Bill Text: CA SB812 | 2025-2026 | Regular Session | Introduced
Bill Title: Qualified youth drop-in center health care coverage.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2025-02-24 - Read first time. [SB812 Detail]
Download: California-2025-SB812-Introduced.html
CALIFORNIA LEGISLATURE—
2025–2026 REGULAR SESSION
Senate Bill
No. 812
| Introduced by Senator Allen |
February 21, 2025 |
An act to amend Section 1374.722 of the Health and Safety Code, and to amend Section 10144.53 of the Insurance Code, relating to health care coverage.
LEGISLATIVE COUNSEL'S DIGEST
SB 812, as introduced, Allen.
Qualified youth drop-in center health care coverage.
Existing law, the Knox-Keene Health Care Service Plan Act of 1975, provides for the licensure and regulation of health care service plans by the Department of Managed Health Care and makes a willful violation of the act a crime. Existing law provides for the regulation of health insurers by the Department of Insurance. Existing law requires a health care service plan contract or health insurance policy issued, amended, renewed, or delivered on or after January 1, 2024, that provides coverage for medically necessary treatment of mental health and substance use disorders to cover the provision of those services to an individual 25 years of age or younger when delivered at a schoolsite.
This bill would additionally require a contract or policy that provides coverage for medically necessary treatment of mental health and substance use disorders to
cover the provision of those services to an individual 25 years of age or younger when delivered at a qualified youth drop-in center. Because a violation of this requirement relative to health care service plans would be a crime, the bill would create a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YESBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 1374.722 of the Health and Safety Code is amended to read:1374.722.
(a) (1) A health care service plan contract issued, amended, renewed or delivered on or after January 1, 2024, that is required to provide coverage for medically necessary treatment of mental health and substance use disorders pursuant to Sections 1374.72, 1374.721, and 1374.73 shall cover the provision of the services identified in the fee-for-service reimbursement schedule published by the State Department of Health Care Services, as described in subparagraph (B) of paragraph (5) of subdivision (c), when those services are delivered at schoolsites or qualified youth drop-in centers pursuant to this section, regardless of the network status of the local educational agency, institution of higher education, or health care provider.(2) This section does not relieve a local educational agency or institution of higher education from requirements to accommodate or provide services to students with disabilities pursuant to any applicable state and federal law, including, but not limited to, the federal Individuals with Disabilities Education Act (20 U.S.C. Sec. 1400 et seq.), Part 30 (commencing with Section 56000) of Division 4 of Title 2 of the Education Code, Chapter 26.5 (commencing with Section 7570) of Division 7 of Title 1 of the Government Code, and Chapter 3 (commencing with Section 3000) of Division 1 of Title 5 of the California Code of Regulations.
(b) The following definitions apply for purposes of this section:
(1) “Health care provider” has the same meaning as defined in paragraph (4) of
subdivision (a) of Section 1374.72 and paragraph (5) of subdivision (c) of Section 1374.73.
(2) “Institution of higher education” means the California Community Colleges, the California State University, or the University of California.
(3) “Local educational agency” means a school district, county office of education, charter school, the California Schools for the Deaf, and the California School for the Blind.
(4) “Medically necessary treatment of a mental health or substance use disorder” has the same meaning as defined in paragraph (3) of subdivision (a) of Section 1374.72.
(5) “Mental health and substance use disorder” has the same meaning as defined in paragraph (2) of subdivision (a) of Section 1374.72.
(6) “Qualified youth drop-in center” means a center providing mental or primary health and wellness services to youth 12 to 25 years of age, inclusive, with the capacity to provide services before and after school hours, that received funding through the Children and Youth Behavioral Health Initiative by January 1, 2025, or a center that has been approved by the local educational agency for the purposes of this section.
(6)“School site”
(7) “Schoolsite” means a facility or location used for public
kindergarten, elementary, secondary, or postsecondary purposes. “School site” “Schoolsite”
also includes a location not owned or operated by a public school, or public school district, if the school or school district provides or arranges for the provision of medically necessary treatment of a mental health or substance use disorder to its students at that location, including off-campus clinics, mobile counseling services, and similar locations.
(7)
(8) “Utilization review” has the same meaning as defined in paragraph (3) of subdivision (f) of Section 1374.721.
(c) When If
a local educational agency or agency, institution of higher education education, or qualified youth drop-in center provides or arranges for the provision of treatment of a mental health or substance use disorder services subject to this section by a health care provider for an individual 25 years of age or younger at a school site, schoolsite or qualified youth drop-in center, the student’s health care service plan
shall reimburse the local educational agency or agency, institution of higher education education, or qualified youth drop-in center for those services.
(1) A health care service plan shall not require prior authorization for services provided pursuant to this section.
(2) A health care service plan may conduct a postclaim review to determine appropriate payment of the claim. Payment for services subject to this section may be denied only if the health care service plan reasonably determines that the
services were provided to a student not enrolled in the health plan, were never performed, or were not provided by a health care provider appropriately licensed or authorized to provide the services.
(3) Notwithstanding paragraph (1), a health plan may require prior authorization for services as authorized by the department pursuant to subdivision (d).
(4) A local educational agency, community college district, the California State University system, or the Regents of the University of California may consolidate claims for purposes of submitting the claims to a health care service plan.
(5) A health care service plan shall provide reimbursement for services provided to students pursuant to this section at the greater of either of the following amounts:
(A) The health plan’s contracted rate with the local educational agency, institution of higher education, or health care provider, if any.
(B) The fee-for-service reimbursement rate published by the State Department of Health Care Services for the same or similar services provided in an outpatient setting, pursuant to Section 5961.4 of the Welfare and Institutions Code.
(6) A health care service plan shall provide reimbursement for services provided pursuant to this section in compliance with the requirements for timely payment of claims, as required by this chapter.
