Bill Text: CA SB1321 | 2011-2012 | Regular Session | Amended
Bill Title: California Health Benefit Exchange: executive board.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2012-06-25 - Set, second hearing. Hearing canceled at the request of author. [SB1321 Detail]
Download: California-2011-SB1321-Amended.html
BILL NUMBER: SB 1321 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 30, 2012
AMENDED IN SENATE APRIL 9, 2012
INTRODUCED BY Senator Harman
FEBRUARY 23, 2012
An act to add Section 100509 to the Government Code, relating to
health care coverage , and declaring the urgency thereof, to
take effect immediately .
LEGISLATIVE COUNSEL'S DIGEST
SB 1321, as amended, Harman. Essential health benefits.
California Health Benefit Exchange: executive board.
Commencing January 1, 2014, existing law, the federal Patient
Protection and Affordable Care Act (PPACA), requires a health
insurance issuer that offers coverage in the small group or
individual market to ensure that such coverage includes the essential
health benefits package, as defined. PPACA requires each state to,
by January 1, 2014, establish an American Health Benefit Exchange
that facilitates the purchase of qualified health plans by qualified
individuals and qualified small employers. PPACA defines a qualified
health plan as a plan that, among other requirements, provides the
essential health benefits package. Existing state law creates the
California Health Benefit Exchange , governed by an executive
board, to facilitate the purchase of qualified health plans by
qualified individuals and qualified small employers by January 1,
2014.
This bill would require the board of the California Health Benefit
Exchange to determine the total cost of benefits for each
health plan listed as an essential health benefits benchmark plan
option in regulations adopted pursuant to PPACA. The bill would
require that the plan with the lowest total cost of benefits set the
benchmark for items and services to be included in the definition of
essential health benefits under PPACA. The bill would specify that
its provisions shall only be implemented to the extent consistent
with regulations adopted pursuant to PPACA. , if any
part of PPACA is amended, invalidated, or r epealed, to
report to the Legislature regarding the impact on the
Exchange of the PPACA sections amended, invalidated, or repealed
and to provide the Legislature with a plan, to be included
with the report, on how the Exchange will operate given the PPACA
sections amended, invalidated, or repealed. The bill would require
the board to halt all work related to implementing the Exchange if
the board does not provide the Legislature with the report within a
specified period of time. The bill would prohibit state moneys from
being used to fund any Exchange operations or related
functions, or to replace or supplant federal funds currently or
previously dedicated to Exchange operations or related functions.
This bill would declare that it is to take effect immediately as
an urgency statute.
Vote: majority 2/3 . Appropriation:
no. Fiscal committee: yes. State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 100509 is added to the
Government Code , to read:
100509. Notwithstanding any other provision of law, if any part
of the federal Patient Protection and Affordable Care Act (PPACA)
(Public Law 111-148) is amended, invalidated, or repealed, the
following provisions shall apply:
(a) The board shall do both of the following:
(1) Report to the Legislature regarding the impact on the Exchange
of the PPACA sections amended, invalidated, or repealed. This report
shall include an assessment of the Exchange's long-term viability
and ability to function without the use of any state funds.
(2) Provide to the Legislature a plan, to be included with the
report in paragraph (1), on how the Exchange will operate in light of
the PPACA sections amended, invalidated, or repealed.
(b) The board shall halt all work related to implementing the
Exchange if the board does not provide the Legislature with the
report required by subdivision (a) within 90 days of the amendment,
invalidation, or repeal of any section of PPACA.
(c) No state moneys shall be used to fund any Exchange operations
or related functions, nor shall any state moneys be used to replace
or supplant federal funds currently or previously dedicated to
Exchange operations or related functions.
SEC. 2. This act is an urgency statute necessary
for the immediate preservation of the public peace, health, or safety
within the meaning of Article IV of the Constitution and shall go
into immediate effect. The facts constituting the necessity are:
In order to ensure that the Legislature has the information
it needs to respond at the earliest possible time to changes in PPACA
and their impact on the Exchange, it is necessary for this act to
take effect immediately.
SECTION 1. Section 100509 is added to the
Government Code, to read:
100509. (a) The board shall determine the total cost of benefits
for each health plan listed as an essential health benefits benchmark
plan option in regulations adopted pursuant to Section 1302 of the
federal Patient Protection and Affordable Care Act (42 U.S.C. Sec.
18022). The board's determinations pursuant to this section shall be
posted on its Internet Web site and submitted to the Assembly
Committee on Health and the Senate Committee on Health.
(b) The health plan under subdivision (a) with the lowest total
cost of benefits, as determined by the board under subdivision (a),
shall set the benchmark for items and services to be included in the
definition of essential health benefits under Section 1302 of the
federal Patient Protection and Affordable Care Act (42 U.S.C. Sec.
18022).
(c) This section shall only be implemented to the extent
consistent with regulations adopted by the United States Department
of Health and Human Services under Section 1302 of the federal
Patient Protection and Affordable Care Act (42 U.S.C. Sec. 18022).
