BILL ANALYSIS                                                                                                                                                                                                    



                                                                           
           AB 839
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 839 (Emmerson)
          As Amended August 18, 2009
          Majority vote
           
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          |ASSEMBLY:  |77-0 |(May 21, 2009)  |SENATE: |32-0 |(September 1,  |
          |           |     |                |        |     |2009)          |
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           Original Committee Reference:   HEALTH  

           SUMMARY  :  Makes changes related to provider appeals in Medi-Cal.  
           Specifically,  this bill  requires:

          1)That the judicial remedy for Medi-Cal providers seeking to  
            appeal the denial of a grievance or complaint related to  
            Medi-Cal reimbursement is to file a petition for a writ of  
            mandate in superior court.

          2)The prohibition on enrollment as a Medi-Cal provider to begin  
            on the date of the providers' denial or termination of  
            enrollment, rather than the date when the provider appeals.  

           The Senate amendments  incorporate changes made to the same  
          statutes by AB 1540 (Health Committee) to prevent chaptering out  
          should both bills be enacted.

           EXISTING LAW  :

          1)Establishes the Medi-Cal program, administered by the  
            Department of Health Care Services (DHCS), under which basic  
            health care services are provided to qualified low-income  
            persons.

          2)Requires the Director of DHCS, by regulation, to adopt such  
            procedures as are necessary for the review of a grievance or  
            complaint concerning the processing or payment of money  
            alleged by a provider of services to be payable under the  
            Medi-Cal program.

          3)Permits a provider who complies with these procedures and is  
            not satisfied with the director's decision regarding that  
            claim to seek appropriate judicial remedies within a specified  








                                                                           
           AB 839
                                                                  Page  2

            time period.

          4)Requires the provisions in 2) and 3) above to be the exclusive  
            remedy available to the health care provider for moneys  
            alleged to be payable by the Medi-Cal program.

          5)Requires that health care providers apply to, and be certified  
            by, DHCS prior to their participation in the Medi-Cal program.  
             

          6)Prohibits an applicant or provider from reapplying for  
            enrollment or continued enrollment in the Medi-Cal program, or  
            for participation in any health care program administered by  
            DHCS, for a period of three years from the date the  
            application package is denied or the provisional provider  
            status is terminated, or from the date of the final decision  
            following an appeal from that denial or termination, except as  
            specified.

          7)Prohibits an applicant or provider from reapplying for  
            enrollment or continued enrollment in the Medi-Cal program, or  
            for participation in any health care program administered by  
            DHCS, for a period of ten years from the date the application  
            package is denied, or the provisional provider status or  
            preferred provisional provider status is terminated, or from  
            the date of the final decision following an appeal from that  
            denial or termination if the application is denied based on a  
            criminal conviction for specified offenses 
           
           AS PASSED BY THE ASSEMBLY, this bill was substantially similar  
          to the version passed by the Senate. 

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, pursuant to Senate Rule 28.8, negligible state costs.

           
          Analysis Prepared by  :    Marjorie Swartz / HEALTH / (916)  
          319-2097 


          FN:  
          0002503