California 2019-2020 Regular Session Status: To Executive

SB 503 — Medi-Cal: managed care plan: subcontracts.

Last action — Veto sustained.

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  1. ✓
    Introduced
  2. ✓
    In Committee
  3. ✓
    Passed Senate
  4. ✓
    Passed Assembly
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 2019-2020 Regular Session. It reached “To Executive” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.

Summary

Existing law provides for the Medi-Cal program, which is administered by the State Department of Health Care Services, under which qualified low-income individuals receive health care services either through a fee-for-service or managed care delivery system. The Medi-Cal program is, in part, governed and funded by federal Medicaid program provisions. Existing law authorizes the department to enter into various types of contracts for the provision of services to beneficiaries, including contracts with prepaid health plans. Existing law requires subcontracts entered into by a prepaid health plan to contain the amount of compensation or other consideration that a subcontractor will receive under the terms of the subcontract with the prepaid health plan, and to meet specified requirements, including compliance with the Knox-Keene Health Care Service Plan Act of 1975. This bill would require a Medi-Cal managed care plan to conduct, commencing January 1, 2022, specified audits of its subcontractors, including an annual medical audit of any subcontractor that performs delegated functions involving medical review and decisionmaking. The bill would authorize a Medi-Cal managed care plan to conduct additional medical audits of a subcontract, for good cause, to contract with a professional organization to perform medical audits, and to collaborate or share medical audit findings with another Medi-Cal managed care plan if 2 or more Medi-Cal managed care plans subcontract with the same subcontractor in lieu of completing separate audits. The bill would require a Medi-Cal managed care plan to report to the department the findings and certificate of completion of, and any deficiencies discovered by, the finalized annual medical audit, and to make available the finalized medical audit upon the department's request. The bill would require the department to post the annual medical report on its internet website, to develop a standardized process for Medi-Cal managed care plan audits that meets specified requirements, including requirements related to corrective action validation, and to provide this guidance to the Medi-Cal managed care plans by means of an all-plan letter.

Bill Text

Action History

  1. Veto sustained.

  2. Stricken from file.

  3. In Senate. Consideration of Governor's veto pending.

  4. Vetoed by the Governor.

  5. Enrolled and presented to the Governor at 2 p.m.

  6. Assembly amendments concurred in. (Ayes 40. Noes 0. Page 2786.) Ordered to engrossing and enrolling.

  7. Ordered to special consent calendar.

  8. In Senate. Concurrence in Assembly amendments pending.

  9. Read third time. Passed. (Ayes 79. Noes 0. Page 3189.) Ordered to the Senate.

  10. Read second time. Ordered to third reading.

  11. Read second time and amended. Ordered to second reading.

  12. From committee: Do pass as amended. (Ayes 18. Noes 0.) (August 30).

  13. August 14 set for first hearing. Placed on APPR. suspense file.

  14. From committee: Do pass and re-refer to Com. on APPR. (Ayes 14. Noes 0.) (June 25). Re-referred to Com. on APPR.

  15. From committee with author's amendments. Read second time and amended. Re-referred to Com. on HEALTH.

  16. Referred to Com. on HEALTH.

  17. In Assembly. Read first time. Held at Desk.

  18. Read third time. Passed. (Ayes 38. Noes 0. Page 1211.) Ordered to the Assembly.

  19. Read second time. Ordered to third reading.

  20. From committee: Do pass. (Ayes 6. Noes 0. Page 1101.) (May 16).

  21. Set for hearing May 16.

  22. May 13 hearing: Placed on APPR. suspense file.

  23. Set for hearing May 13.

  24. From committee: Do pass and re-refer to Com. on APPR. (Ayes 9. Noes 0. Page 848.) (April 24). Re-referred to Com. on APPR.

  25. Set for hearing April 24.

  26. From committee with author's amendments. Read second time and amended. Re-referred to Com. on HEALTH.

  27. Referred to Com. on HEALTH.

  28. From printer. May be acted upon on or after March 24.

  29. Introduced. Read first time. To Com. on RLS. for assignment. To print.

Sponsors

  • Pan · Primary

Sponsorship breakdown

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1 sponsors · 0 co-sponsors · 121 not signed on

Sponsors (1)

  • Pan

Co-sponsors (0)

None.

Not signed on (121)

121 members have not signed on to this bill.

