BILL ANALYSIS Ó AB 1299 Page 1 Date of Hearing: April 14, 2015 ASSEMBLY COMMITTEE ON HUMAN SERVICES Kansen Chu, Chair AB 1299 (Ridley-Thomas) - As Introduced February 27, 2015 SUBJECT: Medi-Cal: specialty mental health services: foster children SUMMARY: Transfers responsibility for providing or arranging mental health services for foster youth from the county of original jurisdiction to the foster child's county of residence. Specifically, this bill: 1)States that it is the intent of the Legislature to ensure that foster children who are placed in their county of original jurisdiction are able to access mental health services, as specified. Further states the intent of the Legislature to overcome the barriers to mental health care existing in the AB 1299 Page 2 current system for foster children who are placed outside their county of original jurisdiction. 2)Defines "presumptive transfer" to mean that responsibility for providing or arranging for mental health services shall immediately transfer from a foster youth's county of original jurisdiction to his or her county of residence, provided he or she is placed in a county other than the county of original jurisdiction and the request is made by specified entities or individuals. 3)Requires the California Health and Human Services Agency to coordinate with the Department of Health Care Services (DHCS) and the Department of Social Services (DSS) to take the following actions by July 1, 2016: a) Requires DHCS to issue policy guidance, as specified, that establishes the presumptive transfer of responsibility for mental health services for a foster youth from his or her county of original jurisdiction to his or her county of residence; b) Requires DHCS, in consultation with DSS and with the input of specified stakeholders, to establish the conditions of and exceptions to presumptive transfer, intended to improve access to mental health care services and not impede the continuity of existing care; and c) Requires DHCS to establish procedures for implementing presumptive transfer as specified and consistent with Early Periodic Screening, Diagnosis, and Treatment (EPSDT) AB 1299 Page 3 program standards and requirements, and including a procedure for expedited transfer within 48 hours. 1)Requires the Department of Finance, by May 1, 2016, to set or adjust its allocation schedule of the Behavioral Health Subaccount, as specified, such that counties that pay or have paid for specialty mental health services for foster children placed out of county are fully reimbursed within the fiscal year the services are provided. 2)Requires DHCS, if it determines necessary, to seek approval under the state's Section 1915(b) Medicaid waiver, as specified. Further specifies that DHCS shall not be required to implement any provision of this bill that the Centers for Medicare and Medicaid Services (CMS) determines impermissible per the state's waiver. EXISTING LAW: 1)Establishes a state and local system of child welfare services, including foster care, for children who have been adjudged by the court to have been abused or neglected, or at risk of abuse or neglect, as specified. (WIC 202) 2)Allows a juvenile court to adjudge a child a ward or a dependent of the court for specified reasons, including but not limited to if the child has been left without any provision for support, as specified. (WIC 300) 3)States that the purpose of foster care law is to provide AB 1299 Page 4 maximum safety and protection for children who are currently being physically, sexually, or emotionally abused, neglected, or exploited, and to ensure the safety, protection, and physical and emotional well-being of children who are at risk of harm. (WIC 300.2) 4)Establishes rights of foster children, including the right to receive medical, dental, vision, and mental health services. (WIC 16001.9) 5)Establishes the federal Medicaid program to provide health benefits to low-income individuals. (42 U.S.C. Section 1396 et seq.) 6)Establishes California's Medicaid program, Medi-Cal, through which eligible low-income individuals receive health care services. (WIC 14000 et seq.) 7)Establishes the federal Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) program to provide comprehensive and preventive health services, including preventive, dental, mental health, and developmental, and specialty services, to Medicaid beneficiaries under the age of 21. Requires states to administer EPSDT as a condition of receiving federal Medicaid funds. (42 USC Section 1396d) 8)Requires county mental health departments that receive full system of care funding, as specified, to provide children served by county social services and probation departments mental health screening, assessment, participation in multidisciplinary placement teams and specialty mental health treatment services for children placed out of home in group care, for those children who meet the definition of medical necessity, to the extent resources are necessary. (WIC 5867.5) 9)Requires each local mental health plan to establish a procedure to ensure access to outpatient specialty mental health services, as required by EPSDT program standards, for AB 1299 Page 5 any child in foster care who has been placed outside his or her county of adjudication. (WIC 14716) 10)Establishes the Behavioral Health Subaccount within the Support Services Account. (GOV 30025) FISCAL EFFECT: Unknown COMMENTS: Child Welfare Services: The purpose of California's Child Welfare Services (CWS) system is to protect children from abuse and neglect and provide for their health and safety. When children are identified as being at risk of abuse, neglect or abandonment, county juvenile courts hold legal jurisdiction and children are served by the CWS system through the appointment of a social worker. Through this system, there are multiple opportunities for the custody of