BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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                                 UNFINISHED BUSINESS


          Bill No:  SB 1045
          Author:   Beall (D)
          Amended:  6/19/14
          Vote:     21

           
           SENATE HEALTH COMMITTEE  :  9-0, 5/7/14
          AYES:  Hernandez, Morrell, Beall, De Le�n, DeSaulnier, Evans,  
            Monning, Nielsen, Wolk

           SENATE FLOOR  :  35-0, 5/15/14
          AYES:  Anderson, Beall, Berryhill, Block, Cannella, Corbett,  
            Correa, De Le�n, DeSaulnier, Evans, Fuller, Gaines, Galgiani,  
            Hancock, Hernandez, Hill, Hueso, Huff, Jackson, Knight, Lara,  
            Leno, Lieu, Liu, Mitchell, Monning, Morrell, Nielsen, Padilla,  
            Pavley, Roth, Torres, Vidak, Wolk, Wyland
          NO VOTE RECORDED:  Calderon, Steinberg, Walters, Wright, Yee

           ASSEMBLY FLOOR :  74-0, 6/23/14 - See last page for vote


           SUBJECT  :    Medi-Cal Drug Treatment Program:  group outpatient  
          drug free
                      services

           SOURCE  :     County Alcohol and Drug Program Administrators  
          Association of
                      California 


           DIGEST  :    This bill, for the purposes of Drug Medi-Cal  
          Treatment Program (DMC) reimbursement, changes the number from a  
          minimum of four and a maximum of 10 individuals to a minimum of  
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          two and a maximum of 12 allowed in a group for outpatient  
          drug-free services.  

           Assembly Amendments  reduce the maximum number allowed in a group  
          for outpatient drug free services from 14 to 12 and specify that  
          if one of the individuals in a two-member group is ineligible  
          for Medi-Cal, that the individual who is ineligible for Medi-Cal  
          is required to receive outpatient drug-free services, as  
          specified.

           ANALYSIS  :    Existing law:

          1.Establishes the Medi-Cal program, administered by the  
            Department of Health Care Services (DHCS), under which  
            qualified low-income individuals receive health care services.

          2.Allows DHCS to enter into DMC contracts with each county for  
            the provision of alcohol and drug use services within the  
            county service area.

          3.Requires DHCS to contract for DMC services in a county that  
            does not enter into or terminates its DMC contract with DHCS  
            to ensure beneficiary access to alcohol and drug use services.  
             Requires contracts be made in accordance with federal  
            Medicaid and state Medi-Cal laws and in accordance with the  
            federal court order and any future action in the case of Sobky  
            v. Smoley (E.D.Cal 1994) 855 F.Supp. 1123. 

          4.Requires a group for outpatient drug free services and  
            narcotic treatment programs to consist of a minimum of 4 and a  
            maximum of 10 individuals, of which at least one must be a  
            Medi-Cal-eligible beneficiary. 

          5.Defines "group counseling" for DMC substance use disorder  
            (SUD) services as face-to-face contacts in which one or more  
            therapists or counselors treat two or more clients at the same  
            time and focus on the needs of the individuals served.

          This bill, for the purposes of DMC reimbursement, changes the  
          number from a minimum of four and a maximum of 10 individuals to  
          a minimum of two and a maximum of 12 allowed in a group for  
          outpatient drug free services.  Specifies that for groups  
          consisting of two individuals, if one of the individuals is  
          ineligible for Medi-Cal, that individual is required to receive  

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          outpatient drug-free services for an SUD diagnosed by a  
          physician.

           Background
           
          According to the National Institute on Drug Abuse's (NIDA)  
          Principles of Drug Addiction Treatment, Third Edition (revised  
          December 2012), because addiction is a disease, most people  
          cannot simply stop using drugs for a few days and be cured.  
          Patients typically require long-term or repeated episodes of  
          care to achieve the ultimate goal of sustained abstinence and  
          recovery of their lives.  NIDA states that substance abuse costs  
          the nation over $600 billion annually, and treatment is much  
          less expensive than its alternatives, such as incarcerating  
          addicted people. 

