BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  AB 235
          Author:   Hayashi (D)
          Amended:  6/11/09 in Senate
          Vote:     21

           
           SENATE HEALTH COMMITTEE  :  8-2, 6/17/09
          AYES:  Alquist, Strickland, Cedillo, DeSaulnier, Leno,  
            Maldonado, Pavley, Wolk
          NOES:  Aanestad, Cox
          NO VOTE RECORDED:  Negrete McLeod

           SENATE APPROPRIATIONS COMMITTEE  :  10-1, 6/29/09
          AYES:  Kehoe, Corbett, Leno, Oropeza, Price, Runner,  
            Walters, Wolk, Wyland, Yee
          NOES:  Cox
          NO VOTE RECORDED:  Denham, Hancock

           ASSEMBLY FLOOR  :  78-0, 5/11/09 - See last page for vote


           SUBJECT  :    Emergency services and care

           SOURCE  :     California Hospital Association


           DIGEST  :    This bill extends the definition of emergency  
          services and care to include additional screening,  
          examination, and evaluation by appropriate medical  
          professionals to determine if a psychiatric emergency  
          medical condition exists, and clarifies hospital and health  
          plan responsibilities regarding psychiatric emergencies.

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           ANALYSIS  :    Existing federal law, under the Emergency  
          Medical Treatment and Active Labor Act (EMALA), requires  
          hospital emergency departments to provide emergency  
          screening and stabilization services without regard to the  
          patient's insurance status or ability to pay.

           Existing State Law

           1.Provides, under the Knox-Keene Act, for the licensure and  
            regulation of health care service plans and specialized  
            health care service plans, including specialized plans  
            covering mental health services, by the Department of  
            Managed Health Care (DMHC).

          2.Requires licensed hospitals which maintain and operate an  
            emergency department to provide emergency are and  
            services to any person requesting the emergency services  
            or care, or for whom emergency services or care is  
            requested, for any life-threatening or serious injury or  
            illness.

          3.Prohibits a hospital from conditioning the provision of  
            emergency services on the person's ethnicity,  
            citizenship, age, pre-existing medical condition,  
            insurance status, economic status, ability to pay, or  
            other specified characteristics.

          4.Establishes the obligation of health plans and insurers  
            to pay for emergency care and services, including  
            psychiatric emergencies.

          5,Defines emergency care and services to mean medical  
            screening, examination and evaluation by a physician, or,  
            to the extent permitted by applicable law, by other  
            appropriate personnel under the supervision of a  
            physician, to determine if an emergency medical condition  
            exists.  The definition also provides for treatment and  
            surgery by a physician, necessary to relieve or eliminate  
            an emergency medical condition, within the capability of  
            the facility.  It also specifies those capabilities which  
            the hospital is required to have as a condition of its  
            emergency medical services permit.

          6.Defines emergency care and services to include screening,  







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            examination, and evaluation by a physician or other  
            personnel to the extent permitted by applicable law, and  
            within the scope of their licensure and clinical  
            privileges, to determine if a psychiatric emergency  
            medical condition exists.

          7.Defines emergency care and services to include care and  
            treatment necessary to relieve or eliminate that  
            psychiatric emergency medical condition, within the  
            capacity of the facility.

          8.Defines a patient as stabilized, when, in the opinion of  
            the treating provider, the patient's medical condition is  
            such that, within reasonable medical probability, no  
            material deterioration of the patient's condition is  
            likely to result from, or occur during, a transfer of the  
            patient, as specified.  
           
          This bill:

          1.Defines a psychiatric emergency medical condition as a  
            mental disorder that manifests itself by acute symptoms  
            of sufficient severity that it renders the patient as  
            being either an immediate danger to himself or herself or  
            to others, or immediately unable to provide for, or  
            utilize, food, shelter, or clothing, due to the mental  
            disorder.

