BILL ANALYSIS Ó SB 827 Page 1 (Without Reference to File) SENATE THIRD READING SB 827 (Committee on Budget and Fiscal Review) As Amended June 10, 2016 Majority vote. Budget Bill Appropriation Takes Effect Immediately SENATE VOTE: Vote not relevant SUMMARY: Augments the Budget Act of 2015 to address various funding and spending authority shortfalls. This bill makes supplemental appropriations to the Budget Act of 2015 in order to address General Fund and spending authority shortfalls. Specifically, this bill: 1)Increases spending authority for the Department of Health Care Services 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. SB 827 Page 2 2)Provides $5 million (General Fund) to Correctional Health Care Services (CHCS) 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. 3)Provides $7,580 (General Fund) to Mariposa County for costs associated with the homicide trial case of People v. Cary Stayner. EXISTING LAW: 1)Establishes the Quality Assurance Fee Program (QAF) within the Department of Health Care Facilities 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. 2)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 to be administered by the Correctional Health Care Services (CHCS). 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. As such restoration is achieved, on a facility-by-facility basis; responsibility is delegated back to the California Department of Corrections and Rehabilitation. 3)Allows qualifying counties to seek reimbursements from the SB 827 Page 3 State Controller for extraordinary expenses associated with homicide trials. FISCAL EFFECT: This is a deficiency bill and makes augmentations to the Budget Act of 2015 by $40,075,580 General Fund and $40,336,000 Special Funds. Analysis Prepared by: Jazmin Hicks / BUDGET / (916) 319-2099 FN: 0003419