BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 301
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          ASSEMBLY THIRD READING
          AB 301 (Pan)
          As Introduced February 9, 2011
          Majority vote 

           HEALTH              19-0        APPROPRIATIONS      15-0        
           
           ----------------------------------------------------------------- 
          |Ayes:|Monning, Logue, Ammiano,  |Ayes:|Fuentes, Harkey,          |
          |     |Atkins, Bonilla, Eng,     |     |Blumenfield, Bradford,    |
          |     |Garrick, Gordon, Hayashi, |     |Charles Calderon, Campos, |
          |     |Roger Hern�ndez,          |     |Davis, Donnelly, Gatto,   |
          |     |Bonnie Lowenthal,         |     |Hall, Hill, Lara,         |
          |     |Mansoor, Mitchell,        |     |Mitchell, Nielsen,        |
          |     |Nestande, Pan,            |     |Solorio, Wagner           |
          |     |V. Manuel P�rez, Silva,   |     |                          |
          |     |Smyth, Williams           |     |                          |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Extends the sunset date, from January 1, 2012 to 
          January 1, 2018, on the prohibition on incorporating California 
          Children's Services (CCS) covered services in a Medi-Cal managed 
          care (MCMC) contract.  The existing prohibition and the 
          extension exempts the county organized health systems (COHS) 
          plans in the counties of San Mateo, Santa Barbara, Solano, Yolo, 
          Marin, and Napa.

           FISCAL EFFECT  : According to the Assembly Appropriations 
          Committee:

          1)The Department of Health Care Services (DHCS) indicates no 
            state fiscal effect, as this continues current practice.  

          2)It is possible that removing the prohibition and authorizing 
            CCS services to be integrated into managed care contracts or 
            provided through alternate systems of care would provide cost 
            savings to the state as compared with current practice.  
            However, at this time there is no evidence as to the fiscal or 
            programmatic effects of removing the prohibition.

           COMMENTS  :  Since the implementation of mandatory enrollment in 
          MCMC plans, CCS-eligible services have been provided and paid 
          for on a fee-for-service basis through the CCS Program or 
          "carved-out."  The "carve-out" has been extended repeatedly 








                                                                  AB 301
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          since then, usually for three or four year periods.  The first 
          extension allowed the COHS in the counties of San Mateo, Santa 
          Barbara, Solano, and Napa to include CCS services ("carve-in").  
          SB 208 (Steinberg), Chapter 714, Statutes of 2010, the 
          legislation that implemented the new 2010 Medi-Cal Section 1115 
          Waiver, requires the Department of Health Care Services (DHCS) 
          to establish a pilot project and seek proposals to test four 
          models exploring potential options to redesign the CCS Program.  
          DHCS is in the process of soliciting proposals.  SB 208 of 2010 
          also requires DHCS to conduct a simultaneous evaluation, to 
          assess the effectiveness of each model in improving the delivery 
          of health care services for these children and specifies the 
          measures for the evaluation.


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


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