Morning Breakouts

Latest California Healthline Stories

USC Medical School Secures $150M Keck Foundation Gift

On Monday, the W.M. Keck Foundation is expected to announce a donation of $150 million to the University of Southern California medical school. The funding will be doled out over 20 years and will go toward boosting medical research at the medical school, USC University Hospital and USC Norris Cancer Center. Los Angeles Times.

Lawmakers OK Bill To Extend Nursing Home Payment Structure

The state Senate has passed a measure that will extend a nursing home payment structure by one year and allow nursing homes to face a temporary 7.6% Medi-Cal rate cut instead of the 10% cut hitting other health care providers. Sacramento Bee‘s “Capitol Alert,” California Watch.

Senators Urge Investigation of Physician-Owned Entities

Five senators recently asked HHS’ Office of Inspector General to investigate physician-owned distributorships to determine whether they violate anti-kickback statutes or federal fraud and abuse laws. Distributorships market and distribute medical devices to hospitals in exchange for a commission on the sale. According to a Senate Finance Committee report compiled by Sen. Orrin Hatch’s office, physician-owned distributorships create “financial incentives for physician investors to use those devices that give them the greatest financial return.” Wall Street Journal.

California Hospital News Roundup for the Week of June 10, 2011

After four years of negotiations, the Palo Alto City Council has approved Stanford University’s $5 billion hospital expansion project. Meanwhile, Doctors Medical Center in San Pablo is considering declaring bankruptcy for a second time if it does not secure new funding.

State Senate To Hold Weekend Negotiations on Budget Deficit

California’s Senate plans to meet over the weekend to work out a compromise on proposed tax extensions and other budget measures. Lawmakers face a constitutional deadline to pass a balanced budget plan by June 15. AP/San Francisco Chronicle et al.

Study Cites Problems With Overhaul of San Diego HHS

A study conducted by San Diego State University has identified problems stemming from a restructuring project at the San Diego County Health and Human Services Agency. Employees say the re-engineering project has weakened efforts to help indigent residents of the county. According to the report, a computer software program has not improved accuracy in determining eligibility for food stamps or Medi-Cal, California’s Medicaid program, and workers at the agency often are unable to locate client records on a computer that now stores them. San Diego Reader.

Many Senate Democrats Resist Making Changes to Medicaid Program

Forty-one Democratic senators have sent correspondence to the White House signaling their opposition to making changes to Medicaid. However, key Senate Democrats did not sign the letters, possibly indicating they could support efforts to adjust Medicaid. Politico et al.

Blue Shield Announces $6.9M in Grants for Second Quarter

On Thursday, the Blue Shield of California Foundation announced it is providing about $6.9 million in second-quarter 2011 grants. The majority of the funding will go toward strengthening leadership of state community clinics and domestic violence safety-net programs. The announcement comes after Blue Shield of California Chair and CEO Bruce Bodaken said the insurer would cap profits at 2% and return excess funds to policyholders. San Francisco Business Times.

Adult Day Health Center in Sacramento To Close Doors

The Robertson Adult Day Health Care Center in Sacramento will shutter on Friday. Jim McDonald — a physical therapist who owns the center — said expected cuts in state funding and the cost of adhering to state staffing rules contributed to the closure. The center provides services for about 110 elderly residents and others with developmental or physical disabilities. Sacramento Bee.

Texas, Oregon Planning To Set Up State Health Insurance Exchanges

Despite Texas Gov. Rick Perry’s opposition to the federal health reform law, the state has been taking steps to implement a health insurance exchange. Meanwhile, Oregon Gov. John Kitzhaber is expected to sign a bill establishing an exchange. New York Times, CQ HealthBeat.