BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   AJR 42|
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                                 THIRD READING


          Bill No:  AJR 42
          Author:   Solorio (D), et al
          Amended:  6/24/10 in Assembly
          Vote:     21

           
           WITHOUT REFERENCE TO COMMITTEE OR FILE

          ASSEMBLY FLOOR  :  71-0, 6/24/10 - See last page for vote


           SUBJECT  :    Medicare Secondary Payer Enhancement Act of  
          2010

           SOURCE  :     Medicare Advocacy Recovery Coalition


           DIGEST  :    This resolution requests that the Congress and  
          the President of the United States enact the Medicare  
          Secondary Payer Enhancement Act of 2010.

           ANALYSIS  :    

          This resolution makes the following Legislative findings:

          1. The federal Medicare secondary payer law (42 U.S.C.  
             Section 1395y(b)) is an important law designed to  
             protect the Medicare Trust Fund and ensure that Medicare  
             pays only for medical expenses for which it is  
             responsible.

          2. California residents who are eligible for the Medicare  
             Program periodically seek compensation for personal  
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             injuries that are the liability of other parties and  
             seek benefits through California's workers' compensation  
             system.

          3. California is periodically found liable for industrial  
             injuries to individuals who are eligible for the  
             Medicare Program and, as an employer, California pays  
             benefits to those injured individuals under the workers'  
             compensation system.

          4. The way the Medicare secondary payer law is currently  
             being administered with respect to claims involving  
             individuals who are eligible for the Medicare Program  
             has caused considerable delay and unfairness in the  
             settlement of those claims.

          5. The delays in the settlement of claims and the  
             uncertainty of the scope of the responsibility of the  
             Medicare Program as the secondary payer has increased  
             settlement costs.

          6. The delay and uncertainty caused by the Medicare  
             secondary payer law has increased costs to the state and  
             to local jurisdictions.

          7. The federal Medicare Secondary Payer Enhancement Act of  
             2010 (H.R. 4796) has been introduced by Congress, has  
             bipartisan support, and is supported by a broad spectrum  
             of organizations with an interest in ensuring that the  
             Medicare secondary payer law is administered fairly and  
             efficiently to the benefit of the Medicare Trust Fund  
             and individuals and payers who have an interest in the  
             prompt settlement of claims for damages or benefits.

          This resolution requests that the Congress and the  
          President of the United States enact the Medicare Secondary  
          Payer Enhancement Act of 2010.

           FISCAL EFFECT  :    Fiscal Com.:  No

           SUPPORT  :   (Verified  6/30/10)

          Medicare Advocacy Recovery Coalition (source)
          California Applicants' Attorneys Association

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          California Association of Joint Powers Authorities
          California Professional Association of Specialty  
          Contractors
          Pacific Compensation Insurance Company
          Small Business California 
          Workers' Compensation Action Network 



           ARGUMENTS IN SUPPORT  :    According to the Pacific  
          Compensation Insurance Company this Resolution will  
          encourage Congress to pass Medicare Secondary Payer  
          Enhancement Act of 2010, which will help Medicare  
          beneficiaries by providing them important information about  
          potential Medicare Secondary Payer claims, and allowing  
          them to more quickly settle claims they may have against  
          third parties. Additionally, this legislation will help all  
          parties navigate through this complex issue, ensuring that  
          the Medicare Trust Fund is timely and appropriately  
          reimbursed and all interested parties are protected from  
          the uncertainty currently surrounding the process. 


           ASSEMBLY FLOOR  : 
          AYES:  Adams, Ammiano, Anderson, Beall, Bill Berryhill,  
            Blakeslee, Block, Blumenfield, Bradford, Brownley,  
            Buchanan, Caballero, Charles Calderon, Carter, Chesbro,  
            Cook, Coto, Davis, De La Torre, De Leon, DeVore, Eng,  
            Evans, Feuer, Fletcher, Fong, Fuentes, Furutani, Gaines,  
            Galgiani, Garrick, Gatto, Gilmore, Hagman, Hall, Harkey,  
            Hayashi, Hernandez, Hill, Huber, Huffman, Jeffries,  
            Jones, Lieu, Logue, Bonnie Lowenthal, Ma, Mendoza,  
            Miller, Monning, Nava, Nestande, Niello, Nielsen, V.  
            Manuel Perez, Portantino, Ruskin, Salas, Saldana,  
            Skinner, Smyth, Solorio, Audra Strickland, Swanson,  
            Torlakson, Torres, Torrico, Tran, Villines, Yamada, John  
            A. Perez
          NO VOTE RECORDED:  Arambula, Bass, Tom Berryhill, Conway,  
            Fuller, Knight, Norby, Silva, Vacancy


          CTW:do  6/30/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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