BILL ANALYSIS
Senate Appropriations Committee Fiscal Summary
Senator Christine Kehoe, Chair
2287 (Monning)
Hearing Date: 8/2/2010 Amended: 7/15/2010
Consultant: Katie Johnson Policy Vote: Health 7-1
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BILL SUMMARY: AB 2287 would require the California Health and
Human Services Agency to direct the appropriate departments
within the agency to apply for federal grants made available by
the federal Affordable Care Act to allow the state to develop a
stronger evidence base of effective prevention programming and
to engage in preventive care and health education activities
with specified goals.
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Fiscal Impact (in thousands)
Major Provisions 2010-11 2011-12 2012-13 Fund
CHHS staff to coordinate $50 $50 $50 General
grant application activities
State department activities likely in the hundreds
ofFederal/
related to grant procurement thousands or millions of
dollars General/
and grant fund expenditures Other
Cost pressure to continue state likely in the hundreds
ofGeneral
run grant activities after grant thousands or
millions of dollars
funding expiration
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STAFF COMMENTS: This bill meets the criteria for referral to the
Suspense File.
This bill would state that it is the intent of the Legislature
to ensure that state agencies maximize opportunities to obtain
additional federal funds through the Patient Protection and
Affordable Care Act (ACA), particularly when it can offset
General Funds, given California's significant fiscal challenges,
in order to improve state health care programs and invest in
health prevention and education, with the goal of building,
promoting, and sustaining healthy communities through reducing
chronic disease rates, eliminating conditions that lead to
health disparities, and increasing cultural and linguistic
appropriateness of health services.
This bill would require the California Health and Human Services
Agency (CHHS) to direct the appropriate departments within the
agency to apply for federal grants under the Prevention and
Public Health Fund, created by Section 4002 of ACA, and the
Community Transformation Grants, created by Section 4201 of ACA,
to allow California to develop a stronger evidence base of
effective prevention programming and engage in preventive care
and health education activities, as specified.
The Prevention and Public Health Fund would be administered by
the federal Secretary for Health and Human Services (HHS) and
would be given out as grants to increase
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AB 2287 (Monning)
funding, over the 2008 level, for programs authorized by the
Public Health Services Act for prevention and wellness programs
such as the Community Transformation grant program, the
Education and Outreach Campaign Regarding Preventive Benefits,
and immunization programs. In FFY 2010, $500 million would be
available. This amount would grow over the subsequent years
through FFY 2015 in which $1.5 billion would be available. If
California were to apply for and obtain 10 percent of available
funds, the state would have the opportunity to spend $50 million
- $150 million through FY 2014-2015 and the first quarter of FY
2015-2016. States, local entities, and community and non-profit
organizations would be eligible to apply for these funds.
While the amount of grant funding that California would secure
and spend would depend on the scope of the proposals that state
departments would develop and submit in their applications,
there could be cost pressure in the millions of dollars on the
General Fund and on other state funds in the event that the
grants for which the state would apply would require non-federal
matching funds as well as considerable General Fund cost
pressure likely in the millions of dollars to continue to fund
the programs created by the federal grants upon their
expiration.