Morning Breakouts

Latest California Healthline Stories

Calif. Moves 630K Low Income Health Program Enrollees To Medi-Cal

The California Department of Health Care Services has transferred more than 630,000 beneficiaries from the state’s Low Income Health Program into Medi-Cal. State officials estimate that approximately 24,000 LIHP enrollees will be moved to Covered California instead of the state’s Medicaid program. San Jose Mercury News, Sacramento Business Journal.

Calif.-Based Dignity Health Denied Motion To Dismiss Pension Class-Action Lawsuit

Last month, a federal judge denied a motion to dismiss a class-action lawsuit alleging that San Francisco-based hospital operator Dignity Health is underfunding its pension plans by $1.2 billion. Filed on behalf of 60,000 Dignity Health employees in April, the lawsuit alleges that the company claims its pension plans are “church plans” and thus exempt from federal ruling. Sacramento Business Journal.

Court Orders South Pasadena Cosmetic Surgeon To Stop ‘Balance Billing,’ Issues $562K Fine

The Los Angeles Superior Court has ordered South Pasadena emergency cosmetic surgeon Jeannette Martello to stop the practice of so-called “balance billing,” in which she charged patients for balances disputed by their health plans. Martello was fined $562,000 and sentenced to five days in jail. The Department of Managed Health Care filed a cease and desist order against Martello in 2010. Healthcare Payer News.

Medicare Requires Mental Health Parity; Provider Shortage Remains

As of Wednesday, Medicare is required to reimburse providers by 80% for mental health care treatments, bringing payments in line with other medical services. However, the change does not address the shortage of mental health professionals who are trained to work with elderly individuals. New York Times‘ “The New Old Age,” USA Today.

Key Healthcare.gov Official Announces Retirement

CMS Chief Operating Officer Michelle Snyder, who was integral in the implementation of the federal health insurance exchange website, retired last week. Snyder was in charge of Medicare’s day-to-day activities and the allocation of resources, such as budget and personnel. In addition, technology experts tasked with building the federal exchange website reported to her, and she was “actively involved” in efforts to resolve the site’s glitches. Snyder is the second administration official to depart since the site’s launch. Snyder’s deputy, Tim Love, will take over as acting COO.

Covered California Health Plan Applicants Confused by Lack of Enrollment Confirmation

Consumers who purchased health plans through Covered California and did not receive enrollment confirmation are concerned that their applications were not processed correctly. However, Covered California officials say that individuals who enrolled online should be able to check the status of their application by accessing their account on the state health insurance exchange website. In addition, exchange officials say that individuals who submitted paper applications should receive confirmation by mail. California HealthCare Foundation Center for Health Reporting/Sacramento Bee.

Calif. Supreme Court Upholds State Law Compelling Pharmacy Benefit Managers To Disclose Their Pricing

The California Supreme Court has upheld a 1984 state law requiring pharmacy benefit managers to disclose their pricing data. In 2002, five independent pharmacies filed a class-action lawsuit to compel WellPoint’s PBM subsidiary and other drug benefit service providers to comply with the law. The defendants argued that the forced disclosure was unlawful under the First Amendment. The court ruled that while the state law does implicate free speech, PBM pricing disclosures still can be regulated because such information is factual and related to commerce. Government Health IT.

Report Finds ACA Will Leave Many Californians Uninsured

A California HealthCare Foundation report estimates that about 3.1 million state residents will remain uninsured even after major provisions of the Affordable Care Act are implemented. The report also finds that the percentage of California residents who received health coverage through their jobs dropped from 63% in 1988 to 54% last year. Modesto Bee

Calif. Medical License Revocations Highest in Decade

In fiscal year 2013, the California Medical Board revoked 58 medical licenses, while another 80 physicians chose to relinquish their licenses rather than fight accusations against them, according to new state data. The new figures mark the highest number of revocations and surrenders in the last 10 years and are about 35% higher than the average for the last decade. CMB spokesperson Cassandra Hockenson said the increase stems from a new Prescription Drug Strike Force, which is tasked with identifying physicians who are illegally prescribing controlled substances. Sacramento Bee.

Steinberg Seeks $50M To Restore Mental Health Grant Program

California Senate President Pro Tempore Darrell Steinberg has announced that he will attempt to allocate $50 million to a grant program to keep prisoners with mental health issues from reoffending. However, reinstating the funding could depend on whether Gov. Brown can obtain another delay in a federal order to reduce prison overcrowding. Capital Public Radio’s “KXJZ News” et al.