Bill Text: CA SB724 | 2009-2010 | Regular Session | Introduced

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

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Bill Title: Prisoners: hospital services.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2010-02-01 - Returned to Secretary of Senate pursuant to Joint Rule 56. [SB724 Detail]

Download: California-2009-SB724-Introduced.html

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BILL NUMBER: SB 724	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Cogdill

                        FEBRUARY 27, 2009

   An act to amend Section 5023.5 of, and to add Section 5023.6 to,
the Penal Code, relating to correctional law, and making an
appropriation therefor.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 724, as introduced, Cogdill. Prisoners: emergency health care
services.
   Existing law authorizes the Department of Correction and
Rehabilitation, including the Division of Juvenile Facilities, to
contract with providers of emergency health care services. Existing
law requires hospitals that do not contract with the department for
emergency health care services to provide those services on the same
basis as they are required to be provided pursuant to specified
federal regulations. Existing law prohibits the department from
reimbursing a hospital that provides these services without a
contract at a rate that exceeds reasonable and allowable costs, as
defined by specified federal regulations and publications.
   This bill would instead prohibit the department from reimbursing a
hospital that provides those services unless the department has
contracted with the hospital at a rate equal to 150% of the hospital'
s average costs as calculated by using the cost-to-charge ratio
developed from the most recent Hospital Annual Financial Disclosure
report issued by the Office of Statewide Health Planning and
Development.
   Existing law requires the Department of Corrections and
Rehabilitation, including the Division of Juvenile Facilities, to
work with the State Department of Health Care Services in obtaining
hospital cost information in order to establish the costs allowable
under those provisions.
   This bill would instead require the department to work with the
Office of Statewide Health Planning and Development in obtaining
hospital cost information in order to establish the reimbursement
required under those provisions.
   The bill would also create the Hospital Interim Payment Fund, as a
continuously appropriated fund in the State Treasury, for the
purpose of making payments to hospitals, for services provided on or
after July 1 of the fiscal year for which no budget has been enacted
or before November 1 of that year for the purpose of making payments
to hospitals, during the period in which the program has a
deficiency. The bill would also appropriate from the General Fund, in
the form of loans, for each fiscal year in which these payments are
necessary, an amount equal to a cumulative total of 33% of the
Department of Corrections and Rehabilitation's annual payments to all
hospitals in any fiscal year.
   Vote: 2/3. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 5023.5 of the Penal Code is amended to read:
   5023.5.  (a) Notwithstanding any other provision of law, the
Department of Corrections and  the Department of the Youth
Authority   Rehabilitation, including the Division of
Juvenile Facilities,  may contract with providers of emergency
health care services. Hospitals that do not contract with the
Department of Corrections  or the Department of the Youth
Authority   and Rehabilitation, including the Division
of Juvenile Facilities,  for emergency health care services
shall provide these services to  these departments 
 the department  on the same basis as they are required to
provide these services pursuant to Section 489.24 of Title 42 of the
Code of Federal Regulations.  Neither the Department of
Corrections nor the Department of the Youth Authority  
The Department of Corrections and Rehabilitation, including the
Division of Juvenile Facilities,  shall  not  reimburse
a hospital that provides these services,  and that 
 unless  the department has  not 
contracted with  ,   the hospital  at a
rate  that exceeds   equal to 150 percent of
 the hospital's  reasonable and allowable costs,
regardless of whether the hospital is located within or outside of
California   average costs, as calculated by using the
cost-to-charge ratio developed from the most recent Hospital Annual
  Financial Disclosure report issued by the Office of
Statewide Health Planning and Development  .
   (b) An entity that provides ambulance or any other emergency or
nonemergency response service to the Department of Corrections
 or the Department of the Youth Authority   and
Rehabilitation, including the Division of Juvenile Facilities ,
and that does not contract with the  departments 
 department  for that service, shall be reimbursed for the
service at the rate established by Medicare.  Neither the
Department of Corrections nor the Department of the Youth Authority
  The Department of Corrections and Rehabilitation,
including the Division of Juvenile Facilities,  shall  not
 reimburse a provider of any of these services that the
department has not contracted with at a rate that exceeds the
provider's reasonable and allowable costs, regardless of whether the
provider is located within or outside of California.
   (c) The Department of Corrections and  the Department of
the Youth Authority   Rehabilitation, including the
Division of Juvenile Facilities,  shall work with the 
State Department of Health Services   Office of
Statewide Health Planning and Development  in obtaining hospital
cost information in order to establish the  costs allowable
  reimbursement required  under this section. The
 State Department of Health Services   Office of
Statewide Health Planning and Development  may provide the
Department of Corrections  or the Department of the Youth
Authority   and Rehabilitation, including the Division
of Juvenile Facilities,  with hospital cost information that the
 State Department of Health Services   Office
of Statewide Health Planning and Development  obtains pursuant
to  Sections 14170 and 14171 of the Welfare and Institutions
Code   Chapter 1 of Part 5 of Division 107 (commencing
with Section 128675) of the Health and Safety Code  . 
   (d) For the purposes of this section, "reasonable and allowable
costs" shall be defined in accordance with Part 413 of Title 42 of
the Code of Federal Regulations and federal Centers for Medicare and
Medicaid Services Publication Numbers 15.1 and 15.2. 
  SEC. 2.  Section 5023.6 is added to the Penal Code, to read:
   5023.6.  Notwithstanding any other provision of law and without
regard to fiscal year, if the annual Budget Act is not enacted by
June 30 of any fiscal year preceding the fiscal year to which the
budget would apply or there is a deficiency in the budget during any
fiscal year, the Controller shall annually transfer from the General
Fund, in the form of one or more loans, an amount equal to a
cumulative total of 33 percent of the Department of Corrections and
Rehabilitation's annual payments to all hospitals in the immediately
preceding fiscal year, to the Hospital Interim Payment Fund, which is
hereby created in the State Treasury. Notwithstanding Section 13340
of the Government Code, the Hospital Interim Payment Fund is hereby
continuously appropriated for the purpose of making payments to
hospitals, on or after July 1 of a fiscal year for which no budget
has been enacted and before November 1 of that year for the purpose
of making payments to hospitals during the period in which the
program has a deficiency. Payments shall be made pursuant to this
section if both of the following conditions have been met:
   (a) An invoice has been submitted for the services.
   (b) Payment for the services is due and payable and the Department
of Corrections and Rehabilitation, including the Division of
Juvenile Facilities, determines that payment would be valid.