BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session SB 997 (Lara) - Health care coverage: immigration status ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: April 20, 2016 |Policy Vote: HEALTH 7 - 1 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: No | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: May 27, 2016 |Consultant: Brendan McCarthy | | | | ----------------------------------------------------------------- Bill Summary: SB 997 requires undocumented children who are eligible for full-scope Medi-Cal coverage and who are enrolled in low-cost coverage provided by Kaiser Permanente or another Medi-Cal managed care plan to be enrolled in full-scope Medi-Cal with the same health plan. *********** ANALYSIS ADDENDUM - SUSPENSE FILE *********** The following information is revised to reflect amendments adopted by the committee on May 27, 2016 Fiscal Impact: Likely one-time administrative costs of about $1 million for the Department of Health Care Services to coordinate with health plans and determine Medi-Cal eligibility for current low-cost coverage enrollees (General Fund). The Department will need to collect information from health plans about their current low-cost coverage enrollees who are likely to gain SB 997 (Lara) Page 1 of ? full-scope Medi-Cal eligibility, determine eligibility for those individuals, and set up a special process for those individuals to be directly enrolled with the same health plan under full scope Medi-Cal. Because this is not the normal process for determining Medi-Cal eligibility and assigning enrollees to a Medi-Cal managed health plan, there will be additional workload for the Department. (Because undocumented immigrants are generally not eligible for federal financial participation, all costs will be General Fund costs.) Likely increased Medi-Cal costs in the millions per year due to increased enrollment in Medi-Cal under the bill (General Fund). Under current law, undocumented immigrants under 19 years of age will be eligible for full-scope Medi-Cal on or after May 1, 2016. The undocumented children who are the subject of this bill will soon become eligible for full scope Medi-Cal. However, without the bill, those children's' parents will need to enroll them in Medi-Cal through the normal application process. Given that these children are already enrolled in health care coverage (often with a modest monthly fee per child), it is likely that a high percentage of these children's' parents will enroll them in Medi-Cal. However, there is likely to be a small share of the current population that will not enroll in Medi-Cal through the normal enrollment process. Under the bill, the streamlined enrollment into Medi-Cal is likely to reduce the number of individuals who would lose coverage during the transition. For example, if 10% of current program participants would not have transitioned to Medi-Cal coverage without the bill and the bill reduces that share to 5% losing coverage, the state cost for that additional Medi-Cal coverage would be about $7 million per year. Author Amendments: Clarify how information would be provided to the families of enrollees, authorize the Department to implement the bill without taking regulatory action, and require a report from the Department. -- END -- SB 997 (Lara) Page 2 of ?