          2.Clarifies that the treatment necessary to relieve or  
            eliminate a psychiatric emergency medical condition may  
            require admission or transfer to a psychiatric unit  
            within a general acute care hospital or an acute care  
            psychiatric hospital.

          3.Specifies that a patient with a psychiatric emergency  
            medical condition may be transferred for treatment  
            provided that the treating provider determines that there  
            will not be any risk to the patient's condition as a  
            result of the transfer.

          4.Creates a process for the hospital to notify the health  
            plan of the need to transfer a patient with a psychiatric  
            medical condition and when a transfer has occurred.








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          5.Allows a health plan to further transfer the patient to a  
            contracting facility, if not initially, transferred to  
            such a facility, provided that the treating provider  
            determines that there will not be any risk to the  
            patient's condition as a result of the transfer.  

          Background

           The federal EMTALA governs when and how a patient may be  
          refused treatment or be transferred from one hospital to  
          another when he or she is in an unstable medical condition.  
           EMTALA applies to hospitals participating in the federal  
          Medicare program.  In practical terms, this means that it  
          applies to all hospitals in the United States, with the  
          exception of the Shriners' Hospital for Crippled Children  
          and many military hospitals.  Under EMTALA, any patient who  
          comes to the emergency department requesting examination or  
          treatment for a medical condition must be provided with an  
          appropriate medical screening examination to determine if  
          he or she is suffering from an emergency medical condition.  
           If the person has an emergency medical condition, the  
          hospital is obligated to wither provide the person with  
          treatment until stable, or to transfer the person to  
          another hospital in conformance with EMTALA provisions.   
          EMTALA prohibits the practice of patient dumping, treatment  
          denial, and patient discharge based on anticipated high  
          emergency treatment costs.

           Comments

           AB 2861 (Hayashi), of the 2007-08 Session, which was  
          substantially similar to this bill, was vetoed by the  
          Governor.  AB 2861 would have revised, and made more  
          specific, the obligation of hospitals with emergency  
          departments to provide emergency care and services for  
          psychiatric emergency medical conditions and, by reference,  
          the obligations of health plans in such cases.  In his veto  
          message, the Governor stated, "This bill contains numerous  
          drafting errors that render its provisions confusing at  
          best and potentially harmful to patients at worst.  I would  
          encourage the author and stakeholders to fix these errors  
          in future legislation.  At that time, I will consider this  
          legislation again."








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           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

                          Fiscal Impact (in thousands)

           Major Provisions             2009-10             2010-11          
              2011-12           Fund

           DMHC oversight              $60                    $0        
                       $0             Special*

          *Managed Care Fund

           SUPPORT  :   (Verified  6/30/09)

          California Hospital Association (source)
          American Federation of State, County and Municipal  
          Employees, AFL-CIO
          American Association for Marriage and Family Therapy
          Area Agency on Aging of Lake and Mendocino Counties PSA 26
          California Mental Health Directors Association
          California Psychiatric Association
          California Senior Legislature
          Disability Rights California
          Emergency Nurses Association
          NAMI California
          National Association of Social Workers

           ARGUMENTS IN SUPPORT  :    The California Hospital  
          Association, the sponsor of this bill, states that  
          oftentimes, in order to treat a patient with a psychiatric  
          emergency, a hospital may need to admit or transfer the  
          patient for admission to a psychiatric unit within a  
          general acute hospital or an acute psychiatric hospital.   
          The California Hospital Association further states that  
          some HMOs and other health plans have mistakenly denied  
          payment for these services on the basis that the hospital  
          did not have a prior authorization for admission.  The  
          California Hospital Association contends that since these  
          services are for emergency care, prior authorization is not  
          required under current law.

          The California Psychiatric Association states that this  
          bill reaffirms the obligation of health plans and insurers  







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          to cover emergency mental health services and care, which  
          they are obliged to do within the Mental Health Insurance  
          Parity article of the Knox-Keene Act.


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


          CTW:cm  6/30/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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