the child, or his or her placement outside of the home, to be evaluated, reviewed and determined by the judicial system, in consultation with the child's social worker, to help provide the best possible services to the child. The CWS system seeks to help children who have been removed from their homes reunify with their parents or guardians, whenever appropriate, or unite them with other individuals they consider to be family. There are currently close to 63,000 children in California's child welfare system. AB 1299 Page 6 Mental health needs of foster youth: Foster youth have a higher likelihood of experiencing emotional, behavioral, and developmental problems when compared to their non-foster peers. Abuse and neglect and unstable placements can contribute to, and exacerbate, mental health issues. These problems, in turn, can lead to other problems, like difficulty forming stable relationships and succeeding in school. Research underscores the need for improved access to health and mental health services for foster children and youth, and points to the high incidence of behavioral or mental health problems necessitating intervention among foster youth. The disproportionately high rates of emotional and behavioral health issues for youth placed in foster care, youth transitioning from foster care, and former foster youth can be correlated with other barriers foster youth face (such as higher rates of incarceration and homelessness and diminished rates of high school completion and college attendance). EPSDT: One in three children under the age of six in the United States is eligible for Medicaid. Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) is Medicaid's child health component. Federal law requires a comprehensive set of benefits and services to be provided to children and youth under the age of 21 through Medicaid. On top of the standard benefits that Medi-Cal beneficiaries receive, children and youth are eligible for additional medically necessary services. Mental health services are recognized as an important component of children's health care. Comprehensive well-child examinations including screening services through EPSDT, and screening for potential developmental, mental, behavioral, and/or substance use disorders are required by federal law. AB 1299 Page 7 Need for this bill: According to the author, foster children are three to six times more likely to experience emotional, behavioral, and developmental problems compared to non-foster children. When these mental health needs go unmet, placement instability, disruptions in permanency plans, barriers to educational attainment, and other consequences can result. Youth dubbed "out-of-county" have been placed in a county other than the one in which they originally enter foster care (i.e., the "county of original jurisdiction"). The author reports that, as of July 2014, close to 20% of foster children (13,000) were considered "out-of-county." "Out-of-county" foster youth may be placed at greater risk because of lengthy delays or denials in accessing mental health services that can result from the way the system of care provision currently operates. This is because, when a youth in foster care is placed out of county, the county of original jurisdiction remains responsible for providing or arranging for necessary medical and mental health treatment for that youth. Mental health services - "Specialty Mental Health Medi-Cal" - are separate from other medical services and each county's mental health plan must authorize and provide payment for the mental health services received by the child. There are indications that out-of-county foster youth may have higher needs and less access when it comes to mental health care. A 2011 report issued by the California Child Welfare Council found that out-of-county foster youth were more likely to have been diagnosed with a serious mental health disorder, yet were 10 to 15% less likely to have received any mental health services compared to their in-county peers. And among those that did receive services, in-county foster youth fared better, receiving more care and more intensive treatment. AB 1299 Page 8 The author states that: "The disparity in access to mental health services between in-county and out-of-county children exists despite both having the same entitlement to mental health services under federal and state law. The problem stems from California's county-based system of mental health delivery. Medi-Cal Specialty Mental Health Services are provided using a system of county-based managed care agencies or Mental Health Plans (MHPs) under contract with the Department of Health Care Services. Each MHP, in turn, contracts with local private mental health service providers (or uses county mental health staff) to deliver services. This system works efficiently for many children and youth. However, the county-based MHPs face substantial administrative barriers when services must be provided to children placed out-of-county, that is, outside the service area for its network of providers. These problems include difficulty: 1) finding providers and services in the child's county of residence; 2) contracting for care; 3) getting treatment authorizations; 4) coordinating and monitoring care; and 5) securing adequate reimbursements from responsible parties including federal, state, and local agencies." Recommended amendments: 1)Committee staff recommends the following technical amendments, beginning on line 21 of page 2 of the bill: 8 (b) In order to facilitate the receipt of medically necessary AB 1299 Page 9 9 specialty mental health services by a foster child who is placed 10 outside of his or her county of original jurisdiction, the California 11 Health and Human Services Agency shall coordinate with the 12 department and the State Department of Social Services to take 13 all of the following actions: 14 (1) On or before July 1, 2016, all of the following shall occur: 15 (A) The department shall issue policy guidance, pursuant to 16 Section 14716, that establishes the presumptive transfer of 17 responsibility for providing or arranging for mental health services 18 to foster youth, consistent with the requirements of EPSDT 19 program standards and requirements, from the county of original 20 jurisdiction to the foster child's county of residence. 