MOE, as specified, which the counties pay in lieu of paying the non-federal share of IHSS costs, as specified. Also requires the MOE to be paid in lieu of a county's share of the costs of negotiated wage and benefit increases. Makes these MOE provisions inoperative, and reverts counties back to the otherwise specified share of cost, if the CCI becomes inoperative. (WIC 12306.15) FISCAL EFFECT: Unknown COMMENTS: In-Home Supportive Services (IHSS): The IHSS program provides personal care and domestic services to approximately 420,000 qualified, low-income individuals who are aged, blind, or disabled. Through the IHSS program, recipients are cared for and assisted with activities of daily living, allowing them to remain safely in their own homes and avoid institutionalization. IHSS services include: Paramedical services, such as giving medications and changing a colostomy bag; Non-Medical Personal Care services, such as toileting, dressing, and transportation; Domestic services, such as housework, shopping for groceries and meal preparation; and, Protective supervision for those who, due to cognitive decline or dementia, cannot be left alone for extended periods. County social workers determine eligibility for IHSS and the authorized hours of care after conducting a standardized in-home assessment, and periodic reassessments, of an individual's AB 211 Page 4 ability to perform specified activities of daily living. Once eligible, recipients are responsible for hiring, firing, directing and supervising their own IHSS provider or providers. Prior to receiving payment for services, providers must submit to a criminal background check and a provider orientation. IHSS is funded with federal, state, and county resources, and prior to implementation of the CCI demonstration project, county public authorities or nonprofit consortia were designated as "employers of record" for collective bargaining purposes on a statewide basis, while the state administered payroll and benefits. Coordinated Care Initiative (CCI): The Budget Act of 2012 enacted the CCI, also referred to as Cal MediConnect, a framework for integrating delivery of medical, behavioral and long-term care services through a single health plan for persons eligible for both Medicare and Medi-Cal. The CCI was originally limited to the following eight demonstration counties: Alameda, Los Angeles, Orange, San Diego, San Mateo, Riverside, San Bernardino, and Santa Clara, in which approximately 65% of IHSS recipients reside. Alameda County withdrew from the CCI demonstration in 2014. As part of the CCI, collective bargaining responsibilities shifted, in the demonstration counties, from local county public authorities or non-profit consortia to the new Statewide Authority, which is composed of specified members and an advisory committee. The CCI also created an IHSS MOE funding requirement for counties, which replaced the previously existing county share of non-federal funding for IHSS. Under the demonstration project, the shift to the Statewide Authority is set to occur in each county once enrollment into managed care pursuant to the CCI has been completed in that county. According to the Department of Health Care Services (DHCS), this shift was scheduled to have occurred in April 2014. Need for the bill: While the statute creating the CCI anticipated a fairly seamless roll-out within the eight demonstration counties, delays have resulted in enrollment still being underway for five counties, with San Mateo being the only county that has already completed enrollment and transitioned to collective bargaining under the Statewide Authority. According AB 211 Page 5 to the author, this bill is necessary to shift to statewide collective bargaining for all IHSS providers despite delays in the implementation of the CCI and despite the lack of a plan to transition collective bargaining to the state level in the remaining 51 counties not included in the CCI. PRIOR LEGISLATION: AB 485 (Gomez), 2014, was nearly identical to this bill. It failed to meet the legislative calendar deadline for passage. SB 94 (Senate Budget and Fiscal Review Committee), Chapter 37, Statutes of 2013, enacted changes to existing law regarding the CCI and de-linked CCI components to allow the mandatory enrollment of Medi-Cal and Medicare beneficiaries (dual eligibles) into Medi-Cal managed care, the integration of long-term services and supports into managed care plans, and the commencement of the IHSS Statewide Authority, to proceed separately from the CCI Duals Demonstration Project. SB 1036 (Senate Budget and Fiscal Review Committee), Chapter 45, Statutes of 2012, was the Human Services budget trailer bill that contained the necessary statutory changes to implement the human services provisions related to the integration of home and community based and long-term care services, including IHSS, into Medi-Cal managed care under the CCI. SB 1008 (Senate Budget and Fiscal Review Committee), Chapter 33, Statutes of 2012, implemented the Duals Demonstration Pilot Project, including integration of long-term services and supports. REGISTERED SUPPORT / OPPOSITION: Support AB 211 Page 6 UDW/AFSCME Local 3930, co-sponsors American Federation of State, County and Municipal Employees (AFSCME), AFL-CIO California Labor Federation Opposition None on file. Analysis Prepared by: Myesha Jackson/HUM. S./(916) 319-2089