HomeMy WebLinkAbout65E - CA SENATE BILL CALOPTIMA BOARDREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
AUGUST 1, 2017
TITLE:
RECOMMENDS SUPPORT FOR
CALIFORNIA SENATE BILL 4 (MENDOZA)
REGARDING THE CALOPTIMA BOARD
COMPOSITION /
CLERK OF COUNCIL USE ONLY:
APPROVED
❑ As Recommended
❑ As Amended
❑ Ordinance on 18' Reading
❑ Ordinance on 2nd Reading
❑ Implementing Resolution
❑ Set Public Hearing For
CONTINUED TO
FILE NUMBER
On July 19, 2017, the Legislative Affairs, Ethics and Transparency Committee voted for a support
position for California Senate Bill 4 authored by Senator Mendoza.
DISCUSSION
The intent of California Senate Bill 4 (Mendoza) is to provide stability to the CalOptima Board
structure. There have been three modifications to the structure since 2011. The bill would codify
the existing structure of the CalOptima Board and stipulate that a 2/3 vote of the Board of
Supervisors is required to remove a member. Additionally, the bill is anticipated to be amended to
add a five-year sunset, allow for an increase in the number of public members, and add a
statement of purpose for CalOptima board members.
While it is difficult to anticipate the impact that a board structure change could have on Santa
Ana, SB4 would maintain the existing board structure that is comprised of two supervisors and
seven specified health professionals and members of the public, whereas recent proposal from
the Board of Supervisors would add the remaining three Supervisors to the CalOptima board.
During the Council Committee meeting, comment on the potential for additional seats to the
CalOptima board was discussed. The City Council may support the Council Committee's
recommended position or take an alternate position.
FISCAL IMPACT
There is no fiscal impact associated with this item.
Exhibit 1: California Senate Bill No. 4
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AMENDED IN ASSEMBLY JULY 17, 2017
AMENDED IN ASSEMBLY JUNE 28, 2017
AMENDED IN ASSEMBLY JUNE 22, 2017
AMENDED IN SENATE MAY 26, 2017
AMENDED IN SENATE MAY 10, 2017
AMENDED IN SENATE APRIL 26, 2017
SENATE BILL No. 4
Introduced by Senator Mendoza
December 5, 2016
An act to add and repeal Section 14087.59 -to of the Welfare and
Institutions Code, relating to Medi -Cal.
LEGISLATIVE COUNSEL'S DIGEST
SB 4, as amended, Mendoza. Medi -Cal: county organized health
system: County of Orange.
Existing law establishes the Medi -Cal program, administered by the
State Department of Health Care Services, under which health care
services are provided to qualified, low-income persons. The Medi -Cal
program is, in part, governed and funded by federal Medicaid program
provisions. Existing law authorizes a county board of supervisors, by
ordinance, to establish a commission to negotiate an exclusive contract
with the department to provide, or arrange for the provision of, health
care services under the Medi -Cal program. This system of services
provided by or through a county under these provisions is known as a
county organized health system. Existing law requires the enabling
ordinance to, among other things, specify the membership of the county
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commission, the qualifications for individual members, the manner of
appointment, and how long they will serve. Pursuant to this authority,
the County of Orange, by ordinance, established a commission to
provide health care services under the Medi -Cal program.
This bill would codify those provisions of the enabling ordinance that
prescribe the membership composition, the qualifications for individual
members, tenure of the members, and the procedure for removing a
member of the governing body of the commission established in the
County of–O e- Orange, known as the Orange County Health
Authority. The bill would authorize the governing body of the
commission established in the County of Orange, subject to a '/, vote
of the full membership of the governing body, to increase the number
of public members, or the number of current CalOptima members or
family members of current CalOptima members who may serve as a
member of the governing body, subject to an affirmative vote by a
majority of the Board of Supervisors of the County of Orange. The bill
would prescribe the duties and responsibilities of the governing body,
including to serve the public interest of the CalOptima members and
to ensure the operational well-being and fiscal solvency of the Orange
County Health Authority, and would require the Orange County Health
Authority to work to earn the public's trust through its commitment to
accountability, responsiveness, transparency, reliability, and
cooperation.
These provisions would remain in effect until January 1, 2023, and
as of that date would be repealed.
This bill would make legislative findings and declarations as to the
necessity of a special statute for the County of Orange.
Vote: majority. Appropriation: no. Fiscal committee: no.
State -mandated local program: no.
