BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                    SB 73|
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                              UNFINISHED BUSINESS


          Bill No:  SB 73
          Author:   Senate Budget and Fiscal Review Committee
          Amended:  6/28/11
          Vote:     21

           
          PRIOR VOTES NOT RELEVANT


           SUBJECT  :    Budget Act of 2011:  Medi-Cal

           SOURCE  :     Author


           DIGEST  :    This bill makes statutory changes regarding 
          Medi-Cal, Developmental Services and Social Services which 
          are necessary if Section 3.94 of the 2011 Budget Bill is 
          operative as specified.

           Assembly Amendments   delete the prior version of the bill, 
          and insert the current language concerning Health and Human 
          Services trigger.

           ANALYSIS  :    This bill makes specified reductions to 
          Medi-Cal, Developmental Services and Social Services 
          programs if Section 3.94 (b) of the 2011 Budget Act is 
          operative.  

          If Section 3.94 (b) of the 2011 Budget Act is operative, 
          this bill would do the following:

                  Reduces the Medi-Cal Program.   Implements payment 
               reductions as specified in the Medi-Cal Program 
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               pertaining to Physician soft caps, provider 
               reimbursement, and Medi-Cal enrollee copayments for 
               services and contracts provided under the Program of 
               All-Inclusive Care for the Elderly (PACE), the Senior 
               Care Action Network, and the AIDS HealthCare 
               Foundation.  These contracts and services are 
               presently exempted from these reductions.  If Section 
               3.94 (b) is implemented, it is assumed that a total 
               reduction of $15 million (General Fund) would be 
               achieved from this action.

                  Reduces Developmental Services.   Directs that if 
               Section 3.94(b) of the 2011 Budget Act is operative, 
               the DDS may utilize input from workgroups as specified 
               to develop General Fund savings proposals as 
               necessary.  It specifies the Legislature's intent for 
               General Fund savings to be from within the overall 
               developmental services system, including savings or 
               reductions from State administrative support, 
               operation of the Developmental Centers, and operation 
               of the Regional Centers.  It states that a variety of 
               strategies may be used for purpose of identifying 
               savings.  If Section 3.94 (b) is implemented, it is 
               assumed that up to $100 million (General Fund) would 
               be achieved. 
           
                 Reduces In-Home Supportive Services (IHSS).   
               Directs that if Section 3.94(b) of the 2011 Budget Act 
               is operative, the Department of Social Services shall 
               implement an across-the-board reduction in IHSS 
               services of 20 percent, beginning January 1, 2012, 
               with specified notice requirements and exceptions.  If 
               Section 3.94 (b) is implemented, it is assumed that a 
               total reduction of $100 million (General Fund) would 
               be achieved in the 2011-12 budget year as a result.

           Appropriation and Proposition 25 Language.   This bill 
          appropriates $1,000 to the Department of Health Care 
          Services for state administration.  It is a bill that meets 
          the meaning of subdivision (e) of Section 12 of Article IV 
          of the California Constitution, and has been identified as 
          related to the budget in the Budget Bill and shall take 
          effect immediately.








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


          DLW:do  6/28/11   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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