21(B) "Presumptive transfer" for the purposes of this section means22that absent any conditions or exceptions as established pursuant23to this article, responsibility for providing or arranging for mental24health services shall immediately transfer from the county of25original jurisdiction to the county of residence, when the all of the26following conditions occur:27(i) A foster child is placed in a county other than the county of28original jurisdiction.29(ii) The transfer of responsibility is requested by the county30child welfare services agency, county probation department, foster31caregiver, or any other person authorized to make medical decisions AB 1299 Page 1032on behalf of the foster child.33(C)(B) The department shall establish the conditions and exceptions 34 to presumptive transfer in consultation with the State Department 35 of Social Services, and with the input of stakeholders that include 36 the County Welfare Directors Association of California, the County 37 Behavioral Health Directors Association of California, provider 38 representatives, and family and youth advocates. The conditions 39 and exceptions to presumptive transfer are intended to ensure that 1 the transfer of responsibility improves access to mental health care 2 services and does not impede the continuity of existing care. 3(D)(C) The department shall establish the procedures for 4 implementing presumptive transfer that are consistent with the 5 purposes and intent of this section and Early Periodic Screening 6 Diagnosis and Treatment program standards and requirements, 7 and shall include a procedure for expedited transfer within 48 8 hours. (c) "Presumptive transfer" for the purposes of this section means that absent any conditions or exceptions as established pursuant to this article, responsibility for providing or arranging for mental health services shall immediately transfer from the county of original jurisdiction to the county of residence, when all of the following conditions occur: (1) A foster child is place in a county other than the county AB 1299 Page 11 of original jurisdiction. (2) The transfer of responsibility is requested by the county child welfare services agency, county probation department, foster caregiver, or any other person authorized to make medical decisions on behalf of the foster child. 9 14695.2. By May 1, 2016, the Department of Finance shall set 10 or adjust its allocation schedule of the Behavioral Health 11 Subaccount pursuant to the requirements of Senate Bill 1020 12 (Chapter 40, Statutes of 2012), in order that counties that have 13 paid, or will pay, for specialty mental health services for foster 14 children placed out of county pursuant to this article, are fully 15 reimbursed during the fiscal year in which the services are 16 provided. 2)In order to clarify the deadline for seeking CMS waiver approval being placed upon DHCS, committee staff recommends the following amendment be made on line 25 of page 4 of the bill: 17 14695.3. (a) If the department determines it is necessary, it 18 shall seek approval under the state's Section 1915(b) Medicaid 19 waiver from the United States Department of Health and Human 20 Services, Centers for Medicare and Medicaid Services (CMS) prior 21 to implementing this article. 22 (b) If the department makes the determination that it is necessary 23 to seek CMS approval pursuant to subdivision (a), the AB 1299 Page 12 department 24 shall make an official request for approval from CMS no later than 25 July 1, 2016, and shall do everything within its power necessary to secure 26 an expeditious approval from CMS. 27 (c) The department shall not be required to implement any 28 provision of this article that CMS determines is not permitted under 29 the state's waiver. DOUBLE REFERRAL . This bill has been double-referred. Should this bill pass out of this committee, it will be referred to the Assembly Committee on Health. REGISTERED SUPPORT / OPPOSITION: Support California Alliance of Child and Family Services, co-sponsor California Mental Health Advocates for Children and Youth (CMHACY), co-sponsor Women's Foundation of California (co-sponsor) AB 1299 Page 13 American Federation of State, County and Municipal employees (AFSCMEE), AFL-CIO Aviva Family and Children's Services Bill Wilson Center California Council of Community Mental Health Agencies California Primary Care Association (CPCA) Crittenton Services for Children and Families David &Margaret Youth and Family Services EMQ Families First Ettie Lee Youth & Family Services Families NOW Family Care Network, Inc. Foster Youth Alliance Fred Finch Youth Center (FFYC) AB 1299 Page 14 Hathaway Sycamores Junior Blind of America Maryvale Mendocino County Health and Human Services Agency National Association of Social Workers, CA Chapter (NASW-CA) OPTIMIST Orange County Alliance for Children and Families San Diego Center for Children (the Center) Seneca Family of Agencies Sierra Forever Families Steinberg Institute Sunny Hills Services The Association of Community Human Services Agencies (ACHSA) AB 1299 Page 15 The Village Family Services The Women's Foundation of California TLC Child and Family Services Trinity Youth Services United Advocates for Children and Families (UACF) Valley Teen Ranch Young Minds Advocacy Project Youth Homes Inc. Opposition None on file. AB 1299 Page 16 Analysis Prepared by:Daphne Hunt / HUM. S. / (916) 319-2089