BILL ANALYSIS Ó
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
AB 2394 (Eduardo Garcia) - Medi-Cal: nonmedical transportation
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|Version: June 14, 2016 |Policy Vote: HEALTH 8 - 0 |
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|Urgency: No |Mandate: No |
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|Hearing Date: August 11, 2016 |Consultant: Brendan McCarthy |
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*********** ANALYSIS ADDENDUM - SUSPENSE FILE ***********
The following information is revised to reflect amendments
adopted by the committee on August 11, 2016
Bill Summary:
AB 2394 would require the Department of Health Care Services
to provide nonmedical transportation as a covered benefit in the
Medi-Cal program.
Fiscal
Impact:
One-time costs of $120,000 and ongoing costs of $110,000 per
year to develop program requirements, amend the state's
Medicaid plan, adopt regulations to implement the bill, and
provide ongoing monitoring of benefit coverage (General Fund
and federal funds).
AB 2394 (Eduardo Garcia) Page 1 of
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Ongoing costs of $3 million to $6 million per year to provide
nonmedical transportation to Medi-Cal beneficiaries enrolled
in Medi-Cal managed care plans that do not already provide
nonmedical transportation as a covered benefit and
fee-for-service beneficiaries who do not already qualify for
nonmedical transportation (General Fund and federal funds).
According to the Department of Health Care Services, 17 out of
21 Medi-Cal managed care plans already provide coverage for
nonmedical transportation, covering between 50% and 70% of all
existing Medi-Cal managed care plan enrollees. The Department
currently does not provide coverage for nonmedical
transportation in the fee-for-service system, except for
children and participants in the Coordinated Care Initiative.
The Department estimates the annual cost per member to provide
nonmedical transportation is between $0.50 and $2.00 per year.
Unknown impact on overall utilization of health care services
in the Medi-Cal program (General Fund and federal funds). By
ensuring that Medi-Cal beneficiaries have access to nonmedical
transportation to covered services, the bill is likely to
allow for increased access to care by Medi-Cal beneficiaries,
particularly specialty care for beneficiaries in rural areas
of the state. This is likely to increase utilization of those
services. On the other hand, timely access to specialty
services may allow beneficiaries and their providers to better
manage serious medical conditions, potentially reducing future
needs for additional specialty services or hospitalization.
The net impact of these factors is unknown.
Committee
Amendments: Delay implementation of the benefit until July 1,
2017.
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