BILL ANALYSIS
AB 217
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Date of Hearing: May 13, 2009
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Kevin De Leon, Chair
AB 217 (Beall) - As Amended: April 28, 2009
Policy Committee: HealthVote:19-0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill establishes the Medi-Cal Alcohol and Drug Screening
and Brief Intervention (SBI) Services Matching Fund (Fund) to
draw down federal funds to match voluntary county spending on
SBI services. The SBI Fund will allow local drug treatment
programs to certify public expenditures (CPE) to leverage
federal Med-Cal funding.
FISCAL EFFECT
1)One-time GF cost pressures of $150,000 (50% GF) to the
Department of Health Care Services (DHCS) to develop and
manage a federal waiver to qualify local SBI expenditures for
matched funding. Annual costs to manage the waiver and related
approval of CPE of $50,000 (50% GF). On-going costs could be
less depending on how many counties take advantage of the
federal funding opportunity created by this bill.
Although this bill expresses legislative intent to not use any
GF to support the activities in the bill, it unclear that
initial workload to garner federal support and document local
expenditures can be accomplished without an initial GF
investment.
2)Unknown additional federal funding to the extent SBI
activities are funded by Medi-Cal with a federal share of
cost.
3)Unknown treatment costs and future savings to the extent SBI
reduces or prevents substance abuse.
COMMENTS
AB 217
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1)Rationale . This bill addresses a funding opportunity created
by the federal government in January 2007. SBI features five
screening questions intended to identify risky alcohol and
substance abuse behavior prior to health, financial, social,
employment, or family problems occur by identifying treatment
needs early.
New billing codes approved by the federal government allow
reimbursement for SBI services. The federal funding
opportunity is designed to increase the identification of
individuals in need of treatment. In California, 20 counties
have chosen to begin their own county-funded prenatal SBI
programs. The author indicates these counties have seen a
decline both in rates of substance abuse during pregnancy and
in a reduction in low birth weight newborns. This bill builds
on these current efforts by creating a funding opportunity
statewide.
2)Substance Abuse Services and Funding . The governor's budget
proposes $663 million ($287 million GF) for support of
Department of Alcohol and Drug Programs (DADP) in 2008-09.
Counties receive an annual allocation of federal and state
funds from DADP, a portion of which must be matched using
county funds. These funds come from a variety of sources,
including the federal Substance Abuse Prevention and Treatment
(SAPT) Block Grant, Medi-Cal program reimbursements, and the
state General Fund.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. 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.
3)Related Legislation . AB 2124(Beall) in 2008 was similar to
this bill and was held on the Suspense File of the Senate
Appropriations Committee.
Analysis Prepared by : Mary Ader / APPR. / (916) 319-2081