BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 2308| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 2308 Author: Roger Hernández (D), et al. Amended: 6/28/16 in Senate Vote: 21 SENATE EDUCATION COMMITTEE: 8-0, 6/22/16 AYES: Liu, Block, Hancock, Leyva, Mendoza, Monning, Pan, Vidak NO VOTE RECORDED: Huff SENATE APPROPRIATIONS COMMITTEE: 5-2, 8/11/16 AYES: Lara, Beall, Hill, McGuire, Mendoza NOES: Bates, Nielsen ASSEMBLY FLOOR: 56-24, 6/2/16 - See last page for vote SUBJECT: Health care coverage: information to students SOURCE: California Coverage and Health Initiatives DIGEST: This bill requires the California State University (CSU) and the California Community Colleges (CCC's) to provide students with information about health care coverage options. This bill also extends the sunset date by two years to January 1, 2021, for K-12 school districts to provide parents with this information on school enrollment forms. ANALYSIS: Existing law: AB 2308 Page 2 1)Establishes the California Health Benefit Exchange, known as Covered California, as an independent state entity to serve as the marketplace for Californians to purchase health care coverage and as a way to meet the personal responsibility requirements of the federal Patient Protection and Affordable Care Act. 2)Authorizes school districts and county offices of education to incorporate into the School Lunch Program application packet or notification of eligibility that the student may qualify for free or reduced-cost health coverage under the California Health Benefit Exchange. (Education Code § 49557.2) This bill: 1)Extends, from January 1, 2019 to January 1, 2021, the sunset date in existing law that requires public schools to provide parents or legal guardians with information insurance affordability programs, as specified. 2)Establishes the California Health Care Coverage Act of 2016. 3)Requires, commencing with the 2017-18 academic year, each campus of the CSU and CCC to provide students contact information about health care coverage options including how to apply for Medi-Cal and Covered California. To satisfy this requirement, authorizes CSU and CCC campuses to: a) Develop an informational item or amend an existing enrollment form or Internet Web site to provide students information on insurance affordability programs. Provides that a campus may use information provided in the standard template developed by the California Department of Education, as specified. b) Include a fact sheet with its enrollment forms explaining basic information about affordable health care coverage options for students. AB 2308 Page 3 4)Prohibits a CSU or CCC campus from discriminating against a student who does not have health care coverage or use any information related to a student's health care coverage or interest in learning about health care coverage in any manner that would bring harm to the student. 5)Establishes a sunset date for the CSU and CCC requirements of January 1, 2021. Comments Need for the bill. According to the author's office, "the federal Patient Protection and Affordable Care Act (ACA) expanded health care coverage options and made approximately seven million Californians newly eligible for coverage as of January 1, 2014. Of those nearly 67% qualify for Medi-Cal. There is great opportunity to enroll the eligible; however, notable barriers exist for populations to enroll in health care coverage including lack of awareness about the programs, difficult application or re-enrollment processes, and stigmas associated with enrolling into low-income health insurance and other public programs. While the Affordable Care Act has dramatically reduced the number of uninsured Californians, a significant number of the population has been left behind in the absence of proactive and practical solutions." By utilizing schools and universities, this bill is intended to provide essential information and educate students and families about eligibility and available health coverage programs. Related efforts. AB 2706 (Hernandez, Chapter 827, Statutes of 2014) was enacted to require K-12 school districts and charter schools to provide health care coverage information to students and their families at the time of school enrollment. This bill creates a similar form of outreach for CSU and CCC in which the campuses can provide students with information on health care coverage options through enrollment forms, fact sheets attached to the enrollment forms, or items posted on Internet Web sites. The California Department of Education's Web site also contains information about the ALL IN for Health Campaign for schools, early learning programs, and after school programs. This information includes advice that schools can provide information AB 2308 Page 4 to families about health coverage options. FISCAL EFFECT: Appropriation: No Fiscal Com.:YesLocal: Yes According to the Senate Appropriations Committee: Unknown costs for additional enrollment in Medi-Cal (General Fund and federal funds). Giving CSU and CCC students and continuing to provide K-12 parents information about the availability of Medi-Cal coverage may encourage some consumers to opt to apply for Medi-Cal, as intended. The extent to which this will occur is unknown. This effect may be small, given the significant public awareness of access to coverage through Covered California and Medi-Cal following the implementation of the Affordable Care Act and the imposition of an individual mandate to have health care coverage. However, even a very small overall increase in Medi-Cal enrollment would have a significant fiscal impact since the cost to provide coverage to an adult in Medi-Cal ranges from about $1,200 per year to $6,000 per year (General Fund and federal funds). CSU anticipates one-time costs of $50,000 General Fund in staff time to comply with this bill. The CCCs anticipate minor costs for campuses to comply with this bill. Continuation of likely minor, reimbursable state mandate costs for schools to provide information about health care coverage options and enrollment assistance on school enrollment forms. Without this bill, this requirement would sunset after the 2017-18 school year. (Proposition 98) SUPPORT: (Verified8/12/16) California Coverage and Health Initiatives (source) American Federation of State, County and Municipal Employees California Black Health Network AB 2308 Page 5 California Children's Health Coverage Coalition California Faculty Association California Health+ Advocates California Immigrant Policy Center California Primary Care Association California School Employees Association California State Student Association California Teachers Association Children's Partnership Community Health Councils Health Access California National Association of Social Workers - California Chapter OPPOSITION: (Verified8/12/16) None received ASSEMBLY FLOOR: 56-24, 6/2/16 AYES: Alejo, Travis Allen, Arambula, Atkins, Baker, Bloom, Bonilla, Bonta, Brown, Burke, Calderon, Campos, Chau, Chiu, Chu, Cooley, Cooper, Dababneh, Daly, Dodd, Eggman, Frazier, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Roger Hernández, Holden, Irwin, Jones-Sawyer, Kim, Lackey, Levine, Lopez, Low, McCarty, Medina, Mullin, Nazarian, O'Donnell, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago, Mark Stone, Thurmond, Ting, Weber, Williams, Wood, Rendon NOES: Achadjian, Bigelow, Brough, Chang, Chávez, Dahle, Beth Gaines, Gallagher, Grove, Hadley, Harper, Jones, Linder, Maienschein, Mathis, Mayes, Melendez, Obernolte, Olsen, Patterson, Steinorth, Wagner, Waldron, Wilk Prepared by:Lenin DelCastillo / ED. / (916) 651-4105 8/15/16 20:22:18 **** END **** AB 2308 Page 6