BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 631
                                                                  Page  1

          Date of Hearing:   April 20, 2005

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                   Judy Chu, Chair

                     AB 631 (Leno) - As Amended:  March 30, 2005 

          Policy Committee:                              Health Vote:12-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill creates a licensing category for mobile narcotic  
          treatment programs (MNTPs).  Specifically, this bill:
           
          1)Requires the California Department of Alcohol and Drug  
            Programs (DADP) to establish a program for the operation and  
            regulation of MNTPs. 

          2)Requires MNTPs to hold a license or be affiliated with a  
            clinic that holds a license. 

          3)Establishes conditions MNTPs must meet to be approved by DADP.

          4)Requires MNTPs to be located at DADP pre-approved sites. 

           FISCAL EFFECT  

          1)Unknown GF cost pressures in the Drug Medi-Cal program to the  
            extent this bill increases the number of counties that start  
            MNTPs and the number of clients served by newly licensed  
            programs. For example, an increase in 35 patients, served at a  
            rate of $13 per day would result in more than $160,000 in Drug  
            Medi-Cal costs, which are shared evenly by the federal and  
            state government. 

          2)Unknown and potentially significant off-setting savings to the  
            extent that this bill reduces societal costs in terms of  
            incarceration, health care, and public benefits. At $13 per  
            day, methadone treatment is a cost-effective alternative to  
            incarceration or hospitalization. Some studies indicate that  
            savings accrue at a rate of $7 in the future to every $1 spent  
            on addiction treatment in the present. 








                                                                  AB 631
                                                                  Page  2


           COMMENTS  

           1)Rationale  . This bill, sponsored by the City and County of San  
            Francisco, will create a licensure category for MNTPs and  
            thereby increase the number of people served in this manner.  
            Currently, San Francisco has a DADP pilot program authorized  
            to bring substance abuse services to underserved parts of the  
            city. MNTPs expands client access to treatment services by  
            increasing the number of access points and by providing  
            another treatment setting option.

           2)Substance Abuse Services  The DADP directs and coordinates the  
            state's efforts to prevent or minimize the effects of  
            alcohol-related problems, narcotic addiction, and drug abuse.  
            Services include prevention, early intervention,  
            detoxification, and recovery. In 2004-05 DADP treated  
            approximately 396,000 clients. The DADP administers the Drug  
            Medi-Cal Program, which provides substance abuse treatment  
            services for beneficiaries of the Medi-Cal Program. It also  
            allocates other funds to local providers under Proposition 36.  
            Statewide, more than 40,000 clients are served in 29 counties  
            through DADP's licensed Narcotic Treatment Programs.  

           3)Related Legislation  AB 1349 (Goldberg), currently awaiting  
            hearing in the Assembly Health Committee, authorizes creation  
            of a sliding scale for narcotic treatment programs. AB 926  
            (Chu) set to be heard in this committee next week, creates a  
            licensing category for adult recovery facilities. 


           Analysis Prepared by  :    Mary Ader / APPR. / (916) 319-2081