BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 525
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          Date of Hearing:   April 19, 2005

                            ASSEMBLY COMMITTEE ON HEALTH
                                  Wilma Chan, Chair
                      AB 525 (Chu) - As Amended:  April 4, 2005
           
          SUBJECT  :   Health care.

           SUMMARY  :   Requires Department of Health Services (DHS) to  
          develop and implement a system and a card, to be known as the  
          Health Access Programs Card, to enroll individuals in state  
          health care programs, as specified.  Specifically,  this bill  :  

          1)Deletes the requirement that, to be eligible to participate in  
            the Access for Infants and Mothers (AIM) program, a person  
            must be a resident of the state for at least six continuous  
            months prior to application.  

          2)Prohibits the Managed Risk Medical Insurance Board (MRMIB)  
            from imposing, as a condition of eligibility for AIM, a  
            durational residency requirement, a written verification of  
            pregnancy requirement, a requirement that a pregnancy be fewer  
            than 30 weeks, or a requirement that an enrollee pay monthly  
            premiums for 12 months or pay premiums for any month in which  
            a woman has ceased to be pregnant, including as a result of a  
            miscarriage.  

          3)Requires DHS, to the extent that federal financial  
            participation is available and if the option exists, to exempt  
            pregnant women receiving Medi-Cal from any resource standard,  
            including, but not limited to, countable resources.  Requires  
            DHS to seek approval for implementation of this option by  
            March 1, 2006 or, if the option does not exist, a waiver to  
            implement this exemption.

          4)Requires pregnant women to be eligible for Medi-Cal beginning  
            in the first trimester of pregnancy to the extent that federal  
            financial participation is available.  Requires DHS to submit  
            a request for a waiver or approval from the federal government  
            by March 1, 2006. 

          5)Requires any individual who is determined to be eligible for  
            the Family Planning, Access, Care, and Treatment (Family PACT)  
            program to have the option of being deemed to have applied and  
            been determined to be eligible for:








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             a)   Medi-Cal benefits for pregnancy-related care if the  
               individual becomes pregnant during the period for which the  
               individual has been certified as being eligible to receive  
               Family PACT services; and,

             b)   Medi-Cal breast and cervical cancer screening and  
               treatment for uninsured women, as defined, or presumptive  
               eligibility for Medi-Cal for underinsured, as defined and  
               as specified, if, during the period for which the  
               individual's Family PACT eligibility has been certified,  
               both of the following apply:

               i)     The Family PACT services provided for diagnostic and  
                 treatment services for cancers that threaten reproductive  
                 capability have been exhausted for the individual; and,

               ii)    The requirements of the Breast and Cervical Cancer  
                 Treatment Program (BCCTP) are met.

             c)   Prostate cancer screening and treatment under the  
               Improving Access, Counseling, and Treatment for  
               Californians with Prostrate Cancer (IMPACT) program, if,  
               during the period for which the individual's Family PACT  
               eligibility has been certified, all of the following apply:

               i)     The individual is at least 18 years of age and under  
                 66 years of age;

               ii)    The individual has been diagnosed with prostate  
                 cancer; and,

               iii)   Services for the individual under Family PACT for  
                 diagnoses and treatment services for cancers that  
                 threaten reproductive capability have been exhausted.

          6)Requires any individual who has undergone screening under b)  
            or c) above and would have the option of being eligible for  
            Family PACT but for the fact that she is pregnant at the time  
            of application to be deemed to have applied and been  
            determined to be eligible for Medi-Cal pregnancy-related and  
            other health care benefits, as specified.

          7)Requires any pregnant individual, who has undergone screening  
            under this bill and would be eligible for Family PACT except  








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            that her income exceeds 200% of the federal poverty level  
            (FPL), and whose income does not exceed 300% FPL to have the  
            option of being deemed and determined to be eligible for AIM.

          8)Requires DHS, no later than July 1, 2006, to develop and  
            implement an enrollment system and card known as the Health  
            Access Programs Card, as specified.  Requires DHS to consult  
            with representatives of providers, consumers, counties, and  
            health plans in the development and implementation of the  
            Health Access Programs Card.

