BILL ANALYSIS                                                                                                                                                                                                    Ó






                             SENATE COMMITTEE ON HEALTH
                          Senator Ed Hernandez, O.D., Chair

          BILL NO:       AB 916
          AUTHOR:        V. Manuel Pérez
          AMENDED:       June 21, 2012
          HEARING DATE:  June 27, 2012
          CONSULTANT:    Orr

          SUBJECT  :  Health: underserved communities.
           
          SUMMARY  :  Requires federally qualified health centers (FQHCs), 
          as described, operated by a county to file a specified report 
          with the Office of Statewide Health Planning and Development 
          (OSHPD) reflecting patient demographic data, among other 
          information. Establishes the Task Force on the Health Care Needs 
          of Farmworkers (Task Force) to develop a comprehensive agenda of 
          programs and public policy initiatives designed to address the 
          health care needs of farmworkers in California. 

          Existing law:
          1.Establishes FQHCs, under federal law, to include all 
            organizations receiving grants under Section 330 of the Public 
            Health Service Act, and makes FQHCs eligible to qualify for 
            enhanced reimbursement from Medicare and Medicaid, as well as 
            other benefits. 

          2.Allows individual counties to establish systems to provide for 
            the health of their indigent populations, including licensing 
            their own county-run clinics.  

          3.Establishes the Licensing and Certification (L&C) Division of 
            the California Department of Public Health (CDPH) to license 
            health facilities and non-county clinics, with certain 
            exceptions.  

          4.Requires all clinics licensed by CDPH to file a verified 
            report with OSHPD showing specified information for the 
            previous calendar year. This information includes: 1) number 
            of patients served and descriptive information, including age, 
            gender, race, and ethnic background of patients; 2) number of 
            patient visits by type of service, including child health and 
            disability prevention screenings, medical and dental services, 
            among others; 3) total clinic operating expenses; 4) gross 
            patient charges by payer category; 5) deductions from revenue; 
            and 6) additional information as may be required by OSHPD or 
                                                         Continued---



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            CDPH L&C.

          5.Establishes the California State Office of Rural Health 
            (CalSORH) within the Department of Health Care Services (DHCS) 
            to collaborate with public and private entities statewide, and 
            at the regional and national levels to increase rural access 
            to health care. Establishes the Seasonal Agricultural and 
            Migratory Workers (SAMW) Advisory Committee within DHCS to 
            advise DHCS on the level of resources, priorities, criteria, 
            and guidelines necessary to address the health of seasonal and 
            migratory agricultural workers. 

          This bill:
          1.Requires FQHCs operated by a county, as described, to file a 
            report with OSHPD showing patient demographic and payer 
            information, as specified. Exempts clinics conducted, operated 
            or maintained as outpatient departments of hospitals, and 
            licensed health facilities, as defined, from this requirement. 


          2.Establishes the Task Force to develop a comprehensive agenda 
            of programs and public policy initiatives designed to address 
            the health care needs of farmworkers in California. Stipulates 
            the Task Force will only be in effect until January 1, 2014. 

          3.Requires that the Task Force:
             a.   Be composed of 11 members, with the Governor appointing 
               5 and the Speaker of the Assembly and the President pro 
               Tempore of the Senate appointing 3 members each.  
             b.   Include farmworkers, growers, representatives of 
               nonprofit community health centers with established records 
               of serving farmworker communities, representatives of 
               philanthropic foundations, representatives from county 
               hospital-owned or affiliated clinics, and representatives 
               of county health organizations. 
             c.   Issue a report to DHCS and to the Governor by December 
               31, 2013, which includes: 1) strategies to create new 
               initiatives to provide health insurance or equivalent 
               coverage for farmworkers who will not be covered under the 
               federal Affordable Care Act (ACA); 2) a plan to coordinate 
               county health care delivery systems to integrate FQHCs and 
               to target farmworkers; 3) a plan to increase the number of 
               culturally competent health professionals in underserved 
               rural areas; 4) a plan to expand access to telehealth where 
               these services are not locally available; 5) a plan to 
               coordinate providers to ensure continued health care for 




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               migrant farmworkers; 6) long term strategies for educating, 
               training, and preparing workers for other industries 
               including, but not limited to green technology; and 7) 
               viable strategies for enabling farmworkers to purchase 
               affordable housing. 

           FISCAL EFFECT  :  This version of the bill has not been analyzed 
          by a fiscal committee. 

           PRIOR VOTES  :  Not relevant.
           
