BILL ANALYSIS
AB 2645
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2645 (Chesbro)
As Amended June 21, 2010
2/3 vote. Urgency
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|ASSEMBLY: |75-0 |(June 2, 2010) |SENATE: |34-0 |(August 18, |
| | | | | |2010) |
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Original Committee Reference: HEALTH
SUMMARY : Requires, from July 1, 2010, to June 30, 2012, the
reimbursement rate for services in institutions for mental
diseases (IMDs) licensed as skilled nursing facilities (SNFs) to
be the same as the rates in effect on July 1, 2009.
The Senate amendments :
1)Impose a two-year reimbursement rate freeze on IMDs licensed
as SNFs.
2)Add an urgency clause.
EXISTING LAW :
1)Imposes a rate freeze on the following long term care
facilities: SNFs, intermediate care facilities, rural
swing-bed facilities, subacute and pediatric subacute care
units that are distinct parts of general acute care hospitals,
and adult day health centers.
2)Requires IMDs licensed as SNFs to be reimbursed for services
at the rate established by the Department of Health Care
Services. Mandates, effective July 1, 2008, an annual 4.7%
increase in the reimbursement rate for IMDs.
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
analysis:
fiscal impact (in thousands)
Major Provisions 2010-11 2011-12 2012-13 Fund
AB 2645
Page 2
IMD-SNFs ($3,000 to $6,000), annually,
for two years Local
While there is no comprehensive statewide cost data available to
precisely forecast this bill's cost savings for counties,
information provided from some impacted counties suggests that
annual savings would range from $3 million to $6 million.
COMMENTS : The Senate amendments impose a two-year, rather than
permanent, rate freeze for SNF-IMDs for the 2010-11 and 2011-12
rate years and require this bill to take effect immediately as
an urgency statute.
Analysis Prepared by : Cassie Rafanan / HEALTH / (916)
319-2097 FN: 0005482