BILL ANALYSIS                                                                                                                                                                                                    �




                     SENATE GOVERNANCE & FINANCE COMMITTEE
                            Senator Lois Wolk, Chair
          

          BILL NO:  AB 2117                     HEARING:  6/25/14
          AUTHOR:  Achadjian                    FISCAL:  No
          VERSION:  6/18/14                     TAX LEVY:  No
          CONSULTANT:  Weinberger               

                    CENCAL HEALTH AND SAN LUIS OBISPO COUNTY
          

          Specifies the role that San Luis Obispo County supervisors  
          must play in any dissolution of CenCal Health.


                           Background and Existing Law  

          The Santa Barbara San Luis Obispo Regional Health Authority  
          - which uses the name CenCal Health - is a public agency  
          that is responsible for administering the Medi-Cal program  
          for residents of Santa Barbara and San Luis Obispo  
          Counties.  Originally created in 1983 to serve only Santa  
          Barbara County (AB 1223, Hart, 1982), subsequent  
          legislation allowed the Authority to expand its  
          jurisdiction to include San Luis Obispo County (AB 417,  
          Blakeslee, 2007).

          State law gives the San Luis Obispo County Board of  
          Supervisors the power to appoint five members to CenCal  
          Health's 13-member governing board and allows CenCal Health  
          to exercise its powers in San Luis Obispo County.    
          However, state law exclusively grants the Santa Barbara  
          County Board of Supervisors the power to order the  
          Authority's dissolution.  CenCal Health officials want the  
          Legislature to ensure that the San Luis Obispo County Board  
          of Supervisors plays a role in dissolution proceedings.


                                   Proposed Law  

          Assembly Bill 2117 allows the San Luis Obispo County Board  
          of Supervisors to, order the Santa Barbara San Luis Obispo  
          Regional Health Authority's dissolution by ordinance or  
          resolution.  AB 2117 requires that the Santa Barbara County  
          Board of Supervisors and the San Luis Obispo County Board  
          of Supervisors must both order the dissolution of the  
          Authority, as specified in state law, for the dissolution  




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          to become effective.  The bill directs that the dissolution  
          becomes effective 180 days after the date of the last  
          adopted resolution or ordinance ordering the dissolution.



                               State Revenue Impact
           
          No estimate.


                                     Comments  

          1.   Purpose of the bill  .  AB 2117 corrects an apparent  
          omission in the 2007 legislation that allowed CenCal Health  
          to expand into San Luis Obispo County.  AB 417 granted San  
          Luis Obispo County similar governance powers to those that  
          state law granted to Santa Barbara County, but made no  
          change to the statute governing the manner in which the  
          Authority could be dissolved.  AB 2117 simply ensures that  
          the dissolution of the Authority cannot be ordered  
          unilaterally by Santa Barbara County supervisors without  
          equal participation by San Luis Obispo County officials.

          2.   Gut and amend  .  As introduced and passed by the  
          Assembly, AB 2117 contained provisions relating to the  
          noise element in local agencies' general plans.  The Senate  
          Governance & Finance Committee never heard that version of  
          the bill.  The June 18 amendments deleted AB 2117's  
          contents and inserted the current language relating to  
          CenCal Health.


                                 Assembly Actions  

          Not relevant to the June 18, 2014 version of the bill.


                         Support and Opposition  (6/19/14)

           Support  :  CenCal Health.

           Opposition  :  Unknown.   








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