Latest California Healthline Stories
Exchange Rates Make ‘Great Day For California’
Covered California, the state’s health benefit exchange, yesterday announced a rate structure for its health insurance plans that came in at a much more affordable price than first projected.
That was great news for exchange officials and it accounted for much of the pomp around that rare circumstance during yesterday’s announcement.
“This is really a great day for California,” said Diana Dooley, secretary of the state’s Health and Human Services agency and chair of the Covered California board. “We have come a long way and we have a long way to go,” she said. “We are moving to make Californians healthier and give them the financial security they need.”
Task Force To Examine Developmental Centers
Diana Dooley, secretary of the state’s Health and Human Services agency, yesterday announced formation of a task force to take a hard look at the viability of closing four developmental centers in California.
“I don’t know if the four developmental centers we operate can all close,” Dooley said. “I want to hear from the stakeholders with an open mind. Clearly there is a problem with these centers, but we also have to address the fiscal issues. If they cannot operate, then we should look at a timeline for closing them.”
Developmental centers in California have come under fire recently — with allegations of chronic abuse of patients, investigations by multiple government agencies and loss of federal certification. The state has taken a number of steps, particularly at Sonoma Developmental Center, to investigate possible abuses and improve safety of the centers’ clients.
San Francisco Leading the Way in Health Data Applications
The city of San Francisco is leading the way in using health data in innovative ways and it’s paying off in a big way, according to several city officials who spoke yesterday at the Healthy Communities Data Summit.
The summit was held in San Francisco and that meant a number of success stories were local, but the conference cast a wide net in its approach to innovation prompted by public release of health data.
“We have so many compelling examples of how free data can help health practices,” said summit panelist Cheryl Wold, owner of Wold and Associates, a community health consulting firm based in Pasadena. “More and more people are using that data to create health solutions.”
Administrative Change for High-Risk Subscribers
The Pre-Existing Condition Insurance Plan (PCIP), a federally-funded, state-run interim program, is moving from state to federal oversight for the rest of the year.
A high-risk pool for people unable to secure health care insurance under pre-Affordable Care Act rules, PCIP is temporary because the new federal reform law prohibits insurers from denying coverage based on pre-existing conditions.
Now the “state-run” part of that program is also on its way out, as California will shift control and management of the program to federal officials, according to administrators at the Managed Risk Medical Insurance Board (MRMIB), which currently runs PCIP in California.
Federal Ruling, State Law May Conflict
In 2011, the Legislature went along with the governor’s plan to cut Medi-Cal provider rates by 10%. Provider groups immediately went to the courts to stop it, saying that patient access to care would be threatened by such a severe reduction. Now the final decision rests with a federal judge. A ruling is expected soon.
If a federal judge signs off on the law, Medi-Cal providers in California will have rates cut by 10% and also will need to pay back two years’ worth of that 10% reduction. The effect would be a 15% rate cut for the next four years and a 10% cut thereafter.
The 10% cut represents about $600 million a year to the California budget.
Assembly Approves Race, Ethnicity in Quality Reporting
The Assembly yesterday passed a bill that requires state officials to include race and ethnicity when compiling health care quality data.
AB 411 by Assembly member Richard Pan (D-Sacramento) would not create any kind of difficulty for state officials, since that data already exists, according to Pan. The point is to make state officials use it, Pan said.
“It’s similar to the way MRMIB (Managed Risk Medical Insurance Board) used to analyze Healthy Families data,” Pan said. “This is a vital thing that we need to do.”
How Exchange Hopes To Reach Enrollees
Covered California exchange officials on Tuesday awarded $37 million in outreach grants to 48 community-based organizations. Those groups all have a wide reach, and represent a much bigger bloc of community organizations, according to Peter Lee, executive director of the California Health Benefit Exchange, now known as Covered California.
“We are talking about 250 organizations within these 48 groups,” Lee said. “We encourage them to work together so what you’re seeing here is partnership.”
Lee said applicants were encouraged to aim high, because the exchange wants to reach as many people as possible and so much of the target market — a multi-cultural, low-income and multilingual population — is difficult to reach.
State Still Looks to Dun County Funds in Medi-Cal Expansion Proposal
The optional expansion of Medi-Cal will be administered using a state-based approach rather than the county-based plan being considered by California officials, the governor said yesterday when he proposed his May revise, the mid-year revision of the state budget.
That comes as welcome news to county health officials who have cautioned for months that a county-based system would be more confusing and costly than a state-based approach.
Gov. Jerry Brown listened, apparently.
“We want to do it generously, and boldly,” Brown said of the optional expansion. “There are some questions out there, so we want to do it prudently. It’s a matter of equity, and it’s something we’ll work out over the next few years.”
Stop-Loss Bill Heads for Senate Floor Vote
The Senate Committee on Appropriations yesterday approved a bill to ban a certain type of selection criteria when insurers issue stop-loss health care coverage to small employers.
The bill was one of a small mountain of bills before the Appropriations committee yesterday. The policy committees have finished their legislative work for this session, and bills need to either clear Appropriations this week or be put on suspense to wait for next session. The committee yesterday put 76 proposed laws on the suspense file.
Health Information Sharing Deal Announced
The health information world in California is getting more connected. Many large and small HIE networks have signed an agreement to share information, state officials announced last week at the annual HIE Summit in Sacramento.
“We have been working with the leadership of HIE around California to help them establish self-governance of exchanges across the state,” said Pamela Lane, deputy secretary of health information exchange for the state’s Health and Human Services agency.
Lane said there has been an information-sharing gap between the large HIE systems — such as Kaiser, the Veterans Administration and Sutter Health — and the smaller, community HIE systems. Getting those disparate groups to agree to share information has been difficult, she said.