BILL ANALYSIS Ó AB 941 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 941 (Wood) As Amended August 26, 2015 Majority vote -------------------------------------------------------------------- |ASSEMBLY: | 77-0 | (May 11, |SENATE: |38-0 | (August 31, | | | |2015) | | |2015) | | | | | | | | | | | | | | | -------------------------------------------------------------------- Original Committee Reference: HEALTH SUMMARY: Exempts clinics operated by a tribe or tribal organization, regardless of location, from obtaining a license from the Department of Public Health (DPH), and requires, to qualify for the exemption, the clinic operate under a contract with the United States pursuant to the Indian Self Determination and Education Assistance Act. The Senate amendments clarify that clinics operated by a tribe or tribal organization may apply for a license from DPH should they choose to do so, and incorporate additional changes to Health and Safety Code Section 1206 proposed by AB 1130 that would become operative if this bill and AB 1130 are chaptered and this bill is chaptered last. FISCAL EFFECT: According to the Senate Appropriations Committee, pursuant to Senate Rule 28.8, negligible state costs. AB 941 Page 2 COMMENTS: According to the author, the majority of California tribal health clinics (tribal clinics) are located in rural areas of the state and oftentimes, it is challenging to meet unmet needs when providing healthcare services over large geographic areas. Tribal clinics cannot always establish new clinics on Indian land, as oftentimes, the Indian land in question is not available in an area where many tribal clinic patients may reside. This results in opening new tribal clinics on non-Indian land in order to provide adequate access of care to patients. The author notes, tribal clinics may only place new sites within the federal statutorily defined service areas based on the population of the tribal communities they serve. The federal, tribal, and state standards requirements have to be met in order to create a new tribal clinic; and these standards are comprehensive and coherent. When abiding by the federal, tribal, and state standards, the administrative process becomes very duplicative when applying for a license to operate a tribal clinic on non-Indian land. The author concludes, this bill will streamline the state clinic licensing exemptions and exempt tribal clinics on non-Indian land from DPH's state facility license. Background. There are approximately 1,000 primary care clinics currently licensed in California. In order to obtain a license, a primary care clinic must submit an application and fee to DPH and pass an initial licensure survey conducted by DPH. Clinics exempt from state licensing do have to apply to the Department of Health Care Services (DHCS) if they want to enroll as a Medi-Cal provider. DHCS has a specific application process for exempt clinics, including obtaining a certification by DPH or a specified nonprofit entity that inspects the clinics and ensures they meet minimum requirements. Tribal Health Services. The Indian Health Service (IHS) oversees health programs over portions of the state. By federal law, the area is limited to the 38 counties with American Indian trust lands, generally meaning a reservation or rancheria. Within the included counties there is a service population of AB 941 Page 3 approximately 130,000 eligible American Indians. The IHS divides their service area in California into smaller administrative units called services units. These services units have responsibility for planning, managing, and evaluating the health programs in its jurisdiction. They are focused on a specific geographic area and are usually centered on a single federal reservation. It is within these services units that a tribe or consortium of tribes can operate clinics under contract with the federal government. Although the clinics are established to provide services to specified American Indians they are open to all. The proportion of non-Indians using these clinics varies dramatically. In some smaller rural areas without many health care facilities, the proportion of non-Indians can be quite significant accounting for about half the patients seen. In other clinics, Indians comprise the overwhelming majority. According to the California Rural Indian Health Board, of the 30 existing tribal health clinics in the state, this bill will apply to approximately five. All IHS-funded health care is tied to American Indian and Alaska Native user populations. In California there are eight urban Indian clinics in cities. The exemption proposed by this bill would not apply to them, and their funding and federal statutory authority is distinct and separate from the funding and authority for tribal health programs. Analysis Prepared by: Lara Flynn / HEALTH / (916) 319-2097 FN: 0001851