Amended in Senate February 10, 2016

Amended in Assembly April 30, 2015

Amended in Assembly March 26, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 847


Introduced by Assembly Members Mullin and Ridley-Thomas

February 26, 2015


An actbegin insert to add Section 14021.2 to the Welfare and Institutions Code,end insert relating to mental health,begin insert making an appropriation therefor,end insert and declaring the urgency thereof, to take effect immediately.

LEGISLATIVE COUNSEL’S DIGEST

AB 847, as amended, Mullin. Mental health: community-based services.

begin insert

Existing law, the Mental Health Services Act, an initiative measure enacted by the voters as Proposition 63 at the November 2, 2004, statewide general election, establishes the continuously appropriated Mental Health Services Fund to fund various county mental health programs. The act provides that it may be amended by the Legislature by a 23 vote of each house as long as the amendment is consistent with and furthers the intent of the act, and that the Legislature may also clarify procedures and terms of the act by majority vote.

end insert
begin insert

Existing law provides for the Medi-Cal program, which is administered by the State Department of Health Care Services and under which qualified low-income persons receive health care benefits. The Medi-Cal program is, in part, governed and funded by federal Medicaid provisions. Existing law provides for a schedule of benefits under the Medi-Cal program and provides for specified services, including various mental health services. Existing federal law, the Protecting Access to Medicare Act of 2014, requires the United States Secretary of Health and Human Services to, among other things, select, no later than September 1, 2017, among those states awarded a planning grant to participate in a time-limited demonstration program that is designed to improve access to community mental health and substance use treatment services provided by certified community behavioral health clinics.

end insert
begin insert

This bill would require the department to develop and submit a proposal to the United States Secretary of Health and Human Services to be selected as a participating state in the time-limited demonstration program described above to receive enhanced federal matching funds for mental health services provided by certified community behavioral health clinics to Medi-Cal beneficiaries. The bill would appropriate $1,000,000 from the Mental Health Services Act Fund to the State Department of Health Care Services to develop that proposal.

end insert
begin insert

This bill would declare that it is to take effect immediately as an urgency statute.

end insert
begin delete

Existing law provides for the Medi-Cal program, which is administered by the State Department of Health Care Services and under which qualified low-income persons receive health care benefits. The Medi-Cal program is, in part, governed and funded by federal Medicaid provisions. Existing law provides for a schedule of benefits under the Medi-Cal program and provides for specified services, including various mental health services. Existing federal law, the Protecting Access to Medicare Act of 2014, requires the United States Secretary of Health and Human Services to, among other things, award, no later than January 1, 2016, planning grants to states for the purpose of developing proposals to participate in time-limited demonstration programs to improve mental health services provided by certified community behavioral health clinics to Medi-Cal beneficiaries.

end delete
begin delete

This bill would require the department to apply to the United States Secretary of Health and Human Services for that planning grant.

end delete
begin delete

This bill would declare that it is to take effect immediately as an urgency statute.

end delete

Vote: 23. Appropriation: begin deleteno end deletebegin insertyesend insert. Fiscal committee: yes. State-mandated local program: no.

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

P3    1begin insert

begin insertSECTION 1.end insert  

end insert
begin insert

The Legislature finds and declares the following:

end insert
begin insert

2(a) In 2014 Congress enacted the federal Protecting Access to
3Medicare Act of 2014.

end insert
begin insert

4(b) Under the Protecting Access to Medicare Act, eight states
5will be selected to have their federal share of costs increased to
665 percent for two years for outpatient behavioral health care for
7individuals with severe mental illnesses or serious emotional
8disturbances.

end insert
begin insert

9(c) If successful, this federal opportunity would enable
10California to serve the tens of thousands of individuals with those
11conditions that it now lacks the funding to serve.

end insert
begin insert

12(d) A major challenge in serving that population is that many
13are homeless and in need of housing assistance. Federal funding
14cannot pay for that housing assistance.

