BILL ANALYSIS Ó
SENATE COMMITTEE ON HEALTH
Senator Ed Hernandez, O.D., Chair
BILL NO: SB 1477
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|AUTHOR: |Committee on Health |
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|VERSION: |March 9, 2016 |
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|HEARING DATE: |April 13, 2016 | | |
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|CONSULTANT: |Vince Marchand |
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SUBJECT : Health
SUMMARY : Requires the California Health Benefit Exchange to also be
known as Covered California, replaces references from the
now-repealed Healthy Families Program to the Medi-Cal program,
and from the repealed AIM-Linked Infants Program to the Medi-Cal
Access Program, and makes a technical change to ensure that
trade associations remain eligible for federal emergency
preparedness funds.
Existing federal law:
1)Requires, under the Patient Protection and Affordable Care Act
(ACA, Public Law 111-148), as amended by the Health Care
Education and Reconciliation Act of 2010 (Public Law 111-152),
each state, by January 1, 2014, to establish an American
Health Benefit Exchange that makes qualified health plans
available to qualified individuals and qualified employers.
Requires, if a state does not establish an Exchange, the
federal government to administer the Exchange.
Existing state law:
1)Establishes the California Health Benefit Exchange (known as
Covered California) in state government, and specifies its
duties and authority. Requires Covered California to be
governed by a board that includes the Secretary of the
California Health and Human Services Agency and four members
with specified expertise who are appointed by the Governor and
the Legislature.
2)Establishes the Medi-Cal Program, administered by the
Department of Health Care Services (DHCS), which provides
comprehensive health benefits to low-income children up to 266
% of the federal poverty level (FPL), parents and adults up to
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138 % of the FPL, pregnant women, and elderly, blind or
disabled persons, who meet specified eligibility criteria.
3)Establishes the Medi-Cal Access Program, which was formerly
known as the Access for Infants and Mothers Program or AIM) as
a low-cost health coverage program for pregnant women and
infants. The Medi-Cal Access Program provides coverage to
pregnant women with a household income between 208% and 317%
of the federal poverty.
4)Establishes provisions of law to govern those instances when
federal funding is allocated and expended for public health
preparedness and response by local health jurisdictions,
hospitals, long-term health care facilities, clinics,
emergency medical systems, and poison control centers for the
prevention of, and response to, bioterrorist attacks and other
public health emergencies.
5)Requires federal funding received by the Department of Public
Health (DPH) for bioterrorism preparedness and emergency
response to be subject to appropriation in the annual Budget
Act or other statute. Requires that that funds appropriated
for these purposes are to be allocated through the use of
agreements that are not subject to the State Contract Act, as
specified.
This bill:
1)Requires the California Health Benefit Exchange to also be
known as Covered California, and deems any reference to the
California Health Benefit Exchange or the Exchange to refer to
Covered California.
2)Replaces references from the now-repealed Healthy Families
Program to the Medi-Cal program, and from the repealed
AIM-Linked Infants Program to the Medi-Cal Access Program.
3)Clarifies that trade associations are eligible for federal
emergency preparedness funds by including trade associations
in the list of eligible entities that may receive funds
through the use of agreements that are not subject to the
State Contract Act.
FISCAL
EFFECT : None
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COMMENTS :
1)Author's statement. According to the author, this is an
omnibus committee bill intended to make technical, clarifying,
or noncontroversial changes to various provisions of law
relating to health care. This bill revises law in three areas:
formally recognizing Covered California as the name of the
California Health Benefit Exchange as Covered California while
retaining the ability to continue using the full California
Health Benefit Exchange if necessary for legal purposes;
correcting outdated terminology by replacing references to the
now-repealed Healthy Familes Program and the AIM-Linked
Infants Program to the Medi-Cal program and the Medi-Cal
Access Program, respectively; and, clarifying a bill from last
year that allowed trade associations to be eligible for
federal emergency preparedness funds by also adding trade
associations to a related provision of law governing how these
funds are allocated.
2)Prior legislation.
a) AB 1149 (Wood, Chapter 93, Statutes of 2015) added
trade associations to the list of entities that are
eligible to receive federal funding, that has been
allocated to DPH for public health preparedness and
response;
b) SB 900 (Alquist, Chapter 659, Statutes of 2010),
established Covered California as an independent public
entity within state government, and requires Covered
California to be governed by a board composed of the
Secretary of the Agency, or his or her designee, and four
other members appointed by the Governor and the
Legislature who meet specified criteria;
c) AB 1494 (Committee on Budget, Chapter 28, Statutes
of 2012), transitioned children enrolled in the Healthy
Families Program to the Medi-Cal Program beginning
January 1, 2013, in four Phases throughout 2013; and,
d) SB 857 (Committee on Budget, Chapter 31, Statutes of
2014), transferred the coverage of pregnant women through
AIM to DHCS and renamed AIM as the
Medi-Cal Access Program.
1)Support. This bill is supported by the California Association
of Health Facilities (CAHF), which states that recently, DPH
has stated that statutory clean-up to AB 1149 (Wood) of 2015
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is needed to continue the status quo of who is eligible to
receive funding through the Hospital Preparedness Program for
strengthening public health emergency preparedness. This bill
will assure that trade associations, such as CAHF, can
continue to participate in the program, as it has for years.
SUPPORT AND OPPOSITION :
Support: California Association of Health Facilities
Oppose: None received
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