Amended in Senate May 24, 2013

Amended in Senate April 22, 2013

Amended in Senate April 16, 2013

Senate BillNo. 509


Introduced by Senators DeSaulnier and Emmerson

February 21, 2013


An act to add Section 1043 to the Government Code, relating to health care coverage, and declaring the urgency thereof, to take effect immediately.

LEGISLATIVE COUNSEL’S DIGEST

SB 509, as amended, DeSaulnier. California Health Benefit Exchange: background checks.

Under the federal Patient Protection and Affordable Care Act (PPACA), each state is required, by January 1, 2014, to establish an American Health Benefit Exchange that makes available qualified health plans to qualified individuals and small employers. Existing state law establishes the California Health Benefit Exchange (Exchange) within state government, specifies the powers and duties of the executive board governing the Exchange, and requires the board to facilitate the purchase of qualified health plans through the Exchange by qualified individuals and small employers by January 1, 2014. Existing law creates the California Health Trust Fund as a continuously appropriated fund for the administrative and operational expenses of the Exchange.

This bill wouldbegin delete authorizeend deletebegin insert requireend insert the boardbegin delete to require, andend delete to submit to the Department of Justice, fingerprint images and related information of employees, prospective employees, contractors, subcontractors, volunteers, or vendorsbegin insert whose duties include or would include access to specified informationend insert for the purposes of obtaining prescribed criminal history information.begin insert The bill would require the board to require any services contract, interagency agreement, or public entity agreement, that includes or would include access to those types of information to include a provision requiring the contractor to agree to criminal background checks on its employees, contractors, agents, and subcontractors who will have access to that information as part of their services contract, interagency agreement, or public entity agreement.end insert The bill would require the department to forward to the Federal Bureau of Investigation (FBI) requests for federal summary criminal history information, and would require the department to review the information returned from the FBI and compile and disseminate a response to the board. The bill would require the department to charge a fee sufficient to cover the costs of processing requests pursuant to the bill.

This bill would declare that it is to take effect immediately as an urgency statute.

Vote: 23. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Section 1043 is added to the Government Code,
2to read:

3

1043.  

(a) begin insert(1)end insertbegin insertend insert The executive board of the California Health
4Benefit Exchange, as established by Section 100500,begin delete may require,
5and mayend delete
begin insert shall, consistent with federal guidance applicable to
6state-based exchanges,end insert
submit to the Department of Justice,
7fingerprint images and related information required by the
8Department of Justice of all employees, prospective employees,
9 contractors, subcontractors, volunteers, or vendorsbegin insert whose duties
10include or would include access to confidential information,
11personal identifying information, personal health information,
12federal tax information, financial information, or any other
13information as required by federal law or guidance applicable to
14state-based exchangesend insert
for the purposes of obtaining information
15as to the existence and content of a record of state or federal
16convictions and also information as to the existence and content
17of a record of state or federal arrests for which the Department of
18Justice establishes that the person is free on bail or on his or her
19 recognizance pending trial or appeal.

begin insert

P3    1(2) The board shall require any services contract, interagency
2agreement, or public entity agreement that includes or would
3include access to information described in paragraph (1), and
4entered into, renewed, or amended on or after the effective date
5of this section, to include a provision requiring the contractor to
6agree to criminal background checks on its employees, contractors,
7agents, or subcontractors who will have access to information
8described in paragraph (1) as part of their services contract,
9interagency agreement, or public entity agreement with the board.

end insert

10(b) The Department of Justice shall forward to the Federal
11Bureau of Investigation requests for federal summary criminal
12history information received pursuant tobegin insert paragraph (1) ofend insert
13 subdivision (a). The Department of Justice shall review the
14information returned from the Federal Bureau of Investigation and
15compile and disseminate a response to the board.

16(c) The Department of Justice shall provide a state or federal
17level response to the board pursuant tobegin delete paragraph (1) ofend delete subdivision
18(p) of Section 11105 of the Penal Code.

19(d) The board shall request from the Department of Justice
20subsequent notification service, as provided pursuant to Section
2111105.2 of the Penal Code, for persons listed inbegin insert paragraph (1) ofend insert
22 subdivision (a).

23(e) The Department of Justice shall charge a fee sufficient to
24cover the cost of processing requests pursuant to this section.

25

SEC. 2.  

This act is an urgency statute necessary for the
26immediate preservation of the public peace, health, or safety within
27the meaning of Article IV of the Constitution and shall go into
28immediate effect. The facts constituting the necessity are:

29In order to be operational to begin preenrollment in the fall of
302013, the California Health Benefit Exchange has already begun
31the process of recruiting staff for its service center. The California
32Health Benefit Exchange will also be contracting with
33community-based organizations that will employ in-person
34 assisters. Fingerprinting and background checks will be needed as
35a condition of employment and certification. For these reasons, it
36is necessary for this act to take effect immediately.



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