BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON BUDGET AND FISCAL REVIEW 
                              Senator Mark Leno, Chair
                                2015 - 2016 Regular 

          Bill No:            AB 1599         Hearing Date:    June 13,  
          2016
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          |Author:   |Committee on Budget                                   |
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          |Version:  |June 13, 2016    As amended                           |
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          |Urgency:  |No                     |Fiscal:    |Yes              |
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          |Consultant|Peggy Collins                                         |
          |:         |                                                      |
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                     Subject:  Budget Act of 2015: Augmentation


          Summary: Assembly Bill 1599 augments the Budget Act of 2015 to address  
          various funding shortfalls.

          Background: 
          
           Department of Health Care Services  .  Existing law establishes  
          the Quality Assurance Fee Program to levy a fee on skilled  
          nursing and designated intermediate care facilities. Fee revenue  
          is used to support quality improvement efforts, provide rate  
          increases, and offset General Fund expenditures for these  
          facilities.

           Correctional Health Care Services (CHCS)  .  In 2005, in response  
          to a federal class-action lawsuit, a federal court established a  
          receivership to oversee prison health care in California  
          correctional facilities.  The receiver is tasked with restoring  
          medical care in state prisons to a standard which is no longer  
          in violation of the United States Constitution.  Once  
          restoration is achieved, on a facility-by-facility basis,  
          responsibility is delegated back to the California Department of  
          Corrections and Rehabilitation.

           Homicide Trials  . Under existing law, qualifying counties may  
          seek reimbursements from the State Controller for extraordinary  
          expenses associated with homicide trials.  
          







          AB 1599 (Committee on Budget)                           Page 2  
          of ?
          
          
          Proposed  
          Law:  This bill makes supplemental appropriations to the Budget Act  
          of 2015 in order to address the following General Fund and  
          spending authority shortfalls:
          
           Department of Health Care Services  . Increases spending authority  
          by $40.3 million (Long-Term Care Quality Assurance Fund) due to  
          unanticipated increased revenues from the Intermediate Care  
          Facility for the Developmentally Disabled fee.  

           Correctional Health Care Services  . Provides $5 million (General  
          Fund) for contracted janitorial services; $33.3 million (General  
          Fund) for increased medication costs and costs associated with  
          pharmacy inventory and packaging costs related to the  
          implementation of the electronic health record system; and $1.8  
          million (General Fund) for increased staff due to a  
          higher-than-projected inmate population for which CHCS is  
          responsible.

           Homicide Trials  . Provides $7,580 (General Fund) to Mariposa  
          County for costs associated with the case of People v. Cary  
          Stayner.
          
          Fiscal  
          Effect:  Augments the Budget Act of 2015 by $40,075,580 General Fund  
          and $40,336,000 Special Funds.
          
          Support:  None on file.
          
          Opposed:  None on file.
          

          
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