          9)Makes findings and declarations related to appropriations for  
            prevention and treatment services for dental and periodontal  
            disease during pregnancy and states legislative intent to  
            reaffirm the Legislature's commitment to the provision of  
            nonemergency Medi-Cal benefits for those services by requiring  
            DHS to immediately inform Denti-Cal and other Medi-Cal  
            providers through a provider bulletin or bulletins that such  
            services for dental and periodontal disease are included for  
            all pregnant beneficiaries.  Prohibits this from being delayed  
            pending adoption of administrative regulations.

           EXISTING LAW  :

          1)Requires DHS, during fiscal years in which the Legislature has  
            appropriated funds for this purpose, to provide breast cancer  
            and cervical cancer screening services under a federal grant  
            made by the federal Centers for Disease Control and Prevention  
            (CDC) Breast and Cervical Cancer Early Detection Program  
            (BCEDP) to eligible low-income individuals.  An individual is  
            eligible for these services if their family income does not  
            exceed 200% of FPL.

          2)Provides for the Family PACT Waiver Program, under which,  
            comprehensive clinical family planning services are provided  
            to any person who has a family income at or below 200% of FPL  
            and who is eligible to receive those services pursuant to the  
            terms of the waiver. 

          3)Requires Family PACT services to include a complete  
            obstetrical history, gynecological history, contraceptive  
            history, personal medical history, health risk factors, family  
            health history, including genetic or hereditary conditions,  
            and a complete physical examination on initial and subsequent  
            periodic visits. 








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          4)Provides for the AIM program, administered by MRMIB, under  
            which comprehensive health care services are provided to  
            pregnant women and their infants who have family income  
            between 200% and 300% of FPL.

           FISCAL EFFECT  :   Unknown.

           COMMENTS  :   

           1)PURPOSE OF THIS BILL  .  According to the author, there are  
            myriad of state public health care programs in California, all  
            of which have different services, eligibility requirements,  
            target populations, and enrollment and recertification  
            procedures.  Beneficiaries of public health care programs  
            often must navigate a disjointed system of care to obtain the  
            services they need.  The existing patchwork of California's  
            public programs is convoluted and complex, and often leads to  
            the underutilization of preventive care services and the  
            over-utilization of emergency rooms.  An integrated system of  
            care, which provides recipients with continuity in services  
            and providers, is needed.  States have the option under  
            federal law to create more integrated systems.  Under SB 24  
            (Figueroa) Chapter 895, Statutes of 2003, California will  
            begin exercising some of these options, laying the foundation  
            for real-time provider-based enrollment that could be used not  
            just for pregnant women, but across programs.  This bill would  
            create a health access card for limited-scope Medi-Cal  
            benefits and a provider-based enrollment system that allows  
            automatic enrollment into Medi-Cal.

           2)WOMEN'S HEALTH  .  There are approximately 10.2 million women  
            between the ages of 18 and 64 in California.  Thirty-six  
            percent (3.7 million) have family incomes below 200% FPL and  
            are therefore considered low-income.  Approximately half of  
            all nonelderly women are non-Latino white, 26% are Latinas,  
            11% are Asian Americans, 6% are African-American, and American  
            Indian/Alaska Native and Pacific Islanders each comprise less  
            than 1% of the population.  A December 2003 study by the UCLA  
            Center for Health Policy Studies examined the health insurance  
            coverage, health status, and access to care of women ages 18  
            to 64 in California.  The researchers found that women's  
            health status varies by age, poverty level, and  
            race/ethnicity, which provide a backdrop for discussions  
            focused on health insurance coverage, access to care issues,  








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            and health disparities among women.  Low-income women are  
            three times more likely than those with higher incomes to  
            report fair or poor health.  Thirty percent of low-income  
            women reported being in fair or poor health and very few of  
            these women report their health as excellent (12%).  In  
            contrast, among women with family incomes at 200% or over the  
            poverty level, only 10% report fair or poor health.  Women of  
            color were also more likely than white women to report their  
            health status as fair or poor.