           DMC  .  According to DHCS, the DMC program provides SUD treatment  
          services to Medi-Cal beneficiaries.  Funding for the program was  
          realigned to the counties as part of the 2011 Public Safety  
          Realignment, but the delivery system remained unchanged. DHCS  
          certifies and monitors DMC treatment providers to ensure  
          adherence to Title 9 and Title 22, California Code of  
          Regulations (CCR), which govern DMC treatment.  DMC SUD services  
          include narcotic treatment programs, outpatient drug free  
          treatment, day care habilitative, perinatal residential SUD, and  
          naltrexone treatment. Title 22, CCR, defines group counseling as  
          face-to-face contacts in which one or more therapists or  
          counselors treat two or more clients at the same time, focusing  
          on the needs of the individuals served. However, for outpatient  
          drug free treatment services and narcotic treatment programs,  
          group counseling is required to be conducted with no less than 4  
          and no more than 10 individuals at the same time, of which only  
          one individual needs to be a Medi-Cal-eligible beneficiary

           Group modality and size.   According to a 2002 publication,  
          Motivational Groups for Community Substance Abuse Programs, by  
          the Mid-Atlantic Addiction Technology Transfer Center (MAATTC)  
          with funding from the federal Substance Abuse and Mental Health  
          Services Administration, a group approach to therapy can be a  
          powerful vehicle for providing clients support, modeling, and  
          relief from a sense of isolation. The group environment can  
          enhance most clients' willingness to thoroughly examine their  
          life situations and substance use, and reduce their hesitation  
          for considering new ways of being.  The MAATTC states that in  

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          some localities group treatment may be the primary service an  
          agency can afford to provide for most clients.  MAATTC also  
          states the ideal size for a group may be between six and twelve  
          individuals; however, if a group size exceeds that range, the  
          leaders of the group might consider increasing the length of the  
          group session.  The Administration's Center for Substance Abuse  
          Treatment's Treatment Improvement Protocols No. 47 from 2006  
          states that the optimal size of a group in most intensive  
          outpatient treatment programs is between 8 and 15 individuals.  
          According to SUD providers in the state, groups consisting of  
          more than 15 individuals may be difficult to manage, but some  
          have had effective group sessions with as many as 18  
          individuals.  
          
           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   Local:  
           No

           SUPPORT  :   (Verified  6/24/14)

          County Alcohol and Drug Program Administrators Association of
            California (source) 
          California Council of Community Mental Health Agencies
          California Mental Health Directors Association
          Mental Health America of California
          Pacific Clinics 

           ARGUMENTS IN SUPPORT  :    The County Alcohol and Drug Program  
          Administrators Association of California, the sponsor, argues  
          that both small and large population counties often have  
          difficulties meeting the minimum and maximum requirements for a  
          group, respectively, so programs often cannot receive Medi-Cal  
          reimbursement and program participants may have to be excluded  
          when the maximum is reached.  The Association states that this  
          bill modifies group size requirements to be consistent with  
          provisions of state law for other types of Medi-Cal services  
          that specify groups sizes are two or more individuals.  Pacific  
          Clinics writes that this bill removes antiquated billing  
          restrictions on DMC group outpatient services.  Pacific Clinics  
          argues that due to clients' no-show rates, meeting or exceeding  
          the current number requirement is detrimental to clients and  
          service providers.
          
           ASSEMBLY FLOOR  : 74-0, 06/23/14
          AYES: Achadjian, Alejo, Allen, Ammiano, Bigelow, Bloom,  

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            Bocanegra, Bonilla, Bonta, Bradford, Brown, Buchanan, Ian  
            Calderon, Campos, Chau, Ch�vez, Chesbro, Conway, Cooley,  
            Dababneh, Dahle, Daly, Dickinson, Eggman, Fong, Fox, Frazier,  
            Beth Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gray,  
            Grove, Hagman, Hall, Harkey, Roger Hern�ndez, Holden, Jones,  
            Jones-Sawyer, Levine, Linder, Lowenthal, Maienschein, Mansoor,  
            Medina, Melendez, Mullin, Muratsuchi, Nazarian, Olsen, Pan,  
            Patterson, Perea, John A. P�rez, V. Manuel P�rez, Quirk,  
            Quirk-Silva, Rendon, Ridley-Thomas, Rodriguez, Salas, Skinner,  
            Stone, Ting, Wagner, Waldron, Weber, Wieckowski, Williams,  
            Yamada, Atkins
          NO VOTE RECORDED: Donnelly, Gorell, Logue, Nestande, Wilk,  
            Vacancy


          JL:nl  6/24/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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