BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 1466| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: SB 1466 Author: Mitchell (D) Amended: 5/31/16 Vote: 21 SENATE HEALTH COMMITTEE: 9-0, 4/6/16 AYES: Hernandez, Nguyen, Hall, Mitchell, Monning, Nielsen, Pan, Roth, Wolk SENATE HUMAN SERVICES COMMITTEE: 5-0, 4/12/16 AYES: McGuire, Berryhill, Hancock, Liu, Nguyen SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/27/16 AYES: Lara, Bates, Beall, Hill, McGuire, Mendoza, Nielsen SUBJECT: Early and Periodic Screening, Diagnosis, and Treatment Program: trauma screening SOURCE: Californians for Safety and Justice Youth Law Center DIGEST: This bill requires screening services provided under the Early and Periodic Screening, Diagnosis, and Treatment Program (EPSDT) to include screening for trauma, as defined, at all screenings. Requires a child who is removed from the custody or care of his or her parent or legal guardian to be assessed by the county mental health plan for specialty mental health services. ANALYSIS: Existing law: SB 1466 Page 2 1)Establishes the Medi-Cal program, administered by the Department of Health Care Services (DHCS), under which qualified low-income individuals receive health care services. 2)Establishes a schedule of benefits under the Medi-Cal program, which includes EPSDT for any individual under 21 years of age, consistent with federal Medicaid requirements. Defines, through regulation, "screening services" for purposes of EPSDT to mean: a) An initial, periodic, or additional health assessment of a Medi-Cal eligible individual under 21 years of age provided in accordance with the requirements of the Child Health and Disability Prevention (CHDP) program; b) A health assessment, examination, or evaluation of a Medi-Cal eligible individual under 21 years of age by a licensed health care professional acting within his or her scope of practice, at intervals other than the CHDP intervals, to determine the existence of physical or mental illnesses or conditions; or c) Any other encounter with a licensed health care professional that results in the determination of the existence of a suspected illness or condition or a change or complication in a condition for a Medi-Cal eligible person under 21 years of age. 3)Requires mental health plans to provide specialty mental health services to eligible Medi-Cal beneficiaries, including both adults and children. Includes EPSDT within the scope of specialty mental health services for eligible Medi-Cal beneficiaries under the age of 21 pursuant to federal Medicaid law. 4)Requires DHCS, in collaboration with the California Health and Human Services Agency, and in consultation with the Mental Health Services Oversight and Accountability Commission, to create a plan for a performance outcome system for EPSDT mental health services provided to eligible Medi-Cal beneficiaries under the age of 21 This bill: 1)Requires, consistent with federal law, screening services SB 1466 Page 3 provided under the EPSDT benefit to include screening for trauma at all screenings. 2)Defines "trauma," as any physiological response to an event, series of events, or set of circumstances that is experienced by an individual as physically or emotionally harmful or life threatening and that has lasting adverse effects on the individual's functional and mental, physical, social, emotional, or spiritual well-being. 3)Requires a child who is removed from the custody or care of his or her parent or legal guardian pursuant to specified provisions of existing law to be assessed by the county mental health plan for specialty mental health services. Comments 1)Author's statement. According to the author, adverse childhood experiences (ACEs) are potentially traumatic events that can have negative, lasting effects on health and well-being. These experiences range from physical, emotional, or sexual abuse to parental divorce or the incarceration of a parent or guardian. A growing body of research has sought to quantify the prevalence of adverse childhood experiences and illuminate their connection with negative behavioral and health outcomes, such as obesity, alcoholism, and depression, later in life. Children in foster care have suffered from abuse, neglect or exploitation, and have suffered secondary trauma as a result of being removed from their parents. Research clearly shows that nearly all children associated with Child Welfare systems have an underlying condition of complex trauma as a result of an adverse childhood experience. At a minimum this underlying condition contributes to the poor outcomes - social, educational and health - for foster children. This bill requires that existing screenings under EPSDT to include a trauma screen. Additionally, this bill includes child abuse and neglect and removal from the home by a child welfare agency as evidence of trauma. 2)EPSDT. The EPSDT benefit provides comprehensive screening, diagnostic, treatment, and preventive health care services for children under age 21 who are enrolled in Medi-Cal, and is key SB 1466 Page 4 to ensuring that children who are eligible for EPSDT services receive appropriate preventive, dental, mental health, developmental, and specialty services. Federal Medicaid law defines the EPSDT benefit to include a comprehensive array of preventive, diagnostic, and treatment services for low-income children under age 21. States are required to provide coverage of any services listed in a section of the federal Medicaid Act to children who are eligible for EPSDT services when the services are determined to be medically necessary to correct or ameliorate any physical or behavioral conditions. The EPSDT benefit is more robust than the Medi-Cal benefit package provided to adults and is designed to ensure that eligible children receive early detection and preventive care in addition to medically necessary treatment services, so that health problems are averted or diagnosed and treated as early as possible. Medi-Cal managed care plans are required to cover and ensure the provision of screening, preventive, and medically necessary diagnostic and treatment services for individuals under the age of 21 (including EPSDT), except certain services are "carved out" of the plan. For individuals enrolled in Medi-Cal managed care, the Medi-Cal managed care is responsible for "mild to moderate" mental health coverage, while more severe mental health conditions are "carved out" and are the responsibility of the county specialty mental health plan (MHP). 