          Approximately 1.7 million (17%) of nonelderly women were  
            uninsured at the time of the survey.  Approximately 69% of the  
            uninsured nonelderly women had family incomes below 200% FPL  
            and over one-third of uninsured women lacked a place where  
            they receive regular care.  The data suggested that while  
            Medi-Cal remains a critical source of insurance for many  
            low-income women, those with Medi-Cal coverage were more  
            likely than privately insured women to experience gaps in  
            coverage, potentially limiting their relationship with the  
            health care system.  Uninsured and low-income women were also  
            less likely to obtain screening tests for detecting emerging  
            health conditions.  The researchers concluded that continued  
            public and private efforts are necessary to increase health  
            insurance coverage and continuity of that coverage among  
            nonelderly women and that the majority of California's  
            uninsured women have low incomes, requiring solutions that  
            account for their limited resources.

           3)AIM  .  The AIM program is administered by MRMIB and provides  
            low-cost, comprehensive health insurance coverage to uninsured  
            pregnant women with family incomes between 200% and 300% of  
            the FPL.  This coverage extends from pregnancy to 60 days post  
            partum and covers infants up to two years of age.  Enrollees  
            pay 1.5% of their adjusted annual household income after  
            income deductions and there are no co-payments or premiums.   
            The program was changed in 2004-05 to allow for the direct  
            enrollment of infants born to AIM mothers into the Healthy  
            Families program.

           4)FAMILY PACT  .  Family PACT was created in 1996 to provide  
            clinical family planning services under the DHS Office of  
            Family Planning.  This federal waiver demonstration program is  
            accessed through local private physicians, hospitals, public  
            health and community clinics.  Family PACT provides  
            comprehensive family planning services to low-income women and  








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            men to promote optimal reproductive health and to reduce  
            unplanned pregnancy.  Primary services are birth control,  
            reproductive health assessment, sexually transmitted disease  
            prevention and treatment, and female and male sterilization.   
            According to DHS, as of FY 2001-02, over 1.44 million  
            beneficiaries have been served and there are over 2,000 Family  
            PACT enrolled clinical providers.  Beneficiaries are  
            individuals at risk of pregnancy or causing pregnancy, do not  
            have Medi-Cal coverage or access to health insurance.   
            Medi-Cal clients with an unmet share of cost may also be  
            eligible.  Eligibility determination and enrollment are  
            conducted at the provider's office with point of service  
            activation of a client membership card.  

           5)BREAST AND CERVICAL CANCER TREATMENT PROGRAM  .  BCCTP was  
            implemented in 2002 and provides low-income California  
            residents who have breast and/or cervical cancer no-cost  
            cancer treatment services.  The program grants same-day,  
            full-scope Medi-Cal benefits from a doctor's office through an  
            internet-based application and eligibility determination  
            process.  Only physicians enrolled in Every Woman Counts,  
            Family PACT, the Breast Cancer Early Detection Program, and  
            the Breast and Cervical Cancer Control Program may enroll a  
            patient in BCCTP after they have screened a patient under one  
            of those programs and diagnosed or confirmed a diagnosis of  
            breast and/or cervical cancer.

           6)CALIFORNIA PERFORMANCE REVIEW .  The California Performance  
            Review (CPR) was created by Governor Schwarzenegger in 2004 to  
            examine state government and make recommendations to establish  
            efficiencies and find General Fund savings.  The review  
            released over 1200 recommendations.  Included in the report  
            was a recommendation (HHS 02-12) to streamline state  
            administrative processes for funding local public health  
            programs, reducing processing times for execution of  
            agreements, and consolidating multiple public health funding  
            sources where appropriate.  The report stated that the  
            burdensome contracting procedures of the state interfere with  
            the delivery of public health services and that city and  
            county health departments report that the administrative  
            burden of managing contracts with the state significantly  
            reduces the time staff can devote to program activities.   
            Although this bill differs from the exact proposal contained  
            in the CPR report, they are comparable in that it proposes to  
            consolidate enrollment and administrative functions of  








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            programs that serve similar, if not the same, populations.

