BILL ANALYSIS
AB 1462
Page 1
GOVERNOR'S VETO
AB 1462 (Feuer)
As Amended July 14, 2009
2/3 vote
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|ASSEMBLY: |77-0 |(May 21, 2009) |SENATE: |36-1 |(September 3, |
| | | | | |2009) |
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|ASSEMBLY: |77-0 |(September 9, | | | |
| | |2009) | | | |
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Original Committee Reference: HEALTH
SUMMARY : Requires the California Medical Assistance Commission
(CMAC) to consider graduate medical education (GME) programs in
negotiating Medi-Cal inpatient contracts with hospitals or in drawing
specifications for competitive bidding. Incorporates changes
proposed by AB 366 (Ruskin) of 2009 to prevent chaptering out.
The Senate amendments address chaptering conflicts that are created
by another bill that amends the same statute.
EXISTING LAW :
1)Requires the Governor to designate a person in his or her office to
act as a special negotiator (in practice, CMAC) to negotiate rates,
terms, and conditions for contracts with hospitals for inpatient
services to be rendered to Medi-Cal Program beneficiaries.
2)Permits the special negotiator, if he or she deems it expedient, to
call for bids, in lieu of negotiations, and requires the special
negotiator to consider, when contracting, the total funds
appropriated for inpatient hospital services.
3)Requires the negotiator to take into account specified factors in
negotiating contracts or in drawing specifications for competitive
bidding.
AB 1462
Page 2
AS PASSED BY THE ASSEMBLY , this bill was substantially similar to the
version approved by the Senate.
FISCAL EFFECT : According to the Senate Appropriations Committee,
pursuant to Senate Rule 28.8, negligible state costs.
GOVERNOR'S VETO MESSAGE :
"While I understand the author's interest in securing additional
resources for California hospitals, this bill is unnecessary. The
California Medical Assistance Commission already takes a multitude of
factors into consideration when negotiating hospital inpatient
service contracts. In fact, it would be impossible to list all these
various factors in statute. The broad approach already outlined in
law allows the Commission administrative flexibility during
negotiations in order to best serve the hospitals and the state's
Medi-Cal program."
Analysis Prepared by : Marjorie Swartz / HEALTH / (916) 319-2097
FN: 0003398