(7) Services provided pursuant to this section shall not be subject to copayment, coinsurance, deductible, or any other form of cost sharing.
(8) An individual or entity shall
not bill the enrollee or subscriber, nor seek reimbursement from the enrollee or subscriber, for services provided pursuant to this section.
(d) No later than December 31, 2023, the director shall issue guidance to health care service plans regarding compliance with this section. This guidance shall not be subject to the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). Any guidance issued pursuant to this subdivision shall be effective only until the director adopts regulations pursuant to the Administrative Procedure Act.
(e) This section does not apply to contracts entered into pursuant to Chapter 7 (commencing with Section 14000) or Chapter 8 (commencing with Section 14200) of Part 3 of Division 9 of the Welfare and Institutions Code, between the State Department of Health Care Services and a
health care service plan for enrolled Medi-Cal beneficiaries.
SEC. 2.
Section 10144.53 of the Insurance Code is amended to read:10144.53.
(a) (1) A disability insurance policy issued, amended, renewed, or delivered on or after January 1, 2024, that is required to provide coverage for medically necessary treatment of mental health and substance use disorders pursuant to Sections 10144.5, 10144.51, and 10144.52 shall cover the provision of the services identified in the fee-for-service reimbursement schedule published by the State Department of Health Care Services, as described in subparagraph (B) of paragraph (5) of subdivision (c), when those services are delivered at schoolsites or qualified youth drop-in centers pursuant to this section, regardless of the network status of the local educational agency, institution of higher education, or health care provider.(2) This section does not relieve a local educational agency or institution of higher education from requirements to accommodate or provide services to students with disabilities pursuant to any applicable state and federal law, including, but not limited to, the federal Individuals with Disabilities Education Act (20 U.S.C. Sec. 1400 et seq.), Part 30 (commencing with Section 56000) of Division 4 of Title 2 of the Education Code, Chapter 26.5 (commencing with Section 7570) of Division 7 of Title 1 of the Government Code, and Chapter 3 (commencing with Section 3000) of Division 1 of Title 5 of the California Code of Regulations.
(b) The following definitions apply for purposes of this section:
(1) “Health care provider” has the same meaning as defined in paragraph (4) of
subdivision (a) of Section 10144.5 and paragraph (5) of subdivision (c) of Section 10144.51.
(2) “Institution of higher education” means the California Community Colleges, the California State University, or the University of California.
(3) “Local educational agency” means a school district, county office of education, charter school, the California Schools for the Deaf, and the California School for the Blind.
(4) “Medically necessary treatment of a mental health or substance use disorder” has the same meaning as defined in paragraph (3) of subdivision (a) of Section 10144.5.
(5) “Mental health and substance use disorders” has the same meaning as defined in paragraph (2) of subdivision (a) of Section 10144.5.
(6) “Qualified youth drop-in center” means a center providing mental or primary health and wellness services to youth 12 to 25 years of age, inclusive, with the capacity to provide services before and after school hours, that received funding through the Children and Youth Behavioral Health Initiative by January 1, 2025, or a center that has been approved by the local educational agency for the purposes of this section.
(6)
(7) “Schoolsite” means a facility or location used for public kindergarten, elementary, secondary, or postsecondary purposes. “Schoolsite” also includes a location not
owned or operated by a public school, or public school district if the school or school district provides or arranges for the provision of medically necessary treatment of a mental health or substance use disorder to its students at that location, including off-campus clinics, mobile counseling services, and similar locations.
(7)
(8) “Utilization review” has the same meaning as defined in paragraph (3) of subdivision (f) of Section 10144.52.
(c) If a local educational agency or
agency, institution of higher education education, or qualified youth drop-in center provides or arranges for the provision of treatment of a mental health or substance use disorder services subject to this section by a health care provider at a schoolsite
or qualified youth drop-in center for an individual 25 years of age or younger, the student’s disability insurer shall reimburse the local educational agency or agency, institution of higher education education, or qualified youth drop-in center for those services.
(1) A disability insurer shall not require prior authorization for services provided pursuant to this section.
(2) A disability insurer may conduct a postclaim review to determine appropriate payment
of the claim. Payment for services subject to this section may be denied only if the disability insurer reasonably determines that the services were provided to a student not covered by the insurer, were never performed, or were not provided by a health care provider appropriately licensed or authorized to provide the services.
(3) Notwithstanding paragraph (1), a disability insurer may require prior authorization for services as authorized by the commissioner, pursuant to subdivision (d).
(4) A local educational agency, community college district, the California State University system, or the Regents of the University of California may consolidate claims for purposes of submission to a disability insurer.
(5) A disability insurer shall provide reimbursement for services provided to students pursuant to this section
at the greater of either of the following amounts:
(A) The disability insurer’s contracted rate with the local educational agency, institution of higher education, or health care provider, if any.
(B) The fee-for-service reimbursement rate published by the State Department of Health Care Services for the same or similar services provided in an outpatient setting, pursuant to Section 5961.4 of the Welfare and Institutions Code.
(6) A disability insurer shall provide reimbursement for services provided pursuant to this section in compliance with the requirements for timely payment of claims as required by this chapter.
(7) Services provided pursuant to this section shall not be subject to copayment, coinsurance, deductible, or any other form of cost
sharing.
(8) An individual or entity shall not bill the policyholder or insured, nor seek reimbursement from the policyholder or insured, for services provided pursuant to this section.
(d) The commissioner shall issue guidance to disability insurers regarding compliance with this section, as well as requirements necessary to comply with Section 5961.4 of the Welfare and Institutions Code. This guidance shall not be subject to the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). Guidance issued pursuant to this subdivision shall be effective only until the commissioner adopts regulations pursuant to the Administrative Procedure Act.
