BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 796| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 796 Author: Nazarian (D), et al. Amended: 8/16/16 in Senate Vote: 21 SENATE HEALTH COMMITTEE: 6-2, 6/15/16 AYES: Hernandez, Hall, Monning, Pan, Roth, Wolk NOES: Nguyen, Nielsen NO VOTE RECORDED: Mitchell SENATE HUMAN SERVICES COMMITTEE: 5-0, 6/28/16 AYES: McGuire, Berryhill, Hancock, Liu, Nguyen SENATE APPROPRIATIONS COMMITTEE: 5-0, 8/11/16 AYES: Lara, Beall, Hill, McGuire, Mendoza NO VOTE RECORDED: Bates, Nielsen ASSEMBLY FLOOR: 75-0, 1/25/16 - See last page for vote SUBJECT: Health care coverage: autism and pervasive developmental disorders SOURCE: DIR/Floortime Coalition of California DIGEST: This bill eliminates the sunset date on the health insurance mandate to cover behavioral health treatment for pervasive developmental disorder or autism. ANALYSIS: Existing law: 1)Establishes the Department of Managed Health Care (DMHC) to regulate health plans under the Knox-Keene Health Care AB 796 Page 2 Services Plan Act of 1975; the California Department of Insurance (CDI) to regulate health insurers under; and, the California Health Benefit Exchange (Exchange) to compare and make available through selective contracting health insurance for individual and small business purchasers as authorized under the federal Patient Protection and Affordable Care Act (ACA). 2)Establishes as California's essential health benefits (EHBs) benchmark the Kaiser Small Group Health Maintenance Organization plan, existing California mandates, and 10 ACA mandated benefits, which include mental health and substance use disorder services, including behavioral health treatment. 3)Requires every health plan contract that provides hospital, medical, or surgical coverage and health insurance policy to also provide coverage for behavioral health treatment for pervasive developmental disorder or autism no later than July 1, 2012. Requires the coverage to be provided in the same manner and to be subject to the same requirements as provided in California's mental health parity law. 4)Establishes a definition for "qualified autism service professional" which includes a requirement that the individual is a behavioral service provider approved as a vendor by a California regional center to provide services as an Associate Behavior Analyst, Behavior Analyst, Behavior Management Assistant, Behavior Management Consultant, or Behavior Management Program as defined in existing law and regulations; and a definition for "qualified autism service paraprofessional" which includes a requirement to meet criteria set forth in different section of existing law and regulations. 5)Exempts from 3) above a specialized health plan or health insurance policy that does not deliver mental health or behavioral health services to enrollees, or an accident only, specified disease, hospital indemnity, or Medicare supplement policy, a health plan contract or health insurance policy under Medi-Cal or Healthy Families program, and a health care benefit plan or contract pursuant to the Public Employees' Retirement System (CalPERS). AB 796 Page 3 6)Sunsets the provisions above on January 1, 2017. 7)Establishes a system of nonprofit Regional Centers, overseen by the State Department of Developmental Services (DDS), to provide fixed points of contact in the community for all persons with developmental disabilities and their families, to coordinate services and supports best suited to them throughout their lifetime. 8)Defines in state regulations, for purposes of regional center vendorization, Behavior Management Assistant, Behavior Management Consultant, Behavior Analyst and Associate Behavior Analyst and requires education or experience in applied behavioral analysis, as specified. This bill deletes the January 1, 2017 sunset date. Comments 1)Author's statement. According to the author, this bill would ensure that children diagnosed with autism continue to have access to medically necessary treatments to increase their quality of life and functional independence by removing the 2017 sunset on the requirement for health plans and insurers to provide behavioral health treatments to children with autism. FISCAL EFFECT: Appropriation: No Fiscal Com.:YesLocal: Yes According to the Senate Committee on Appropriations: 1)One-time costs of about $50,000 and ongoing costs of $15,000 per year to review health plan filings for compliance with the requirements of the bill and to undertake any necessary enforcement actions by DMHC (Managed Care Fund). AB 796 Page 4 2)Likely costs of less than $100,000 per year for review of health insurance plan filings and enforcement actions by CDI (Insurance Fund). 3)No state costs are anticipated due to the elimination of the existing sunset on the benefit mandate. Current law exempts Medi-Cal managed care plans and CalPERS coverage from the benefit mandate. This bill does not eliminate those exemptions, While existing law specifically mandates coverage for behavioral health treatment, separate federal and state mental health parity requirements and requirements for the provision of essential health benefits implicitly require coverage for behavioral health treatment for autism and related disorders. Therefore, elimination of the statutory sunset will not materially impact coverage for behavioral health treatment. Nor will eliminating the sunset require the state to pay for the costs to subsidize coverage for behavioral health treatment coverage for subsidized Covered California plans. SUPPORT: (Verified8/10/16) DIR/Floortime Coalition of California (source) Association of Regional Center Agencies Occupational Therapy Association of California Several hundred individuals OPPOSITION: (Verified8/10/16) Department of Developmental Disabilities ARGUMENTS IN SUPPORT: The DIR Floortime Coalition of California writes that as supporters of SB 946, they are familiar with the intent of the legislation. The DMHC was tasked with convening a task force to provide recommendations concerning the legislation, and they unanimously adopted the AB 796 Page 5 guiding principle that behavioral health interventions should be highly individualized and that the choice of treatment should be grounded in scientific evidence, clinical practice guidelines, and/or evidence-based practice. (This support argument is based on a prior version of this bill.) ARGUMENTS IN OPPOSITION: DDS writes in opposition that it recognizes that timely and effective behavioral health treatment reduces the lifelong costs associated with providing services to individuals with Autism Spectrum Disorders (ASD) and that conversely, the absence of effective interventions, or use of ineffective or harmful treatment modalities, can inhibit meaningful progress. The determination of effectiveness of treatment modalities must be based on sound, scientifically validated principles and supported by empirical data. Several well-established sources of information already exist regarding evidence-based practices for ASD. (This opposition argument is based on a prior version of this bill.) ASSEMBLY FLOOR: 75-0, 1/25/16 AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Williams, Wood, Atkins NO VOTE RECORDED: Dababneh, Eduardo Garcia, Melendez, Wilk Prepared by:Teri Boughton / HEALTH / (916) 651-4111 8/16/16 17:38:44 **** END **** AB 796 Page 6