3)Specialty mental health "carve out." The Medi-Cal Specialty Mental Health Services Program is "carved-out" of the broader Medi-Cal program and is administered by DHCS under a federal waiver approved by the Centers for Medicare and Medicaid Services (CMS). DHCS contracts with an MHP in each county to provide or arrange for the provision of Medi-Cal specialty mental health services. All MHPs are county mental health departments. Specialty mental health services are a Medi-Cal entitlement services for adults and children that meet medical necessity criteria, which consist of having a specific covered diagnosis, functional impairment, and meeting intervention criteria. MHPs must certify that they incurred a cost before seeking federal reimbursement through claims to the State. MHPs are responsible for the non-federal share of Medi-Cal specialty mental health services. Mental health services for Medi-Cal beneficiaries who do not meet the criteria for SB 1466 Page 5 specialty mental health services are provided under the broader Medi-Cal program either through managed care plans (by primary care providers within their scope of practice) or fee-for-service (for children exempt from mandatory enrollment in Medi-Cal managed care). Children's specialty mental health services are provided under the federal requirements of EPSDT benefit, which is available to full-scope beneficiaries under age 21. DHCS has reported data on the number of children and youth eligible to receive Medi-Cal services in 2013-14 as slightly over 6 million. Of these 6 million children, 262,318 received specialty mental health services, for a penetration rate of 4.4%. The count of children and youth with 5 or more specialty mental health visits was 201,192, for a penetration rate of 3.3%. The average per beneficiary expenditure for approved services in 2013-14 was $6,092. FISCAL EFFECT: Appropriation: No Fiscal Com.:YesLocal: No According to the Senate Appropriations Committee: 1)Increased costs in the low millions per year for additional screening provided to Medi-Cal eligible children (General Fund [GF] and federal funds). Under current federal and state law, children enrolled in Medi-Cal are eligible for the Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) benefit. This benefit covers screening for both physical and mental health issues. By specifically requiring screening for trauma, the bill is likely to increase the costs to provide screening services due to additional time spent by providers with eligible children. It is not clear to what extent children are already being screened for trauma. It is likely that the specific requirement in the bill will lead to increased focus on trauma during screening. For example, if the cost to SB 1466 Page 6 provide trauma screening increased the overall cost of screening under EPSDT by 5%, the cost would be about $2 million per year. 2)Increased costs of $5 million to $10 million per year to provide assessments for specialty mental health services by county mental health plans (GF and federal funds). The bill would require all children who have been removed from the home to be assessed by a county mental health plan for specialty mental health services. There are about 15,000 new foster care placements per year in the stat. The cost to provide an assessment for specialty mental health services is around $500. 3)Likely increase in specialty mental health services in the hundreds of millions per year (GF and federal funds). Under the bill, about 6.5 million children are likely to get additional screening for trauma. Currently, there is a very low rate of utilization of specialty mental health services by Medi-Cal eligible children. It is likely that the requirement for additional screening in the bill will result in a significant number of children receiving being referred for specialty mental health services who are not currently receiving those services. Currently, 4.4% of children receive specialty mental health services, at an average annual costs of $6,000. If 5% of the children who are likely to be found to have experienced trauma under the bill are subsequently found to be eligible for specialty mental health services, the cost would be about $500 million per year. 4)Unknown potential future costs savings for Medi-Cal services (GF, federal funds, local funds). Under the bill, it is likely that a significant number of Medi-Cal children will be determined to have experienced trauma and are in need of mental health services - over and above those who are currently being identified. By identifying those children, it is possible that early mental health interventions could improve those children's long-term prognoses and reduce future costs, such as psychiatric hospitalizations and other health care costs associated with trauma (for example health care services related to alcohol or substance abuse). The extent to which those would occur is unknown. SB 1466 Page 7 SUPPORT: (Verified5/31/16) Californians for Safety and Justice (co-source) Youth Law Center (co-source) Advokids Alliance for Children's Rights California Alliance of Child and Family Services California Pan-Ethnic Health Network Children Now County Welfare Directors Association of California Fight Crime Invest in Kids California Futures Without Violence National Health Law Program San Luis Obispo County Department of Social Services Western Center on Law and Poverty Youth Law Center OPPOSITION: (Verified5/31/16) None received ARGUMENTS IN SUPPORT: Californians for Safety and Justice (CSJ) writes in support that this bill ensures that medical professionals conducting already mandated health screenings look for signs of trauma to ensure that children who have suffered trauma receive the care they need - care they are legally entitled to receive. In light of the overwhelming evidence confirming the traumatic nature of child abuse and neglect and the secondary trauma of removal from one's home - this measure unambiguously establishes that foster children have suffered trauma and should be assessed for appropriate EPSDT services. CSJ states the State has the legal and moral obligation to act as the parent of all children in the child welfare system, and this bill is consistent with long-standing policies that ensure children in the child welfare system receive the best possible care that will help them thrive as adults. The San Luis Obispo County Department of Social Services (SLOCDSS) writes in support that it serves, in conjunction with its partners in the County Probation Department, over 300 foster children who have experienced abuse or neglect that spans the SB 1466 Page 8 spectrum of severity. SLOCDSS states it has encountered difficulties in ensuring that these children receive the therapeutic services they need, as mental health providers debate with one another over the relative severity of the trauma these children have endured. Too often, these children-especially those who suffered secondary trauma as a result of being removed from their caregivers-are shuffled back and forth between unresponsive systems of care, are denied the therapy they need to heal from the impacts of trauma and ultimately suffer the cumulative effects of untreated trauma as they transition to adulthood. Prepared by:Scott Bain / HEALTH / (916) 651-4111 5/31/16 20:45:30 **** END ****