Bill Text: CA AB1428 | 2013-2014 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: California Health Benefit Exchange: employees and contractors.

Spectrum: Partisan Bill (Republican 10-0)

Status: (Passed) 2013-10-04 - Chaptered by Secretary of State - Chapter 561, Statutes of 2013. [AB1428 Detail]

Download: California-2013-AB1428-Amended.html

---

BILL NUMBER: AB 1428	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 26, 2013
	AMENDED IN ASSEMBLY  JUNE 11, 2013

INTRODUCED BY   Assembly Member Conway
   (Coauthors: Assembly Members Bigelow, Dahle, Hagman, Harkey,
Morrell, Patterson, Wagner, Waldron, and Wilk)

                        APRIL 30, 2013

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


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1428, as amended, Conway. California Health Benefit Exchange:
employees and contractors.
   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 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 requires the board to employ necessary staff and
authorizes the board to enter into contracts. 
   This bill would require the board, consistent with specified
federal standards, to submit to the Department of Justice fingerprint
images and related information of all employees, prospective
employees, contractors, subcontractors, volunteers, or vendors, whose
duties include or would include access to specified information, for
the purposes of obtaining prescribed criminal history information.
The bill would require the board to require any services contract,
interagency agreement, or public entity agreement that includes or
would include access to the specified information to include a
provision requiring the contractor to agree to criminal background
checks on its employees, contractors, agents, or subcontractors who
will have access to that information as part of their services
contract, interagency agreement, or public entity agreement. 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.  
   Existing law requires the board, consistent with federal guidance
applicable to state-based exchanges, to submit to the Department of
Justice fingerprint images and related information of specified
individuals whose duties include or would include access to
confidential information, personal identifying information, personal
health information, federal tax information, financial information,
or any other information as required by federal law or guidance
applicable to state-based exchanges for the purposes of obtaining
information as to the existence and content of a record of state or
federal convictions and information as to the existence and content
of a record of state or federal arrests for which the Department of
Justice establishes that the person is free on bail or on his or her
recognizance pending trial or appeal.  
   This bill would revise these provisions to require that the
fingerprint images and related information be submitted to the
Department of Justice consistent with the federal Centers for
Medicare and Medicaid Services (CMS), Catalog of Minimum Acceptable
Risk Standards for Exchanges (MARS-E), Exchange Reference
Architecture Supplement version 1.0, issued on August 12, 2012, or
further updates, guidance, or regulations. The bill would provide
that the fingerprint images and related information submitted to the
Department of Justice include those of the specified individuals
whose duties include or would include access to any information
contained in the information systems and devices of the Exchange.

   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 1043 of the  
Government Code   is amended to read: 
   1043.  (a) (1) The executive board of the California Health
Benefit Exchange, as established by Section 100500, shall, consistent
with  federal guidance applicable to state-based exchanges
  the federal Centers for Medicare and Medicaid Services
(CMS), Catalog of Minimum Acceptable Risk Standards for Exchanges
(MARS-E), Exchange Reference Architecture Supplement version 1.0,
issued on August 12, 2012, or further updates, guidance, or
regulations  , submit to the Department of  Justice,
  Justice  fingerprint images and related
information required by the Department of Justice of all employees,
prospective employees, contractors, subcontractors, volunteers, or
 vendors   vendors,  whose duties include
or would include access to  any information contained in the
information systems and devices of the Exchange, including, but not
limited to,  confidential information, personal identifying
information, personal health information, federal tax information,
financial information, or any other information as required by
federal law or guidance applicable to state-based exchanges for the
purposes of obtaining information as to the existence and content of
a record of state or federal convictions and also information as to
the existence and content of a record of state or federal arrests for
which the Department of Justice establishes that the person is free
on bail or on his or her recognizance pending trial or appeal.
   (2) The board shall require any services contract, interagency
agreement, or public entity agreement that includes or would include
access to information described in paragraph (1), and entered into,
renewed, or amended on or after the effective date of this section,
to include a provision requiring the contractor to agree to criminal
background checks on its employees, contractors, agents, or
subcontractors who will have access to information described in
paragraph (1) as part of their services contract, interagency
agreement, or public entity agreement with the board.
   (b) The Department of Justice shall forward to the Federal Bureau
of Investigation requests for federal summary criminal history
information received pursuant to paragraph (1) of subdivision (a).
The Department of Justice shall review the information returned from
the Federal Bureau of Investigation and compile and disseminate a
response to the board.
   (c) The Department of Justice shall provide a state or federal
level response to the board pursuant to subdivision (p) of Section
11105 of the Penal Code.
   (d) The board shall request from the Department of Justice
subsequent notification service, as provided pursuant to Section
11105.2 of the Penal Code, for persons listed in paragraph (1) of
subdivision (a).
   (e) The Department of Justice shall charge a fee sufficient to
cover the cost of processing requests pursuant to this section.

  SECTION 1.    Section 1043 is added to the
Government Code, to read:
   1043.  (a) (1) The executive board of the California Health
Benefit Exchange, as established by Section 100500, shall, consistent
with the Centers for Medicare and Medicaid Services (CMS), Catalog
of Minimum Acceptable Risk Standards for Exchanges (MARS-E), Exchange
Reference Architecture Supplement version 1.0, issued on August 12,
2012, or further updates, guidance, or regulations, submit to the
Department of Justice fingerprint images and related information
required by the Department of Justice of all employees, prospective
employees, contractors, subcontractors, volunteers, or vendors whose
duties include or would include access to any information contained
in the information systems and devices of the Exchange, including,
but not limited to, confidential information, personal identifying
information, personal health information, federal tax information, or
financial information, or for the purposes of obtaining information
as to the existence and content of a record of state or federal
convictions and also information as to the existence and content of a
record of state or federal arrests for which the Department of
Justice establishes that the person is free on bail or on his or her
recognizance pending trial or appeal.
   (2) The board shall require any services contract, interagency
agreement, or public entity agreement that includes or would include
access to information described in paragraph (1), and entered into,
renewed, or amended on or after the effective date of this section,
to include a provision requiring the contractor to agree to criminal
background checks on its employees, contractors, agents, or
subcontractors who will have access to information described in
paragraph (1) as part of their services contract, interagency
agreement, or public entity agreement with the board.
   (b) The Department of Justice shall forward to the Federal Bureau
of Investigation requests for federal summary criminal history
information received pursuant to paragraph (1) of subdivision (a).
The Department of Justice shall review the information returned from
the Federal Bureau of Investigation and compile and disseminate a
response to the board.
   (c) The Department of Justice shall provide a state or federal
level response to the board pursuant to subdivision (p) of Section
11105 of the Penal Code.
   (d) The board shall request from the Department of Justice
subsequent notification service, as provided pursuant to Section
11105.2 of the Penal Code, for persons listed in paragraph (1) of
subdivision (a).
   (e) The Department of Justice shall charge a fee sufficient to
cover the cost of processing requests pursuant to this section.

  SEC. 2.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order to protect and safeguard customers from the unauthorized
and illegal access to, or disclosure of, their personal identifying
information, personal health information, or federal tax information
when the California Health Benefit Exchange begins enrolling
customers into health care plans for coverage beginning as early as
January 1, 2014, it is necessary that this act take effect
immediately.