Bill Text: CA AB578 | 2013-2014 | Regular Session | Amended

California Assembly Bill 578 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: Crisis nurseries: study.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Engrossed - Dead) 2014-08-14 - In committee: Held under submission. [AB578 Detail]

Download: California-2013-AB578-Amended.html

BILL NUMBER: AB 578	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 8, 2013

INTRODUCED BY   Assembly Member Dickinson

                        FEBRUARY 20, 2013

   An act to amend Section 1353 of the Health and Safety Code, 
and to add Section 717.7 to the Insurance Code,   relating to
health care.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 578, as amended, Dickinson. Health care.
   Existing law, the Knox-Keene Health Care Service Plan Act of 1975,
 the willful violation of which is a crime, 
provides for the licensure and regulation of health care service
plans by the Department of Managed Health Care. Existing law requires
each application for licensure as a health care service plan or
specialized health care service plan under these provisions to be
accompanied by specified information. Existing law requires the
Director of the Department of Managed Care to issue a license to an
individual filing an application if the director determines that the
applicant has satisfied certain requirements.  Existing law also
provides for the regulation of health insurers by the Department of
Insurance and  authorizes the Insurance Commissioner to
issue a certificate of authority to transact insurance, as specified.

   This bill would require that the director  or commissioner
 publish a notice, upon receiving an application  from a
first time health care service plan applicant or health insurer
applicant  , that would include information regarding the
applicant and nature of the application, as specified.  This
  The bill would also require the departments to allow
comments to be submitted through the departments' Internet Web sites.
The  bill would  also  require  that
 the director  or commissioner to  require the
 plan   applicant  to publish a written
notice concerning the application pursuant to conditions imposed by
 rule or order. By expanding the scope of an existing crime,
the bill would impose a state-mandated local program. This 
 the director or commissioner. The  bill would require
 that  the director  or commissioner to 
solicit  , review, and consider  public comments, as
specified,  and hold at least one public hearing if comments are
received,  prior to approving an application. 
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.  
   This bill would provide that no reimbursement is required by this
act for a specified reason. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program:  yes   no .



THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 1353 of the Health and Safety Code is amended
to read:
   1353.  (a) The director shall issue a license to any person filing
an application pursuant to this article, if the director, upon due
consideration of the application and of the information obtained in
any investigation, including, if necessary, an onsite inspection,
determines that the applicant has satisfied the provisions of this
chapter and that, in the judgment of the director, a disciplinary
action pursuant to Section 1386 would not be warranted against the
applicant. Otherwise, the director shall deny the application.
   (b)  The   For   a first time health
care service plan applicant, the  director shall publish a
notice, upon receiving  an   the 
application, in one or more newspapers of general circulation in the
proposed plan's service area, describing the name of the applicant,
the nature of the application, and the date of receipt of the
application. The notice shall indicate that the director 
will be   is  soliciting public comments and
 will   may  hold a public hearing on the
application.  The department shall allow comments to be submitted
through its Internet Web site.  The director shall require the
 plan   applicant  to publish a written
notice concerning the application pursuant to conditions imposed by
 rule or order   the director  .
   (c) Prior to approving the application, the director shall solicit
 ,   review, and consid   er  public
comments in written form and shall hold at least one public hearing
 if comments are received  concerning the application.
   SEC. 2.    Section 717.7 is added to the  
Insurance Code   , to read:  
   717.7.  (a) For a first time applicant for a certificate of
authority to transact health insurance, the commissioner shall
publish a notice, upon receiving the application, in one or more
newspapers of general circulation, describing the name of the
applicant, the nature of the application, and the date of receipt of
the application. The notice shall indicate that the commissioner is
soliciting public comments and may hold a public hearing on the
application. The department shall allow comments to be submitted
through its Internet Web site. The commissioner shall require the
applicant to publish a written notice concerning the application
pursuant to conditions imposed by the commissioner.
   (b) Prior to approving the application, the commissioner shall
solicit, review, and consider public comments in written form and
shall hold at least one public hearing if comments are received
concerning the application.  
  SEC. 2.    No reimbursement is required by this
act pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.