BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 2780|
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                                 THIRD READING


          Bill No:  AB 2780
          Author:   Solorio (D)
          Amended:  8/17/10 in Senate
          Vote:     27 - Urgency

           
           PRIOR SENATE VOTES NOT RELEVANT
           
           ASSEMBLY FLOOR  :  Not relevant 


           SUBJECT :    Workers compensation

           SOURCE  :     Author


           DIGEST  :    This bill authorizes the Department of  
          Industrial Relations to share workers compensation claims  
          data with the Department of Health Care Services (DHCS) and  
          thereby enhances the ability of DHCS to recover Medi-Cal  
          costs for services that should have been paid by a workers'  
          compensation insurer.

           ANALYSIS  :    Existing law establishes a workers'  
          compensation system, administered by the Administrative  
          Director of the Division of Workers' Compensation, to  
          compensate an employee for injuries sustained in the course  
          of his/her employment.

          Existing law provides that a person or public or private  
          entity who is not a party to a claim for workers'  
          compensation benefits may not obtain individually  
          identifiable information, as defined, that is obtained or  
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          maintained by the Division of Workers' Compensation of the  
          Department of Industrial Relations (DIR) on that claim,  
          except as specified.

          This bill authorizes DIR to share workers' compensation  
          claims data with DHCS and thereby enhances the ability of  
          DHCS to recover Medi-Cal costs for services that should  
          have been paid by a workers' compensation insurer.

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

           SUPPORT  :   (Verified  8/18/10)

          Health Management Systems

           ARGUMENTS IN SUPPORT  :    DHCS has been able to recover  
          monies for the State of California via a program which  
          identifies, and undertakes to recover, the cost of Medi-Cal  
          claims that should have been paid by private insurers or  
          other government programs.  Currently, DHCS contracts with  
          a private company, Health Management Systems, to assist in  
          the administration of this recovery program.

          The author states recoveries would be more efficient if  
          DHCS can review workers' compensation claims directly for  
          the sole purpose of determining if Medi-Cal claims should  
          have been paid by a workers' compensation insurer.


          PQ:mw  8/18/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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