           7)INTEGRATED SYSTEM OF ENROLLMENT  .  According to the sponsors of  
            this bill, American Association of University Women,  
            California Family Health Council, Maternal Child Health  
            Access, and Planned Parenthood Affiliates of California, an  
            integrated system of care would ensure recipients and  
            providers continuity of services.  All of the programs  
            identified in this bill have different enrollment procedures  
            and beneficiaries must navigate a disjointed system of care to  
            obtain the services.  These barriers also discourage  
            participation by providers which further discourages access.   
            Streamlining the enrollment procedures for programs with  
            similar functions and similar eligibility requirements,  
            especially when the beneficiary is the same person presenting  
            for care, would reduce administrative costs, increase access  
            to care, and improve oversight capabilities.

           8)RELATED LEGISLATION  .  AB 392 (Chan) permits any county, with  
            the assistance and participation of the appropriate state  
            departments, to implement a program for the funding and  
            delivery of services and benefits through an integrated and  
            comprehensive county health and human services system, as  
            specified.  AB 624 (Montanez) requires DHS to include a  
            process, to be used at the option of the person applying on  
            the child's behalf for the CHDP program through the CHDP  
            Gateway, to simultaneously pre-enroll and apply for enrollment  
            into the Healthy Families or Medi-Cal programs.  Both bills  
            are pending in the Assembly
           
          9)PREVIOUS LEGISLATION  .  SB 24 (Figueroa) Chapter 895, Statutes  
            of 2003 creates the Prenatal Gateway and the Newborn Hospital  
            Gateway to simplify enrollment of prenatal women and certain  
            newborn infants into the Medi-Cal program.  Last year, SB 1525  
            (Speier) would have required the Family PACT program to  
            administer the breast and cervical cancer early detection  
            program.  SB 1525 was vetoed by the Governor, who stated that  
            "this Administration is undertaking a comprehensive review of  
            all state government functions through the (CPR).  One of the  
            recommendations from CPR is to place all direct health care  
            services under the Health Purchasing Division while all  
            prevention services would be placed under the Public Health  
            Division.  This bill would be inconsistent with that  
            recommendation.  I have directed the Secretary of the Health  
            and Human Services Agency to review CPRs organizational  








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            recommendations closely.  Pending completion of that review  
            and input from my CPR Commission, I am not prepared to  
            consolidate the two different program functions proposed by SB  
            1525 at this time."

           10)   TECHNICAL AMENDMENTS  .  To clarify the author's intent,  
            this bill should be amended as follows:

             a)   On page 8, line 5: delete "provider cancer screening  
               requirements" and on line 6, after "104162" insert  
               "concerning screening by a provider meeting the criteria  
               set forth therein"

             b)   On page 8, line 40: after "would" delete "have the  
               option of being" and insert "be" and on page 9, line 3  
               delete "be" and insert "have the option of being"

           11)   SUPPORT  .  The California Family Health Council, Maternal  
            Child Health Access, Planned Parenthood Affiliates of  
            California, American College of Obstetricians and  
            Gynecologists, the California Medical Association, and the  
            California Women Lawyers write that currently eligible  
            individuals must apply for each program contained in this bill  
            separately, which results in delays in care.  The California  
            Commission on the Status of Women states that by creating the  
            Health Access Card, this bill simplifies the enrollment  
            process for both men and women, promoting continuous  
            integrated care and reducing administrative costs while not  
            changing any of the current program benefits, services or  
            eligibility requirements.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          American Association of University Women (cosponsor)
          California Family Health Council (cosponsor)
          Maternal Child Health Access (cosponsor)
          Planned Parenthood Affiliates of California (cosponsor)
          American College of Obstetricians and Gynecologists
          California Commission on the Status of Women
          California Medical Association
          California Women Lawyers










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           Opposition 
           
          None on file.
           
          Analysis Prepared by :    Melanie Moreno / HEALTH / (916)  
          319-2097