          COMMENTS  :  
           1.Author's statement.  Farmworkers provide an indispensable role 
            to California's economy contributing mightily to the $37 
            billion a year agricultural industry but continue to live well 
            below the poverty level and suffer from chronic medical 
            conditions. AB 916 focuses on insuring accountability of 
            federal funds to serve farmworker and other working poor 
            populations while creating a Task Force on the Health Care 
            Needs of Farmworkers (funded from non-General Fund sources) to 
            provide, for the first time, a strategic and comprehensive 
            plan to address the issues confronting farmworkers in 
            California. Hundreds of millions of dollars are allocated to 
            California counties who have federally designated community 
            clinics. These clinics are required to provide medical 
            services to farmworker communities and other targeted 
            populations under a program that receives 50 percent federal 
            funds and 50 percent state General Fund. However, there is no 
            accountability to the State of California for how these funds 
            are expended. While nonprofit clinics are required to provide 
            annual reports on the total funds received, patients served, 
            medical services provided, and charity care/bad debt, county 
            clinics designated by the federal government provide no such 
            information to the state.  
          2.Farmworker health. A policy brief from the Central Coast 
            Health Network on the status of farmworkers claims that 
            despite the fact that California's agricultural industry 
            continues to generate well over $20 billion annually ($27 
            billion in 2000), farmworkers continue to lag well behind the 
            rest of society in terms of income, health, housing, 
            education, and other socio-economic conditions. Farmworkers 
            continue to live in poverty or near poverty, suffer from 
            chronic health conditions at higher rates than the general 
            public, have little access to health insurance, and are often 
            undereducated and speak little English. Data from 2000 show 
            that 18 percent of male farmworkers had at least 2 of 3 risk 




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            factors for chronic disease, 81 percent of men and 76 percent 
            of women had unhealthy weight, men suffer from iron deficiency 
            anemia at a rate of 4 times greater than U.S. men. Also, 
            nearly 70 percent lacked any form of health insurance, 32 
            percent of males reported they'd never been to a doctor or 
            clinic in their lives, 50 percent of males and 40 percent of 
            females had never been to a dentist, and over two-thirds never 
            had an eye-care visit.

            Farms present many unique health and safety hazards for 
            workers, including: exposure to chemicals and pesticides; 
            machinery, tools and equipment that can be dangerous; 
            hazardous areas, such as grain bins, silos and wells; and 
            livestock that can spread diseases or cause injuries. 
            Farmworkers are also likely to be exposed to extreme heat, and 
            many have suffered heat strokes. United Farm Workers claims 
            that at least 16 farmworkers have died due to heat illness 
            since 2005, including the widely known 2008 death of 
            17-year-old Maria Isabel Vasquez Jimenez. 

          3.State actions related to farmworker health.  The SAMW Program 
            was developed to study the health and health services for 
            seasonal agricultural and migratory workers and their families 
            throughout the state; provide financial and technical 
            assistance to primary care clinics serving this target 
            population; and, coordinate similar programs of the federal 
            government and other state and voluntary agencies. The SAMW 
            Advisory Committee was also established to advise DHCS on 
            guidelines necessary to address the health of seasonal and 
            migratory workers. The SAMW Program awarded grants to 
            community-based, private, nonprofit, licensed primary health 
            care clinics throughout California for the provision of 
            comprehensive primary and preventive health care services. 
            During Fiscal Year 1997-2000, the SAMW Program funded 45 
            clinics to support or enhance the delivery of primary health 
            care to seasonal agricultural workers, migratory workers, and 
            their families. CalSORH was established in statute in 1995 to 
            promote a relationship between state government and local and 
            federal agencies, universities, private and public interest 
            groups, rural consumers, health care providers, foundations, 
            and other offices of rural health, as well as to develop 
            health initiatives and maximize the use of existing resources 
            without duplicating existing effort. 

          4.FQHCs. FQHCs are expected to focus on providing care to the 
            populations whose needs are not met by private providers such 




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            as uninsured or publicly insured individuals. Each FQHC 
            tailors its services and patient base according to the unmet 
            need in its community. FQHCs are strongly encouraged to 
            collaborate with other health care providers in the area and 
            to focus on filling service gaps rather than duplicating 
            services. FQHC funding must be used for the purpose of 
            increasing access to the underserved patients in the 
            community.

            In order to become an FQHC, a clinic has to: 
               be located in an area designated as a Medically 
               Underserved Area/Population;
               be or become a 501(c)3 nonprofit organization or a public 
               entity;
               have a governing board with at least 51percent of members 
               being consumers;
               provide comprehensive primary care including dental health 
               and mental health; and
               serve patients without regard to their ability to pay 
               (using a sliding fee scale).  
            FQHCs can be nonprofits or county-run. Unlike nonprofit 
            clinics in California, county-run FQHCs are licensed by their 
            respective counties, and are therefore excluded from the 
            requirement on clinics in existing law to report data to 
            OSHPD.

          5.Related legislation. AB 2346 (Butler) would enact various 
            provisions related to heat illness and outdoor places of 
            agricultural employment, including provisions related to civil 
            and criminal liability and enforcement. AB 2346 is currently 
            pending before the Senate Labor and Industrial Relations 
            Committee.
            
