BILL ANALYSIS                                                                                                                                                                                                    






                        SENATE HEALTH AND HUMAN SERVICES
                               COMMITTEE ANALYSIS
                        Senator Deborah V. Ortiz, Chair


          BILL NO:       SB 765                                       
          S
          AUTHOR:        Chesbro                                      
          B
          AMENDED:       As Introduced
          HEARING DATE:  April 4, 2001                                
          7
          FISCAL:        Appropriations                               
          6
                                                                      
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          CONSULTANT:                                                
          Flores / ak
                                        

                                     SUBJECT
                                         
                 Child Health and Disability Prevention Program

                                     SUMMARY  

          Requires the Department of Health Services to develop the  
          minimum standards for the Child Health and Disability  
          Prevention Program based on the most current  
          "Recommendations for Preventative Pediatric Health Care" of  
          the American Academy of Pediatrics. 

                                     ABSTRACT  

          Existing law:
          1.Establishes the Child Health and Disability Prevention  
            Program (CHDP) that provides and promotes preventive  
            health services for the early detection and prevention of  
            disease and disabilities in children and youth.

          2.Establishes the eligibility of the CHDP for children who  
            are enrolled in Medi-Cal and are 20 years of age or  
            younger; are without health insurance, are 18 years of  
            age or younger and live in families with incomes up to  
            200 percent of the federal poverty level; are enrolled in  
            Head Start or State Preschool.
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          STAFF ANALYSIS OF SENATE BILL 765 (CHESBRO)           Page  
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          3.Requires the Department of Health Services (DHS) to  
            administer the program and adopt minimum standards for  
            the approval of community child health and disability  
            prevention programs and regulations as necessary.

          4.Requires the standards, rules, and regulations may be  
            adopted only with the advice and written recommendations  
            of the State Maternal, Child, and Adolescent Health  
            Board.





          This bill:
          1.Requires DHS to develop the standards based on the most  
            current "Recommendations for Preventative Pediatric  
            Health Care" of the American Academy of Pediatrics (AAP).  
             

          2.Requires the standards be updated as necessary to be  
            consistent with any changes made by the AAP.

                                  FISCAL IMPACT  

          The bill would result in significant annual costs estimated  
          to be $8.6 million ($6.7 million General Fund) in 2001-2002  
          to expand the number of health assessments provided in the  
          CHDP and fee-for-service Medi-Cal programs.

                            BACKGROUND AND DISCUSSION  

          Intent of the bill:
          The author states that the intent of the bill is to ensure  
          that children in the CHDP, including those eligible for  
          Medi-Cal, receive well child health assessments consistent  
          with current standards of practice as recommended by the  
          American Academy of Pediatrics (AAP).  When the CHDP  
          program began in 1974, the schedule for preventive health  
          assessments did conform to the recommendations of the AAP,  
          but the standards have not been updated in over ten years.   
          Adopting the AAP periodicity schedule for CHDP and  
          fee-for-service Medi-Cal would provide up to five  
          additional screens for children ages 0 to 12, and up to six  
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          additional screens for ages 13 to 20 years.  The author  
          adds that this change would make the program consist with  
          existing practice in other publicly funded health programs.

          Background:
          The updated AAP standards have been adopted by the Medi-Cal  
          Managed Care plans and the Healthy Family Program health  
          plans, as well as commercial insurance plans.  However,  
          children enrolled in the CHDP or fee-for-service Medi-Cal  
          Program are not covered by these updated standards.  The  
          federal Health Care Financing Administration (HCFA) has  
          notified California that it is concerned about this  
          discrepancy because children enrolled in Medi-Cal are  
          treated differently under CHDP than in Medi-Cal Managed  
          Care.

          Senate Budget and Fiscal Review Subcommittee #3:
          On March 12, 2001, the Subcommittee #3 of the Senate Budget  
          and Fiscal Review Committee added $8.6 million ($6.7  
          million General Fund) to update the periodicity schedule  
          for the CHDP.
























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          Letters of support and opposition:
          The California Medical Association (CMA) is the sponsor of  
          SB 765 and writes that the AAP has revised its  
          recommendations several times since 1975.  For example,  
          newborns are now frequently discharged from the hospital  
          within 24-48 hours after delivery.  As a 


          result, critical physiological assessments done between 48  
          and 72 hours of age are not commonly conducted in the  
          hospital anymore.  As such, the AAP added a health  
          assessment visit at two-four days of age to assess and  
          examine newborn infants.  The CMA adds that the bill also  
          would increase the opportunity to access the uninsured  
          population by creating new opportunities to enroll eligible  
          children into the Health Families and Medi-Cal programs.   
          The California Children's Lobby writes that the AAP is the  
          recognized authority on health care for children and it is  
          only fitting that the CHDP reflect these standards of  
          excellence.

          The Capitol Resource Institute writes in opposition  
          believing SB 765 sets a dangerous precedent because it  
          grants an unelected body to set state standards according  
          to its own criteria and guidelines.  Child and Family  
          Protection Association is opposed for similar reasons.

                                    POSITIONS  

          Support:       California Medical Association (sponsor)
                         California Children's Lobby
                         California Primary Care Association
                         Children's Specialty Care Coalition

          Oppose:   Capitol Resource Institute
                         Child and Family Protection Association






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