Show all 121 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

SB 503 Pan Senate Third Reading By Wood

Passed 79 Yea · 0 Nay
Party YeaNayPresentNot Voting
Republican 5000
Unaffiliated 52000
Democratic 22000
Total 79000
% of votes cast 100%0%0%0%
How each member voted (79)
Member Party Vote
Mathis — Yea
Cooley — Yea
Diep — Yea
Chau — Yea
Quirk — Yea
Low — Yea
Burke — Yea
Cooper — Yea
Rendon — Yea
Smith — Yea
Cunningham — Yea
Gonzalez — Yea
Bloom — Yea
Voepel — Yea
Rodriguez — Yea
Chiu — Yea
Gray — Yea
Maienschein — Yea
Mullin — Yea
Kamlager-Dove — Yea
Medina — Yea
Chu — Yea
Ting — Yea
McCarty — Yea
O'Donnell — Yea
Waldron — Yea
Salas — Yea
Brough — Yea
Gloria — Yea
Obernolte — Yea
Holden — Yea
Daly — Yea
Jones-Sawyer — Yea
Friedman — Yea
Nazarian — Yea
Weber — Yea
Fong — Yea
Kiley — Yea
Mayes — Yea
Frazier — Yea
Bigelow — Yea
Santiago — Yea
Eggman — Yea
Levine — Yea
Wood — Yea
Melendez — Yea
Cristina Garcia — Yea
Eduardo Garcia — Yea
Jim Patterson — Yea
Luz Rivas — Yea
Mark Stone — Yea
Wendy Carrillo — Yea
Aguiar-Curry, Cecilia M. Democratic Yea
Arambula, Joaquin Democratic Yea
Bauer-Kahan, Rebecca Democratic Yea
Berman, Marc Democratic Yea
Boerner, Tasha Democratic Yea
Bonta, Mia Democratic Yea
Calderon, Lisa Democratic Yea
Cervantes, Sabrina Democratic Yea
Gabriel, Jesse Democratic Yea
Gipson, Mike A. Democratic Yea
Grayson, Timothy S. Democratic Yea
Irwin, Jacqui Democratic Yea
Kalra, Ash Democratic Yea
Limón, Monique Democratic Yea
Muratsuchi, Al Democratic Yea
Petrie-Norris, Cottie Democratic Yea
Quirk-Silva, Sharon Democratic Yea
Ramos, James C. Democratic Yea
Reyes, Eloise Gómez Democratic Yea
Rivas, Robert Democratic Yea
Rubio, Blanca E. Democratic Yea
Wicks, Buffy Democratic Yea
Chen, Phillip Republican Yea
Choi, Steven S. Republican Yea
Flora, Heath Republican Yea
Gallagher, James Republican Yea
Lackey, Tom Republican Yea

Official roll call →

Unfinished Business SB503 Pan Concurrence

Passed 40 Yea · 0 Nay
Party YeaNayPresentNot Voting
Unaffiliated 27000
Democratic 10000
Republican 3000
Total 40000
% of votes cast 100%0%0%0%
How each member voted (40)
Member Party Vote
Rubio — Yea
Monning — Yea
Wieckowski — Yea
Mitchell — Yea
Bradford — Yea
Wilk — Yea
Beall — Yea
Atkins — Yea
Hill — Yea
Roth — Yea
Morrell — Yea
Hueso — Yea
Leyva — Yea
Dodd — Yea
Moorlach — Yea
Skinner — Yea
Allen — Yea
Borgeas — Yea
Galgiani — Yea
Hertzberg — Yea
Portantino — Yea
Bates — Yea
Glazer — Yea
Nielsen — Yea
Chang — Yea
Pan — Yea
Mark Stone — Yea
Archuleta, Bob Democratic Yea
Caballero, Anna M. Democratic Yea
Durazo, Maria Elena Democratic Yea
Gonzalez, Lena A. Democratic Yea
Hurtado, Melissa Democratic Yea
Jackson, Corey A. Democratic Yea
McGuire, Mike Democratic Yea
Stern, Henry I. Democratic Yea
Umberg, Thomas J. Democratic Yea
Wiener, Scott D. Democratic Yea
Dahle, Megan Republican Yea
Grove, Shannon Republican Yea
Jones, Brian W. Republican Yea

Official roll call →

Do pass as amended.

Passed 18 Yea · 0 Nay
Party YeaNayPresentNot Voting
Democratic 5000
Unaffiliated 13000
Total 18000
% of votes cast 100%0%0%0%
How each member voted (18)
Member Party Vote
Maienschein — Yea
Bigelow — Yea
Quirk — Yea
Eggman — Yea
Gonzalez — Yea
Diep — Yea
Chau — Yea
Bloom — Yea
Fong — Yea
Brough — Yea
Obernolte — Yea
Eduardo Garcia — Yea
Wendy Carrillo — Yea
Bonta, Mia Democratic Yea
Calderon, Lisa Democratic Yea
Gabriel, Jesse Democratic Yea
Petrie-Norris, Cottie Democratic Yea
Rivas, Robert Democratic Yea

Official roll call →

Do pass and be re-referred to the Committee on [Appropriations]