          6.Support.  The National Association of Social Workers, 
            California Chapter (NASW-CA) supports this bill, which NASW-CA 
            believes will address the ongoing health disparities 
            afflicting California farmworkers by creating an entity to 
            take a leadership role in identifying viable strategies for 
            improving their health status. NASW-CA advocates for the 
            implementation and improvement of programs and policies 
            designed to enhance human well-being and help meet the basic 
            needs of all people. NASW-CA states that under this bill, the 
            key stakeholders in California's agricultural industry would 
            come together to form the Task Force to develop these 
            partnerships to coordinate resources for new initiatives for 
            health services to farmworkers. 




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          7.Opposition. The California Right to Life Committee, Inc. 
            (CRLC) opposes this bill and considers it as one additional 
            bureaucracy dependent on federal and private dollars, not one 
            which would significantly increase health care services in the 
            long run to those farmworkers in our state. Also, CRLC claims 
            the formation of this Task Force will involve nonprofit 
            agencies as a significant aspect of providing health care. 
            CRLC believes this will include agencies like Planned 
            Parenthood, which they oppose. 
          
          8.Policy comments.
             a.   Duplicative reporting. FQHCs are required to report to 
               the U.S. Health Resources and Services Administration 
               (HRSA) quarterly financial status reports, annual project 
               reports, and submit data on patient demographics and 
               services provided called the Uniform Data System (UDS) 
               annually. The UDS requires similar demographic data as the 
               OSHPD report, but incompatibility between their two 
               electronic reporting systems would prohibit data sharing. 
               This means clinics captured by this bill will likely report 
               duplicative data to both HRSA and OSHPD.  
             b.   SAMW Advisory Committee versus the Task Force. As 
               mentioned above, there is already an advisory committee 
               authorized in statute to address farmworker health issues, 
               although the level of activity of that committee is 
               unknown. Given that the authority to convene SAMW still 
               remains, the Task Force in this bill may be duplicative and 
               therefore unnecessary. 
             c.   Task Force report. This bill lists several plans it 
               intends for the Task Force to create that are either 
               tangentially related to the health outcomes of farmworkers 
               or that could be addressed through other means. Given the 
               relatively short timeline that the Task Force would be 
               expected to develop their plans for submission to the 
               Governor and to DHCS, it may be more prudent to narrow the 
               scope of plans the Task Force is mandated to create. 
               Suggested amendments would be to delete (c), (f) and (g) of 
               Section 127646 (page 5, lines 38-39, and page 6, lines 
               4-8). 
             d.   Task Force timing. Should this bill become law, it will 
               not be effective until January 1, 2013. However, the bill 
               sunsets the Task Force on January 1, 2014, leaving only one 
               year to secure the necessary funding to start the Task 
               Force, appoint members, convene, and develop the required 
               report. The author may wish to provide a more workable 




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               implementation timeline and sunset date for the Task Force. 

             e.   Task Force composition. The bill describes the Task 
               Force as being composed of 11 members, with the Governor 
               appointing 5 members, and the Speaker of the Assembly and 
               the President pro Tempore of the Senate appointing 3 
               members each. The Task Force is to include farmworkers, 
               growers, representatives of nonprofit community health 
               centers with an established record of serving farmworker 
               communities, representatives of philanthropic foundations, 
               representatives from county hospital-owned or affiliated 
               clinics, and representatives of county health 
               organizations. The bill does not, however, specify how many 
               people from each of these representative groups should be 
               appointed to the Task Force. The author may wish to provide 
               further guidance on the specific appointment authority for 
               each appointing entity, to ensure the intended entities are 
               sufficiently represented on the Task Force.
             f.   Task Force funding. The bill calls for the Task Force to 
               be funded by federal or private funds, but does not specify 
               who will collect those funds. The author may wish to amend 
               the bill to create a fund in the State Treasury for this 
               purpose and to specify that no state funds be used to 
               implement these provisions. 
               
          9.Placement in statute. The current code reference for the Task 
            Force falls under a code section under OSHPD's jurisdiction. 
            Existing statutes and programs pertaining to the health of 
            agricultural workers fall under the jurisdiction of DHCS. The 
            author may wish to amend the bill to relocate this section to 
            either within Chapter 3 of Part 4 of Division 106 of the 
            Health and Safety Code, within the SAMW authorizing statute, 
            or to Part 5 of Division 1 within the CalSORH authorizing 
            statute. 
               
          10.Gut and amend. When this bill was first voted on in the 
            Assembly, it required the California Department of Public 
            Health (CDPH) to assess the grants available pursuant to the 
            ACA for funding opportunities related to the use of 
            promotores. The current version of the bill has not been heard 
            in either house of the Legislature. 
          
           SUPPORT AND OPPOSITION  :
          Support:  National Association of Social Workers, California 
                    Chapter
                    




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          Oppose:   California Right to Life Committee, Inc.
          
                                      -- END --