BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    SB 1477


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          SENATE THIRD READING


          SB  
          1477 (Committee on Health)


          As Introduced  March 9, 2016


          Majority vote


          SENATE VOTE:  39-0


           -------------------------------------------------------------------- 
          |Committee       |Votes|Ayes                   |Noes                 |
          |                |     |                       |                     |
          |                |     |                       |                     |
          |                |     |                       |                     |
          |----------------+-----+-----------------------+---------------------|
          |Health          |15-0 |Wood, Maienschein,     |                     |
          |                |     |Bonilla, Burke,        |                     |
          |                |     |Campos, Chiu,          |                     |
          |                |     |                       |                     |
          |                |     |                       |                     |
          |                |     |Roger Hernández,       |                     |
          |                |     |Lackey, Nazarian,      |                     |
          |                |     |Olsen, Patterson,      |                     |
          |                |     |Ridley-Thomas,         |                     |
          |                |     |Rodriguez, Thurmond,   |                     |
          |                |     |Waldron                |                     |
          |                |     |                       |                     |
          |                |     |                       |                     |
           -------------------------------------------------------------------- 


          SUMMARY:  Clarifies that references to the California Health  








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          Benefit Exchange (Exchange) are deemed to refer to Covered  
          California, replaces references to the now-repealed Healthy  
          Families Program (HFP) and Access for Infants and Mothers  
          Program (AIM) Linked Infants Program and replaces those with the  
          Medi-Cal Program and the Medi-Cal Access Program respectively,  
          and includes trade associations in the list of entities that are  
          eligible to receive federal emergency preparedness funds, as  
          specified.  Authorizes the Department of Health Care Services  
          (DHCS) to enter into contracts for undertaking administrative  
          activities by the department's Mental Health and Substance Use  
          Disorder Services Division relating to various components of the  
          federal Children's Health Insurance Program, Medicaid Managed  
          Care and Revisions Related to Third Party Liability, and make  
          provisions of these contracts publicly available, and sunsets  
          this authority on January 1, 2020.  Corrects an error in code  
          reference relating to the Medi-Cal 2020 demonstration project.    



          EXISTING LAW: 


          1)Requires, under the federal Patient Protection and Affordable  
            Care Act (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 state Exchange. 


          2)Establishes the Exchange (known as Covered California) 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  
            (CHHSA) and four members with specified expertise who are  
            appointed by the Governor and the Legislature. 









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          3)Establishes the Medi-Cal program, administered by the  
            Department of Health Care Services (DHCS), which provides  
            comprehensive health benefits to low-income children, adults,  
            pregnant women, the elderly, and blind or disabled persons,  
            who meet specified eligibility criteria.


          4)Establishes the Medi-Cal Access Program, which was formerly  
            known as 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 level.


          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.  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.


          FISCAL EFFECT:  None.


          COMMENTS:  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 Exchange, while retaining  
          the ability to continue using the full name if necessary for  
          legal purposes; correcting outdated terminology by replacing  
          references to the now-repealed HFP and the AIM-Linked Infants  
          Program to the Medi-Cal program and the Medi-Cal Access Program,  








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          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.



          Analysis Prepared by:                                             
                          Rosielyn Pulmano / HEALTH / (916) 319-2097  FN:  
          0004473