Latest California Healthline Stories
Creation of Health Insurance Exchanges Posing Challenges
Many states are encountering challenges in setting up electronic health insurance exchanges as mandated under the federal health reform law. States will need to coordinate the exchanges with Medicaid and the Children’s Health Insurance Program. However, many officials and agencies charged with developing the exchanges are waiting on HHS regulations governing setup and operation. HHS plans to release the regulations in late spring. Politico.
Medi-Cal To Face Strain From State Budget Cuts, End of Stimulus Funding
Lawmakers recently approved $1.6 billion in cuts to Medi-Cal, and federal stimulus funding for the program soon will dry up. The funding losses likely will create challenges as California attempts to expand Medi-Cal under the federal health reform law. Orange County Register.
CalPERS Seeing Savings, Positive Outcomes From New ACO Pilot Program
CalPERS recently announced that its accountable care organization pilot program is contributing to reductions in hospital stays and readmissions. The pension fund said the pilot could lead to $15.5 million in health care savings. San Francisco Business Journal, Modern Healthcare.
More Details Emerging From Federal Budget Agreement for FY 2011
More details have been revealed from the long-term federal spending pact for fiscal year 2011 that was agreed to last week. The Health Resources and Services Administration would be stripped of $1.2 billion, the largest health-related funding cut in the package. Washington Post et al.
Orange County First 5 Group Lawsuit Fights Funding Shift
The Children and Families Commission of Orange County has filed a lawsuit challenging legislation that would shift $1 billion statewide away from the First 5 program’s early childhood development services to health care programs. Funding for the First 5 program — which uses cigarette tax-generated revenue to fund early childhood health and education programs — was approved by voters in 1998 through Proposition 10. Three other counties have filed legal challenges to the funding shift, and more counties also could do so. California Watch, Voice of OC.
Assembly Speaker Says State Should Not Pursue All-Cuts Budget Plan
Assembly Speaker John Pérez recently said that closing California’s deficit entirely with spending cuts should be out of the question. Pérez is pushing for a legislative vote on Gov. Brown’s tax measure, which voters could ratify at a later time. Contra Costa Times et al.
Sequoia Healthcare District To Disburse $4.1M in Grants
Sequoia Healthcare District recently announced plans to distribute $4.1 million in grants during the fiscal year that will begin on July 1. Of that funding, $2 million will go to support public health and dental clinics run by the San Mateo County Health Services Agency. Another $1.5 million will go to 27 not-for-profit organizations as part of the health care district’s Caring Community Grant program. San Francisco Business Times.
Physical Therapist Legislation Takes Heat From Opponents
Physical therapists are protesting a bill, by Assembly member Mary Hayashi, that would allow physicians and medical corporations to employ licensed physical therapists. Opponents say the measure could wind up adding to treatment costs and lead to conflict-of-interest issues because physicians could refer patients to therapists in their own practice. Proponents of the measure say it would help formalize the relationship between physicians and physical therapists. Merced Sun-Star.
Questions Raised Over Salary of Palomar Pomerado’s CEO
More than 200 community residents have signed petitions raising questions about the salary paid to Palomar Pomerado Health CEO Michael Covert. According to data from the state controller’s office, Covert received more than $1.1 million in annual compensation for 2009, making him the second-highest paid public worker in California. Palomar Pomerado Health officials said the high salary is necessary because they must compete with the private and not-for-profit sector to recruit the best hospital administrators. San Diego Union-Tribune.
Nursing Home Operator To Explore Sale of Company
Skilled Healthcare Group has hired J.P. Morgan Securities to explore strategic options, which include a possible sale of the company’s real-estate assets or of the entire company. Skilled Healthcare operates about 100 nursing home and assisted living facilities in California and six other states, and it also offers rehabilitation therapy, hospice care and home health care services. Reuters, Orange County Business Journal.