end insert
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15(e) This federal funding would free up nearly $2 billion in county
16funds now being used to match federal funds. The money that is
17currently being used to match federal funds will now be available
18to be used to meet the housing and other needs of those individuals
19who are not currently receiving the behavioral health care that
20they need.

end insert
begin insert

21(f) In October 2015, the United States Secretary of Health and
22Human Services awarded California a planning grant pursuant
23to Section 223 of the federal Protecting Access to Medicare Act
24of 2014 to support California in, among other things, developing
25its proposal to participate in the two-year demonstration program.

end insert
begin insert

26(g) The Mental Health Services Act was approved by voters in
272004 for the primary purpose of addressing unmet mental health
28needs.

end insert
begin insert

29(h) It is an appropriate use of Mental Health Services Act funds
30to support California’s application to participate in this
31demonstration program including the use of these funds to prepare
32actuarial rates and provide technical assistance to counties seeking
33to become certified community behavioral health centers.

end insert
begin insert

34(i) Successful participation in this demonstration program will
35also result in significant General Fund savings due to reduced
36hospitalizations of people with severe mental illnesses who do not
37receive the behavioral health treatment they need, as well as
P4    1savings from the portion of mental health care that is paid for by
2Medi-Cal managed care plans.

end insert
3begin insert

begin insertSEC. 2.end insert  

end insert

begin insertSection 14021.2 is added to the end insertbegin insertWelfare and Institutions
4Code
end insert
begin insert, to read:end insert

begin insert
5

begin insert14021.2.end insert  

(a) The department shall develop and submit a
6proposal to the United States Secretary of Health and Human
7Services for selection as a participating state in the time-limited
8demonstration program pursuant to Section 223 of the federal
9Protecting Access to Medicare Act of 2014 (Public Law 113-93)
10in order to improve mental health services furnished by certified
11community behavioral health clinics to Medi-Cal beneficiaries.

12(b) The department shall use the funds appropriated in the act
13that added this section to pay any costs that will support the
14development of a competitive proposal, including, but not limited
15to, establishing actuarially sound rates and providing technical
16assistance to counties.

end insert
17begin insert

begin insertSEC. 3.end insert  

end insert
begin insert

The sum of one million dollars ($1,000,000) is hereby
18appropriated from the Mental Health Services Fund to the State
19Department of Health Care Services for the purpose of developing
20the proposal described in Section 14021.2 of the Welfare and
21Institutions Code.

end insert
22begin insert

begin insertSEC. 4.end insert  

end insert
begin insert

This act is an urgency statute necessary for the
23immediate preservation of the public peace, health, or safety within
24the meaning of Article IV of the Constitution and shall go into
25immediate effect. The facts constituting the necessity are:

end insert
begin insert

26In order to require the State Department of Health Care Services
27to develop and submit a proposal to participate in the federal
28Protecting Access to Medicare Act of 2014 demonstration program,
29and to fund the development of that proposal, before the deadline
30to apply for participation in the demonstration program, it is
31necessary that this bill go into immediate effect.

end insert
begin delete
32

SECTION 1.  

The State Department of Health Care Services
33shall apply to the United States Secretary of Health and Human
34Services for the planning grant awarded pursuant to Section 223
35of the federal Protecting Access to Medicare Act of 2014 for the
36purpose of developing proposals to participate in time-limited
37demonstration programs to improve mental health services
38provided by certified community behavioral health clinics to
39Medi-Cal beneficiaries.

P5    1

SEC. 2.  

This act is an urgency statute necessary for the
2immediate preservation of the public peace, health, or safety within
3the meaning of Article IV of the Constitution and shall go into
4immediate effect. The facts constituting the necessity are:

5The federal Protecting Access to Medicare Act of 2014 requires
6the United States Secretary of Health and Human Services to award
7planning grants no later than January 1, 2016. In order to require
8the State Department of Health Care Services to apply for a
9planning grant before the secretary awards the planning grants to
10states, it is necessary that this bill go into immediate effect.

end delete


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