The people of the State of California do enact as follows
1 SECTION 1. It is the intent of the Legislature to codify certain
2 provisions of the enabling ordinance enacted by the Board of
3 Supervisors of the County of Orange that prescribe the composition
4 of the governing body of the Orange County Health Authority,
5 which is a county organized health system, known as CalOptima,
6 that arranges for the provision of health care services under the
7 Medi -Cal program. The Legislature does not intend that the
8 codification in statute of the composition of the governing body
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of the Orange County Health Authority by th4- a'er: Section 2
of this act result in a new board but is instead a continuation of the
prior board, and therefore the Board of Supervisors of the County
of Orange is not required to appoint a new governing body or to
change the composition of the governing -beds. body, except as
authorized to add additional public members, or CalOptima
members or family members of CalOptima members to the board.
SEC. 2. Section 14087.59 is added to the Welfare and
Institutions Code, to read:
14087.59. (a) Notwithstanding subdivision (d) of Section
14087.54, governance of the commission in the County of Orange
established pursuant to Section '-r w 14087.54, known as the
Orange County Health Authority, shall be vested in a governing
body consisting of 10 members: nine voting members and one
nonvoting member. The nonvoting member shall be the Director
of the Orange County Health Care Agency. The nine voting
members shall be nominated by the Orange County Health Care
Agency and appointed by a majority vote of the Board of
Supervisors of the County of Orange and shall consist of the
following:
(1) Two members shall each be a member of the Board of
Supervisors of the County of Orange, with one additional member
of the Board of Supervisors of the County of Orange to serve as
an alternate.
(2) One member shall be a current or former hospital
administrator.
(3) One member shall be a representative of a community clinic.
(4) One member shall be a member of the public who is a legal
resident of the County of Orange.
(5) One member shall be a practicing licensed medical provider
who is not an owner or officer, or a member of the board of
directors, of a contracted independent physician's association or
provider network.
(6) One member shall be a current CalOptima member or a
family member of a current CalOptima member.
(7) One member shall be an accounting or public finance
professional, or an attorney who is an active member of the State
Bar.
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1 (8) One member shall be a practicing licensed physician who
2 is a representative of a contracted independent physician's
3 association or provider network.
4 (b) Each member of the governing body shall reside in, or be
5 employed in, the County of Orange and shall be generally
6 representative of the diverse backgrounds, interests, and
7 demography of persons residing in the County of Orange. Each
8 member of the governing body shall have a commitment to a health
9 care system that seeks to improve access to high-quality health
10 care for persons served by the commission and that in fact delivers
11 high-quality care and is financially viable. Each member shall
12 possess the requisite skills and knowledge necessary to design and
13 operate a quality publicly assisted health care delivery system.
14 (c) (1) Members of the governing body of the commission shall
15 serve four-year terms, except for those members who are members
16 of the Board of Supervisors of the County of Orange who shall
17 serve a one-year term.
18 (2) A member of the governing body described in any of
19 paragraphs (2) to (8), inclusive, of subdivision (a) shall serve no
20 more than two consecutive terms. This limitation shall apply only
21 to service for consecutive terms. No other limitation on the number
22 of terms a person may serve is intended.
23 (3) A member of the governing body of the commission may
24 be removed from the governing body by a vote in favor of that
25 removal of at least two-thirds of the full membership of the Board
26 of Supervisors of the County of Orange.
27 (d) The governing body of the commission, subject to a
28 two-thirds vote of the full membership, may increase the number
29 of public members, or the number of members who are current
30 CalOptima members or family members of current CalOptima
31 members who may serve as a member of the governing body,
32 subject to an affirmative vote by a majority of the Board of
33 Supervisors of the County of Orange, provided, however, that a
34 change in the composition of the governing body under this
35 subdivision shall not result in the elimination of any member
36 described in subdivision (a).
37 (e) Each member of the governing body shall have the
38 responsibility and duty to follow the requirements of applicable
39 federal and state laws and regulations, to serve the public interest
40 of the members of CalOptima, and to ensure the operational
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1 well-being and fiscal solvency of the Orange County Health
2 Authority. Members of the governing body shall further strive to
3 improve health care quality, promote prevention and wellness,
4 ensure the provision of cost-effective health and mental health
5 care services, and reduce health disparities. The Orange County
6 Health Authority shall work to earn the public's trust through its
7 commitment to accountability, responsiveness, transparency,
8 reliability, and cooperation.
9 ()9 This section shall remain in effect only until January], 2023,
10 and as of that date is repealed, unless a later enacted statute that
11 is enacted before January 1, 2023, deletes or extends that date.
12 SEC. 3. The Legislature finds and declares that a special statute
13 is necessary and that a general statute cannot be made applicable
14 within the meaning of Section 16 of Article IV of the California
15 Constitution because of the unique circumstances applicable to
16 the County of Orange with respect to the operation and governance
17 of the Orange County Health Authority, which is a county
18 organized health system known as CalOptima.
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