Passed 14 Yea · 0 Nay · 1 Other
Party YeaNayPresentNot Voting
Unaffiliated 9001
Democratic 4000
Republican 1000
Total 14001
% of votes cast 93%0%0%7%
How each member voted (15)
Member Party Vote
Burke — Yea
Wood — Yea
Rodriguez — Yea
Santiago — Yea
Mayes — Yea
Bigelow — Yea
McCarty — Yea
Nazarian — Yea
Waldron — Not Voting
Wendy Carrillo — Yea
Aguiar-Curry, Cecilia M. Democratic Yea
Bonta, Mia Democratic Yea
Limón, Monique Democratic Yea
Ramos, James C. Democratic Yea
Flora, Heath Republican Yea

Official roll call →

3rd Reading

Passed 38 Yea · 0 Nay
Party YeaNayPresentNot Voting
Unaffiliated 27000
Democratic 9000
Republican 2000
Total 38000
% of votes cast 100%0%0%0%
How each member voted (38)
Member Party Vote
Rubio — Yea
Monning — Yea
Wieckowski — Yea
Mitchell — Yea
Bradford — Yea
Wilk — Yea
Beall — Yea
Atkins — Yea
Hill — Yea
Roth — Yea
Morrell — Yea
Hueso — Yea
Leyva — Yea
Dodd — Yea
Moorlach — Yea
Skinner — Yea
Allen — Yea
Borgeas — Yea
Galgiani — Yea
Hertzberg — Yea
Portantino — Yea
Bates — Yea
Glazer — Yea
Nielsen — Yea
Chang — Yea
Pan — Yea
Mark Stone — Yea
Archuleta, Bob Democratic Yea
Caballero, Anna M. Democratic Yea
Durazo, Maria Elena Democratic Yea
Hurtado, Melissa Democratic Yea
Jackson, Corey A. Democratic Yea
McGuire, Mike Democratic Yea
Stern, Henry I. Democratic Yea
Umberg, Thomas J. Democratic Yea
Wiener, Scott D. Democratic Yea
Grove, Shannon Republican Yea
Jones, Brian W. Republican Yea

Official roll call →

Do pass

Passed 6 Yea · 0 Nay
Party YeaNayPresentNot Voting
Republican 1000
Unaffiliated 5000
Total 6000
% of votes cast 100%0%0%0%
How each member voted (6)
Member Party Vote
Wieckowski — Yea
Portantino — Yea
Bates — Yea
Hill — Yea
Bradford — Yea
Jones, Brian W. Republican Yea

Official roll call →

Placed on suspense file

Passed 6 Yea · 0 Nay
Party YeaNayPresentNot Voting
Republican 1000
Unaffiliated 5000
Total 6000
% of votes cast 100%0%0%0%
How each member voted (6)
Member Party Vote
Wieckowski — Yea
Portantino — Yea
Bates — Yea
Hill — Yea
Bradford — Yea
Jones, Brian W. Republican Yea

Official roll call →

Subjects

healthcare health-insurance
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Frequently asked questions

What does SB 503 do?
Existing law provides for the Medi-Cal program, which is administered by the State Department of Health Care Services, under which qualified low-income individuals receive health care services either through a fee-for-service or managed care delivery system. The Medi-Cal program is, in part, governed and funded by federal Medicaid program provisions. Existing law authorizes the department to enter into various types of contracts for the provision of services to beneficiaries, including contracts with prepaid health plans. Existing law requires subcontracts entered into by a prepaid health plan to contain the amount of compensation or other consideration that a subcontractor will receive under the terms of the subcontract with the prepaid health plan, and to meet specified requirements, including compliance with the Knox-Keene Health Care Service Plan Act of 1975. This bill would require a Medi-Cal managed care plan to conduct, commencing January 1, 2022, specified audits of its subcontractors, including an annual medical audit of any subcontractor that performs delegated functions involving medical review and decisionmaking. The bill would authorize a Medi-Cal managed care plan to conduct additional medical audits of a subcontract, for good cause, to contract with a professional organization to perform medical audits, and to collaborate or share medical audit findings with another Medi-Cal managed care plan if 2 or more Medi-Cal managed care plans subcontract with the same subcontractor in lieu of completing separate audits. The bill would require a Medi-Cal managed care plan to report to the department the findings and certificate of completion of, and any deficiencies discovered by, the finalized annual medical audit, and to make available the finalized medical audit upon the department's request. The bill would require the department to post the annual medical report on its internet website, to develop a standardized process for Medi-Cal managed care plan audits that meets specified requirements, including requirements related to corrective action validation, and to provide this guidance to the Medi-Cal managed care plans by means of an all-plan letter.
Who sponsors SB 503?
SB 503 is sponsored by Pan.
What is the current status of SB 503?
This bill died with 2019-2020 Regular Session. It reached “To Executive” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track SB 503?
Track SB 503 free on One Click Politics — get push/email alerts when it moves.

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